About BigBasket
| Company Name: BigBasket |
| Founded: 2011 |
| Founders: V. S. Sudhakar, Hari Menon, V. S. Ramesh, Vipul Parekh, and Abhinay Choudhari |
| Headquarters: Bangalore, India |
| Controlling Company: Tata Digital (Tata Digital purchased a 64% stake in the firm in 2021) |
| Cities Served: 30+ |
| Orders Processed Monthly: 15 million+ |
| Retail Expansion: Launched offline stores and franchise model in 2021 |
| Official Website: BigBasket |
BigBasket was incorporated in 2011 as an online grocery store in India with an extensive range of products, including fruits and vegetables, dairy products, food and packaging, and home needful items. After e-commerce, It has ventured into the B2B BigBasket franchise model of operation for establishing its base business throughout the country for grocery marts.
After Tata Digital bought a majority stake in 2021, BigBasket expanded rapidly and began doing offline stores and a franchise format to merge the concept of easy online shopping with physical outlets. The information concerning the investment, how and when it is required to set up the Big Basket franchise, likely profitability, and the advantages of owning a Big Basket franchise in India has also been discussed.
BigBasket is an online grocery store company that was established by V. S. Sudhakar, Hari Menon, V. S. Ramesh, Vipul Parekh, and Abhinay Choudhari with a focus on changing the grocery market in India. Originally, the services that it offered involved selling groceries delivered directly to the customers’ doorstep, with an emphasis on quality products.
Currently, it involves delivering basic products in two business models, the BB Daily (for daily necessities, such as milk and bread) and the BB Now or 10–20 min express delivery.
Table of Contents
Key Details of BigBasket Franchise
| Brand Name: BigBasket |
| Number of Stores: Over 400 across India |
| Industry: E-commerce and online grocery delivery |
| Franchise Fee: Approx 5 lakhs |
| Franchise Cost: 15 lakhs to 30 lakhs |
| Royalty Fee: 5% of monthly sales |
| Profit Margin: 10% to 15% |
| ROI Timeline: 2 to 3 years |
| Franchise Agreement Term: 5 to 10 years |
| Required Space: 2500 to 8000 sq ft |
BigBasket Franchise Model
Why Choose a BigBasket Franchise?
Big-basket has other franchise stores in operation, which act as an offline store with online and a blend of both concepts incorporated into it. Instead, they can order online and get their orders available for collection in-store, shop online through self-check-out sections, or receive bills electronically for a faster discharge.
Benefits of the Franchise Model
| Strong Brand Reputation: Leverage BigBasket’s market dominance and customer trust. |
| Wide Product Range: Over 50,000 products across various categories. |
| Advanced Technology: Inventory and customer management through AI-based tools. |
| Marketing Promotion: This involves National and local advertising to consumer goods to stimulate demand. |
| Assured Returns: A profitable model with expected ROI in 8-12 months. |
| BigBasket has been planning its offline stores in the metros and other major cities and this is a good business opportunity for investors. |
How Much Does the BigBasket Franchise Cost?
The total investment to open the BigBasket Franchise is between 15 lakhs and 30 lakhs, including Franchise Fees, initial inventory, equipment costs, working capital, and others. This total investment varies based on the store size and location. Here is the Detailed Cost breakdown of the BigBasket Franchise:
| Franchise Fee | Approx 5 lakhs |
| Security Deposit | 2 lakhs refundable |
| Setup Cost | 5 lakhs to 15 lakhs |
| Initial Inventory | 2 lakhs to 4 lakhs |
| Equipment Cost | 3 lakhs to 5 lakhs |
| Working Capital | 5 lakhs |
| Royalty Fee | 5% of monthly sales |
| Franchise Agreement Term | 5 to 10 years |
| Total Investment | 15 lakhs to 30 lakhs |
Franchise Fee: BigBasket may charge franchise fees of 5 lakhs based on the package they want for special brand and permanent support without any monthly charges. Franchise fees are publically not disclosed this investment may vary from time to time and location.
Security Deposit: BigBasket Charges a refundable Security Deposit of 2 lakhs.
Setup Cost: Setting up the BigBasket store requires investment between 5 lakhs to 15 lakhs including interior setup, exterior setup, and others.
Initial Inventory: To purchase the initial stocks like fruits and vegetables, dairy products, food and packaging, and home needful items requires investment between 2 to 4 lakhs.
Working Capital: To cover the day-to-day expenses of the outlet requires a working capital of approximately five lakhs.
Royalty Fee: BigBasket Charges a royalty fee of 5% of the monthly sales.
Franchise Agreement Term: BigBasket Franchise Agreement term is between 5 to 10 years.
Profit Potential of BigBasket Franchise
| Commission on Products Sold | 6% to 15% profit margin per product |
| Net Profit Margin | 10% to 15% after expenses |
| Breakeven Period | 2 to 3 years |
Commission on Products Sold: The profit margin varies based on products like fruits and vegetables, dairy products, food, and packaging. The average is 6% to 15% profit margin per product.
