Which One To Choose Independent Grocery Store Or Grocery Store Franchise In India?

Business is a key element for the individual and collective economies. When starting one, we all come across one very common question. Which one would be right for us- an independent business grocery store or a grocery store franchise in India? Behind this confusion, the only possible logical reason is to make more profit with fewer complications in the business.

Let me be very clear, no way is it going to be easy whether you choose a franchise or an independent store. The business path will always be challenging. It will still demand attention, care, strategies, and an active, dedicated team with a thoughtful leader. Without a mindset suitable for business, no model or strategy will work for a long time. You will see failure in both and lose money. Therefore, this blog is to give you the right analysis and to difference between the two ways of launching a grocery store.

How to Think about The Right Business Model?

Before jumping right into any idea, it is important to think about the right model. Well, there is no 100% right way. People achieve success and face failure in both ways. Therefore, it is neither easy nor right to promote one side of this business.

Any method can work for you depending on your circumstances, methods, market size, supply and demand, and the right SWOT analysis of your business. The right way is to evaluate the potential of each business model option. You will need to focus on factors that can help you decide which one is right for you. The question is not which option will work but which one will generate more profits.

Below we are going to evaluate each business model on several important factors.

1. The Ownership:

Business ownership is always a great concern for people, especially those who like to control things. When working in partnership with a large corporation-level grocery franchise, you don’t have the freedom to choose products and services according to your will. The company will choose products and send them to your store according to your sales and requirements.

Independent business owners can change their store’s services and products according to market demands. Hereby you have the freedom to experiment and gain individual success.

Although the franchise model doesn’t allow you to experiment, it protects you from the risk of failure. As the company’s R&D team has already researched and optimized the products, you can easily skip the dangers of failing.

2. Cost Capital:

Cost being a sensitive topic, plays a vital role in any business model. Independent business owners have the free will to use their investments for their ideas. Independent business demands more capital but gives you control. You, as an independent business owner can choose to stop investing in future projects or stores, the renovation progresses in the times of week business profits.

On the other hand, a franchise model of business doesn’t allow this much freedom. Besides their upfront investment cost, you need to pay regular capital royalties on a quarterly or monthly basis. The franchisor often has the right to dictate the timing and scope of renovating the design of the store. You have no control over them.

3. Brand Recognition:

Independent business stores always struggle with this. They don’t have brand recognition which could help them establish their business beyond local markets. While on the other hand, franchise grocery supermarkets provide you with their sorry established brands. This affects the general people’s mindset. As a result, you get a pre-ready customer base due to the brand value of the corporation. Collaborating with a famous brand will give a kickstart to your new business.

Brand recognition plays a two-way role. It printed greatly but at times it can be the reason for failure. Once your franchisor gets into some controversies, your store’s brand image will drop with the person as well. Independent owners will always be unaffected by such circumstances.

4. Operational Resources:

Experience speaks everywhere. Newcomers are always at the end of the cliff in the business world. They can fall at any time and be doomed. This is because of their lack of experience in the business. However, you, as an independent business owner, have complete control over your business, and no one can oblige you to change your decisions.

Franchises don’t allow you this much control. But due to pre-set corporate resources, you get channels for marketing, operations, supply chain, human resources, and other facilities.

An independent business owner walks alone and networks with all the right people whom he/she needs. You are free and have more risk.

5. Success Rate:

As I previously stated, it is hard to give you one successful model to take a step forward. People every day fail in both and succeed in both. There is no conclusive evidence to support one model as the key to success. The only way to achieve success is to be prepared with your homework and research.

Success in business depends on your mindset and the right strategies. You have to be creative and business-minded to take your business forward. Unless you have a learning attitude and a courageous will, you are not going to be successful in either way. Thus, the question of success doesn’t belong to the business model but to your own skills.


When you have the option of choosing between an independent store and a grocery store franchise, it is obvious that you are in a dilemma. It should be your prime focus, as businesses are not something that you can change every month. Therefore, your decision should be solid enough to implement. This blog aims to expose you to all the parameters you need to think about before making a decision.

This blog is from us, Fairway Supermarket, which has been awarded the Best Startup of the Year 2022 in the FMCG category and is the fastest-growing supermarket grocery franchise. We offer you a secured, progressive franchise system with the support of a well-established corporation. Till now, we have established 25+ grocery franchises in India, and you can be our next partner. Contact us now

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