Distribution Franchise in India 2018

In recent years, the distribution franchise (DF) model has emerged as an attractive option. A number of private players have won DF bids recently issued by states or expressed their interest in obtaining more franchises. With the UDAY scheme mandating stringent loss reduction targets, the DF model comes as an opportunity to bring down the spiraling losses, while also providing business opportunities to private players and enhanced services to consumers.

Also, unlike outright privatisation, the DF model offers the best of both worlds - public ownership of assets and private management of operations. Further, it also brings in the much-needed investment in the distribution segment.

Report Methodology

The data sources in the reports are both primary and secondary. The primary data is obtained from sources such as related ministries, industry experts, private companies, Conferences organized for the related sector etc. The secondary sources include annual reports of companies, industry associations, paid databases, web sites, etc.

The analysts and researchers combine the information from these primary and secondary sources with their industry expertise to synthesize the data presented in the report. Surveys and interviews are also conducted for the research. For the surveys, interviews with key players and relevant people in the sector are mostly conducted. They are mostly via telephonic as well as personal interviews.