Net Profit Margin: BigBasket Net Profit margin is between 10% to 15% after deducting all expenses.
ROI Timeline: Within 2 to 3 years, the period franchisee can recover the initial investment.
It is therefore anticipated that India’s grocery market will be worth $850 billion by 2025 which offers a great opportunity for the franchisee in the retail sector.
Infrastructure and Space Requirements
BigBasket requires these mandatory standards when it comes to the infrastructure of the franchisor’s outlet:
Store Size: The number of employees directly depends on the format of the store and its location and it ranges between 2500 to 8000 sq. Ft.
Location Criteria: Public places like residential places, commercial centers, and marketplaces.
Proximity to delivery hubs for online order fulfillment
| Equipment and Setup |
| Billing Counters with POS machines |
| Self-service aisles for walk-in customers |
| CCTV cameras for security |
| Cold Storage Units for perishable items |
| Warehouse Space for stock management |
Hence, store setup takes 1-2 months depending on the approval of location and installation of interiors.
Training and Support for Franchisees
BigBasket extends several learning sessions and covers operational-day support to franchise partners.
Training Program
| Still, it is an important integral that they undertake inventory management to ensure that they do not run out of stock. |
| This paper focuses on the common product pricing techniques that can be employed to achieve higher levels of profitability. |
| The paper focuses on the current topic of customer service training and its potential to improve customer interaction. |
| Store management software training |
Marketing Support
| In-store promotions and local advertising |
| Digital marketing and SEO support |
| Discount campaigns to attract customers |
Operational Assistance
| Daily product restocking support |
| 24/7 franchisee helpdesk for issue resolution |
| AI-driven analytics for business growth insights |
The comprehensive support system in place makes the business environment for franchisees who have entered into a BigBasket franchise virtually manageable with little or no experience in the retail business.
Required Documents
Here is the list of documents for the BigBasket Franchise:
| ID proof (Aadhar/PAN Card) |
| GST Registration |
| Trade License |
| Lease/Rental Agreement (if applicable) |
How to Apply for a BigBasket Franchise?
From the above findings, the following steps can be taken to become a BigBasket franchise partner:
Online Application: Visit BigBasket’s official website follow the link, Where to Apply, and then fill out the franchise inquiry form.
Business Proposal Review: When it comes to selection, the BigBasket Asian team factors in your investment’s capability, location, and business experience.
Location Selection & Approval: Select the right store that suits the size criteria and accessibility standard that fits BigBasket.
Store Setup & Branding:
Implement the inventory and billing systems at BigBasket
Finalise interior space arrangement and brand name.
Franchise Training & Launch: It’s important to go through certain classes regarding the overall functions of the store and regarding clients.
Pros and Cons of BigBasket Franchise
| Pros | Cons |
| Appealing Market Leadership: BigBasket has successfully established itself as a dominant player in India’s grocery market. | High initial capital investment: A minimum capital of ₹20 Lakhs is required in trading and it becomes hardly feasible for those who are not highly networked. |
| Strong Supply Chain: The establishment of our stores will involve direct sourcing hence enabling us to get quality products at cheaper prices. | Operational Challenges: Another challenge that can be evident in inventory and logistics management. |
| Technology Integration: Artificial intelligence strengthens inventory control and smart billing systems. | Market Competition: Competes with Reliance Smart, Dmart, and local grocery stores. |
| Hybrid Model: The use of both online and offline selling boosts revenue. | |
| Training & Support: These should consist of overall guidance of the entire business by offering franchises. |
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BigBasket Franchise Image Gallery
Conclusion
As has been earlier discussed, the BigBasket franchise model can be a significant boon to those looking forward to making their foray into the grocery segment in India. Despite the challenges, if this kind of store is started with a good brand image, technology, and promise of profitability that the company has shown, it becomes a lucrative investment.
Normally, if the franchises choose the appropriate investment approach, the right locations, and the proper operating procedures, they should be receiving good returns within a year. To create an evergreen model of retail business, it is not a bad idea to join the Bigbasket franchise business.
FAQs
How much money does a person need to invest in setting up a BigBasket franchise?
BigBasket franchise cost is between 15 lakhs to 30 lakhs including all expenses.
How long does it take to launch a BigBasket store?
The setup usually takes roughly 1 to 2 months on average to complete.
What would be the expected profit margin of BigBasket Franchise?
The BigBasket franchise profit varies between 10% to 15% after deductions of the cost.
Does BigBasket offer franchisees any training?
Yes, there is provision for comprehensive training, and operation support is offered.
What is the procedure to start a BigBasket franchise?
You can visit the website of BigBasket fill out the inquiry form and go through the process till the approval is granted.
For more information about the franchise business, interested parties can get in touch with BigBasket’s franchise support team or check the company’s website.
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