Modern Bazaar, one of Delhi-NCR's oldest premium grocery retailers, is restructuring its store network as the rapid rise of quick commerce forces traditional supermarkets to rethink retail economics. According to reports from Mint, the ₹250-crore turnover retailer has reduced its store count from approximately 28-30 stores to around 14 stores within the past year. The company has shut stores in posh Defence Colony, Select CityWalk mall in Saket, New Friends Colony, and its Aerocity location, with plans to replace the latter with a new outlet at another nearby location.
The retailer is focusing on its Express store format, which has seen success according to company founder Kumar. As reported by Mint, Modern Bazaar plans to open more such stores across Delhi-NCR and eventually outside the region. The Express stores feature a neighborhood shop concept designed for quick purchases and fast service, with lower rentals and different consumer segments compared to larger formats. The company will continue operating large-format outlets in select locations but will make future decisions based on profitability and consumer demand.
Modern Bazaar's financial performance has shown significant volatility over recent years. According to financial data from Tofler reported by Mint, the company's operating revenue rose from ₹232.7 crore in FY21 to ₹288 crore in FY23, before remaining broadly flat in FY24 and falling 13.6% to ₹247.2 crore in FY25. The company's net profit declined to ₹1.43 crore in FY25 from ₹2.62 crore in the previous year, translating to a margin of about 0.6%. The retailer's direct rivals include FoodStories, Nature's Basket, and Le Marche.
According to a senior industry executive quoted by Mint, many of Modern Bazaar's operational woes stem from gross mismanagement. The executive highlighted gaps between reported and actual inventory, expired stock, and ethics issues including mislabeling goods with new expiry dates. The executive also noted that the company operates as a practically one-man show with no professional management, relying on trusted hands rather than suitable business structures for the current competitive environment.
Modern Bazaar faces pressure from suppliers who have become more cautious about extending working-capital cycles following payment defaults and store shutdowns across the sector. As reported by Mint, the company's founder Kumar acknowledged supplier concerns, stating that vendors have increasingly sought changes to payment terms. The retailer has been in discussions around a potential strategic transaction, though Kumar declined to comment on whether any deal is close to being finalized. The company sees online commerce as complementary to its stores, focusing on building loyalty rather than competing on delivery speed with quick-commerce platforms.
