Starting a Cold Drink Business in India: A Step-by-Step Guide

If you’re looking to start a new business in India, selling cold drinks can be a lucrative option. With a hot and humid climate throughout most of the year, demand for refreshing beverages is high. Here’s a step-by-step guide to starting a cold drink selling business in India:

Step 1: Conduct Market Research

Before you start your business, conduct market research to identify your target customers and competitors. You can use online platforms like social media and e-commerce websites to gather information about the latest trends in the cold drink market.

Step 2: Choose a Location

Choose a strategic location for your shop or kiosk. Busy streets or popular malls can offer high foot traffic and visibility. Make sure you obtain the necessary permits and licenses from the local government authorities.

Step 3: Calculate Initial Investment

Calculate the initial investment required to start your business, including the cost of renting a space, purchasing equipment like refrigerators and dispensers, and buying initial stock. Make sure you have a clear idea of your costs before you begin.

Step 4: Source Products

Choose a supplier to source your products from. You can buy from wholesale dealers or directly from the manufacturers. Try to get a good deal by negotiating with suppliers and buying in bulk.

Step 5: Setup Your Shop

Set up your shop or kiosk with refrigerators and dispensers. Ensure that your space is clean and hygienic. Invest in branding elements like signage and menu boards to attract customers.

Step 6: Launch Your Business

Finally, launch your business by announcing it to your local community via word of mouth, social media, or local advertising. Offer promotions and discounts to attract customers in the initial stages.


Q: Do I need any legal permission to start a cold drink business in India?

A: Yes, you will need several legal permissions and licenses to start a cold drink business in India. You can consult with a local lawyer or a business consultant to understand the requirements and obtain the necessary permissions.

Q: How much investment is required to start a cold drink business?

A: The initial investment required to start a cold drink business can vary greatly depending on various factors such as location, size of the business, and the type of equipment required. You should conduct thorough research to get a clearer picture of the investment required in your specific case.

Q: What type of products should I sell in my cold drink business?

A: You can sell a variety of cold drinks such as soft drinks, juices, smoothies, iced tea, coffee, and flavored water. You should understand the preferences of your target customers and offer products accordingly.

Q: What is the competition like in the cold drink market?

A: The cold drink market in India is highly competitive, especially during the hot and humid summers. You should conduct a thorough analysis of your competitors and identify opportunities to differentiate yourself from them. Offering unique products, pricing, and customer service can be some ways to stand out from the competition.


In conclusion, starting a cold drink selling business in India can be a profitable venture, given the high demand for refreshing beverages throughout the year. However, it is important to conduct thorough market research, calculate your initial investment, and obtain the necessary licenses and permits. Additionally, differentiating yourself from the competition by offering unique products, pricing, and customer service can help your business succeed. By following the steps outlined in this guide and being strategic about your approach, you can set your cold drink business up for success. Good luck!

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