A lot can happen over coffee Executive SummaryIntroduction: Café Coffee Day is a division of India’s largest coffee conglomerate, Amalgamated Bean Coffee Trading Ltd (ABCTCL), popularly known as Café Coffee Day. ISO 9002 certified company. CCD has become India’s largest and premier retail chain of cafes with 552 cafes in 90 cities around the country.Its different division includes: • Coffee Day Fresh n Ground • Coffee Day Xpress • Coffee Day Take away • Coffee Day Exports and Coffee Day Perfect divisionAbout project:Topic “Customer Relation Management initiation to improve sales at Café Coffee Day” The project also includes how to retain the existing customer. It has also seenwhich activities inspire the customer to visit Café Coffee Day more often. The study wasmade know whether customers are satisfied about Café Coffee Day or not. Because satisfiedcustomers will be the loyal customers. It has also seen which things are not going good forfurther improvement.Objective: i) To know the importance of CRM in Café Coffee Day. ii) To introduce CRM strategy in Organization. iii) To know whether CRM helps to build strong relation with customer. iv) To know whether CRM helps to retain the customer. v) To identify area for further CRM improvementBABASAB PATIL 1
A lot can happen over coffee Findings: • Students visit Café Coffee Day more • Age group between “20-25” visits Café Coffee Day more. They are the potential customers. • 39% of the respondents visit Café Coffee Day once in week and 37% of the respondent visit café Coffee Day once in month. • 57% of the respondent visit CCD refreshment Purpose • 49% of the respondent feel coffee and Snacks influence them to visit CCD • 63% of the respondent were not aware of the promotional activity Conducted by CCD • 76.8% of the respondent would like to know about promotional activity. • 77% of the respondent would like to be part of any future event in CCD • 78% of the respondent Satisfied about service • 66% of the respondent feel event conducted by CCD influence them to visit CCD • 73% of the respondent feel Staff of CCD is friendly • 36% of the respondent said promotional activity influences them, 34% said DJ shows influences them. Promo: • 53.6% of the customer rated prom was good and 35.7% rated promo was excellent. • 89% of them expect more events in future. • 96.4% of the respondent satisfied about promo.BABASAB PATIL 2
A lot can happen over coffee Suggestions and Recommendations 1. Organize at least few promotional activities in order to build good relation with customer 2. Give advertisement about promotional activity 3. Maintain Customer data base. 4. Wish the regular customer for New Year or for any festivals through greeting card or SMS or through gift. This will increase the loyalty of the customers. 5. Increase number of couches and place 6. Play the good music 7. Quick Service 8. To increase sales Café Coffee Day can also have corporate tie ups within the city. 9. Provide scratch card to the customers. 10. Identify the regular customer of the Café Coffee Day and provide them cards through they can get some discount. Through this Café Coffee Day can retain their existing customer.BABASAB PATIL 3
A lot can happen over coffee Table of ContentS.No Particulars Page.No1 Section- I 1-10 • Industry overview2 Section –II 11-40 • Company Profile3 Section-III 42-44 • Project Details4 Section-IV • Analyses & interpretation 44-71 • Findings 71 • Recommendation & Suggestion 73 • Conclusion 75 • Limitation5 Section V Annexure • Questionnaire • Advertisement • Bibliography • Coding sheetsBABASAB PATIL 4
A lot can happen over coffee Section -IBABASAB PATIL 5
A lot can happen over coffee Industry OverviewBABASAB PATIL 6
A lot can happen over coffeeIntroduction:Coffee occupies the third slot after tea and milk in the domestic market. Non-drinkers andoccasional coffee drinkers, who account for 78% of the countrys populace, are the primetarget for the Coffee Board and retail chains for promoting consumption.According to the study done by the Gallup and Coffee Board, the top of mind recall for teasin the country is 66% as against 22% for coffee. Speaking on opportunities for coffeeretailing in India, the countrys coffee consumption topped 85,000 tonnes in 2006. Thoughcoffee has been in a commanding position in the southern states, tea also has an equal share.There is a great scope for increasing coffee consumption amongst occasional drinkers andnon-drinkers.Coffee has to compete with other beverages to get its share of throat. Marketers have to targetyounger consumer, and come with new and appealing patterns. Coffee can be easilyassociated with wellness, health and youth. The market potential is $100 million.INDIA -- Domestic consumption of coffee shows a steady increase. This fact is happening inthe same time with the fast food segment growing at the rate of 40% every year. In the nextcouple of years, coffee chains in India are expected to grow at an annual rate over 30%.From being a traditional beverage consumed mainly in South India, coffee now has anational presence, consumed in several forms and retail formats.The results have been dramatic: domestic consumption of coffee last year increased by nearlyone-third, from 60,000 to 80,000 tons.BABASAB PATIL 7
