Are you searching for retail business ideas in India? Retail business in India is considered as a profitable and lucrative opportunity not only in the metropolitan city but also in small towns and tier 2 and tier 3 cities. Retail spending in the top seven Indian cities amounted to Rs 3.58 trillion (US$ 57.6 billion), with organized retail penetration at 19 percent as of 2014. Online retail is expected to be at par with the physical stores in the next five years.
Retail Business Industry Overview In India
The Indian retail industry has emerged as one of the most dynamic and fast-paced industries due to the entry of several new organized players. During the last few years, the Indian retail market has seen considerable growth in the organized segment. Major domestic players have entered the retail arena and have ambitious plans to expand in the future years across verticals, formats, and cities. For example, companies like Reliance, Tata, Bharti, Adani Enterprise, have been investing considerably in the booming Indian retail sector. Besides, a number of transnational corporations have also set up retail chains in collaboration with big Indian companies.
The Indian retail sector is highly fragmented and the unorganized sector has around 13 million retail outlets that account for around 95-96% of the total Indian retail industry. The Boston Consulting Group and Retailers Association of India published a report titled, ‘Retail 2020: Retrospect, Reinvent, Rewrite’, highlighting that India’s retail market is expected to nearly double to US$ 1 trillion by 2020 from US$ 600 billion in 2015, driven by income growth, urbanization, and attitudinal shifts.
However, going forward, the organized sector’s growth potential will increase due to globalization, high economic growth, and changeing lifestyle. Moreover, high consumer spending over the years by the young population (more than 31% of the country is below 14 years) and the sharp rise in disposable income are driving the Indian organized retail sector’s growth. Even small towns and cities are witnessing a major shift in consumer lifestyle and preferences and have thus emerged as attractive markets for retailers to expand their presence. In India, you will find several different types of the retail brand in every industry. Here in this article, you will find 30 most profitable retail business opportunities in India.
Related: Top 10 Online Shop Business Ideas – Muvsi
List Of Top 30 Retail Business Ideas
#1. ATM Space Renting
The demand for ATM space is high. The banks usually rent the space for the certain amount of years and the contract is renewed every two or three years. If you are looking forward to a fixed monthly income, ATM space renting is a good retail business proposition for you. Read More…
#2. Auto Accessories Store
Auto accessories store is considered as one of the most profitable retail business opportunity in India in the automobile sector. You can start the business of your own or by purchasing a franchise of a renowned brand.
#3. Beauty Salon
A beauty salon is now is most trending and emerging business in India. There are so many successful retail brand you will find in this segment. You can start the business with the own brand, or by purchasing a franchise.
#4. Bridal Store
A bridal store focused in specialty wedding attire with allied wedding supplies product is a profitable retail venture in clothing and fashion industry. Even in a poor economy, brides to be and their wedding parties spend a lot of money on bridal attire and wedding accessories because weddings are memorable once-in-a-lifetime events. Read More…
#5. Cake Shop
Cake shop with another different variety of some ready to eat food like a sandwich, pastry, ice cream, cold drinks and dry sweets is a profitable retail business you can start with moderate capital investment.
#6. Cartridge Refilling Store
Cartridge refilling store is a proven successful retail opportunity in India. By having the simple equipment and raw material, you can start this business in any location where a considerable amount of cartridge being used.
#7. Coffee Shop
Coffee shop in India is an emerging opportunity for new entrepreneurs. You will find so many organized retail brand in coffee shop industry those are franchise also. Interior, ambiance and comfortable sitting arrangements play an important role in establishing coffee shop business.
#8. Cosmetic Store
As people are becoming more beauty and appearance conscious the demand of cosmetic products with body care, skin care, hair care and personal care products are also increasing. A cosmetic store with a variety of branded and non-branded both products is a profitable retail business opportunity.
#9. Crockery Store
People buy crockery item not only for personal use but also gift purpose. Crockery store with a different variety of product in the different price range is a profitable retail business to start with a substantial capital investment.
#10. Diagnostic Center
The medical service industry is booming now in India. The diagnostic center can be initiated as your own business or by purchasing a franchise of a renowned brand with substantial capital investment.
#11. Fitness Center
Fitness Center or gymnasiums are attracting people of all ages including men and women. Growing disposable income coupled with rising awareness of a healthy body is helping the Indian Fitness & Slimming Industry to grow at an exponential pace.
