Kiranas Remain Backbone of India's Grocery Market Despite Digital Growth: Report

• Kirana stores continue to dominate India's grocery ecosystem, aligning with the consumption behavior of the largest consumer base.
• A RedSeer Strategy Consultants report, "THE AOV TRAP," highlights kiranas' role in serving high-frequency, low-AOV baskets for low- to mid-income households.
• Kiranas currently hold over 90% of India's grocery market, projected to retain a dominant ~86% share by CY2030, despite rapid growth in quick commerce.
• Their resilience stems from effectively serving the largest population segment with frequent, smaller purchases.
• While quick commerce disrupts online shopping for convenience, kiranas remain crucial for value-driven, low-ticket purchases, which characterize the bulk of Indian grocery consumption.

Why It Matters: Kirana stores are indispensable to India's grocery market, catering to value-driven, frequent, small purchases.