A lot can happen over coffeeCoffee production and consumption State-wise Production in metric tonesCoffee consumption in India Estimated Domestic Consumption (1991 - 2005)Calendar Year Quantity (in MT)1991 550001992 550001993 550001994 550001995 550001996 550001997 550001998 550001999 550002000 600002001 640002002 680002003 700002004 750002005 80200Internationally, coffee sales are virtually stagnant, moving ahead at 0.5 per cent. Accordingto a research report by the United Nations Food and Agriculture Organisation, Indias coffeeconsumption has been chugging along at 2.2 per cent per annum.With consumption pegged at 70,000 tonnes, branded coffee accounts for 53 per cent,unbranded 40 per cent, with cafes constituting 7 per cent. Industry estimates peg the annualgrowth rate of the coffee-house segment at a half per cent clipzBABASAB PATIL 8
A lot can happen over coffeeThe Coffee Café IndustryThe Coffee Café industry is currently one of the biggest and fastest growing sectors inbusiness. The industry consists of a mix of individual cafés, hotel cafés and retail café chains.India has always been predominantly a Chai (Tea) drinking nation. India is famous fordrinking tea .people in India irrespective of the Class, religion and place are fan of tea. Coffeeremain in a distinct position compared to tea. However in these days coffee consumption isincreasing in India. Indian coffee Board is promoting coffee and it seems that theirpromotional activities are yielding good result.Coffee has been only moderately popular in some southern states, other than that it has beenChai (Hindi term for Tea), Chahaa (Marathi term for Tea), cutting (Mumbai term for half teacup), maramari (another popular term from western India for tea) all the way!However, there has been a sudden change in this trend with coffee becoming more and morepopular in recent times especially among the younger population. The roadside Chai (Tea)thelas (shops) outside colleges and offices have been replaced by hip coffee joints like Baristaand Café Coffee Day. The Chai (tea) that used to cost couple of rupees (5 cents) is replacedby coffee costing something like Rs. 100 ($2.50).The organized coffee retail business in India is over Rs.8 billion ($17 million), and thepotential for coffee retail outlets are nearly 3,000.BABASAB PATIL 9
A lot can happen over coffeeWith the Indian middle class consumer ready to spend more and be a part of global lifestyleand culture, coffee parlours in the country are on an expansion spree.From small-sized coffee parlours to classy coffee lounges leading coffee retailers such asCafé Coffee Day, Barista, Costa Coffee and Coffee World have all been fighting hard to lureIndia’s growing middle class.Individual Cafés:The main bulk of revenue is earned by small, individual cafés, run mostly by families andfriends. It is a relatively unorganized sector. There are millions of such cafés around theworld, and they provide customers with a homely, casual experience.The bulk of these cafés are mainly in Europe, where every little town or village has localcafés, where people gather together for a conversation over coffee, or just to be alone withtheir thoughts.These cafés have been the birthplace and sanctuary for various creative minds, revolutionariesand thinkers of our time. The most recent example is the author J.K. Rowling, who haswritten most of the Harry Potter series of books, sitting at her local café.These cafés set themselves apart from retail chain cafés and hotel cafés because they providecustomers with a homely, classic appeal, which cannot be emulated.Hotel Cafés:Ever since the popularization of coffee, hotels all over the world started opening 24-hourBABASAB PATIL 10
A lot can happen over coffeecoffee shops where visitors to the hotel could walk in for a cup of coffee and some food atany time.These coffeehouses are extremely important, because they provide international visitors to thehotel with a universal drink- coffee. Any customer can walk into any major hotel in theworld, and enter the coffeehouse, and know what to expect. These cafés are not really majorplayers in the coffee café industry, but rather provide supplementary services to the hotelindustry.Retail Café Chains:The last, and the most organized sector in the coffee café industry, is the retail café chain. Offlate, these chains have become extremely popular and are growing at an ever-increasing pace.These retail chains have work with an organized structure of man, material and money. Thework on developing a recognized brand consistent to all their outlets, which customers caneasily relate to, wherever they go. They provide customers with a standardized level ofservice and quality at each of their outlets. Tiff in also.The vintage location of the mess attracts huge crowds even today early in the mornings,Coffee however was not the only item on the menu. These places also served food and otherdrinks to their customers.The drink also became famous and as a result even five star hotels began cashing in on it.Several hotels all over the country started opening coffee- shops that catered to high- endBABASAB PATIL 11
