Best 60 Profitable Retail Business Ideas in India for 2025

India is undoubtedly one of the most thriving retail markets globally, as it has a vast population with growing disposable incomes and shifting consumer preferences. Whether you want to set up a low-investment retail business, a medium-scale venture, or a large retail operation, there are many opportunities in this space. In this article, we look at the best retail business ideas available in India with low, medium and large investments.

So, why start a retail business in India?

Indian retail is estimated to be worth more than $850 billion, and industry experts predict significant growth in the years to come. Increased urbanization, digital transformation, and a shift toward organized retail will also fuel this growth. If a retail business in India is planned and executed properly, it can be very rewarding.

Types of Retail Businesses in India

The retail sector in India is highly diverse, encompassing various business formats and categories. Here are the major types of retail businesses operating in India:

Convenience Stores

Small shops located in residential areas offer essential daily-use items like groceries, snacks, and beverages.

• Examples: Local Kirana stores.
• Why Popular: Proximity, affordability, and personalized services.

Department Stores

• Description: Large stores offering a wide range of products, including clothing, home goods, cosmetics, and electronics, all under one roof.
• Examples: Shoppers Stop, Lifestyle.
• Why Popular: Convenience of diverse product options.

Specialty Stores

Retailers that focus on a specific category, such as electronics, clothing, or footwear.

• Examples: Croma (electronics), and Bata (footwear).
• Why Popular: High-quality, category-specific products and expertise.

Supermarkets and Hypermarkets

Large-format stores offer groceries, household goods, and daily essentials at competitive prices.

• Examples: Big Bazaar, Reliance Fresh.
• Why Popular: Variety, bulk-buy options, and discounts.

E-Commerce Retail

Online stores deliver goods directly to customers through digital platforms.

• Examples: Amazon, Flipkart, Myntra.
• Why Popular: Convenience, competitive pricing, and vast product variety.

Franchise Stores

Chain stores operated under a licensing agreement with a larger brand.

• Examples: Domino’s, KFC, Fabindia.
• Why Popular: Established brand trust and support from franchisors.

Discount Stores

Discount Retailers offer products at lower prices, often by sourcing surplus or directly from manufacturers.

• Examples: D-Mart.
• Why Popular: Focus on affordability.

Mobile Retail Units

Description: Vans or trucks converted into shops selling a variety of goods in different locations.

• Examples: Food trucks, and mobile clothing stores.
• Why Popular: Flexibility and low overhead costs.

Warehouse Clubs

Membership-based stores offer products in bulk at wholesale prices.

• Examples: Metro Cash & Carry.
• Why Popular: Cost savings for small businesses and households.

Pop-Up Stores

Temporary retail spaces, often set up during festivals or special events, offer niche products.

• Examples: Seasonal stalls in malls or markets.
• Why Popular: Seasonal demand and low investment.

Luxury Stores

High-end retailers offering premium, branded products to affluent customers.

• Examples: Louis Vuitton, and Gucci showrooms.
• Why Popular: Growing demand for luxury goods in urban areas.

Co-Operative Stores

Member-owned stores providing goods at fair prices, focusing on rural and semi-urban areas.

• Examples: Sahakari Bhandar.
• Why Popular: Affordable pricing and community focus.

Vending Machines

Automated retail units offering products like snacks, beverages, and small consumer goods.

• Examples: Snack vending machines at metro stations or airports.
• Why Popular: Quick and contactless service.

Direct Selling

Sales are conducted directly to consumers through agents or representatives.

• Examples: Amway, Tupperware.
• Why Popular: Personalized service and relationship-driven sales.

How These Formats Shape the Retail Landscape

• Traditional vs. Modern Retail: Kirana stores and street vendors dominate rural and semi-urban areas, while malls, supermarkets, and online platforms lead in urban markets.
• Growing Digital Penetration: The e-commerce boom has significantly expanded access to retail for consumers across Tier II and III cities.
• Blending Models: Omni-channel retail, where businesses operate both offline and online, is becoming increasingly popular to enhance customer convenience.

Understanding these types of retail businesses can help aspiring entrepreneurs select the right format to match their goals, target audience, and investment capacity.

