Coffee Industry - Overview

India - 6th position producing approx 3 lakh tons / p.a.

Coffee Consumption in India is growing at 6% p.a. compared to global 2% plus p.a.

In India, the per capita consumption of coffee is around 85 grams while it is six kgs in the US.

India has about 170,000 coffee farms cultivating around 900,000 acres of coffee trees.

Consumption, has been increased exponentially. It has almost doubled to 108,000 tonnes from 55,000 tonnes in 2000.

History

Café Coffee Day is a division of India's largest coffee

conglomerate, Amalgamated Bean Coffee Trading Company Ltd.

(ABCTCL)

ABCTCL grows coffee in its own estates of 10,000 acres

largest producer of Arabica beans in Asia

ABCTCL is one of India’s leading coffee exporters with clients

across USA, Europe and Japan.

UNDERSTANDING CAFÉ COFFEE DAY

India's largest coffee conglomerate, Amalgamated Bean Coffee Trading Company Ltd promoted by V G Siddhartha (Founder & Director)

Headquarters based in Bangalore, Karnataka

First Café coffee day outlet was started in Bangalore (1996) on Brigade road A Rs. 750 crore ISO 9002 certified company

Pioneer of the café culture and the first to launch the “coffee bar‟ concept in India.

Network strength: 1100+ cafés in 150+ cities/towns across India and growing

Cont..

Average Footfalls: 400 per café per day

Average dwell time at café: 45 minutes

Meeting place for Young or Young at Heart people

The place they frequent most after “home and workplace/college”.

A place where they meet friends and colleagues,

In groups of 3 or more

A place where they rejuvenate and are free to be themselves rather than a place to be “seen at”

Brand Identity & Image

Coffee & ConversationFor young & young at heartFriendly & Stylish Social hubThe Logo : Power of Dialogue Tag line – A lot can happen over coffee A perfect place to ‘relax and dialogue’

Identity:

Image:Indian, YoungPlace to hangout & have conversationsCherished memories

CCD - Customer Experience.flv

KEY TARGET AUDIENCE

Major chunk of CCD customersfalls within the age group of 20 to 30which accounts for 57% of the overall percentage.

The group comprises of mainly College going students and young working professionals.

Apart from the café’s product & a place to Hangout with friends the café is the venue for the Business Meeting(13%) , Celebrating Special Occasion (10%) & Just Time Pass (17%)

YOUTH – The Target Audience

Strong Voice in household purchases

Make consumption related decisions in company of friends

Influencers: Peer group, workmates

Access to large amount of money to spend

Likes to seen at the right place

Socially Active: Hangs out at cafes/malls

Looking for a good lifestyle

Aspiration led purchases

Value Proposition

FunctionalLargest chain of Café in India with 1100+ Outlets – Accessibility

Economic Good and affordable coffee and food compared to the other Cafes – Affordability

Emotional Hang out joint with friends / colleagues - Acceptability

Café Coffee Day – SWOT Analysis

Strength:

Large Number of outlets

In house sourcing

Tie up with Corporates

Excellent Ambience & Service

Weakness:

Limited target audience

Limited Offering on Food

Opportunity:

Large untapped market

Tie up with other companies for promotion

Threat:

Foreign players Georgia Jeans,

Costa Coffee ,Star bucks, etc

Large unorganized market

Coffee Day – Branded House

Coffee Day

(Branded House)

(FMCG

Packaged

Coffee)

division

PerfectFresh 'n' Ground

450 coffee

bean and

powder retail

outlets

a high level

Coffee bar

Square Lounge

X’press

900 plus

Coffee Day

kiosks

Beverages

over 14,000

vending

Machines.

Exports

Coffee exports

division

Coffee Day

Coffee Day

Coffee Day

Coffee Day

Coffee Day

Coffee Day

Café Coffee Day – POP / POD

POP:Good Hospitality & Ambience

Variety & wide choice of

beverages

Friendly and stylish hang-out

joint

Strong Tie-ups with corporatePOD:

Affordable price as compared to competitors

Wide network of cafes at strategic locations

In-house sourcing of coffee beans

Combination of classic coffee + Indian Taste

High Price

Low Price

Quality Quality

Perceptual Map

(Rich) (Poor)

Brand Identity Prism (Kapferer)Exte

rnalizati

on

Inte

rnaliz

atio

n

Relationship

Culture

ReflectionSelf - Image

Physique

Personality

Sender

Receiver

YoungSophisticatedCasual

FriendlyNon- Intrusive

For the upward class wanting to have a casual environment to chat

SophisticatedFriendly Environment

Music LoversHangout Place

IndianVibrant

Keller’s CBBE Model

•Rich taste, Coffee & Snacks , Ambience

Salience

Performance

Imagery

Judgment

Feelings

Resonance

•Friendly •Stylish hang-out joint

•Wide choice of beverages•Affordable price•Relaxed environment

•Efficient Service•Wide network of

café’s

•Pioneers•Good taste at affordable

price

Frequent revisits (A place where you can be yourself)

Learning's

Classic learning of how a commodity can be branded

Vertical integration to get the competitive edge

Bringing in the Local taste for the product success

Branding the Customer experience