A lot can happen over coffeecustomers. This showed the popularization of coffee cafés, to all sections of society.The drink has now become more of a concept than merely a drink itself. The last decadewitnesses the growth of numerous coffee pubs in the country. A number of coffee caféowners tried to westernize the taste in contrast to the filter coffee.Now, large retail chains like Qwikys, Barista, and Café Coffee Day have opened up aroundthe country. The concept of a café today is not merely about selling coffee, but aboutdeveloping a national brand. Retail cafés now form a multi- crore industry in the country,and have huge potential for growth locally, and internationally. Major CompetitorsAs coffee culture gets bigger in India, a traditional tea drinking nation, domestic andinternational chains are lining up big expansion plans to the tune of nearly Rs 325 crore in theBABASAB PATIL 12
A lot can happen over coffeenext 3-5 years.Majors players like Barista, Costa Coffee, Cafe Coffee Day and Barnies are alreadyworking overtime to expand their presence in the country and implement product portfoliooverhauls. On the other hand, global player Starbucks Corporation is all set to make itsIndia debut in 2007.All café chains, are looking to cash in on the booming coffee retail in India, which is expectedto grow at an annual rate of over 30 per cent in the next couple of years on the back ofpatronage from the young population in the 18-25 age bracket with a growing disposableincome.The latest to announce big plans for expansion in the Indian coffee retail market is UK-basedcoffee shop chain Costa Coffee. The company is doing an investment of Rs 150 crore to setup 300 outlets in the next five years. Costa is taking steps to widen its menu, includingaddition of a range of wraps. It is also in the process of fine-tuning an India specific menu toappeal to the local palate.In the wake of increased competition, Barista, one of the first players, is making aninvestment of Rs 50 crore this fiscal to add around 100 new stores. It plans to have a total of250 outlets by end of this fiscal and take it beyond the metros to smaller cities.US-based coffee store chain Barnies had said it would invest Rs 75 crore while announcingits foray in the Indian market. It will open 300 stores across the country in the next five years.In the first year itself they are looking at setting up 25 stores in the country and the companywould open stores at Bangalore, Mumbai, Chandigarh, Jalandhar and Lucknow.Another major player in the segment part of Amalgamated Bean Coffee Trading CompanyLtd, Café Coffee Day is looking at an investment of about Rs 35-50 lakh per outlet. CafeCoffee Day has already made plans to open toyal 500 outlets across India by 2007.BABASAB PATIL 13
A lot can happen over coffeeWhile the existing players are looking at consolidating their businesses, US-based coffeeretail giant Starbucks Corporation is planning to enter India with its expected debut in 2007.They are looking forward to offering the finest coffee in the world to customers in thiscountry within the next 18 months.BABASAB PATIL 14
A lot can happen over coffee Section –IIBABASAB PATIL 15
A lot can happen over coffee Company Profile About Amalgamated Bean Coffee Trading Company Limited (ABTCL)BABASAB PATIL 16
A lot can happen over coffeeMr.V.G Siddhartha, Chairman CCD initiated his business interests in coffee by incorporatingAmalgamated Bean Coffee Trading Company Limited (ABCTCL) in the year 1994. FromExports to commodity trading and building a brand, Coffee Day entered with ‘Fresh nGround’ and subsequently went up the value chain thereby revolutionizing the metropoliswith Cafes under the brand Café Coffee Day.ABCTCL today is one of Asia’s top 500 companies and soon aims to be among the top 3coffee retailing companies in the world. We are currently 400 cafes in India, Pakistan &Austria (Vienna). ABCTCL also has an ambitious growth plan of opening 1000 cafes by 2010making its presence across 80 Indian cities also establishing 50 cafes in 10 foreign countries.Our customers have given us the thumbs up for our quality standards in Pakistan and Austriaand that motivated us to go to 10 countries where plans are currently being rolled out. And isplanning to open other Cafes in the Middle East, Eastern Europe, Eurasia, Egypt and SouthEast Asia in the coming months.Café Coffee Day is a division of Indias largest coffee conglomerate, Amalgamated BeanCoffee Trading Company Ltd. (ABCTCL), popularly known as Coffee Day, a Rs. 300 croreISO 9002 certified company. Coffee Day sources coffee from 5000 acres of coffee estates,the 2nd largest in Asia, that is owned by a sister concern and from 11,000 small growers. It isone of India’s leading coffee exporters with clients across USA, Europe & Japan.Café coffee day I based in chickmaglur and has its business spanning the entire value chainof coffee consumption in India.Its different divisions include:• Café Coffee Day:BABASAB PATIL 17
