Bigbasket Franchise: Cost, Profit, and Requirement

Are you considering entering the grocery industry and unsure if BigBasket is the best option? You're not alone, which is good news. Being a BigBasket franchise partner could be a wise and appropriate move given the increasing trend of online shopping, particularly for groceries. BigBasket, one of the top online grocery stores in India, has increased its market share by franchising, giving business owners access to its well-known brand and business plan. If you want to figure out the requirements, steps, possible profit, and cost of starting a BigBasket franchise in 2025, read this article.

Disclaimer: As of 30th April 2025, Franchise India is not providing the Big Basket franchise. However, we may include it in our list soon. If you wish to get it anytime in the future, do read this blog to get the detailed analysis.

BigBasket Franchise Overview

With a run rate of ₹14,500 crore, BigBasket's revenue is expected to reach approximately ₹12,000 crore in 2024–25 (FY25). The business expects to earn between ₹15,000 to 15,500 crore by the end of 2025–2026 (FY26). The Bigbasket franchise model may appear to be an alluring offer to prospective business owners hoping to get into this profitable industry.
BigBasket works both online and offline, mainly serving as department stores. Bigbasket is a well-known player in India's expanding online grocery business, renowned for its wide product selection and practical delivery options.

With its own warehouses and delivery fleet, Bigbasket largely uses an inventory-led business model. However, in order to increase their reach, especially in Tier 2 and Tier 3 cities or particular geographic areas inside bigger urban areas, they are also looking for franchise agreements. In these franchise models, the franchisee usually oversees a nearby fulfillment center or warehouse and manages last-mile delivery within a predetermined area. This enables Bigbasket to enter new markets without having to make an immediate, significant infrastructure investment.

Investment & Cost Breakdown

The initial investment needed to launch a BigBasket franchise is high and can be divided as follows:

• Franchise Fee: Approximately ₹5 lakhs. ​
• Infrastructure Setup: ₹15–30 lakhs, including fixtures, equipment, and shop interiors.
• Security Deposit: Refundable deposit of ₹2 lakhs.
• Initial Inventory: ₹2–4 lakhs for stocking products like groceries, dairy, and household items.
• Working Capital: Around ₹5 lakhs to manage day-to-day operations.​
• Total Estimated Investment: ₹20–30 lakhs.

ROI and Profit Potential

A BigBasket franchise's profitability is dependent on several variables, including:

• Sales Volume: The main source of income is the quantity of orders you complete within your zone. Your marketing activities, market penetration, and population density all affect this.
• Operating Costs: Profitability depends on the effective control of costs such as rent, payroll, fuel, auto maintenance, and packaging supplies.
• Commission Structure: For its franchisees, Bigbasket is probably going to use either a revenue-sharing model or a commission-based structure. Depending on the product category and total sales, the percentage may change.
• Customer Retention: Long-term repeat business and increased profitability can result from cultivating loyal customers by excellent customer service and prompt deliveries.

Here's an overview:

• Gross Profit Margin: Approximately 25–35% per product.
• Net Profit Margin: After accounting for expenses, net profits range between 10–15%.
• Revenue Sharing: Franchisees retain about 95% of the revenue, with 5% going to BigBasket as royalty.
• Breakeven Period: Typically achieved within 1 to 3 years, depending on performance and market conditions.

Essential Requirements to Become a Bigbasket Franchisee

Bigbasket will choose its franchise partners based on certain standards. These specifications are intended to guarantee that the franchisee can run the business and efficiently represent the brand. Some requirements could be:

• Financial Capacity: You must show that you have the money to cover the large initial expenses and the first few months of running costs. You will probably need to submit a thorough business plan and financial documents to Bigbasket.
• Business knowledge: Having previous business experience, especially in e-commerce, logistics, or retail, can be quite beneficial. Successful franchise operations require strong operational and managerial abilities.
• Infrastructure Availability: To establish a warehouse or fulfillment center in a key area within the assigned territory, you must have access to a suitable space.
• Logistical Capabilities: It is essential to be able to oversee a fleet of delivery vehicles and guarantee timely and efficient last-minute delivery. Having procedures for packaging, dispatch, and order fulfillment is part of this.
• Understanding of the Local Market: It will be helpful to have an understanding of the local customer preferences, demographics, and competitors in your target location.
• Commitment & Dedication: It takes a lot of time, effort, and dedication to run a franchise. Bigbasket will seek out people that are enthusiastic about the company and dedicated to maintaining their brand standards.
• Adoption of Technology: You should feel at ease utilizing technological platforms for communication, inventory tracking, and order administration.
• Legal and Regulatory Compliance: When running a business, you have to abide by all local laws and regulations.