List of Top Retail Businesses to Start in India

#1. Grocery/ Kirana Store

Starting a grocery store is one of the easiest businesses to start. A convenience store keeps and sells a range of everyday items. The list may include groceries, snack foods, confectionery, soft drinks, tobacco products, over-the-counter drugs, toiletries, newspapers, and magazines.

#2. Fertilizer Retail Distribution

Fertilizer comes under the segment of agricultural input in India. The local supply of different types of fertilizers, pesticides, and insecticides completely depends on the small fertilizer stores in the area. With fertilizer, you can also sell seeds and other tools to the farmers.

#3. Hydroponic Store

Hydroponics is a specific practice of growing plants without soil. Here, growers use only water and water-soluble nutrients. As hydroponics has several advantages over traditional agriculture, the demand is growing for hydroponics equipment in our country.

#4. Plant Nursery Shop

A  plant nursery shop is a profitable business in India. If you have a hobby of gardening, you can transfer your hobby into a profitable venture. Additionally, the low infrastructure cost makes the business revenue-wise more lucrative.

#5. Retail Seed Retail Store

Seed is the primary input in agriculture and farming. Farmers can grow only a quality product if they use quality seeds. In India, some of the most important seeds are paddy, wheat, mustard, potato, and other vegetable seeds. If you have some previous experience, you can start both seed retailing and distribution.

#6. Auto Parts Retail Shop

You can start an auto parts shop business in both rural and city areas of India. Even, the business is perfect for people living in small towns. The auto parts industry caters to a wide range of subcategories. It includes two-wheelers, four-wheelers, construction vehicles, etc. However, it is advisable to focus on a specific niche.

#7. Car Washing Zone

The automobile industry is very promising in our country. The vehicle population is also growing very fast. In this scenario, initiating a car washing zone is a highly lucrative retail business for new entrepreneurs. Generally, washing zones also provide value-added services like air pressure checking, etc.

#8. Fuel Station/Petrol Pump

If you want to start a business in the oil and gas industry, you can consider starting a fuel station or petrol pump business in India. In starting a petrol pump, you must have a large space at a prime location. You can also sell other utility items from the fuel station. Sometimes, fuel stations run coffee shops or restaurants.

#9. Two Wheeler Showroom

Two-wheelers are an important means of conveyance for both rural and urban populations. In the villages, it’s more of a necessity and in the metro cities, it’s more of a style. Initiating a motorcycle showroom requires specific permission and moderate capital investment.

#10. Open a Tyre Store

Tyres have a specific lifespan. And after that certain period, it needs replacement. The tyre industry in India is very vibrant. However, opening a tyre shop business needs reasonable capital investment and wide space in a good location.

#11. Alteration Business

If you enjoy sewing and making outfits perfect for others, you can consider this business. An alteration shop is an evergreen business. Additionally, the business demands a very small capital investment. Even, you can start with a 100 Sq Ft retail space.

#12. Apparel Boutique

This is one of the most trending businesses both in developed and developing countries. The apparel boutique offers designer garments and several accessories items with unique designs. However, you must have some design sense and fashion expertise to start this business.

#13. Blouse Shop

If you want to start a retail business in India in the garment industry with small capital, you can consider this. You can find a lot of designer blouse manufacturers and wholesalers to start this business. Also, this business type of retail store requires a small space to operate.

#14. Embroidery Unit

If you have embroidery designing skills, you can open an embroidery unit. However, you will need to procure the stitching machines, threads, and other tools for running the unit. Also, you can start the business from home or in a retail location.

#15. Fabric Store

A fabric store is a traditional retail business. Additionally, the business is easy to start and operate. You can keep the stock of fabrics according to the local market demand. However, the business demands substantial capital investment in creating the inventory stock.

#16. Kids Store

You can open a kid’s store as a small, medium, and also as large store. Nowadays, kid’s stores sell a wide range of products. The list includes garments, accessories, toys, shoes, kids’ home decor items, books, CDs, educational stationery, etc. However, you must concentrate on a specific age group and keep the materials of good quality.

#17. Ladies Garments Store

In the readymade garment industry, ladies’ garment is the most promising segment. Women are passionate about their outfits. Also, they buy frequently not only during celebration time but also regularly. A wide range of manufacturers and wholesalers are also available to get the startup inventory.

#18. Leather Fashion Store

If you want to start a high-value business in the fashion industry, you can consider opening a leather fashion store. Leather fashion stores sell leather-made fashion apparel. The list may include leather jackets, gloves, bags, and other utility items.

