Top Profitable Retail Business Ideas in India (Categorized by Investments)

Top Profitable Retail Business Ideas in India (Categorized by Investments)
Retail Business Ideas in India

The retail industry in India is rapidly growing due to the emergence of new retailers. In fact, it accounts for 10% of the country's GDP and 8% of its employment. India is also among the top 5 retail markets globally in terms of economic value, and is considered one of the fastest-growing retail markets in the world.

As people require commodities on a daily basis, there is a constant need for retail stores, making it one of the most profitable businesses in India with low to moderate investments. Small or medium-sized retail stores have a high-profit margin, making it an ideal choice for entrepreneurs with limited capital.

In this blog, we will explore some of the best retail business ideas that can be implemented in India. Whether you are a looking for low investment business or high investment business ideas, this blog will provide you with valuable insights that will help you make informed decisions about your business.

So, if you are ready to explore the exciting world of retail business in India, let's get started!

What is Retail Business?
Types of Top Retail Business in India
Low Investment Retail Businesses in India
Medium Investment Retail Businesses in India
High Investment Retail Businesses in India

What is Retail Business?

A retail business is when a business sells a product or a service to the consumer for his/her use. A retailer sells the product higher than the wholesaler. Retail business can be considered as grocery convenience stores. Service-related businesses such as beauty salons and rental places are also considered retail businesses.

Types of Top Retail Business in India

Retail business is one of the most profitable industries in India with a vast range of opportunities for entrepreneurs. Here are types of retail businesses in India:

1. Low investment business - Low investment businesses typically require a smaller amount of capital to start and run, with costs a few thousand. Examples of low investment businesses include selling tea, opening a small grocery or fruit store, or starting a stationery or book store.

2. Medium investment business - Medium investment businesses require a moderate amount of capital to start and run, with costs ranging from a thousands to a few lacks (Indian currency). Examples of medium investment businesses include opening a medical store, starting a beauty salon or spa, or opening a cake shop.

3. High investment business - High investment businesses require a significant amount of capital to start and run, with costs in lacks (Indian currency). Examples of high investment businesses include starting a ice cream parlour, opening a vehicle showroom, or starting a large chain of restaurants or supermarkets.

Top Profitable Retail Business Ideas in India

Low investment Businesses Medium investment Businesses High investment Businesses
Kirana Stores Medical Store Coffee Shop
Stationery and Books Store Saree Shop Ice Cream Parlour
Fruits Store Gift Shop Fast Food Restaurant
Flower Shop Cosmetics Store Car Wash
Altering Shop Cake Shop Two-Wheeler Showroom
Tea Stall Perfume Shop Beauty Salon
Seed Store Sweets and Snack Store Restuarant

Low Investment Retail Businesses in India

Best retail business ideas
Top Profitable Retail Business Ideas

1. Kirana Stores

Business Name Kirana Store
Business Type Low Investement Retail Business
Investement Cost INR 100,000
Profit Margin 60%

India's vast population necessitates a grocery store in every locality. Basic household supplies, such as soaps, spices, and food items, are essential for every household, and the grocery store is the go-to place for these items. As a result, starting a Kirana Store is a low-investment, highly profitable retail business idea in India.

Top Retail Business in India
 Retail Market size Statistics

It is important to get the items you want to sell in a bulk from the wholesaler at a lower price. This will help you price the product at a competitive price.


Top 10 Best Grocery Delivery Startups in India
This pandemic has given rise to many Grocery delivery startups in India. Let’s look at the top grocery delivery startups prevailing in India.

2. Stationery and Books Store

Business Name Stationery and Books Store
Business Type Low Investement Retail Business
Investement Cost INR 100,000
Profit Margin 20% to 55% (depending on different product)
Stationery - Best Retail Business in India
Stationery and Books Store

Opening a stationery and book store is a lucrative and accessible retail business idea that requires minimal specialized knowledge. The store can offer a range of products, including storybooks, DVDs, school books, and stationery items, making it a one-stop-shop for all students' educational needs.

To differentiate your store from competitors, consider offering unique and educational gadgets or toys that are not commonly found in other stores. This will increase the store's appeal to both children and parents, leading to increased foot traffic and sales.

