Advantages of Starting a Grocery Store/ Supermarket in India

The market is completely open to all. Anyone can enter and roam at all places without any restrictions. People can buy their kinds of stuff from the property labelled racks. At the end of the store, a cashier takes care of the money and weighs the products. Supermarkets offer trolleys to carry the purchases and you can collect bags from the cashier.

What are the characteristics of a supermarket in India?

1. Prime Location:

Supermarkets are generally located in the centre areas of the cities where more people cross each day and there is ample parking.

2. No-credit Facility:

The supermarket offers no credits. They either accept cash or cards.

3. No Salesperson:

Grocery supermarkets have no salesperson which will trouble you in your shopping.

4. Wide Range:

Supermarkets offer a wide range of product lines regarding food & non-food in one place.

5. Large Retail Companies:

Supermarkets work as large retail companies.

6. Excellent Packaging:

You will find no products unpackaged at any supermarket. The managers select, arrange and pack them with care on separate racks for all products.

7. Large Display:

Supermarkets offer large rack displays where people can go & buy whatever they want. They display low prices merchandise and a self-service market model offering freedom.

Top 5 Advantages of Opening a Supermarket in India:

If you are searching for a high ROI business model, opening a supermarket can extremely benefit you. Though it sounds like an old idea in the time of the internet, it can actually bring lots of profit to you. Below are some of the benefits that a supermarket can offer you.

1. Low Price:

Supermarkets generally offer low prices on all goods in comparison to local retail stores. The owners buy large quantities of the products directly from the companies. Therefore, companies offer them all deals at much lower rates. Your supermarket would be in a prime location, so a wide population from the middle class and upper class would come to your store to get better deals on their purchases. As the sale volume is higher, you can lower your profit margin as well. Lowering the margin will not bother you much.

2. Rapid Sales:

Due to the open facilities of the supermarket, they have managed to increase sales rapidly. Additionally, purchasing at the supermarket costs less than at the local retail stores. The packaging and cleanliness in the supermarket also attract people. Therefore the low prices & open selection facility brings a huge crowd of people automatically. As a result, you generate rapid and large sales at your store.

3. Low Operation Expenses:

At a glance, you can see the huge money flow in the supermarkets. But the reality is a little opposite to what you think. Yes, there are big setups that demand maintenance, but as a supermarket owner, you save money by having a smaller number of employees. As supermarkets offer an open facility for selecting products, there is no need for salespeople around them. Also, large and rapid sales bring high profits at low operational expenses.

4. Freedom of Selection & Self-Service:

Supermarkets offer people what they long for. All of us want freedom, even in the smallest possible decisions. Supermarkets offer self-service. A customer can choose anything from any rack. They can select goods by themselves, and no salesperson would ever trouble them. This freedom is much appreciated by the customers.

5. Prospect for Large Profit:

Supermarkets are able to generate high profits due to their business model. They buy pieces of stuff in large quantities and sell them in small retail quantities. Thus, they are able to sell products at much lower prices than the local market. Due to the huge traffic in the store, you can book a huge amount of profit. Additionally, grocery supermarkets need low expenses. Also, they offer nothing for free. Therefore, it is a win-win situation for both parties when a supermarket generates large profits.

Conclusion:

Supermarkets are not new things in India. It has been almost two decades since supermarket trends started to grow here. Although you may think it’s an old idea to start a supermarket franchise in India in the age of the internet, we have already mentioned how it can benefit you greatly. However, you must cross check a few ifs and buts. For more guidance, you can contact our team anytime.