Top 10 Grocery Store Franchise Cost in India: A Comprehensive Guide
In today’s world, no matter what you buy, even if it is a pain-killing balm, you contribute to the supermarket chains.
The franchise business in India has about 13 million stores in the country. The combined worth is around 20 lakh crore.
The franchise business of supermarkets in India will be hitting about 12 billion dollars by the end of 2025.
Why Do You Think Supermarket Franchise is A Smart Move?
Grocery store franchise supermarket is something that is always in demand and the popularity will never go down.
According to a study most Indians spend about 60% of their monthly income on groceries only which is why it is a smart move to invest in a supermarket franchisee.
We are going to talk about the potential of the market at both the national and global levels so that you can build a competitive brand.
In addition to that we are also going to talk about 10 of the best grocery store franchise and every detail that you need to know about them.
With the increasing population amount of food consumption is also increasing side. There is a huge demand for the supermarket franchise as well.
All budding entrepreneurs who are willing to get into a new business should always go for a company with a good reputation.
They should also choose the brand based on their marketing skills as well as their popular product range.
Also read: Top Cost-Management Strategies for Grocery Store Franchise
A Brief Overview
Grocery store franchise businesses are drawn to the market not just because of its size, but also due to the high frequency of purchases.
Groceries, including vegetables and fruits, are essential for households, leading to a high rate of repeat buying and regular purchases.
Recently, the grocery store franchise sector in India has been characterized by fragmentation, lack of organization, and a dominance of small, family-run businesses.
This is largely due to limited access to capital, technology, and regulatory challenges.
However, factors such as demographic changes, rapid economic growth, rising incomes, brand proliferation, and a shift in consumer focus are contributing to the growth of the organized grocery store franchise market.
G-Fresh Mart
This popular grocery store franchise is giving out franchisees and you will be able to build a very good business out of the supermarket.
It was founded in the year 2017 and it was only in the year 2021 that franchising started.
Till now it has been able to provide over 30 stores in total and the initial cost comes to 10-13 lakhs in total.
Once you start making the sales, you will have to pay a royalty fee of 8%.
G-Fresh Mart has been able to show amazing success in the era of the supermarket franchise business.
It is only a profitable business choice for both the clients as well as the investors because it is between between situation for both.
The products are placed on the shelves with competitive pricing and therefore give optimum customer satisfaction.
It is the most popular option for clients who want to have an affordable and convenient shopping experience with lucrative offers and deals.
Star Bazaar
Star Bazar is a nationwide reputed supermarket chain that was founded in the year 1998. It started franchising in the year 2000 and right now it has more than 20 stores.
You will have to pay a 6% commission on the gross sales once you start with the franchisee ownership and it is a really smart move to invest in a supermarket chain that comes under the Tata group.
This store does not compromise on the quality and keeps the products according to the needs of the customer.
It maintains the freshness of the product and gives experience to the customers.
That is why it is quite a profitable thing to open a franchisee with funds ranging from around 50 to 80 lakhs.
This is a store that focuses mostly on sustainability and wants to keep things eco-friendly.
It is quite similar to department stores but the sustainable mode is something that makes it unique as well.
More Retail
This is a comparatively new brand that was founded in the year 2007 and from the initial year itself, it was given out franchising opportunities.
The cost of opening the franchisee store will be something around 15 to 40 lakhs depending on the size of the grocery store franchise and the products that you are willing to keep as a store with a mission and vision and is quite an affordable option for the customers.
It has been able to secure the top place in the supermarket franchisee chains because of competitive pricing and quality of services and products.
This supermarket chain offers numerous promotional programs and provisions and it makes sure that the discount coupons are quite lucrative to the customers.
Once you invest in this business, you will be able to get optimum support in case of store arrangement and training purposes.
The mission of is store ensures that the customers are satisfied in the best possible manner.
Reliance Fresh
In the year 2004, the Reliance group started forming a new supermarket chain known as Reliance Fresh.
Since the day of its launch, there has been no looking back and in the year 2006 it started giving out grocery store franchise right now it has more than 150 franchisee locations and you need funding of 20 to 50 lakhs as the initial cost of owning the store.
For the total gross sales, you will have to give a royalty fee of 5% to the brand itself but still have considerable profit margins.
There are numerous fruits and vegetables that come from organic sources and the name Reliance Fresh is justified.
The customers as well as the store owners have been able to get profits because of streamlined business processes.
It gives exclusive products under one roof and it is one of the most popular conglomerates that is famous nationwide.
Spencer Retail
This is quite an old supermarket chain that can be traced back to the year 1990.
