Franchises

How to Start DTDC Franchise – A Detailed Guide (Opportunity, Cost)

One of the primary key players in the area of courier and shipment in India and rigorously expanding abroad, DTDC is one known and preferred courier service provider. They are growingly preferred courier service in the area of e-tail through their last-mile delivery services.

The systematically operated quality services from DTDC are popular with a reputation of consistency and wide coverage. A franchisee of such a popular and growing courier service is undoubtedly a no miss. And, absolutely not when such a company has a direct presence in 21 countries and associate services in 240 plus countries.

If you are looking to tap into growing last-mile delivery services in the Indian network and wish to get on with a key player like DTDC, you are at the right place to know everything to get one. Below is a detailed piece of information, which will help you better understand DTDC and all about franchise business with the brand, so let’s get on with it.

About DTDC Express Limited

DTDC Express Limited, popularly known as DTDC, stands for Door to Door Courier. It was established in the year 1990 as a small courier company, which has grown to a multinational logistics company with more than 10,000 locations across various countries. The company is headquartered in Bangalore, Karnataka, India.

The Indian homegrown courier company now has a global presence with quality logistics and courier services preferred by various businesses and the general public. It is the only major courier company competing with other big players like Bluedart, DHL, and more. The company has a direct presence in 21 countries and an associated network in over 240 countries. DTDC partners with DPD for the most extensive delivery network.

DTDC is one of the most trusted services for e-tail couriers across small to big e-commerce businesses. The service offers multi-vendor management, warehousing & fulfillment, cross-border solutions, last-mile delivery, reverse logistics management, and more. They offer tie-ups to businesses for daily parcel pickups meant for shipping for

The multiple outlets of the courier company offer better reach, and one warehouse provides centralized solutions to courier distribution. The couriers of DTDC are real-time trackable and consistent in timely routes. End-users are often updated about deliveries, and customer care is easy to reach for queries. The company deals in several services for businesses and offers road and air transit of your goods and various sizes and weights too. Services for important and confidential papers are also secure with extra safe courier and insurance.

DTDC’s network is facilitated with close to 600 operating facilities, 12+ automated hubs for dynamic sorting, and massive warehouse space. DTDC delivers to 11,400 pin codes in India and access to 240 locations worldwide with the vast infrastructure and technologically backed and advanced operation.

Opportunity with DTDC

Courier delivery and logistics services are a constant need of today’s businesses and also of people. A city and town need multiple centers for courier collection and distribution, and DTDC requires many with such a vast network and demand. Also, a courier service agency is a great deal of money and opportunity with an already established network like DTDC. The name of the brand and trust keeps your business going and helps you earn plenty.

Franchise opportunities with DTDC are advanced and extensive as the company is committed to operations with the franchise model and its company-operated facilities. DTDC covers the vast area of its services through its network of these franchisee offices, branches, and other facilities and promotes a franchise model with low-cost investment.

The company supports the business savvy and service-oriented entrepreneurs with its boosted franchise model, which they call their channel partners. The model requires minimal capital investment and offers training to every franchisee holder through induction seminars, periodic product training, one-on-one interactions, online modules, and meetings. A welcome kit is also provided.

The main attraction of the franchise opportunity with DTDC is (FAB), the Franchise Advisory Board, formed for transparency, growth, and development of franchisee model and participants. The advisory consists of chosen franchise holders from various areas, representing the whole model and different branches and regions. The board aims to achieve collaborative success.

While talking about the opportunities with the DTDC, the foremost opportunity is the revenue that a DTDC franchise makes, and below is the average revenue generated:-

  • Average monthly revenue of Category A franchise:- INR 1,50,000
  • Average monthly revenue of Category B franchise:- INR 75,000
  • Average monthly revenue of Category C franchise:-INR 40,000
    (Refer to the section below for classification of the categories)

Apart from the revenue, the franchise model offers a return on investment of more than 20%.

Cost, fees, eligibility other requisites to open a DTDC franchise

DTDC offers franchise in three different models:-

1. Model Franchisee

2. Enterprise Franchisee

3. Delivery Franchisee

Model Franchisee handles booking and delivery in a particular pin code, where they have an office/shop. The franchisee is also responsible for business development, and customer service is their designated area.

The enterprise franchisee of the DTDC is responsible for the courier handling of organizations and corporate clients. They are solely responsible for parcel collection that is picked up regularly or when asked for the collection.

