The Apna Mart Story of Taking Modern Retail to Tier 2-3 India

In 2021, while metros were saturated with Big Bazaar, DMart, Reliance Smart, and quick commerce startups, millions in tier 2 and tier 3 cities still shopped at traditional kiranas with limited selection and inconsistent pricing. Two entrepreneurs—Abhishek Singh from IIT Kanpur and Chetan Garg—saw an untapped opportunity. They launched Apna Mart with a radical thesis: build DMart-like neighborhood supermarts specifically for smaller cities through a franchise-driven omnichannel model. Four years later, Apna Mart operates across 14 cities, delivers groceries in 15 minutes, operates 100+ franchise stores, and has raised over $40 million from Accel, Peak XV Partners, and Nandan Nilekani's Fundamentum Partnership. This is the story of how modern retail is finally reaching Bharat.

The Founders: From IIT Kanpur to Product Leadership (Pre-2021)

Abhishek Singh earned his Bachelor's Degree in Civil Engineering with a minor in Economics from the Indian Institute of Technology, Kanpur. His career trajectory demonstrated strong product and growth expertise across multiple sectors. He served as Overall Head-Events and Competitions at Antaragni IIT Kanpur during his college years, showing early leadership abilities.

Post-graduation, Abhishek's professional journey included roles at Aspiring Minds as Associate Product Manager, CarWale as Product Manager contributing to business growth, Edureka as Senior Product Manager and later AVP - Business & Growth, and Healers At Home in product and growth. He also worked as an Entrepreneur In Residence at Impactpreneurs, where he built a social enterprises listing product.

Most relevant to Apna Mart's future direction, Abhishek worked as Head-Product and Growth at Lenskart.com, leading the Aqualens product, brand, and growth teams. This experience at a successful omnichannel retail company that bridged online and offline likely shaped Apna Mart's own omnichannel strategy.

His co-founder was Chetan Garg (also referred to as Chetan Kumar Garg in some sources). Together, they identified a massive market opportunity: bringing organized retail to India's smaller cities through a scalable, technology-enabled franchise model.

The Launch: Ranchi Headquarters, Bharat Focus (2021)

In 2021, Abhishek Singh and Chetan Garg founded Apna Mart. Sources vary slightly on founding year—some cite 2021, others 2022, but the consensus points to 2021 as the company's incorporation year with operations beginning shortly thereafter.

The company was headquartered in Ranchi, Jharkhand—a deliberate choice signaling their commitment to tier 2-3 cities rather than Bengaluru or Mumbai. The registered address is C/O KISHORI SAO, FIRST FLOOR, WARD NO 3, OPPOSITE OF SATYAM APARTMENT, MORABADI, Ranchi, RANCHI, Jharkhand, India, 834008. The company operates under the legal entity Fleet Labs Technologies Private Limited.

The vision was clear from day one: Apna Mart is a retail chain that aims to provide high-quality products and services to residents of small towns and cities in India, leveraging technology and innovation to bridge the gap between metro cities and smaller towns.

The Business Model: Franchise-Driven Omnichannel

Apna Mart adopted a unique model distinct from both traditional kiranas and modern retail chains. The company describes itself as building scalable, asset-light chain of neighborhood super marts. They focus on bringing competitive pricing, varied assortment and consistent consumer experience coupled with the trust and personal connect of a neighborhood kirana.

The franchise-driven model was central to rapid expansion. Unlike DMart or Reliance Retail that operate company-owned stores requiring massive capital, Apna Mart partners with local entrepreneurs through franchises. The company provides the tools, technology, supply chain, branding, and operational support while franchisees invest in real estate and day-to-day operations.

Crucially, Apna Mart offered two pathways for franchisees:

New Store Launch: Entrepreneurs without existing retail experience could apply to open new Apna Mart stores. The company advertised that "What you may NOT need: a business experience" and promised "Our team, tools and time to build 'YOUR' Apna store!"

Store Upgrade: Existing kirana store owners could convert their shops into Apna Mart franchises, upgrading their store experience with Apna Mart's technology, supply chain, and branding support.

The omnichannel approach integrated offline convenience stores with online ordering and delivery services. Customers could shop at physical stores or order online through the Apna Mart platform, with the company leveraging local offline stores and own franchises to fulfill orders.

The Positioning: "DMart for Smaller Cities"

Apna Mart explicitly positioned itself as DMart for smaller cities. This messaging resonated immediately—everyone understood DMart's value proposition (quality products at competitive prices in organized retail format), and Apna Mart promised the same experience for cities that DMart hadn't reached.

