Opening a kiosk in a shopping mall can be a more affordable option than a full-fledged store to start a business within a busy shopping center.
There are two ways to enter this segment: own businesses or franchises. Further down in this text, there are seven options for franchised brands that operate in this business model and that project revenues exceeding R$500,000 per year.
But before that, learn a little more about this modality. The VP of the Management vertical, at 300 Ecossistema de Alto Impacto, Cristiano Correa, explains that the first issue to be resolved when thinking about having a shopping kiosk is to understand the objective of the business.
“Do you want to validate the brand in that space? Want to see if you can reach your target audience? In these cases, it could be interesting. But you have to be aware of the costs of the location,” she says.
These values include space and condominium rent (as is charged for residential units).
O Estadão consulted Allos, which has 58 shopping malls under its umbrella, 17 of which are in São Paulo. They point out that kiosks have been gaining prominence in recent years and, in 2023 alone, 912 new units were opened in the chain.
For kiosks in the Allos network, in addition to rent and condominium fees, there are also charges for the promotion and advertising fund and a percentage rent, if the operation exceeds the sales level established by the mall.
In most cases, according to them, Allos does not charge fines for contract terminations. Normally there is no minimum period of stay.
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When pricing kiosk space, the square footage will not necessarily have as much of an impact – as happens with fixed stores. What ends up counting most are the point and purpose of the kiosk.
Allos itself decided to invest in the sector. Recently, they created CarrinhosKids. Now, they have three units: in the VillaLobos, Tamboré and Mooca Plaza shopping malls.
What are the advantages and disadvantages of a kiosk?
According to Correa, the positive points are:
- low implementation cost compared to a complete store;
- greater flexibility, being able to change locations within the same shopping center with ease;
- Being close to food courts or anchor stores helps with traffic.
Points of attention are:
- spaces are smaller;
- there is less stock capacity;
- there is more risk of theft.
Check out kiosk franchise options
See seven options for franchise brands that operate in the kiosk business model. All offer a projected revenue of more than R$500,000 per year. However, some caveats need to be made.
- turnover is not profit, as explained in this report. It is necessary to deduct all necessary costs to then reach the profit, which goes into the partners’ pockets;
- Every business has a maturation period. This means that, for a period, few people will know the brand and, consequently, the number of sales will be lower;
- before profit, an enterprise needs to achieve balance point – make neither profit nor loss – as we have already explained in this material;
- The options on this list are offered by the market and do not represent any type of recommendation from the report.
Vegan cosmetics chain, which has existed for over 20 years.
- Estimated initial investment: R$ 150 thousand (including franchise fee)
- Average monthly revenue: R$ 65 thousand
- Average monthly profit: from 15% to 22%
- Return period (payback): from 18 to 24 months
- Contract term: 5 years
- Royalties/month: 30% (on purchase of products)
- Number of units in operation: 130 (all franchised)
Network focused on “bubble tea”, also known as “bubble tea”. Created in Foz do Iguaçu, Paraná, it is present in 17 states.
- Initial investment: R$190 thousand (including franchise fee)
- Average monthly revenue: R$43 thousand
- Average monthly profit: 15%
- Return period: from 20 to 24 months
- Contract term: 5 years
- Royalties/month: 5%
- Units in operation: 85, all franchises
Restaurant chain focused on Hawaiian identity. Still at the beginning of the franchising process, they only have two of their own units in operation.
- Estimated initial investment: from R$ 190 thousand (including franchise fee)
- Average monthly revenue: from R$120 thousand to R$150 thousand
- Average monthly profit: from 15% to 20%
- Return period (payback): within 18 months
- Contract term: 5 years
- Royalties/month: 5%
- Number of units in operation: 2 own stores
Coffee shop chain specializing in cookies, brownies and gourmet coffees.
- Estimated initial investment: R$ 237 thousand (including franchise fee)
- Average monthly revenue: R$50 thousand
- Average monthly profit: from 12% to 20%
- Return period (payback): from 24 to 36 months
- Contract term: 5 years
- Royalties/month: 5%
- Units in operation:7
With vegan options, the gelateria has been around since 2012.
- Initial investment: R$475 thousand (with franchise fee)
- Average monthly revenue: R$80 thousand
- Average monthly profit: 15%
- Return period: from 22 to 38 months
- Contract term: 5 years
- Royalties/month: 5%
- Units in operation: 10, with 4 own stores
Brand focused on breads – naturally fermented -, coffees, savory snacks and sweets.
- Initial investment: R$490 thousand (including franchise fee)
- Average monthly revenue: R$ 130 thousand
- Average monthly profit: 15%
- Estimated return period: from 18 to 36 months
- Contract term: 5 years
- Royalties/month: 6%
- Units in operation: 5, all franchises
Chain of bars and restaurants created in 2011.
- Initial investment: from R$ 241.7 thousand (including franchise fee)
- Monthly billing: R$80 thousand
- Monthly profit: from 12 to 20%
- Return period: from 24 to 36 months
- Contract term: 5 years
- Royalties: 5%
- Network units in operation:55