Even when the supermarket franchise business was not popular Spencer did the best it could providing franchising opportunities to new and budding entrepreneurs.
In order to invest in Spencer’s retail store now you will have to secure funding of about 30 to 60 lakhs.
Spencer is undoubtedly one of the easiest and most affordable retail shopping stores and it comes with the best quality products.
There are numerous deals and discounts that you can apply on checkout so that the prices become unbelievably low.
There are numerous eco-friendly policies that you can see at the store and the products are from diverse brands.
There is a lot of technical implementation that has been in the store so that the customer experience is seamless. The royalty fee is about 10% of the gross sales.
Reliance Retail
Get the best out of the supermarket franchise business by investing in reliance retail.
This chain of reliance group was founded in the year 2004 and the cost of owning the franchisee can be somewhere around 20 to 50 lakhs.
You will also have to pay a royalty fee of 5% commission on sales. It is a reputed brand which can bring you optimum results.
The day-to-day operation of Reliance retail is quite streamlined and it has already established a benchmark in the Indian market.
Every product is handpicked and fresh so that the customers have no loopholes for complaints.
In addition to that the outlet has numerous physical and online forms where the customers can order from the comfort of their homes.
With better experience and service to the customer reliance retail has been able to become a pioneer in the grocery store franchise supermarket chains.
Hyper Supermarkets
This is a supermarket chain that was established in the year 2014 and it commenced franchising since the year 2016.
Right now it has more than 50 franchisee stores and the cost of owning one is around 5 to 10 lakhs.
That is quite an affordable option for entrepreneurs who do not have too much capital yet want to build something of their own.
Even though it is not a very popular name yet, it is one of the most influential supermarkets in the local areas.
Mostly deemed as a community-centric store and the gross sales will have to give the brand 10% of the commission.
The main focus of the supermarket is to provide ultimate customer satisfaction and the best of the products.
If you want to start small, then investing in this chain can be a plus.
Spar Hypermarket
This is one of the oldest supermarket chains that you can think of and as surprising as it might sound the foundation date of this supermarket is around 1932.
It started giving out franchisee opportunities in the 1940s and right now it has about 13,000 stores.
The account is still going up which allows you to invest in the same.
After having some sales, you will have to give 10% of the commission to the brand.
It has a limited variety of products. The quality-over-quantity system of the brand is what takes it forward.
From region to region, it has customised its products according to the needs of the people.
Also, it is available 24 seven so people can look up to it in cases of emergency.
The shopping structure is also convenient and efficient and the resources are well trained which gives a pleasurable experience to all the clients.
Big Bazaar
Big Bazar was established in the year 2001 and by 2008 it was already giving out franchising opportunities.
For setting up a store like Big Bazar you will need about 20 lakhs or less depending on the size of the store depending on the kind of sales that you make you will have to give 3 to 15% of the commission to the brand.
To set up a big store the minimum space requirement is 2002 5000 ft.².
Big Bazar, Plays in volumes of the popular destination for grocery store franchise shopping.
Not only that but people also go there for clothes and other retail items on the same platform.
Due to the huge range of products, there are numerous brands which can give you discounts and coupons on specific products to the customers.
Pangea Gourmet
Established in 2018 this company started franchising in 2022.
It requires a considerable investment of about 50 to 70 lakhs if you want to set up a store at Pangea Gourmet.
The minimum space requirement for setting up this store is about 7000-1,000 ft.².
Now The popularity of this brand, it is highly renowned for exquisite cooking products and groceries.
You will be able to find some globally influencing companies who are willing to sell their products here.
If you are trying to make something special in your meals, you can find everything that you need under the same roof.
Even if you are trying to be vegan, you can find everything associated with it.
Healthy options like gluten-free and sugar-free as well as organic produce are easily available in this brand which makes it one of a kind.
Check out this: Tips and Tricks for Successful Online Grocery Shopping
Final Verdict
India’s retail sector is experiencing a significant transformation, driven by rapid urbanization, growing disposable incomes, and changing consumer preferences.
As the middle class expands and seeks convenience and quality, supermarkets have become key shopping hubs.
This shift has created attractive opportunities for entrepreneurs interested in investing in supermarket franchises.
If you’re looking to enter this dynamic market, then we have already mentioned everything that you need to know about the most popular grocery store franchise chains.
It is up to you to pick any of these brands or find some other company that suits your favourable category.
All the names that we have mentioned so far are nothing but pioneers in this industry.
If you need to apply for any brand franchisee, you can get all the details on the Official website, fill out the application form and complete any documentation that is required.
Most of the franchisees to contact you and know about your preferences before you move forward.
Once the legal procedures are complete, you can start with the location and layout.
