Baskin Robbins eyes small Indian cities for growth

World's largest ice-cream chain, Baskin Robbins, is planning to enter tier II and tier III cities in India as a part of its expansion plans.

Graviss Foods, the master franchisee for Baskin Robbins ice creams in India, said that the company plans to launch new products, such as sticks and cones, targeting middle-class customers.

Speaking to rediff.com, Subroto Mukherjee, COO, Baskin Robbins - South Asia said, "We plans to add 80-90 stores year-on year and in line with our aggressive penetration plan. However, we will also re-focus our resources and energies in penetrating newer markets."

The company plans to add more parlour operations this year in South Asian countries also. A lounge concept in the cities is also on track and the company plans to introduce more of dessert-based ice-creams, added Mukherjee.

Baskin Robbins was launched in India in 1993. Since then it has posted a growth of 25 and 30 per cent in the Rs 800-crore (Rs 8 billion) organised ice-cream segment. Today, it has 400 stores across 93 cities across the globe.

"As we operate through a sub franchisee format, we have the franchisee invest into the business. Currently, our factory has the capacity to take care of the business needs for another two years without any significant capex requirements," he said.

Baskin Robbins will introduce new and possibly cheaper formats in small towns, to make the brand more affordable. The premium ice cream brand now sells a scoop between Rs 45 and Rs 50.

The company plans to introduce low fat and a low sugar variety in the menu to cater the taste buds of health conscious customers.

The company is also planning to launch a TV campaign to highlight its new product range and intends to bring in one new flavour as 'flavour of the month"