The delivery franchisee is responsible only for deliveries. This franchisee receives FDM from the main branch and carries out deliveries in the assigned pin codes.

DTDC further categorize the franchisee based on cities, towns, and area, which are as follows:-

1. Normal (Category A)
2. Subsidizes (Category B)
3. Rural/Satellite (Category C)

The investment requirements of the franchisee are between 50 thousand to 2 lakhs depending upon the type of franchisee.

  • Total investment for Category A – INR 1,50,000
  • Total investment for Category B – INR 1,00,000
  • Total investment for Category C – INR 50,000

The investment cost consists of a security deposit and setup fee, and the company doesn’t ask for a franchise fee.

Apart from total investment, the company requires a franchisee to maintain working capital which is as follows:-

  • Working capital per month for Category A -INR 1,00,000
  • Working capital per month for Category B – INR 50,000
  • Working capital per month for Category C – INR 25,000

Franchisees are required to pay a royalty fee of 10% annually on the turnover made by the franchisee.

The investment cost consists of a security deposit and setup fee, and the company doesn’t ask for a franchise fee.

The space requisites for franchise fall between 300 to 450 square feet of office space located on the ground floor of a building or any other space and must face the road.

Human resources requisites again fall differently for the three categories and are as follows:-

  • Number of employees for Category A:- 4
  • Number of employees for Category B:- 3
  • Number of employees for Category C:- 2

The other requisites may involve expense regarding office space setup consisting of a printer, barcode scanner, weighing scale, packaging materials, staplers, and other tools required for opening bags of deliverables, packaging of parcels, and more.

How to get a DTDC franchise

In order to apply for a DTDC franchise, one can visit the official website, where a designated page is available for the franchisee with an inquiry form to make inquiries. You can also write them your interest in their channel partner program to their head office. Aspirants can also contact them via the client helpline number available on their website.

Inquiries registered through their contact form are generally answered in a few business days, and others are also reverted in the meantime. The inquiries are in abundance with the company and take a few days to be answered.

Also, the process of approval goes through various stages and are subject to approval criteria, and those are as follows:-

Stage 1:- Identification of the prospect via inquiries and other modes.

Stage 2:- First round of discussion, where information regarding the company is offered, and terms and conditions are discussed.

Stage 3:- Inspection of premises

Stage 4:- Filling of application by the franchisee applicant

Stage 5:- Collection of application form with documents

Stage 6:- Verification of documents

Stage 7:- Approval from RCM / ZCM, RM / Regional Head, ZOM / ROM, GM.

Stage 8:- Email communication for activation of the code

Stage 9:- On and off-field training by various departments

Stage 10:- Certificate of training signed by RM/ GM only

Stage 11:- Handing over the welcome kit in the Regional office and introduction to the HODs

Stage 12:- Opening of the franchisee

Is the DTDC Franchise Worth the Investment?

When it comes to courier services in India, DTDC is hands down one of the most popular and well-known options in India. If you end up investing in the company’s franchise model, be assured that the returns are worth the time.

Over the years, DTDC has been the first choice for the majority of sellers and business professionals across India when it comes to sending any shipment and the main reason is due to their promptness and accessibility factors.

We can conclude that the DTDC franchise is lucrative and a worthy investment if you are someone that’s considering this as an option.

Frequently asked questions (FAQs) regarding DTDC franchise

1. How can I get Dtdc franchise?

To apply for a DTDC franchise, you can call the company, write to them at their head office address, or fill out the inquiry form on the website. To acquire the franchise, you must be ready to make a small investment of 50 thousand to 2 lakhs and must have commercial space on the ground floor of about 300 to 450 square feet.

2. Is Dtdc franchise profitable?

Yes, the DTDC franchise is profitable.

3. How much does a Dtdc franchise earn?

A DTDC franchise averagely makes between 40,000 to 1,50,00 monthly, depending on the category.

4. Who is the owner of Dtdc?

DTDC was founded by Mr. Subhasish Chakraborty in the year 1990. He also holds the position of chairman and managing director in the company.

Conclusion:-

The franchise business model or the channel partner program of DTDC is of par excellence with minimal investment and working capital, and greater return on investment. The monthly revenue is also one of the USPs of the model. The model seems promising with the advisory board on transparency and welfare. So, it can be concluded that the DTDC franchise is an excellent opportunity for business aspirants to become successful entrepreneurs. So, without further ado, get on with the opportunity and make the most of it.

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