A lot can happen over coffeeIt is a place where customers come and rejuvenate themselves. It is a meeting place for theyoung at heart. In the cafes they sell Hot and Cold coffee as well a Food and Merchandise tothe customer.• Coffee Day Fresh n Ground: Which owns 354 Coffee bean and powder retail outletsMajor player in the most and ground filter coffee segment. It provides a unique assortment ofblend at affordable prices. The coffee is freshly ground in front of the customer and sold tohim.• Coffee Day Xpress: Which owns 341 Coffee Day KioskBridges the need gap between the leisurely cuppa and a bite at the café and a quick drink at avending point. In this segment you would notice kiosks strategically positioned, wherecustomer can not only drink a cup of coffee but also grab a quick bite on the move.• Coffee Day Take away: Which owns 7000 Vending MachinesTo serve the man on the move, who though in a hurry doe not have to compromise on thequality of coffee he drinks. Coffee Day has its vending machines placed in vendor outlets inall major cities.• Coffee Day Exports : India’s largest coffee exporters.Currently export over 30000 tones of green coffee per annum, i.e. 15% of India’s coffeeexports. We have also ventured into specialty coffee exports.BABASAB PATIL 18
A lot can happen over coffee• Coffee Day Perfect: FMCG Packaged CoffeeFor mass-in-home consumption segment where filter coffee is consumed everyday. The filtercoffee is sold in a packaged form to the consumerPlantation:ABC has its seeds sown in the heart of the coffeecradle of India, Chikmagalur. The region is aworld wrapped in primeval innocence, wherepanthers, tigers and elephants roam.ABC has its seeds sown in the heart of the coffeecradle of India, Chikmagalur. The region is aworld wrapped in primeval innocence, wherepanthers, tigers and elephants roam.Our passion for coffee stems from the august heritage of coffee estates inherited by thepromoters family. What started out with a small group of family-owned estates, graduallygrew as more and more estates were included to finally form Amalgamated Bean CoffeeTrading Co. Ltd.The plantations nestled in Chikmagalur and Mudigere region of the Western Ghats, arespread over 5000 acres of well-maintained estates upto 4500ft above sea level. This makes usthe second largest plantation company in the country.BABASAB PATIL 19
A lot can happen over coffee They are hosts to innumerable herbs,shrubs and trees like jackfruit, arecanut, orange, pepper, cardamom, etc. The coffees at our estate are grown under the dark shades of various forest trees like silver oak, Indian Rose wood and various others. Awards and Accolades• Café Coffee Day was named Food Services Retailer of the Year and Eclusive Brand Retailer of the year at 1st ICICI Bank Retail Excellence Awards function in 2005.BABASAB PATIL 20
A lot can happen over coffee• Café Coffee Day was rated the No. 3 food services brand in Business World and Brand Equity surveys in 2004• Café Coffee Day was ranked as the 3rd best Retail F & B chain in the Brand Equity Survey in 2004.• Mr. V. G. Siddhartha, Chairman ( Amalgamated Bean Coffee Trading Company Limited) received the “ Economic Times – Entrepreneur of the year 2003” award.• Café Coffee Day has had a hat trick victory in the India Barista Championship. For 3 years in a row 2002, 2003, 2004 ccd has won all the top award and its representative has gone on to represent India at World Barit Championships, winning silver medal in 2002 and 5th place in 2004 for the country. About CAFÉ COFFEE DAYBABASAB PATIL 21
A lot can happen over coffeeCafé Coffee Day (CCD) pioneered the café concept in India in 1996 by opening its first caféat Brigade Road in Bangalore. Till about the late 1990’s coffee drinking in India wasrestricted to the intellectual, the South Indian traditionalist and the five star coffee shopvisitor. As the pure (as opposed to instant coffee) coffee café culture in neighbouringinternational markets grew, the need for a relaxed and fun “hangout” for the emerging urbanyouth in the country was clearly seen.Café Coffee Day is a division of Indias largest coffee conglomerate, Amalgamated BeanCoffee Trading Company Ltd. (ABCTCL), popularly known as Coffee Day, a Rs. 300 croreISO 9002 certified company. Coffee Day sources coffee from 5000 acres of coffee