#19. Saree Retail Shop

A saree is predominantly an Indian attire. And you can find a lot of different types of regional sarees here. Some of the most popular are Kanjivaram, Banarasi, Sambalpuri, Tant, and Phulkari. Chikankari, etc. However, the overall success of a saree shop hugely depends on the collection and quality of products.

Read: How to Start a Saree Business

#20. Shoe Laundry

The shoe laundry business includes the services of collecting shoes, getting them cleaned and repaired if required, making delivery of the shoes to the client’s doorsteps, and getting the payments. Additionally, you can offer different services like cleaning, washing, repairs, colour correction, maintenance services, footwear restoration, etc.

#21. Banquet Hall

The banquet hall is a large building or room used for feasts. They are specially used for parties, functions, ceremonies, occasions, or celebrations. Generally, people hire banquet halls for different purposes. The list may include birthdays, weddings, anniversaries, social gatherings, personal events, festivals, and corporate parties.

#22. Bar with Restaurant

Bar with a restaurant is one of the most profitable food retail businesses nowadays. However, the business demands moderate to high capital investment. Additionally, you must conduct market research before initiating the business.

#23. Biryani Shop

In India, you can find a lot of different types of biryani depending on the region and the taste of the local demographics. These are Dhakai biryani, Haji biryani, Hyderabadi biryani, Sindhi biryani, Chettinad biryani, Kalyani biryani, etc.

Read: How to Open a Small Biryani Shop

#24. Butcher Shop

Starting a small butcher shop is an ideal business in both small towns and metro cities. From the shop, you can sell different types of animal protein items like chicken, mutton, etc. However, obtaining registration, and maintaining hygiene properly is important.

#25. Cake Retail Shop

Starting a cake shop is a lucrative food retail business. The business is easy to start and manage. Additionally, the cake retailing business is perfect for women entrepreneurs too. Any individual can start this business by taking a minimum financial risk.

#26. Coffee Shop

People consider the coffee shop as the third most comfortable destination after home and office. In addition, the coffee shop is an ideal destination for having chats with friends relatives, and even clients and colleagues. Therefore, the demand for coffee shops is increasing very fast.

#27. Farm Machinery Selling

Agriculture is the most important sector in the economy of India. Still today, most of the village demographics are engaged in agriculture and farming. Farm machinery and equipment are important items in the agriculture industry. So, if you live in a village or small town, you can consider this opportunity.

#28. Fast Food Restaurant

A small-scale fast-food restaurant is a profitable business. Depending upon your investment capacity, you can keep it small and simple or large. However, this business is not so easy. You must conduct intensive market research and craft a business plan before commencing the business. additionally, select the menu and tariff very carefully.

#29. Ice Cream Parlor

Ice cream is one of the most popular food items among every age group of people. Apart from opening your brand, you can consider starting a franchise. There are several reputed brands you can find that offer franchises for selective locations.

#30. Live Bakery

The live bakery is a new concept of the traditional bakery. Here, you will operate the entire operation live in front of the customers. The customer can see the cake baking and packaging system live. However, the business demands adequate retail space and substantial capital investment.

#31. Pizza Store

Pizza is an Italian food item. Currently, a lot of national and foreign brands are gaining huge popularity in pizza delivery activity. It’s better to start as a franchise partner of a reputed brand. And these days, initiating a pizza franchise requires a lot of funds.

#32. Sweets & Snack Store

A small sweets and snacks store business is a very profitable and lucrative opportunity for first-generation entrepreneurs. Generally, this type of store sells fresh sweets and snacks to retail consumers. And most traditional shopkeepers produce products of their own. Also, the business is profitable in small towns.

#33. Tea Stall

Probably, a tea stall is the most common retail business across India. And also the most low-cost. Simply, you can open a tea stall even with Rs 10000 cash. Currently, you can find some franchise opportunities in the tea stall business.

Read: How to Open a Tea Shop Business

#34. Wine Store

If you are looking for a highly lucrative retail opportunity, then a wine store is just perfect for you. The business requires a good location, specific licensing, and a lot of funds to take off.

#35. Retail Book Store

Even in this internet era, books are still very relevant for students, law years, and researchers. Also, many people still consider books as good gift items. Hence starting a brick-and-mortar bookstore is a profitable business in both metro cities and small towns.

