Understanding the Indian Grocery RetailYou would wonder to know that the Indian retail market is one of the top five retail markets in the world. But have you ever wondered why despite the growing number of consumers the e-commerce market is not successful in Indian grocery retail? Why despite all the brilliant ideas, enormous investments and impeccable efforts, the organized grocery retail market is able to capture only 8% of the total market opportunity?The organized grocery section is only $44 billion of the total $552 billion. And even the large brick-and-mortar players who have localized their store assortments by region and pulled up their investment muscles still grapple to understand what the Indian grocery consumers actually want?

While it wasn't easy, we at Kirana King have found the answers to all the 'whys' and well-planned the hows to organize the unorganized grocery retail.

Why Kirana Stores Rule the Indian Market?

In the words of famous American writer, Mark Twain,'India is a great-grandmother of tradition'. And food has always been a primary way to live and celebrate our tradition, culture, and legacy. Moreover, agriculture is one of the primary modes of occupation in the country, food has also been connected with the mythology and religion.

It is important to understand this finely entwined link of food with community, casts, religion, and region. While the international players failed, it is only the local grocery store owners who know the various systems and foods associated. Since these stores have developed around the local markets and agricultural fairs in small towns and they know the consumption patterns of communities in the area, their stock has always been unique to the local community.

What's more, the Indian consumers are value conscious, and they have the inherited habits of buying and consuming good. They really resist breaking these habits unless there is no option left. Since the e-commerce companies are unable to understand the consumption patterns of food in India, they fail to crack the food basket.

Problems Kirana Stores Face

The trends are changing, people are migrating and the communities are changing. All these with the intervention of international companies made the business a tough competition for the Kirana stores. Though they survive in the economic downfall, they still have to face certain issues in running a smooth business

During the research, Kirana King found the following challenges inhibit the growth of Kirana Stores:


Majority of the stores still have the same old infrastructure with a shabby look, unorganized inventory and the traditional packaging. However, the consumer mindset is shifting towards a more hygienic and organized infrastructure. Visibility of products is important for consumers to buy them.


Even small in size, a Kirana store involves a lot of operational tasks. From cleaning the store to managing the inventory, catering to the customers, dealing with the sales representatives, maintaining the account ledger and more. It is not easy for one person to concentrate on business with so many tasks done manually every day.


With urbanization and globalization, the food preferences have evolved and even changed to an extent. As the kirana stores are still accustomed to the traditional food basket requirements, customers look for grocery supermarkets for the additional supplies. Majority of the store owners find it difficult to match the requirements as keeping such a large inventory is not possible for them. Thus, they lose the business in the long run.


With the change of time, the traditional inventory management is outdated. Today's generation is more aware of hygiene and cleanliness. Also, their food cart choices are getting global now. So they like to buy from stores with updated inventory that is lined clearly to see and order. Good packaging with proper labelling of manufacturing and expiry date is what they prefer now. Certainly, this level of inventory management is difficult for a local kirana store.


We want the local kirana stores to reach a level where they can compete with both large brick-and-mortar grocery supermarkets as well as the expanding online grocery market.

From providing a sustainable and appealing infrastructure to managing the inventory, supplying the goods and streamlining the entire selling system, we do it all. And with our centralized system, we ensure that every store meets the customer's expectations of variable inventory, excellent packaging, and on-time delivery.


A large segment of Indian consumers is traditional. They still stop by the local grocery store and buy items in bulk. But with a rapid increase in nuclear families, lack of time and varied food choices, maintaining the bulk supply at home is not possible. Additionally, the new consumer is more conscious about hygiene.

By converting your nearest grocery store into an appealing small supermarket, we provide customers with a pleasing shopping experience. At the same time, we ensure all their grocery needs are fulfilled. Whether it's your favorite brand, the special Italian spices, or the everyday kitchen supply, you will get everything at your nearest Kirana King grocery store.

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