estates,the 2nd largest in Asia, that is owned by a sister concern and from 11,000 small growers. It isone of India’s leading coffee exporters with clients across USA, Europe & Japan.Recognizing the potential that lay ahead on the horizon, Café Coffee Day embarked on adynamic journey to become a large organized retail café chain with a distinct brand identityof its own. From a handful of cafés in six cites in the first 5 years, CCD has become India’slargest and premier retail chain of cafes with 552 cafes in 90 cities around the country. With its roots in the golden soil of Chickmaglur, the home of some of the best IndiannCoffees and with the vision of a true entrepreneur nurturing it, Coffee Day has its businessspanning the entire value chain of coffee consumption in India.BABASAB PATIL 22
A lot can happen over coffee Its different divisions include: • Coffee Day Fresh n Ground (which owns 354 Coffee bean and powder retail outlets) • Coffee Day Xpress (which owns 341 Coffee Day Kiosk) • Coffee Day Take away (which owns 7000 Vending Machines),Coffee Day Exports and Coffee Day Perfect (FMCG Packaged Coffee) division. Mission statement……… BABASAB PATIL 23
A lot can happen over coffeeLogo….For a brand to stand out and be successful there has to be a personal commitment from staff atall levels. The target customers must identify with it. It should be vibrant and have a “life” ofits own. Liveliness, growth, fun and passion depicts our brand, our customers, our staff andour future – this is embodied in our design and colour.Our LOGO colours embody:Red Square= Leadership, passionWhite Swirl = Purity of purpose, invigorating properties of coffeeGreen Stroke = 125 years of coffee growing heritage of this verticallyintegrated GroupCafé store: Café Coffee Day is India’s largest and premier retail chain of cafes with 421 cafes in 75 cities around the country. All major cities such as Banglore – 83 cafes at present Ahemedabad - 12 cafes Chennai – 16 cafes Goa – 7 cafes Gurgaon – 9 cafes Hyderabad – 22 cafes Jaipur – 7 cafes Kolkata – 15 cafes Mumbai – 65 cafes New Delhi – 50 cafes Puna – 20 cafesBABASAB PATIL 24
A lot can happen over coffeeCafé StoresBABASAB PATIL 25
A lot can happen over coffee ORGNIZATIONAL CHART AND A CAREER GROWTH HEAD - OPERATIONS REDGIONAL MANAGER ASSISTANT REGIONAL MANAGER CITY MANAGER AREA MANAGER CAFÉ MANAGER REGIONAL ASSISTANT MANAGER CITY TRAINER CAFÉ INCHARGE TEAM MEMBERSBABASAB PATIL 26
A lot can happen over coffeeDifferent formats of café……..Café Coffee Day has been experimenting with café formats for quite sometime, CCD hasventured into the following formats:Music Cafés provide customers with the choice of playing their favourite music tracks on theDigital Audio Jukeboxes installed at the café! There are around 85 cafes with such jukeboxes.32 cafes also provide customers with the visual treat of watching their favorite music videosby means of Video Jukeboxes.Book Cafés offer the perfect solution to people who think that the coffee experience isincomplete without browsing through the bestsellers or reading a classic. CCD’s book cornersaccentuate the age-old combination of ‘coffee and books’.Highway cafés on the Bangalore – Mysore highway and NH-8, presents the traveler en routenot only with good coffee and scrumptious snacks amidst great ambience but also with cleanrestrooms to get rid of that weariness from the road!Lounge cafés at Hauz Khas, Delhi and Southern Avenue, Kolkata(Southern Avenue) andHyderabad (Jubilee Hills) combines the style and luxury of a lounge with the lively ambienceand comfort of a café. With exquisite interiors, exotic menu and thematic music CCD Loungeoffers a whole new experience to the connoisseur while assisting the latter through its team ofhostesses who are poise and style incarnate and are looked upon as fashion icons.Garden cafés at M.G Rd, Bangalore and GKII, New Delhi combine the joy of rejuvenatingamidst verdant landscapes and pots of coffee.Cyber cafés at Brigade Rd, Bangalore, Airport, Bangalore and Airport, Delhi combine theurge to surf, not to mention get connected through the internet while enjoying perfectlybrewed cups of coffees, both domestic as well as International blends!Sports café, singles café, fashion café are the upcoming café formats……………………BABASAB PATIL 27
A lot can happen over coffee ProductRang Red Eye Cool e:Coffees & Whipped Cream Refreshers Teas Scoop pf Ice Fruit Juices Hot Coffee cream Mineral Water Espresso Chocolate Sauce Eatables Espresso Teas Melting Americano Assam Tea Moments Macchiato Masala Chai Banana n’ Cappuccino Lemon ‘n Ice Walnut Cake Café Latte Tea Banana Chococinno Kashmiri Chocolate Café Mocha Qahwah Mousse Irish Coffee Apple n Banana Caramel International Cranberry ice pie Coffee tea Chocolate Colombian Juan Refreshing Doughnut Valdez Alternatives Cookies Ethiopian Granitas Marble Cake Qahwah Blood Orange Pineapple Kenyan Safari Cool Blue Getaux Cold Coffee Pineapple Crush Chocolate Cake Sweet Mint Emerald Ice Ice-Creams Cold Sparkle Ruby Surprise Vanilla Brandied Smoothies Chocolate Banana Mango Colada Seasons Best Tropical Iceberg Strawberry Quick Bites Iced Eskimo Colada Samosa Coffee Add-ons Cremosas Puff Honey Litchi Pizza Flavoured Ginger Spice Croissant Syrups Pina Colada French FriesBABASAB PATIL 28