Overall, opening a stationery and book store is an excellent retail business idea in India that can make a significant contribution to the educational development of students in the community.


50 Businesses You Can Start With INR 1 Lakh Or Less
There are several business ideas that can be executed with an investment of INR 1 lakh or less. The scope for profit in these ventures is tremendous! Here are 50 such business ideas.

3. Fruits Store

Business Name Fruit Store
Business Type Low Investement Retail Business
Investement Cost INR 35,000
Profit Margin 40%

Opening a fruit store is a profitable and viable retail business idea in India. With an increasing focus on healthy eating and the rise of wellness trends, the demand for fresh fruits has been steadily increasing in the country. A fruit store can cater to this demand by offering a wide variety of fresh and high-quality fruits to customers.

The advantage of this business is that you do not require any specialized knowledge. India has the largest agricultural market in India and fruits are a primary product. If you deciding to sell fruits then you need to shortlist the category of fruits based on supplies.


Agriculture Business Ideas | Tips to Keep in Mind
Here are multiple fruitful agriculture business ideas if you wish to make your career in this field..

4. Flower Shop

Business Name Flower Store
Business Type Low Investement Retail Business
Investement Cost INR 50,000
Profit Margin 60 - 90%
Flower shop - most profitable business
Flower shop - Profitable Retail Business in India

A flower shop is an incredibly profitable business when established well. Establishing partnerships with hotels and offices is a lucrative opportunity since these businesses require daily floral arrangements. By partnering with them, profit margins can increase to 80%. Additionally, offering artificial flowers and gifts can provide additional revenue streams.

By selling bouquets with unique styles or taking orders for party decor and weddings, a flower shop can expand its offerings and attract more customers. Offering personalized services such as flower delivery or subscription services can also increase customer loyalty and profitability.


How To Start A Floral Business | Become A Florist
Do you love blooms and need a job where you can labor with them every day? Would you like to start a floral business? Or perhaps you’re glancing for an inspiring and imaginative career transformation. This post tells you the precise steps to follow and become a florist. It also discusses the five mo…

5. Altering Shop

Business Name Altering Shop
Business Type Low Investement Retail Business
Investement Cost INR 35,000
Profit Margin 40%

If you have a talent for tailoring and creating perfectly fitting outfits, starting a tailoring business can be a great opportunity for you. The business can be set up from home, making it a low-capital investment option. Offering a range of services such as alterations, repairs, and custom-made clothing can attract a diverse customer base. With the right skills, customer service, and innovation, the business can thrive and grow in the competitive market.

6. Tea Stall

Business Name Tea Stall
Business Type Low Investement Retail Business
Investement Cost INR 15,000
Profit Margin 30%

A tea stall is a low-investment business idea that can yield high profits. As tea is a beloved beverage in India, setting up a stall outside of colleges or offices can attract a steady stream of customers. To increase profits, consider partnering with offices to provide daily tea deliveries. This can be a reliable source of income and establish long-term partnerships with businesses.

With the right location, menu, and atmosphere, the tea business can thrive and grow in the competitive market.


Top 10 Best Tea Franchises in India
Want to start a thriving Tea Business? Want high returns with low investments? These are the top Tea franchises you can get for the best returns.

7. Seed Store

Business Name Seed Store
Business Type Low Investement Retail Business
Investement Cost INR 10,000 - 30,000
Profit Margin 40%

Agriculture is a crucial sector in the Indian economy, and there is a growing demand for high-quality seeds among farmers. By focusing on offering quality seeds, a seed-selling business can attract a loyal customer base.

If you live in or near an agricultural area or village, this presents an excellent opportunity to start a seed-selling business. Establishing partnerships with local farmers and agricultural organizations can increase visibility and lead to more sales.


