MBA Chai Wala Franchise vs Chai Sutta Bar Franchise : Which is better?

By Startup Authority May 24

MBA Chaiwala Vs Chai Sutta Bar Franchise

In India, chai is the most popular beverage. Chai shops can be found throughout India. MBA chai wala and Chai sutta bars represent a recent tea market revolution, particularly in first- and second-tier cities.

The brands to choose from if you want to access India’s evergreen tea market are MBA Chai Wala Franchise and Chai Sutta Bar Franchise. Here, you will learn how to choose wisely between the two franchises.

Comparison between MBA Chaiwala Vs Chai Sutta Bar Franchise

About MBA Chai Wala

MBA Chaiwala is an inspirational and unique entrepreneurial success story that has captured the attention and hearts of many.

The founder Prafull Billore, started his journey from humble beginnings as a tea seller and went on to build a thriving business empire today. His story is not just about selling tea, it’s about hard work, determination, and relentless pursuit.

About Chai Sutta Bar

One of the most popular chains of cafes in India is Chai Sutta Bar. It is known for its unique concept of traditional Indian tea in a pot along with a variety of snacks.

This unique tea brand was founded by Anubhav Dubey back in 2016 in Indore. He is an entrepreneur who has a deep passion for tea and envisioned creating a space where people could enjoy their tea.

MBA Chai Wala Franchise Brand Positioning & Target Audience

Today, MBA Chaiwala positions itself as more than just a tea brand, it’s a symbol of entrepreneurship, ambition, and perseverance.

The target audience of MBA Chaiwala includes the youth, students, and anyone who loves drinking quality tea. This brand resonates with individuals who value hard work, innovation, and the courage to pursue their passion.

Chai Sutta Bar Franchise Brand Positioning & Target Audience

Chai Sutta Bar positions itself as a contemporary chai cafe in India. It blends the traditional flavours of Indian tea with a modern twist. The vibrant and youthful ambience appeals greatly to the younger generation of our country.

The target audience of Chai Sutta Bar primarily includes college students, young professionals, school students, corporate employees, and elders. By offering a wide range of flavoured tea, snacks, and quick bites at affordable prices, this company caters to customers who are looking for a convenient place to drink tea.

MBA Chai Wala Franchise Expansion

This company has adopted a franchise model to expand its presence across different states in India. The franchise model allows aspiring entrepreneurs and leaders to partner with the brand and replicate its success. Its expansion strategy focuses on identifying high-traffic areas, maintaining quality, and providing ongoing support.

Chai Sutta Bar Franchise Expansion

Chai Sutta Bar adopted a franchise model when they became successful. It offers a superior model for aspiring entrepreneurs to own their businesses and earn profit.

It allows Chai Sutta Bar to scale its business efficiently while maintaining consistency in quality and service standards across all outlets. Chai Sutta Bar aims to establish a strong presence in both tier-1 and tier-2 cities.

MBA Chai Wala Franchise USP (Unique Selling Point)

Its expansion strategy focuses on identifying high-traffic areas, maintaining quality, and providing ongoing support.

The Unique Selling Propositions of MBA Chaiwala are the following:-

Quality– The top quality of its food products has always been constant. The company prides itself on serving premium quality tea made from the finest ingredients.
Cosy ambience– The ambience of MBA Chaiwala has always attracted customers from different locations and continues to do so. The interior is so well-designed that they are just appreciated by all visitors.

One of India’s most popular tea franchises, particularly in first-tier and second-tier cities, is MBA Chai Wala franchise. They currently have more than 50 locations across the nation. They intend to create bases throughout India as they continue to expand.

This Tea Sensation is still in its infancy. On July 25, 2017, MBA Chai Wala opened his first stall. They now have a solid reputation in the food and beverage sector.

Chai Sutta Bar Franchise USP

The goal of Chai Sutta Bar Franchise is to spread their distinctive cultural fusion and ideals throughout the entire world. They began six years ago, and since then, they have completed amazing feats and enormous tasks.