Required Documents:

• Proof of Identity (Aadhaar, PAN)
• Address Proof (Utility bills, rental agreements)
• GST Registration Certificate
• Trade License
• Bank Account Details and Cancelled Cheque
• Passport-sized Photographs​

Key Elements:

Now, focusing on the essential components of the Bigbasket franchise opportunity, these are the things you must understand:

• Brand Leverage: Through joining up with a well-known and reputable online grocery company, you can gain instant credibility and client familiarity.
• Market Potential: There is a lot of room for expansion in the Indian online grocery sector, particularly in Tier 2 and Tier 3 cities (where franchise models are more prevalent).
• Investment Requirement: Be ready to pay an enormous initial amount for working capital, initial inventory, technological integration, franchise fees, and infrastructure (warehouse, cars). This can vary greatly.
• Operational Responsibility: As a franchisee, you will be in charge of the local operations, which may include delivery services, inventory control, warehouse management, and maybe local marketing initiatives.
• Revenue Model: Depending on the sales made in your zone, your profits will probably be determined by a commission or revenue-sharing arrangement with Bigbasket.
• Support and Advice: Bigbasket usually offers its franchisees assistance with technology, operating procedures, and possibly marketing advice.
• Particular Needs: Becoming a franchisee requires fulfilling Bigbasket's requirements for commitment, infrastructure availability, business savvy, and financial capability.
• Long-Term Commitment: A franchise agreement is a long-term commitment that calls for consistency and dedication in order to create a prosperous and long-lasting business.

Step-By-Step Guide to Apply For a Bigbasket Franchise

Here is a wide breakdown of the processes required to apply for a Bigbasket franchise, while the specific application procedure may differ:

• Express Interest: To show your interest, go to the Bigbasket website or get in touch with their franchise development staff.
• Initial Information Gathering and Inquiry: You will probably be sent an initial information file that includes requirements and investment specifics for the franchise opportunity.
• Application Submission: A thorough application form containing details about your experience, financial situation, and business plan must be completed.
• Bigbasket's Due Diligence: Bigbasket will review your application and carry out its due diligence, which may involve financial analyses and background checks.
• Meeting and Discussion: The Bigbasket franchise team will invite you to a meeting to go over the opportunity in greater detail if your application is selected for further consideration.
• Territory Assignment and Agreement: Following mutual satisfaction, a franchise agreement detailing the terms and conditions, such as the territory, commission schedule, and duties, will be written.
• Infrastructure Setup and Training: Next, you'll build up your delivery and warehouse infrastructure. Bigbasket may offer assistance and training during this phase.
• Launch and Operations: You can start operating your Bigbasket business in your assigned area once everything is set up. It is expected that Bigbasket will offer ongoing help and mentoring.

Given the brand's strong market presence and the rising demand for online grocery shopping in India, purchasing a BigBasket franchise can be a profitable idea. However, choosing the right location strategically, running your business effectively, and following BigBasket's rules are all necessary for success. Before committing, conduct a thorough research and think about consulting with current franchisees to obtain more in-depth knowledge.

Frequently Asked Questions

Who is the CEO of Bigbasket?

Hari Menon serves as the Co-founder and CEO of BigBasket, India's largest online grocery platform. Menon, a BITS Pilani alumnus, has a broad expertise in the retail and IT industries, having held executive positions with organizations like Planetasia and Wipro Infotech. Before starting BigBasket, he was a co-founder of Fabmart.com, one of the first e-commerce businesses in India, in 1999. This business then changed its name to Fabmall, an offline retail chain.

What is the plan of BigBasket?

At a retail summit in Mumbai, Menon told Reuters that the company wants to grow from 35 to about 70 Indian cities in the upcoming year and triple its yearly sales by March 2026. But he did not reveal any particular investment plans.

How much does a BigBasket franchise cost?

The total investment for a BigBasket franchise may cost ₹20–30 lakhs. This covers a refunded security deposit of ₹2 lakhs, a franchise fee of around ₹5 lakhs, shop setup costs of ₹15–20 lakhs, and ₹2–4 lakhs for products. It is also advised to set aside roughly ₹5 lakhs for working capital. The location, store size, and city can all affect the overall investment.