It’s very unlikely if you haven’t heard of Wow! Momo in your life or not ordered it even once on Swiggy or Zomato. India, a country with such a complex and diverse market especially when it comes to food, who would have thought momos could be a multi-crores business? Today, we’ll tell you the story of people behind the success of Wow! Momos- the momowallas who disrupted the momo selling market completely–Sagar and Binod’s entrepreneurial journey serves as an inspiration to dream big and turn passions into reality.
Wow! Momos success story is about two people and their love for food and diverse culinary delights and how they turn their passion for momos into a thriving business. Sagar Daryani and Binod Kumar Homagai, the dynamic duo behind Wow! Momo, embarked on an extraordinary journey that started with a small kiosk in Kolkata. Today, their brand has become India’s fastest-growing quick-service restaurant (QSR) chain, with a vision to compete with global giants like Domino’s and McDonald’s. Let’s delve into the remarkable story of their struggle and triumph.
Brains behind the brainchild
Sagar Daryani, currently serving as the CEO and Co-Founder of Wow! Momo Foods Pvt. Ltd., and Binod Homagai, the Co-Founder and COO, have worked tirelessly to shape the company’s success. Sagar’s passion lies in brand building, and he envisions an India where employment reaches 100%. Wow! Momo currently employs over 1800 staff, including individuals with disabilities and those associated with various NGOs through partnerships established by the company.
Sagar Daryani and Binod Kumar Homagai first crossed paths at St. Xavier’s College during their undergraduate studies. Even before they graduated, they wanted to try their luck into business and wanted to make something out of their passion. Armed with an initial investment of Rs 30,000 which Sagar borrowed from his father, they took the plunge into the momo business at the young age of 21. While Sagar focused on brand expansion, marketing, and retail operations, Binod took charge of production and quality control. Their team grew with the addition of Shah Miftaur Rahman and Muralikrishnan, who contributed their expertise in finance and marketing, respectively.
The beginnings
In college, apart from attending classes together, Binod and Sagar also shared a deep love for momos. Binod’s fondness for the dish was natural, given his Nepalese roots where momos are believed to have originated. On the other hand, Sagar’s affinity for momos stemmed from regularly sampling the fares of a momo-seller outside his school.
Initially, they considered opening a bakery shop in Mumbai but eventually decided to venture into the momo business since Binod knew how to make them. When Binod presented the idea to Sagar, he enthusiastically embraced it. It was a golden opportunity for them to transform their favorite dish into a successful business model.
However, destiny put their determination to the test. Both of them were offered highly lucrative jobs at an international bank during the college campus placements. The job packages were worth more than three lakh rupees per annum, a substantial amount at that time.
Despite the tempting job offers, Sagar and Binod chose a different path. They became directors in their momo business, each holding equal shares. Additionally, they allocated a 10 percent stake to IAN (Indian Angel Network) and created a 10 percent ESOP (Employee Stock Ownership Plan) pool for their staff.
Indeed, who would have thought that a small momo shop could achieve such phenomenal success? In 2008, With an initial investment of only Rs 30,000, Sagar and Binod have built a culinary empire that generates a staggering monthly revenue of Rs 40 to Rs 45 crores. The 6×6 kiosk, selling steamed momos, marked the birth of Wow! Momo. With only a single table and two part-time chefs, they started their culinary adventure. From their tiny shop in Kolkata to 477 stores across India, Wow! Momo has captured the imagination of food lovers everywhere. With their Desi Chinese offerings at Wow! China and the recent introduction of Wow! Chicken, the brand’s tagline, “Momo on the move,” aptly reflects their constant evolution and innovation.
From a modest 200-square-foot kitchen that relied on credit from a local grocery store for raw materials, Wow! Momo gradually expanded its footprint.
With just a single table and two part-time chefs on a nominal salary, Wow! Momo’s first kitchen started taking shape. Despite the challenges, Sagar and Binod were determined to create an experience that would leave their customers saying only one word: WOW!
Their hard work and perseverance paid off. As of December 2021, Wow! Momo has grown to encompass a whopping 425 outlets across 19 cities in India. The company operates under three brands: Wow! Momo, Wow! China, and Wow! Chicken, which was launched in December 2021. With aspirations to compete with giants like Domino’s and McDonald’s, Wow! Momo aims to go public and establish a global presence in the coming years.
Success
Wow! Momo’s success attracted significant investments from renowned entities. In June 2017, the company secured Rs 44 crore from Lighthouse funds and the Indian Angel Network. A year later, Fabindia’s managing director, William Bissell, invested Rs 3 crore, propelling Wow! Momo to a valuation of Rs 300 crore. In September 2019, Tiger Global Management’s investment of Rs 130 crore further boosted the company’s valuation to Rs 860 crore, facilitating the opening of new outlets in commercial hubs.
The COVID-19 pandemic presented its own set of challenges, but Wow! Momo seized the opportunity to enter into a strategic partnership with Café Coffee Day. Through this collaboration, they shared outlet spaces, costs, and revenue, demonstrating their adaptability and resilience.
From its humble beginnings to its extraordinary growth, Wow! Momo exemplifies the power of passion and perseverance. Today, with over 300 outlets across 17 cities, Wow! Momo continues to delight customers with its diverse range of momos and other delectable offerings. As they expand their presence and capture hearts nationwide, their hunger for success and love for what they do remain unwavering.