The 325+ locations, 175+ cities, innumerable kulhads, and international reach speak for themselves. Chai Sutta Bar is currently expanding beyond limits thanks to the love and affection of its patrons.

The Unique Selling Propositions of Chai Sutta Bar are the following:-

Variety of tea blends – This brand is not only known for offering the highest quality tea to customers but, for its variety as well.
Social Responsibility– Not many cafe brands will take the responsibility to educate and make the youth of India aware of entrepreneurship.
Customer-based experience concept – The whole concept of their business and franchise depends on customer experience and feedback.

Who is the owner of MBA Chai Wala?

Prafull Billore is the CEO and Founder of MBA Chai Wala. On July 25, 2017, he launched his tea business in Ahmedabad. His net worth was INR 3 crore as of October 2021, having begun his tea shop with INR 8,000. On January 14, 1996, Prafull was born in Madhya Pradesh.

He made the decision to enrol in an MBA programme at IIM Ahmedabad after receiving his degree. He fell short of getting the number needed to get a seat in IIM, though. After some difficulty, he invested only INR 8000 to start a tea shop called MBA Chai Wala. Rest is history now.

Who is the owner of Chai Sutta Bar?

Mr. Anubhav Dubey is the founder and proprietor of Chai Sutta Bar. He received a call one day from his childhood friend, who attended Indore for the remaining classes after finishing eighth grade in his hamlet.

Anand Nayak, who would become Anubhav’s future co-founder, was there when he first met him. Something clicked when Anand called Anubhav in Delhi and suggested they start a business together, and the path to opening Chai Sutta Bar was paved.

The two co-founders quickly realised they didn’t have any money for things like branding, interior design, or marketing because they were operating on a very tight budget.

With the help of friends who lent them things and used furniture, they were able to design and open the first location in Indore, which was close to a hostel.

They took an useless piece of wood and scribbled the name “Chai Sutta Bar” by hand because they lacked the funds to print a banner. Young people connected with the name and thematically.

MBA Chai Wala Franchise Menu

- Regular Chai

- Masala Chai

- Elaichi Chai

- Chocolate Chai

- Tulsi Chai

Along with these various types of regular tea, they also serve Green tea, Coffee, Three types of Mojito, and Coolers. For Nasta, they have Sandwich, Maskaban, Maggi, French fries, Puff, etc.

Chai Sutta Bar Franchise Menu

- Chocolate Chai

- Adrak Chai

- Rose Chai

- Elaichi Chai

- Paan Chai

- Kesar Chai

- Masala Chai

- Tulsi Chai

Along with these various types of tea, they also serve sandwiches, Lemonade, Ice tea, Pasta etc.

Comparative Analysis

Here is the comparative analysis of both the company’s financial parameters :-

Parameters	MBA Chaiwala	Chai Sutta Bar
Initial Investment	Rs 8-15 lakhs	Rs 16-18 lakhs
Royalty fees	4%	4%
Franchise fee	Rs 4 lakh	Rs 6-8 lakhs

The finance required to start an MBA Chaiwala franchise is relatively less as compared to Chai Sutta Bar. But, you slightly benefitted from Chai Sutta Bar because of its strong and wide presence in the Indian market. Moreover, there is no huge difference in the financial requirements for both of these tea franchise giants.

MBA Chai Wala Cost Comparison With Chaayos

Here is the side-by-side comparison with Chaayos:-

Parameters	MBA Chai Wala	Chaayos
Investment	Rs 8-10 lakhs	Rs 5-10 lakhs
Franchise fee	Rs 3 lakhs	Rs 1 lakh
Space required	100-200 square feet	200-400 square feet
Furniture cost	Rs 3-5 lakhs	Rs 1 lakh
Machinery	Rs 2-3 lakhs	Rs 1 lakh
Raw materials	Rs 2 lakhs	Rs 1-2 lakhs
Royalty fee	4%	Approximately 5%