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Best Investment Options – Opening online Kirana Store

By Suresh KP Updated 14 Dec 2014 Not yet rated 4 min read
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Overview
Setting up Online Kirana is one of the best business idea. This is one of the  new concept and there are only very few online kirana stores in India which can be counted on finger tips. One can get benefitted by entering early into this business as there are very few competitors in India.

What is this business idea about?
We know that groceries / kirana items are sold in kiran shops available near to us. However, one may or may not find time to buy during the day time due to our busy schedules. Online kirana stores offer the services through online website where one can fill the details and the products would be delivered to home with small service charges.

What are the investments required?
The investment amount varies based on the products you choose to sell through online kirana stores. The larger the high price products you intend to sell, you need to have larger investment amount.

Who are the competitors currently ?
Currently there are a few competitors like www.kiranawala.com, www.onlinekiranastore.com etc.,

How to start this new business?
Below steps can be followed to enter in to this business. This is not comprehensive and is only indicative
1) Selecting the location of business: Since the products are sold online, the location need not be near to the centre of the market nor in the centre of the city. The only criteria we feel would be, selecting the location which should be nearer to transportation facilities. The products should be able to dispatch easily through local transportation
2) Identifying the areas where we need to sell the products: To start with, the base location needs to be selected. Once the services are provided within the City where the business is located, it could be extended to various cities nearer to us.
3) Building an e-commerce website to sell the products: Since it involves building a good website, going for free website creation methods would not help. Identify professional e-commerce building institutions to create the e-commerce. Ensure that proper training is given to the team, else we end up struggling in updating the inventory into the website and delay the online sales.
4) Starting with a fewer products: Start this business with a few products. There are various benefits of going with this approach.
     a) When you order buying bulk of quantity of same product, you get maximum discounts.
     b) In case you have variety of items, but low quantity, this would create supply problem. You may not be able to fulfill the requirements of customers
5) Manpower: One cannot be able to guess about the manpower requirement in initial stages as it depends on the size of the business. There are three main teams required for the business
     a) Purchasing team: This team need to work on identifying what to purchase and getting the products at lower prices
     b) Inventory team: This team would keep accounting for the products received and products sold and returned
     c) Sales Team: This team need to primary work on two areas. One is the ways to identify and attract customers and second is to ensure that the products are sold and dispatched to customers. The success of this business depends on how we are trying to be closer to customers and how the services are being delivered within the promised time.
6) Other ways to attract the customers and to be success in this online kirana business
   a) In initial stages of business, offer huge discounts. You may end up in zero profit for few months. But treat this as investment
   b) Provide quick service to the customer. Deliver the products within the promised time. Customer can trust only when we deliver, what we say
   c) Resolve customer complaints at a faster pace. This approach will ensure that the reputation is not lost.

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Suresh
Myinvestmentideas.com

 

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Suresh KP
Disclaimer: This article is for education and comparison only and is not investment, insurance or tax advice. Suresh KP is not a SEBI-registered investment adviser. Investments are subject to market risks. Read all offer, scheme and policy documents carefully before making any decision.
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30 comments

Add a comment ↓
  1. I want to start new Kiran store and rice bags in vizag but I have sale verry low price… I want porches verry verry low I don’t know that items location please give suggestions…

  2. Narendra

    Hello Sir, I want to open kirana store in Please tell me what are the legal formalities and what are the profit margin? if i sell per day so what are the profit margin?

  3. Bijendra Prasad

    Hello Sir, I want to open kirana store in noida extension, Please tell me what are the legal formalities and what are the profit margin? if i sell Rs-1600/- per day so what are the profit margin?

    1. Sujeet Kumar

      Hello sir I want to open kirana store please tell me what are the profit margin

  4. nitesh

    Please help me to start online business for kerana store.and also tell me legal procedures and we start business step by step

  5. N Balram

    Thanks for Your Artical,

    Which is halpful to everyone whio want to opening a new busines.

    Now i want to start this business so please explain step by step for start the business of online kirana shop

     

  6. Mayur Kullkarni

    I want a business investment idea Kirana shop online.

  7. sruthi

    this was very nice idea but what are all the legal process for this is this need any licence from govt please let me know thank you once again this is sruthi from nacharam rr dist Hyderabad

  8. Manjunatha.A

    please I am very interested in doing this business but I don’t know where create the business websites can you help me please

  9. ramadevi

    this was very nice idea but what are all the legal process for this is this need any licence from govt please let me know thank you once again

  10. satishdadarwal

    What is the legal process for online kirana store

  11. vinod vishwakarma

    Nice Yaar, Mind blowing business idea thank to these team who provide this type ideas…

  12. ankit

    Dear,

    Idea is creative but Delivery of order and cost are main factors hard to manage. Same day delivery will leads to high cost and attracting consumer as like giant E commerce store is not possible.

  13. vilas khaparde

    I have to open online Kirana business in next month. guide me about the preopening preparation.

  14. deepak mishra

    I will started online kirana business please help us

  15. vijay misal

    I was already start self service supermarket but responce of customer is low so I want to start online shop and if u guide me about it, it was benificial for me or my future.

  16. n Venkateshwaran

    this is simple good but how to identify the products which are fast moving and slow moving

  17. akshay

    i need your help if u can plese reply as soon as possible

    1. jatan

      HI akshay, is it regarding the online grocery store idea? coz i am interested in it and wont mind a discussion about ur ideas/experiences. mail me on jatanis@gmail.com

  18. Dear suresh,

    Grocery has very low margins. In today's date petrol price has increased too much. Please suggest how to have profitability.

    Regards,

    Sid

  19. vulpe Kranthi kumat

    Its my goal to establish online kirana service to people, with reasonable price and good quality of products, soon I will start working on it, let me know if any one started already, if so provide me web link

  20. Bhaskar

    Suresh There don't seem to be any online Kirana stores, I tried to get the ones you mentioned – 

    1. Bhaskar, When I wrote the article an year back, these were existing. For whatever reason it could be, they are not there now. Thanks for your feedback.

      1. Rajdeep

        There are larger online super markets like bigbasket.com which offers services in hyderabad,bangalore and kada.in which offers services in and around trivandrum.

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