#12. Gift Shop
The phenomenal economic development of the country, rising income levels and exposure to international trends has changed the face of the Indian gifting sector. A gift shop with innovative and personalized collections of presents to deliver a satisfactory gift-buying experience to customers like Experiential gifts, Personalized gifts (You can personalize any product with a message, photo or a quotation), Several new kinds of products like Gold Plated Roses, soft toys, greetings cards are the very popular items.
Related Article: Check Your Product Before Selecting A Retail Space
#13. Grocery Store
A small-scale grocery store is still a very lucrative business in our country. Most interesting aspect is the business doesn’t demand any special skill or expertise. Additionally, the business is an equally attractive proposition for the both rural and urban entrepreneurs.
#14. Hardware Store
A small hardware store is a lucrative proposition in India. Generally, hardware stores keep a wide range of items. And it fully depends on the local market demand. You can start a hardware store with moderate capital investment. It is advisable to keep a product range with the both branded and non-branded products. Basically, it helps to attract various customers with different needs.
#15. Ice Cream Store Business
Ice cream store business with allied products is a profitable retail venture in India. Selecting the right location with right product is most crucial in this business. Read More…
#16. Kids Store
Kids store business can be initiated in small towns also. If you are starting your own store, then proper sourcing and inventory management play a vital role in the success of the venture.
#17. Kiosk Business Opportunities
The small kiosk is a successful retail business model in India. And kiosks are becoming more popular in our country. Because it allows you to open a retail outlet with small capital investment. Read More…
#18. Kitchen Store
Kitchen store is a traditional business globally. Still, in this era of internet, people prefers to buy kitchenware from a brick & mortar store. That is why kitchen store business is lucrative and profitable business opportunity for the small business entrepreneurs.
#19. Leather Store
Leather store with speciality products like different handbags, travel bags, wallets, belts, and the stationary item is a profitable retail business venture.
#20. Medical Store
Medical Store can be initiated as small town retail also. It is a very lucrative business margin wise. Also, you can offer allied products like baby food and personal care products.
#21. Organic Food Store
The organic food market in India is growing at a compounded annual growth rate (CAGR) of 20-22%. This is an emerging retail business opportunity for the entrepreneurs, provided you maintain the quality of the products.
#22. Petrol Pump
Petrol pump or fuel station business is certainly a lucrative business in India. However, this is a cash intensive business overall. Petrol pump is a traditional business of our country. Additionally, the business offers sustained cash at little risk along with some prestige. Read More…
Sending a child to a pre-school, rather than teaching them the basics at home, is now being considered more effective by parents, even in Tier-3 and Tier-4 towns. The drivers are growing the middle-class population, rising income levels and escalating demand for high-quality education for toddlers. Rapid urbanization and rise of nuclear families are the other factors that are fuelling the demand for branded pre-schools in Tier-2 and Tier-3 cities. Read More…
The food and beverages industry is one of the fastest growing industries in India and restaurant business is considered as one of the most profitable and lucrative retail opportunity. Read More…
#25. Shopping Mall
The shopping mall is an emerging and lucrative business in India. However, the business demands a right strategic planning with financial and marketing planning. Nowadays, the shopping mall is not a business only for metropolitan cities. If you have a good location with sufficient space, you can build a shopping mall. However, there are a lot of other factors that you must consider. Read More…
#26. Tea Stall
Did you know the popular brand ‘Tea Junction”? Yes, this is a retail franchise brand of tea stalls. According to the location, you can open a tea stall in a wide range of formats. However, it entirely depends on the local demograhics.
Travel and tourism are the largest service industry globally in terms of gross revenue and foreign exchange earnings. Indian tourism offers most diverse products globally. The country’s rich history, cultural heritage, beauty, diversity of religion and medicine fascinate budget and luxury travelers. Tourism in India has registered significant growth over the years.
#28. Women’s Speciality Clothing
Women speciality clothing is a profitable retail business opportunity. It may be a boutique store or designer saree store or casual wear store. According to the local market demand, you must choose the right product.
#29. Xerox Shop
Xerox shop with allied services like lamination and bookbinding is a very lucrative business in India. Any individual can start this business with a small startup capital investment. This business is considered as one of the best low-cost self-employment opportunity for youths. Read More…
#30. Yoga Studio
Yoga studio business in India is considered as a profitable and lucrative retail venture opportunity in health and wellness industry. The increasing awareness of consumers from remedial care to a preventive care approach has created an enormous potential of initiating a yoga studio for the entrepreneurs. Read More…
This list of 30 profitable retail business ideas will definitely help you in getting information about the current retail industry that will help you in taking the decision of initiating a retail business venture of your own.
Best of luck!