62 Business Ideas with Low Investment and High Profit
One of the most desired thing an entrepreneur wants in business is a smallinvestment business idea and high profits. To achieve this, they sought everyway to make their business run smoothly and increase revenue thus profitability.If you land on this article chances are you are looking for Busine…

Medium Investment Retail Businesses in India

1. Medical Store

Business Name Medical Store
Business Type Medium Investement Retail Business
Investement Cost INR 3-4 Lacs
Profit Margin 20-25%
Medical Store - profitable retail business in India
Medical Shop - High Profit Margin Business in India

There's no doubt that the medicine store is the most profitable retail business. People often require medicines during an emergency or illness. A medical store owner can earns profit up to 60 000-80000 by investing 3-4 lacs in medicines. If managed properly medical stores can earn huge profits right away.

However, it also depends on the kind of drugs sold by the medical store upon how much profit it can earn. On average the pharmacy shop owner earns up to 20-25% on daily sales.

2. Saree Shop

Business Name Saree Shop
Business Type Medium Investement Retail Business
Investement Cost INR 20,000
Profit Margin 40%

Sarees are a popular retail business in India and are worn by people from all segments of society. If you are interested in starting a saree business, it is essential to research the market and understand the latest trends. Visiting local shops and observing the demand for different types of sarees can provide valuable insights.

One of the most popular types of sarees in India is the Banarasi saree. However, there are many other varieties of sarees that are equally in demand. It is crucial to decide on the type of sarees you want to sell based on your target audience and the local market demand.

By providing quality products and exceptional customer service, the business can establish a loyal customer base and grow in the competitive market.


Ritu Oberoi, Founder of ForSarees, on the Need for High-Quality Sarees in Major Cities
Discover the beauty of traditionally handcrafted sarees with ForSarees. Learn from the founder, Ritu Oberoi, how they bring high-quality sarees to you.

3. Gift Shop

Business Name Gift Shop
Business Type Medium Investement Retail Business
Investement Cost INR 5 to 10 lakh
Profit Margin 25%

Opening a gift shop in India can be a lucrative business opportunity, but it requires careful planning and execution. The profit margin in running a gift shop is relatively thin, so there is little room for errors. Therefore, it is crucial to conduct thorough research and plan out the business model before investing.

A gift shop typically sells a variety of personal and corporate gift items. You can differentiate your shop by offering unique and personalized gift items that are not easily found in other stores. Additionally, offering gift cards can be an effective way to increase sales and attract more customers.

To succeed in the gift shop business, it is essential to understand your target audience and their preferences. This can be achieved by conducting market research and analyzing the demand for various gift items in your locality.


Top 8 Gifting Startups in India
If you are looking for a perfect gift for your loved ones or for your corporate needs, here are 8 Online Gifting Startups in India you should consider.

4. Cosmetics Store

Business Name Cosmetics Store
Business Type Medium Investement Retail Business
Investement Cost INR 1 to 5 lakh
Profit Margin 40 to 60%
Cosmetics store - Best Retail Business in India
Cosmetics store - Best Retail Business in India

The cosmetic industry in India is rapidly growing, and there is an increasing demand for beauty and personal care products, not just among women but also among men. If you have a passion for cosmetics and an understanding of the market trends, starting a cosmetic business can be a profitable venture with the right approach, research, and execution.

By offering high-quality products, understanding the market demand, utilizing online marketing strategies, and providing excellent customer service, you can establish a successful cosmetic business in India.


Top Cosmetics Brands in India | Popular Cosmetics Brands
The cosmetic brands in India have seen great growth over the past years. Look at the top cosmetics brand in India which provides best products.

5. Cake Shop

Business Name Cake Shop
Business Type Medium Investement Retail Business
Investement Cost INR 5 to 15 lakh
Profit Margin 30%

The cake shop industry in India is rapidly growing and becoming a high margin business. With the rise in demand for cakes and baked goods, many entrepreneurs are starting their own manufacturing units to cater to the domestic market.

Apart from providing high-quality cakes, proper packaging and marketing are crucial to boost sales. It is also important to maintain high standards of hygiene and quality control to ensure customer satisfaction and establish credibility in the industry.


List of Top Bakery/Cake Franchises in India In 2023
Looking to start a bakery business? Here is a list of top bakery/cake franchises in India, with details on investment, training, and support.

