India’s Tier 2 cities are emerging as powerful business hubs with increasing disposable income and demand for branded consumer goods. If you are looking for a profitable franchise opportunity in the FMCG sector, this guide presents 20 of the best options to help you build a scalable business.
Why take an FMCG Franchise in a Tier 2 City?
✅High Consumer Demand – Growing urbanization and lifestyle changes boost demand for branded products.
✅ Lower Operational Costs – Real estate and labor costs are significantly lower than in metro cities.
✅ Brand Trust & Recognition – Franchises provide an established customer base, reducing marketing efforts.
✅ Fast ROI – Many FMCG brands operate on a high-volume, low-margin model, ensuring quick returns.
Top 20 FMCG Franchise Opportunities for Tier 2 Cities
1. Amul – The Dairy Giant
Amul’s franchise model is a low-risk, high-return business offering dairy products, ice creams, and beverages.
Avg. Ticket Size: ₹50 – ₹500
Agreement Term: 3 – 5 years
Future Scope: Strong market demand for dairy-based FMCG products across India.
2. Haldiram’s – India’s Snack King
Haldiram’s dominates the snacks & sweets industry, making it a solid investment.
Avg. Ticket Size: ₹100 – ₹500
Agreement Term: 5 years
Future Scope: Growing demand for branded traditional snacks.
3. Mother Dairy – Trusted Dairy & Grocery Brand
A well-known name in milk, ice creams, and grocery essentials with a loyal customer base.
Avg. Ticket Size: ₹50 – ₹300
Agreement Term: 3 years
Future Scope: Expansion into organic dairy and packaged food products.
4. Patanjali – Ayurveda FMCG Leader
Patanjali offers herbal and organic consumer products, making it one of the fastest-growing brands.
Avg. Ticket Size: ₹100 – ₹500
Agreement Term: 5 years
Future Scope: Expansion into medicinal and natural food categories.
5. Reliance Smart Point – The Retail Giant
A mini-supermarket model that leverages Reliance Retail’s robust supply chain.
Avg. Ticket Size: ₹500 – ₹2,000
Agreement Term: 5 years
Future Scope: Hyperlocal retail expansion with Reliance’s digital ecosystem.
6. Nescafé Kiosk – Coffee on the Go
A high-margin beverage franchise ideal for high-footfall areas.
Avg. Ticket Size: ₹100 – ₹300
Agreement Term: 3 – 5 years
Future Scope: Coffee culture is growing fast in Tier 2 & 3 cities.
7. Tata Consumer Store – India’s Growing FMCG Chain
Backed by Tata, this franchise covers beverages, groceries, and essential goods.
Avg. Ticket Size: ₹500 – ₹2,000
Agreement Term: 5 years
Future Scope: Expansion into organic and premium segments.
8. Domino’s Kiosk – Quick Service Pizza Model
A small-format pizza kiosk focusing on takeaway and delivery.
Avg. Ticket Size: ₹200 – ₹800
Agreement Term: 5 years
Future Scope: Faster delivery models, expansion into smaller cities.
9. Barista Café – Premium Coffee Chain
Barista is a premium coffee brand gaining strong traction in smaller cities.
Avg. Ticket Size: ₹150 – ₹600
Agreement Term: 5 years
Future Scope: Increasing coffee consumption trends in India.
10. WOW! Momo – India’s Fastest-Growing QSR Chain
Specializing in momos, wraps, and Tibetan fast food, WOW! Momo is expanding aggressively.
Avg. Ticket Size: ₹150 – ₹500
Agreement Term: 5 years
Future Scope: Huge potential in affordable, quick meals.
11. Giani’s Ice Cream – Premium Dessert Brand
Giani’s offers high-quality ice creams and sundaes, appealing to all age groups.
Avg. Ticket Size: ₹80 – ₹300
Agreement Term: 3 years
Future Scope: Growing market for premium and natural ice creams.
12. Baskin Robbins – Global Ice Cream Leader
An international brand with high recall value and strong demand.
Avg. Ticket Size: ₹150 – ₹500
Agreement Term: 3 – 5 years
Future Scope: Expansion into Tier 2 & 3 locations.
13. Theobroma – Premium Bakery & Café
A high-end bakery specializing in cakes, pastries, and sandwiches.
Avg. Ticket Size: ₹200 – ₹800
Agreement Term: 5 years
Future Scope: Demand for premium bakery products is rising.
14. Licious – India’s No.1 Meat Delivery Brand
A premium meat and seafood brand focusing on hygiene and quality.
Avg. Ticket Size: ₹500 – ₹1,200
Agreement Term: 3 years
Future Scope: Growing demand for quality non-veg products.
15. Chai Point – India's Leading Tea Chain
A highly profitable tea & snacks café model.
Avg. Ticket Size: ₹50 – ₹200
Agreement Term: 5 years
Future Scope: Expanding aggressively in Tier 2 & 3 cities.
16. Bikanervala – Traditional Sweets & Snacks
A heritage brand with a stronghold in the Indian snack market.
Avg. Ticket Size: ₹150 – ₹500
Agreement Term: 5 years
Future Scope: Expansion into regional and international markets.
17. Havmor Ice Cream – High-Quality Indian Ice Cream
A regional leader in the dairy and dessert segment.
Avg. Ticket Size: ₹80 – ₹300
Agreement Term: 3 years
Future Scope: New premium product launches.
18. Vadilal Ice Cream – Affordable Dessert Franchise
A high-volume, low-cost franchise suitable for small retail spaces.
Avg. Ticket Size: ₹50 – ₹200
Agreement Term: 3 years
Future Scope: Growing presence in supermarkets and malls.
19. Subway Small Kiosk Model – Compact QSR Model
A low-investment model focused on quick service and healthy meals.
Avg. Ticket Size: ₹250 – ₹600
Agreement Term: 5 years
Future Scope: Demand for healthy, fast-food alternatives.
20. Bikaji Foods – Indian Namkeen & Snacks Brand
A strong regional player in savories, sweets, and packaged snacks.
Avg. Ticket Size: ₹100 – ₹500
Agreement Term: 5 years
Future Scope: Expansion in exports and packaged foods.
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