The platform offers a wide range of products through its online platform and physical stores, aiming to revolutionize grocery shopping experiences for cities. Product categories include groceries, household essentials, personal care products, FMCG goods, fresh produce, and more—essentially covering the full spectrum of daily needs.

Pricing strategy emphasized affordability: "Our products are priced with care and love towards YOU." The tagline "Shopping is an everyday fun and pocket friendly experience with our regular offers and deals" reinforced value-for-money positioning critical for price-sensitive tier 2-3 consumers.

The 15-Minute Promise: Quick Commerce in Bharat

While metros had Zepto, Blinkit, and Swiggy Instamart delivering in 10-15 minutes, smaller cities lacked quick commerce infrastructure. Apna Mart bridged this gap by offering 15-minute deliveries of daily groceries and FMCG products—bringing metro-level convenience to Bharat.

The company leveraged its franchise-driven model to enable hyperlocal delivery. Each franchise store functioned as a dark store/fulfillment center for its neighborhood, enabling rapid delivery without building separate warehouse infrastructure. The tagline "We deliver in minutes. 10 mins is all it takes" signaled their speed commitment.

Geographic Expansion: 14 Cities Across Central and Eastern India

Apna Mart strategically focused on tier 2 and tier 3 cities, primarily in Central and Eastern India where organized retail penetration remained low. The company currently operates across 14 cities including:

• Jharkhand: Ranchi (headquarters city), Hazaribagh, Jamshedpur, Dhanbad

• Chhattisgarh: Raipur, Bilaspur

• West Bengal: Asansol

• Other cities in Eastern and Central India

This geographic focus had strategic advantages. These cities had growing middle-class populations with increasing purchasing power, lower real estate costs enabling larger store formats at affordable rents, less competition from organized retail giants, and strong local entrepreneurial communities willing to invest in franchises.

By March 2025, Apna Mart operates 100+ franchise stores across these cities, with expansion continuing aggressively.

The Franchise Success Stories

Apna Mart showcases testimonials from successful franchisees validating the model's viability:

One franchisee stated: "The founders of Apna Mart has proved and delivered what they told and they really established the fact that this model will definitely work and I witnessed it in my first store and this encouraged me to do the other one." This franchisee's confidence led them to open a second location—strong proof of unit economics.

Another franchisee reported: "We have been really blessed that our store has been profitable from day 1 and a lot of the credit goes to the Apna mart team has constantly supported and happy to say that my store revenue has doubled from where we started." Day-one profitability and revenue doubling demonstrates the strength of the business model and operational support provided.

The Funding Journey: From Seed to Series B ($40M+)

Apna Mart's growth attracted marquee venture capital investors. The company raised its first funding round on March 15, 2022—within a year of incorporation, demonstrating strong early traction.

Over five funding rounds, Apna Mart has raised a total of $38-40 million (sources vary slightly) from investors including:

Lead Investors: Accel (largest external stakeholder holding 20.91% stake), Peak XV Partners (formerly Sequoia Capital India, holding 13.06% stake), Fundamentum Partnership (Nandan Nilekani's firm, holding 11.39% stake)

Other Investors: Titan Capital (early backer), Sparrow Capital, 2 AM Ventures, Disruptors Capital, Alteria Capital, Culture Cap

Angel Investors: Rohit Bansal and 9 other angels

The most recent funding round was on March 24, 2025—a combination of equity and debt totaling Rs 214.5 crore (approximately $25 million). The board approved issuance of 6,342 Series B compulsory convertible preference shares at Rs 2,78,402 per share, raising Rs 176.5 crore ($20.5 million). Additionally, 3,800 debentures were issued securing Rs 38 crore ($4.5 million) in debt funding.

Fundamentum Partnership Fund led this round with an Rs 84 crore investment, while Accel India, Peak XV, and Sparrow Capital contributed Rs 60.88 crore, Rs 17.4 crore, and Rs 4 crore, respectively. The remaining funds came from 2 AM Ventures, Disruptors Capital, and Alteria.

Shareholding Structure: Founder Control with Investor Support

Currently, co-founders Abhishek Singh and Chetan Garg each hold a 24.76% stake in the company—maintaining significant founder control (combined ~50%) even after multiple funding rounds. This balanced cap table suggests smart fundraising without excessive dilution.

Accel Partners is the largest external stakeholder, followed by Peak XV Partners and Fundamentum Partnership—three of India's most respected venture capital firms specializing in consumer and retail investments.

The Competitive Landscape: Value Retail Renaissance

Apna Mart operates in a suddenly crowded space. The "value retail for tier 2-3 cities" thesis has attracted significant capital and competition:

SuperK: Selling groceries at affordable prices similar to DMart, Vishal Mega Mart, and Reliance Smart Bazaar, attracted investments from Flipkart co-founder Binny Bansal's 3State Ventures and CaratLane founder Mithun Sacheti.