A lot can happen over coffee Kathi Roll Wraps Biryani Sandwiches BurgerBABASAB PATIL 29
Product Sources: Coffee Days most unique aspect is that it grows the coffee it serves in itscafes. Coffee Day has a well-equipped roasting unit catering to the specificrequirement of the consumers. The process is carried out under the control ofexperienced personnel to meet highest quality standards. The most modern technologyavailable is used to maintain consistency and roast the coffee beans to the demandingspecifications of the discerning coffee consumers. The coffee beans are supplied to allthe cafés from Chikmagalur.The eatables at Café Coffee Day are catered by different vendors: example: icecreams are catered by Cream Bell, Milk by Amul and samosa’s by Patsiers Gallery.Café Coffee Day also sells merchandise through its stores. 5 per cent of the revenuecomes from sale of merchandise.Quality standards:Quality policy: “We are committed to quality and we shall strive continuously toprovide products, which consistently meet the needs of our customers and establish avalue-added relationship, ensuring total customer satisfaction.”Café Coffee Day has a check on quality all the time and in several aspects. Theoperational in-charge will go around checking business, record keeping, and serviceand heck the feedback forms. The food in-charge will look at the way food is beingstored, coffee is being made, what is the time take to extract the coffee and so on.Marketing person will go about checking displays, how the merchandise is displayed.Café BeatCafé Beat reaches more than a million smart, receptive and upwardly mobile youth ofIndia every month. It is one of the most widely read YOUTH magazines in the countryand is a part of one of the largest Indian retail youth brands - Café Coffee Day.
CAFÉ BEAT FACTFILE:16 pages, all colour, monthly tabloid.Available at all cafes across the country (552 cafes in 90locations as of Today!).Available FREE of cost to customers for in-café reading.Many customers also carry it away for their referrals.38% of the customers at CCD read Cafe Beat (survey conducted in Aug.04 in the 4metros.). CCD gets around 3.9 million walk-ins in all its cafes per month.Essentially a youth magazine covering topics like movies, music, travel, lifestyle, e-dating, books, career etc. which interest the youth.Displayed on magazine stands/counter at the cafes. The new issue is kept on the tablesduring the first week for greater visibility.Readership profile: Students and young professionals, mostly. SEC A and B.Merchandising:Every one likes to cherish good times with a hope that they last forever. Tomake this a reality merchandising started. At Café Coffee Day merchandisestarted more as a sentimental thing than as revenue stream. They wanted to rewardcoffee lovers and they started selling mugs. People wanted to wear something thatreminded them of the cafe so they designed T-shirts and sold thousands of those. Butsoon it has become a serious business. 5 per cent of their revenue comes from themerchandising. Café Coffee Day sells various young and trendy merchandisethrough its stores:Café Coffee Day Merchandise now got more Affordable
S.No Particulars1 Funky Caps @ Rs 60 onwards Coffee Powder2 Cool T-Shirts @ Rs 229 onwards3 Bags @ Rs 225 onwards14 Arabicaah @ Rs 65 120 Coffee Filters @ Rs2 Perfect @ Rs 5553 Charge Filters @ Coffee @ Rs 45 Rs 12046 Dark Forest 200gms @ Rs 125 Coffee Filters @ Rs 1205 Dark Forest 500gms @ Rs 2606 Malabar Monsoon 200gms @ Rs 125Customer Profile:The café is a meeting place for 15-29 year olds, both male and female who are servedthe best coffee by friendly and informed staff, in an uplifting and invigoratingambience.Research shows that teen-agers form 25% of our customers while 38% of thecustomers are between 20-24years and another 23% belong to the age group of 25-29years.Students and young professional comprise around 72% of our customers.18% of the customers visit the cafes daily while another 44% visit weekly.Each café, depending upon its size attracts between 500 and 800 customers daily,mainly between 4pm and 7 pm.Customers describe Café Coffee Day as the place they frequent most after “home andworkplace/college”. It is a place where they meet friends and colleagues, in groups of3 or more; a place where they rejuvenate and are free to be themselves rather than aplace to be “seen at” vis a vis other cafes.
People:People at Café Coffee Day believe that “People are hired for what they know butfired for how they behave”. Motivation and personal skill are laid emphasize upon.