6. Perfume Shop

Business Name Perfume Shop
Business Type Medium Investement Retail Business
Investement Cost INR 30,000 to 50,000
Profit Margin 40%

The perfume industry is constantly evolving, and many people use it as a way to express their individuality. Starting a perfume business requires a moderate capital investment, but it can also be done from home with minimal investment. To succeed in this business, it is important to research and stock a variety of popular and unique fragrances that cater to different preferences and occasions. Effective marketing and packaging can also help boost your sales and establish your brand in the market.


Fogg Marketing Strategy - How Is It Dominating the Indian Deodorant Market
Fogg is an Indian fragrances and deodorants brand that is dominating the Indian deodorant market. Take a look at its marketing strategy.

7. Sweets and Snack Store

Business Name Sweets and Snack Store
Business Type Medium Investement Retail Business
Investement Cost INR 5 lakh to 10 lakh
Profit Margin 60%

A sweets and snacks shop is a profitable retail business in India that can be started with a relatively low investment. Sweets can be produced in bulk quantities, allowing you to price them reasonably, as there is no fixed rate for these products. Additionally, you can also sell snacks and other related items to increase your profit margins. To succeed in this business, it is important to maintain the quality and taste of your products, as well as to keep up with the latest trends and preferences of your target market.


Best Food Business Ideas You Cant Start Now
Food [https://startuptalky.com/tag/food-startups/] is the basic necessity of thelife and now has also become a luxury in many cases. People around the worldlove to eat delicious food, due to which there is a huge demand for foodbusiness ideas with low investment[https://startuptalky.com/tag/low-investment/…

High Investment Retail Businesses in India

1. Coffee Shop
Business Name Coffee Shop
Business Type High Investement Retail Business
Investement Cost INR 10 to 20 lakhs
Profit Margin 20% to 80%
Coffee Shop is Most Profitable Retail Business in India
Coffee Shop is One of The Best Retail Business in India

A coffee shop is one of the most popular and profitable retail businesses in India, but it requires a significant investment. Running a coffee shop can be challenging, as you need to maintain a positive cash flow and generate high sales to keep the business going. The success of your coffee shop also depends on the location you choose, as it should be easily accessible and in a high-traffic area. However, with the right strategy and execution, a coffee shop can yield high profits and establish a loyal customer base.


Top Coffee Startups In India Blooming With Brews
If you love coffee then you should go through this list of coffee startups in India.

2. Ice Cream Parlour

Business Name Ice Cream Parlour
Business Type High Investement Retail Business
Investement Cost INR 5 to 10 lakhs
Profit Margin 40%

Ice cream is a popular dessert loved by people of all ages, making it a profitable retail business in India. Starting your own brand can be challenging, but you can consider opening a franchise for established and reputed brands. It is a high-margin business, and you can earn good profits with the right location and marketing strategies.


Best Ice Cream Franchise Businesses in India for 2021
Wondering how to start an ice-cream business in India or want to explore ice cream franchises. Here is a list to get an overview to help you choose from.

3. Fast Food Restaurant

Business Name Fast Food Restaurant
Business Type High Investement Retail Business
Investement Cost INR 10 to 50 lakhs
Profit Margin 40%

The fast food industry in India is highly popular and profitable. If you plan to open a fast food restaurant, it's essential to conduct market research to understand the workings of different restaurants, their management, investments, and profit margins. You can also consider offering unique and innovative food items to stand out from the competition and attract more customers. A well-managed fast food restaurant can yield high profits in India.


Biggest Fast-Food Restaurant Chains in the World
Restaurant Chains offer quality food & ambiance to attract consumers. Here is the list of popular and biggest restaurant chains in the world.

4. Car Wash

Business Name Car Wash
Business Type High Investement Retail Business
Investement Cost INR 25 lakhs
Profit Margin 40%

The automobile industry in India is growing rapidly with an increase in the number of vehicles on the roads. Owning a car wash business can be a lucrative opportunity, but it requires proper planning and significant upfront investments. You need to identify the right location for your car wash, as well as purchase the necessary equipment and hire staff to provide quality services. With the right strategy and marketing, the car wash business can be a profitable retail business in India.


31 Automobile Business Ideas and Car-related Business Ideas
Have a look at these 31 Automobile and Car-related business ideas to start in 2022. From Automobile Franchise, Limo Service to Food Truck & more.

