How to Start a Profitable Frozen Food Business in India? A Complete Guide

Starting a food business in India will always be a profitable one. Frozen food business on the other hand, can prove to be one of the best options for you especially when you are thinking to start it in a metropolitan city.

The majority of Indian households in urban India are working couples and young unmarried professionals who are living far away from their parents and have little time for preparing food. In this scenario, the demand for frozen food has increased.

How Profitable is the frozen chicken business?

This business would flourish in the urban areas as compared to the remote ones. This is because village or rural areas already have availability of fresh, green, and raw food. So, targeting the rural market with your frozen food products would be a bad idea.

Because of the hectic fast-paced lifestyle and time constraints, such food items would be in higher demand in urban areas. City dwellers rarely have enough time to cook or go to the market on a regular basis to buy fresh supplies. They require more convenient food options, and frozen foods are one of them.

Frozen foods are becoming more convenient and time-saving for a growing proportion of the country's population. These food items are easily available at any grocery store or online retailer.

This is the reason why retailers and online grocery stores are stocked up on frozen foods.

How to start selling frozen food?

There are a few important steps to start this business, which has been discussed below:

Search for your target market and research it:

This is a must-do before starting any business. You must learn about your customer demands, ideal target group, locality, and the markets you will be serving while conducting market research.

The best-targeted audiences for frozen food products are working women, bachelors, families, grocery stores, and canteens. On the other hand, it is also very important to know about your competitor and their marketing strategies.

It will also assist you in determining where to invest your money and which markets to pursue.

Selection of location:

To be successful in the frozen food industry, you must select a good location. It would be advantageous if you opened your store in a high-traffic area.

Choose a location where your target audience can pick up their desired frozen foods on their way home from work. A marketplace, major bus stops in the city, and estates are all good places to start. 

Even if you want to start it with minimum investment then you can also start it from home. Homemade frozen food would help to add more quality, hygiene and taste to your product.

Search for Good suppliers:

Your customers will require these frozen food products almost daily, so you must keep your stock full. So, choose a supplier who can meet your immediate needs and will never run out of stock.

A lack of supply will always be the primary reason your customers will go to your competitor's store and never return if they find better services there.

A good supplier is one of the main keys to success and would increase brand loyalty for your frozen food startup.

Apply for mandatory permits:

Before you start a frozen food business, you must obtain the necessary food permits; otherwise, your company will be vulnerable and illegal. In such cases, the government has the authority to close your shop until you obtain the necessary permits.

Avail necessary equipment:

There are some of the important equipment that would be required to start the business like freezers, weighing scales, delivery vehicles, etc. If you are just starting your business then at least must have a freezer whether it is a new one or used one.

Prepare a strategy for marketing:

Now the question comes how to make our business accessible to our customers. A SWOT analysis is required to plan your offline and online marketing strategies. In order to conduct a SWOT analysis, one must investigate the various strengths, weaknesses, opportunities, and business threats. This allows you to learn and assess your market position.