Employee base and career growth…..& organizational culture…The company today has over 3500 employees. The basic criteria for selection of anemployee are he should be extremely creative and passionate. So the company has aintensively growth oriented team with it.Company is recognized as an equal opportunities employer. To provide individualswith continual growth and prosperity is fundamental to the culture of our organization,however our inner strength is derived from encouraging the entrepreneurial spiritamong our employees.Experiencing unforeseen challenges is a way of life in café coffee day. Facing creativeand innovative brainstorms is a part of everyday decision making and an open doorpolicy helps drive these ideas towards real time turnaround and faster completion.Internal Promotions: An intensive, focused in-house training structure helpsemployees to grow to the next level with highly active internal promotions process.Job Enrichment: The organization firmly believes in creating opportunities forlearning in the employee’s area of interest outside his scope of routine responsibilities.This comes mostly in the form of projects or assignments carried out under thesupervision of a mentor within the organization.Job Rotation: Employees are rotated through the various sections at the café so thatthey will be exposed to all facets of the café operations.Rewards & Recognition:At café coffee day people are brought out in appreciation for their efforts in variousformats. A whole lot of rewards are offered along with great incentive programs withaccess to gift certificates and merchandise.Café CultureAlong with the company’s fast paced growth, company provides ample growth
opportunities for those who would go that extra mile to deliver and contribute to theirsuccess.Employees are encouraged to be participative with suggestions to improve theirworkspace in particular and the company at large.The company has an open door policy that allows every member of the team to accessthe Management head regarding any proposals or problems.The practices like Coffee Table encourage innovative thought pattern that habituategrowth and smart work in the day to day lives of employees. The company culture is areflection of the café culture which symbolizes team work and creative outlook onlife.StrategyCafé Coffee Day was among the first coffee cafés to start operations in India in1996, but was the last to go national (end-2001).Today, with 400 cafés in 75 cities, Café Coffee Day is the largest chain in the country.Main strategy is • combination of affordable prices and product • attention to customer needs • a strong back-end support system. India is largely a tea-drinking nation, and coffee has always been a fringe player. While coffee cafés have existed in Europe since the 15th century, in India coffee drinking was restricted to niche segments like intellectuals, the south Indian
traditionalist and the five-star coffee shop visitors till the late-1990s. This started changing slowly after 2000 — and not because there were many café players in India by then. The direct causes for this change were probably the increasing spending power among urban youth and the increasing exposure to global trends.Hence, even as the first café was set up in Bangalore in 1996 — an idea that struckour chairman V G Siddhartha, while on a visit to a coffee shop in Singapore — itproved to be an idea whose time came only by the turn of the century. By then, mostother players had joined the bandwagon.They have seen the hard days when every customer had to have every item on themenu explained. That’s one reason they waited until 2000-01 to start expandingnationally.Supply chainAnother reason was that they wanted to put the back-end systems in place.Transporting fresh roasted coffee from their own estates in Chikmagalur to farawayplaces like Mussourie in the north and Jamshedpur in the east —they are the onlynational player present in both cities — was a logistical nightmareIf, in the thirst for growth, company did not pay attention to this aspect. Believed inbeing more sure-footed.From bean to cup company is into the coffee estate business for the past 125 years:which means they do not look at the coffee chain business as a short-term business.Company invested approximately Rs 1. 2 crore in r supply chain and chalked out whatis called a B2C (bean to cup) supply chain strategy.The supply chain had to support the expansion plans of adding four to six new cafésevery month, which led us to adopt industry best practices and, in some cases, developour own modules.Company went in for a decentralized distribution strategy instead of a hub-and-spoke
model, and set up regional hubs in Delhi, Mumbai and Kolkata. These cities thenlinked to the towns in their neighborhood.The sourcing policy at these hubs included both local and centralized sourcing, basedon the volume lead time and value of the materials. We followed a continuousreplenishment policy by integrating vendors upstream. For items that had fluctuatingdemand and large volumes, the inventory was managed by vendors.By implementing a web-based ordering and electronic order processing system, wecut order-to-delivery lead-time considerably. Online inventory tracking processoperated with the use of two supply chain modules: one at the café level — called thePOS (point of sales) module — and another at the distribution centre level. This wasdeveloped internally. Chikmagalur Bangalore (South New Delhi (North India) India) (Head Distributor) (Head Distributor) Local Warehouse Local Warehouse Outlets Outlets Outlets Outlets Outlets Outlets
What’s on the menuMenu includes over 250 customised food and beverage offerings to cater to differentgeographic and demographic segments.At cafés, every coffee menu is combined with the right kind of eats, whether a dessertor a snack. Menu changes occur once in four months to prevent food fatigue.Company believes in regular customer feedback and research so as to determinechanging tastes and preferences.An important decision company took in their outlets was to provide table service andnot enforce self-service. The finding was that customers did not want their names tobe shouted out when their orders were ready.Another advantage of table service is that they can engage customers in conversationand persuade them to try more dishes on the menu. This is something that cannot bedone in a self-service set-up, when there are people queueing up, waiting to be served.Putting consumers firstCustomers are the best consultants we have. CCD has redesigned its logo, look, andfeel of the café, as well as our brand positioning according to the customers.We also give out customer feedback forms along with the bills. The filled forms arecollected from all regions and sent to the headquarters on a regular basis, to be readand analyzed in detail. These forms also have an email id.Customers who mail in with serious complaints receive a reply within 24 hours.
