The Legacy of Sitaram Diwan Chole Bhature: A Lesson in Food Entrepreneurship

For decades, Sitaram Diwan Chole Bhature has been a beloved name in Delhi’s street food scene. Puneet Kohli, the force behind the business today, shares invaluable insights into the challenges and strategies of running a successful food establishment. From managing costs to expanding operations, Kohli’s journey is a masterclass in food entrepreneurship.

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Watch the video to learn more about the incredible journey of Sitaram Diwan Chole Bhature and its legacy in Delhi’s street food scene. 

Lessons from an 80-year-old family business

Puneet Kohli’s story is deeply rooted in his family’s 80-year-old legacy. Taking over the reins from his father, he has skillfully blended tradition with modern business practices to ensure growth and sustainability.

Smart cost management

Kohli highlights that food costs should ideally not exceed 40% of revenue. He also stresses the importance of controlling salary expenses and digital marketing investments to maintain a profitable operation.

Family heritage meets innovation

While carrying forward a legacy, Kohli has embraced change by implementing corporate-style structures, refining operations, and utilising technology to improve efficiency.

Core product focus

Identifying high-margin products is crucial. Kohli believes in prioritizing best-selling items while phasing out underperforming ones to optimise profits.

Customer-centric approach

Quality food and service ensure repeat business. Kohli places immense importance on customer satisfaction, believing that one great experience leads to lifelong loyalty.

Operational efficiency through data

With the integration of modern POS systems, Sitaram Diwan effectively manages inventory, tracks customer preferences, and refines its offerings based on real-time data.

Expansion with a vision

Kohli aims to establish 50 outlets in Delhi and 40 across India. His structured approach to growth, combined with maintaining food quality, is setting a strong foundation for the brand’s expansion.

Adapting to competition

Innovation in service and product offerings is essential to staying ahead. Kohli understands the need to evolve with changing customer expectations and market trends.

Insights for aspiring food entrepreneurs

• Understanding cost structures: A well-structured financial plan is essential for any food business. Kohli’s method of capping food costs and ensuring balanced spending on salaries and marketing offers a strategic roadmap for profitability.

• Hands-on experience over formal education: Kohli’s journey highlights that real-world experience often outweighs theoretical knowledge. Learning by doing has been instrumental in his success.

• Using data for decision making: Leveraging technology, such as POS systems, helps businesses streamline operations, manage inventory, and enhance customer experience.

• Continuous improvement & adaptation: While tradition is valuable, evolution is key. Kohli’s business philosophy revolves around adapting to customer needs and market shifts.

• Workplace culture & employee engagement: By fostering a sense of ownership among his team, Kohli ensures accountability and motivation, which are essential for running a smooth operation.

Building customer loyalty

First-time customers come for the food; repeat customers stay for the experience. Kohli emphasizes that exceptional service and consistent quality build long-term loyalty.

Puneet Kohli’s leadership at Sitaram Diwan Chole Bhature is an inspiring testament to the power of blending tradition with innovation. His strategic cost management, commitment to quality, and vision for expansion serve as a blueprint for aspiring food entrepreneurs. Whether it's sustaining an age-old business or launching a new one, Kohli’s insights offer practical lessons in navigating the competitive food industry while staying true to core values.