Citykart: Selling affordable apparel and home furnishings, secured ₹538 crore from TPG NewQuest and A91 Partners in May.

Aap ka Bazar: Another value-retail chain focused on small-town India with technology-led operations.

Investors are betting that India's grocery market is massive enough for multiple models. As Ashish Kumar, co-founder and general partner at Fundamentum Partnership, stated: "The market for grocery in India is massive and it's clear that just one model will not work."

Alvarez and Marsal's Singhal explained the opportunity: "Large players have significant strengths in cost structure, supply chain networks, and scale of operations. However, their formats are not always nimble or suited to all geographies. Startups that target underpenetrated micro-markets, adopt smaller and more flexible store formats (such as 2,000-5,000 sq.ft.), and refresh merchandise faster can build a competitive edge."

He added: "Rather than going head-to-head, the opportunity lies in tapping into the fragmented and underserved parts of a rapidly growing market."

Product and Brand Partnerships

Apna Mart offers brands an attractive distribution channel: "Launch your products with Apna Mart across tier-2 and tier-3 cities. We offer an ambitious, efficient, multi-medium experience uniformly."

For FMCG brands struggling to reach smaller cities cost-effectively, Apna Mart's 100+ franchise stores provide organized retail presence without the capital expenditure of setting up own distribution networks.

The platform boasts: "We've got the BEST. Global, local, you name it"—indicating comprehensive assortment spanning national brands, regional favorites, and private label products.

Technology Integration: Omnichannel Excellence

Despite targeting tier 2-3 cities, Apna Mart emphasized technology from day one. The company describes itself as operating "tech-enabled, omnichannel neighbourhood mid-size stores."

The technology stack enables:

• Online ordering platform: Website and mobile app for browsing and ordering

• Inventory management: Real-time stock visibility across franchise stores

• Delivery logistics: Route optimization for 15-minute delivery promise

• Loyalty programs: Rewarding repeat purchases

• Franchise management: Tools for franchisees to manage operations efficiently

The tagline "The future of retail is here! Shop from a nearby store or order online" captured the omnichannel promise—customers choose their preferred shopping method.

What Makes Apna Mart's Model Work

Franchise Capital Efficiency: By partnering with local entrepreneurs, Apna Mart expands rapidly without the massive capital requirements of company-owned stores.

Local Entrepreneurship: Franchisees have skin in the game, ensuring motivated store operations and local market understanding.

Omnichannel Convenience: Combining physical stores with online ordering and 15-minute delivery provides metro-level convenience in tier 2-3 cities.

Geographic Focus: Concentrating on Eastern and Central India allows operational excellence and supply chain optimization within a region rather than spreading thin.

DMart Positioning: Clear, understandable positioning as "DMart for smaller cities" immediately communicates value proposition.

Founder Pedigree: IIT Kanpur education and product leadership experience at Lenskart provided operational and strategic capabilities.

Store Format: 2,000-5,000 sq.ft. stores are smaller than hypermarkets but larger than kiranas—perfect for neighborhood convenience.

Investor Backing: Support from Accel, Peak XV, and Fundamentum provides capital, mentorship, and credibility.

The Path Ahead: Ambitious Expansion

With fresh funding and proven unit economics (franchisees reporting day-one profitability and revenue doubling), Apna Mart is positioned for aggressive expansion. The company invites franchisees: "Find an Apna Mart near you" and "Take the first step towards the best and the future!"

The vision remains ambitious: bringing organized retail with competitive pricing, varied assortment, consistent consumer experience, 15-minute delivery, and loyalty rewards to every tier 2-3 city in India—essentially democratizing modern retail access.

The Legacy in Making: Four Years of Bridging the Gap

From 2021 to 2025, Apna Mart has demonstrated that the "organized retail gap" in tier 2-3 India represents massive opportunity, not insurmountable challenge. The company proved that franchisees can profitably operate modern retail formats in smaller cities, consumers in Ranchi and Bilaspur want DMart-like experiences as much as Mumbaikars do, and 15-minute grocery delivery works beyond metros.

Every time a customer in Hazaribagh orders groceries on Apna Mart and receives them in 15 minutes, every time a local entrepreneur opens a profitable Apna Mart franchise doubling revenue within months, every time a tier 3 city resident experiences organized retail's convenience and pricing—they're experiencing Abhishek and Chetan's vision: technology and innovation bridging the gap between metros and smaller towns.

Because modern retail shouldn't be a metro privilege. It's Apna—ours. And with Apna Mart, Bharat is finally getting its DMart.