#36. Toys Retail Store

Children love toys. Also, toys help them in developing their minds properly. Toys help in learning also. So, most of the time parents look for innovative and good-quality toys for their kids. Initiating a toy store requires moderate capital investment and a good location.

#37. School Stationery Store

School and office stationery includes a wide range of products including pens, pencils, erasers, exercise books, drawing copy, glue, art paper, etc. You can collect the inventory from the local wholesalers and sell them from your small retail store.

#38. Photocopying Shop

A photocopying shop is a perfect business to start near offices, schools, colleges, and residential areas. You can offer other value-added services like bookbinding, lamination, etc. In this business, you need startup capital in purchasing the Xerox machine, and papers and establishing the store.

#39. Barber Shop

Initiating a barbershop is a financially lucrative business in India. And you can earn a handsome profit from a store. However, the overall success of the business highly depends on the location, store amenities, and efficient manpower.

#40. Beauty Salon

If you want to start a business in the beauty industry, then you can consider starting a beauty salon business. Additionally, the business offers several niche opportunities to the owners. Also, the business is very suitable for women entrepreneurs.

#41. Cosmetics Shop

The use of cosmetics is increasing very fast globally. It is not only women, but men are also very much conscious about looks. Hence, you can consider starting a cosmetics store at your location with a range of items. You can keep both the chemical and organic items to address the bigger audience.

#42. Hair Salon

In the beauty industry, a simple hair-cutting salon can ensure good ROI. Additionally, for starting a hair salon business, you don’t need to be a beauty expert. Even, if you don’t have any prior experience, you can start the business after attending a hair-cutting training session. Additionally, you can open the salon with a comparatively small retail space.

#43. Imitation Jewellery Shop

Imitation jewellery is also popular as artificial jewellery or costume jewellery. As the price of gold and silver is increasing, the common people can only afford imitation jewellery for both regular and occasional use. It is an easy business. And it requires a very small investment to start.

#44. Medicine Shop/Pharmacy

If you have an educational background in chemistry, you can open a medicine shop or pharmacy. The medical industry is growing and the growth rate is 18% per annum in India. Study the existing competition and check the licensing issues in your locality. Also, you can promote your retail medicine store online from a small eCommerce store of your own.

#45. Nail Art Shop

This is another emerging business in the beauty industry. Right from nail painting and decorating, the nail art industry is booming now. Additionally, you can start this business with a small retail space. However, a mall kiosk or shop-in-shop is the best location for starting a nail art shop business.

#46. Pearl Jewellery Store

If you want to start a jewellery store, you can consider pearl jewellery pearls are semi-precious items. Additionally, the pearls come in different colours and shapes. Some of the most popular items are bangles, necklaces, earrings, etc. Also, you can consider starting a pearl jewellery store as a franchise.

#47. Retail Perfume Store

Do you enjoy different types of fragrances? If yes, you can start a perfume store with moderate capital investment. Perfume is a luxury item and you will need to conduct thorough market research before commencing the business. Generally, a mall kiosk operation works best in the perfume retailing business.

#48. Aquarium House

Probably, fishes are the most beautiful pets. Nowadays, people keep and maintain aquarium beautification also. If you love caring for fish and decorating aquariums, you can start this business with a small capital investment.

#49. Craft Store

People always love to buy utility and gift items from craft stores. Because craft stores offer unique and innovative products to clients. You can procure the products from the home-based craftsmen of your area and sell them from your store.

#50. Crockery Store

Crockery store is a very common and easy-to-start business. Apart from home use, people buy crockery sets for gifting purposes. You will need to find the right wholesalers and suppliers to get the inventory for starting a crockery store.

#51. Departmental Store

Departmental stores offer a wide range of products in different categories. The category list includes clothing, furniture, home appliances, toys, cosmetics, houseware, gardening, toiletries, sporting goods, etc. It also caters to food, books, jewellery, electronics, stationery, photographic equipment, baby products, etc.

#52. Electrical & Electronics Store

This is another great sector to invest in. The electrical and electronics segment also offers a wide range of business models. Also, you can start with only lighting or electrification equipment, etc. However, craft a detailed business plan before commencing the business.