5. Two-Wheeler Showroom

Business Name Two-Wheeler Showroom
Business Type High Investement Retail Business
Investement Cost INR 30 lakh to 50 lakhs
Profit Margin 30%

The motorcycle market in India is experiencing double-digit growth in sales, making it a promising industry for entrepreneurs. Setting up a two-wheeler dealership can be a lucrative business opportunity, but it requires careful planning and significant upfront investment. To succeed in this business, you need to have a solid understanding of the industry and the business model.


Future of Electric Two-Wheeler Industry in India - Will It Sustain?
The electric two-wheeler industry has gained massive demand in India but what’s the future of this industry will it sustain let’s find out.

6. Beauty Salon

Business Name Beauty Salon
Business Type High Investement Retail Business
Investement Cost INR 15 lakh to 30 lakhs
Profit Margin 10 to 20%

A salon business is a great retail business idea for women entrepreneurs who have the right skills and knowledge in the beauty industry. With the option to operate from home, starting a salon business requires less capital investment. However, it is important to ensure that you have the necessary equipment and tools to provide quality services to your clients. Research the market to understand the latest trends in beauty and grooming services to offer a unique experience to your customers.


Top 15 Salon Franchise in India you should consider in 2022
Salon franchise is one of the most profitable businesses in India. If you want to start a franchise here are Top 15 Salon Franchises to consider.

7. Restuarant

Business Name Restuarant
Business Type High Investement Retail Business
Investement Cost INR 15 lakh to 30 lakhs
Profit Margin 15 to 20%
The Food Restaurant - Profit Margin Business in India
The Food Restaurant - Profit Margin Business in India

Opening a food restaurant is one of the most profitable retail businesses in India, but it requires careful planning and a significant capital investment upfront. Before starting the business, it's important to conduct a market survey to understand the competition and determine the best location for your restaurant. It's also essential to develop a well-curated menu and pricing strategy to attract customers and maximize profits. With the right strategy and execution, a food restaurant can be a highly successful business venture in India.


24 Restaurant Marketing Ideas In India [2021]
Finding it difficult to attract customers to your restaurant? Well, here we bring the 24 best restaurant marketing ideas and trends to promote.

Conclusion

There are numerous profitable retail business opportunities in India for aspiring entrepreneurs. These range from traditional businesses such as saree shops and sweets stores, to modern concepts like coffee shops and fast food restaurants. However, it is important to conduct thorough market research and planning before starting any business, as the success of a retail business largely depends on factors such as location, competition, and pricing. With the right knowledge, capital investment, and hard work, entrepreneurs in India can thrive in the retail industry and achieve financial success. There will be pitfalls in the business but remember great things take time.


10 Steps To Ultimate Guide Of Writing Business Plan
A business plan decides the future of a business. It’s working, profit, featureseverything is a layout in a business plan. But there is no universally acceptedtemplate of a business plan- it tends to differ from company to company, ownerto owner, product to product, service to service. No matter…

FAQs

Is Retail Business Profitable?

Yes, retail business in India is profitable not only in the metropolitan cities but also in small towns.

What is considered as retail business?

Retail businesses can include grocery, drug, department, and convenience stores. Service-related businesses such as beauty salons and rental places are also considered retail businesses.

Are retailers in India covered under MSME?

No, wholesale and retail trade will not be categorized as MSME.

How to start a retail business in India?

Here are some easy steps to start a retail business in India:

  • Generate an idea and retail business plan
  • Choose a name for your retail business
  • Cover your legal basics
  • Find the right location for your retail business
  • Create a personalized experience
  • Build vendor relationships
  • Explore marketing opportunities for your retail business
  • Plan for a grand opening

Which is the best business to start?

Some of the best businesses to start are:

  • Consulting
  • Ecommerce
  • Food delivery
  • Writing
  • Web designing and development
  • Digital marketing
  • Online dating
  • Courier
  • Blogging
  • Youtubing
  • Graphic designing
  • Cooking
  • Handicraft

Must have tools for startups - Recommended by StartupTalky

Read more