Business strategy that turned Wow! Momo into a 1000Cr company
Wow! Momo is a fast-casual restaurant that is quickly expanding across India. This is the world's first and only momo supply chain restaurant. It sells momos of numerous types and excellent sauces in over 250 cities. Momo is a popular meal in Nepal, Tibet, and parts of India.
Wow! Momo's founders and proprietors are Sagar Daryani and Binod Homagai, who founded the company in 2008. They were both students at Kolkata's St. Xavier College. Their performance can be measured by the INR 120 crores in revenue they produced in 2019.
The company began with a small investment of INR 30,000 and grew to a valuation of crores in just a few years. Wow! Chennai, Cuttack, Cochin, Rourkela, Puri, Bhubaneswar, Kolkata, Delhi, Mumbai, Gurugram, Faridabad, Ghaziabad, Noida, and Bengaluru have all received Momo franchises. It currently has 254 locations in these cities.
History of Wow! Momo
Wow! Momo was founded by Kolkata's Sagar Jagdish Daryani and Binod Kumar Homagai. They were inspired by their passion for momos and dreamed of creating a momo business.
Sagar's parents put up INR 30,000 as an initial investment, and the founders launched their business with that money. They began with a 200-square-foot kitchen, a single table, and two part-time cooks who were paid a pittance. Raw ingredients were borrowed on credit from a local grocery store, and this has become their primary source of revenue.
They faced numerous problems and challenges at first because they were unfamiliar with the modern new concept. However, with their simple momo model and marketing strategy, they could generate 100 crores in revenue. The Indian Angel Network received its initial fundraising of more than $2 million on July 15. In addition, on May 17, the next investment of INR 440 million was announced. Since then, the brand has been steadily ascending the success ladder and hasn't looked back.
Target Customer Base: Wow! Momos' target demographic is students and working professionals. Momo is a quick, easy bite cuisine that is also quite economical, thus they cater a lot to this customer base.
The firm also plans to create cloud kitchens to meet its clients via meal delivery services like Zomato and Swiggy.
By 2021, 350-400 stores were scheduled to open, with a profit of INR 300 crores expected. However, given the Covid-19 pandemic, this appears to be a difficult challenge.
Wow! Momo's menu has been expanded to include more complex and diversified Momo flavors.
More creations are available in their kits, such as "chilled momos," gluten-free momos for stores, and so on. The brand is looking for worldwide potential in the Middle East in particular.
Assessment of Competition: Wow! Momo competes with street momo vendors, who sell momos for less money. Wow! Momo has a competitive advantage over the street vendor due to the high quality, hygiene, and variety of momo flavors.
Marketing Tools: The brand employs a variety of effective marketing strategies, including digital or social media marketing, public relations, branding, and so on.
The beginning of the branding process Wow! For kiosk promotions and marketing activities, Momo picked the color yellow.
They employed the concept of distributing momo samples to their clients, which was an instant hit and resulted in a rapid increase in sales.
Instagram, Facebook, Twitter, and other social media platforms assisted them in further advertising and marketing their brand with their customers.
Their pan-fried momos are their distinctive selling point. Momos are available in both vegetarian and non-vegetarian varieties.
Wow! Momo's creators started with an idea, which quickly swept across the country. Your dedication to your work and enthusiasm for your objective serves as an example to others. When the brand's two founders first began out, they didn't think much about failures. It is more crucial for a startup entrepreneur to believe in the idea and its success. Even with little resources, the brand has shown to be able to put anyone on the path to success.