#53. Florist

The florist is a retail flower shop. You can sell loose flowers, bouquets, ornamental plants, etc. Additionally, you can take orders to decorate gates or occasion venues. The business is profitable if you can source fresh flowers in the right way. You must have a good storage system to keep the flowers fresh.

Read: How to Start a Flower Business

#54. Furniture Store

Currently, small towns and cities in India are witnessing a major shift in consumer lifestyle and preferences and have thus emerged as attractive markets for retailers to expand their presence. Also, the big brands are offering free home delivery and fittings facilities. Hence, a full-scale furniture shop with home decor and lighting options is a perfect opportunity for retail entrepreneurs

#55. Mobile Store

A multi-brand mobile store is profitable in developed and developing countries. In today’s era of the internet, the demand for different types of smartphones and feature phones is increasing very fast. You can also sell different types of mobile accessories from your store.

#56. South Indian Restaurant

Throughout India, people prefer South Indian foods. Dosa, Idli, Uttapam, and Badas are delicious food items that have a hot and sour taste. Also, you can consider starting a South Indian restaurant as a franchise partner of an established brand.

#57. Pet Products Retail Store

As pet ownership rises in India, there is a growing demand for high-quality pet care products and services. This includes premium pet food, grooming services, and accessories. You can consider building a community around pet lovers, offering expert advice on pet care, and providing a range of unique and high-quality products. These will make your store a go-to destination for pet owners.

#58. Second-hand and Vintage Clothing Store

Thrift shopping is gaining popularity in India. It is driven by environmental concerns and a desire for unique fashion pieces. A store offering curated second-hand or vintage clothing can attract a diverse customer base. To be successful, you need to ensure the quality of products and create an aesthetically pleasing shopping environment.

#59. Tech and Gadget Store

The tech-savvy Indian consumer base is always on the lookout for the latest gadgets and innovations. A retail store specializing in electronics and tech accessories can capitalize on this trend. Staying updated with the latest tech trends, providing product demonstrations, and offering competitive pricing are crucial factors to the overall success.

#60. Fast Food Restaurant

A small-scale fast-food restaurant is a profitable business. Depending upon your investment capacity, you can keep it small and simple or large. However, this business is not so easy. You must conduct intensive market research and craft a business plan before commencing the business. additionally, select the menu and tariff very carefully.

Frequently Asked Questions

What legal requirements are there for starting a retail business in India?

The legal requirements can vary based on the type of retail business, but generally, you would need to register your business, obtain necessary licenses, and comply with local regulations. Consult with a legal professional to ensure you meet all the legal obligations.

How do I find reliable suppliers for my retail store?

Research and network within your industry. Attend trade shows, connect with other business owners, and explore online platforms. Verifying supplier credentials and requesting samples can help ensure the reliability of your suppliers.

What are the key considerations for setting up an online retail store?

For an online store, focus on creating a user-friendly website, implementing secure payment gateways, optimizing for search engines (SEO), and providing clear product information. Additionally, ensure efficient logistics for timely deliveries.

How can I effectively market my retail business in India?

Utilize a mix of online and offline marketing strategies. Leverage social media platforms, collaborate with influencers, use search engine optimization (SEO) for your online presence, and consider traditional advertising methods based on your target audience.

What financing options are available for starting a retail business?

Financing options include personal savings, bank loans, angel investors, and government schemes. Explore the most suitable option based on your business plan, financial needs, and risk tolerance.

How do I handle inventory management efficiently?

Implement an inventory management system that tracks stock levels, monitors product movement, and integrates with your sales channels. Regularly audit your inventory to prevent overstocking or stockouts.

What are the trends shaping the retail industry in India?

Trends include the rise of e-commerce, a focus on sustainability, increased demand for personalized shopping experiences, and the integration of technology, such as online payment systems and augmented reality in retail.

How important is customer service in the retail business?

Customer service is paramount. Providing excellent customer service builds trust, encourages repeat business, and generates positive word-of-mouth. Respond promptly to customer queries and address issues with professionalism.

Is it necessary to have an online presence for a retail business in India?

Nowadays, having an online presence is highly recommended. An online platform extends your reach, allows for convenient shopping, and provides a channel for effective marketing.

What steps can I take to ensure the security of my retail store, especially for an online business?

Invest in secure payment gateways, use SSL certificates for your website, regularly update security software, and educate your team about cybersecurity. Implementing best practices can help safeguard your business and customer data.