The price of a cupMain strategy has always been to provide the best coffee experience at an affordableprice. For this they need to keep operating costs low.In fact, a large part of our success is due to stringent cost controls. We get coffeebeans cheap because we source from our own estates. Most IT solutions were alsodesigned in-house to keep costs low.Company is extremely cost conscious, which they try to inculcate in their employeesas well. Traveling expenses and the use of cars and telephones is kept to a minimum.And in many outlets, employees who serve customers do the housekeeping as well, sothat they need not need hire extra employees for that task.They try to cut costs at every stage, without cutting corners. For instance, instead ofthree hinges for the café doors, we use only two; and, instead of six screws in thehinges, we use only four.They also keep our costs low by sourcing furniture from overseas — compared toIndia, east Asian countries and China are far ahead in terms of low-cost, qualityfurniture. Imported furniture is about 25 per cent cheaper than Indian, custom-madefurniture. It’s not just furniture. Bangladesh and Sri Lanka produce better qualitycrockery at similar prices.Café Coffee Day has different food suppliers for different locations. Within oneregion, we may have as many as three suppliers if there are 40 or 50 cafés. That way,one supplier can serve 15 to 20 cafés. It is too risky to depend on one supplier — ifsomething goes wrong, the food supply to all the cafés in a city can be affected.Full of beansCafé Coffee Day generally believes in having clusters of cafés. Within the Mumbaisuburb of Bandra, for instance, we have six outlets.
At another location, too, CCD has six cafés within a span of half-a-kilometre. Thisdoes result in a little cannibalization, but it also means that we blanket that area.Importantly, none of these outlets is a franchise. A crucial part of the strategy is thatall outlets are company-owned. Even though self-owned cafés are more expensive inthe short term, a too-hasty switch to the franchisee model may cost the brand value.Besides, self-owned cafés mean greater control on product quality, service andtraining, which is critical for a relatively-young brand such as ours.Another policy is that CCD do not advertise. They believe that they are not yet bigenough to justify mass advertising — on-site promotions and localised marketinginitiatives still do the trick for CCD. It is found that 85 per cent of the customers arethrough word-of-mouth.And even without advertising, last year 30 million people visited our cafés. This year,we’ve hiked that target to 40 million.Then, employee incentives at the cafés depend not only on sales, but also the profits.Also, if a café does not deliver profits within six months of starting operations, theyclose it. Over the years, we have closed 14 Café Coffee Days, while 153 are inoperation.CCD is in the process of revamping our loyalty programme to make it dynamic andattractive. Previously customers could get 10 per cent discount on purchases made atour outlet and the points accumulated could be encashed for prizes.Café Coffee Day gives the market what it wants, not what it isgood at.
Business association:CCD has emerged as an interactive alternative media for brands to communicate withthe ‘young at heart’.Other media, such as electronic, print and outdoor, offer brand communicationthrough visual and audio modes to a large section of the populace, both relevant andirrelevant. Café Coffee Day offers a much more interactive, targeted communication,sometimes adding even a taste dimension to a brand idea!Various in-café collaterals used to impart visibility to a brand inside a café or to addthe element of interactivity to a campaign are Posters, Tent Cards, Danglers, Leaflets,Brochures, Coasters, Drop boxes, Contest Forms, Stirrers, Standees etc.Over the years, CCD has successfully promoted a number of brands/products/eventsthrough various innovative tactics and promo ideas. Cashing in on its mass captiveaudience, we at CCD have entered into tie-ups and promotions which are well knitwith our brand promise and which can be creatively used to woo the Indian Youth.Corporate Social ResponsibilityDespite achieving tremendous growth, the company has counted it of utmost priorityto contribute success back to our society. Of our many corporate social responsibilitiesour main attempt has been to create exciting and valuable employment opportunitiesfor the less fortunate and make them as independent as possible.Our understanding with a known NGO Enable India gives us the opportunity toemployee hearing & speech impaired people. The company has also initiated aVOCATIONAL TRAINING COLLEGE that recruits individuals from the lessfortunate, remote parts of the state and trains them in a state-of-the-art facility atChickmaglur. Here they learn about operations & customer service. The training alsoincludes on-the-job training after which the students are provided with full timeemployment opportunities with Café Coffee Day.
Project Details Project Details“Customer Relation Management initiation to improve sales at Café Coffee Day” The project also includes how to retain the existing customer. It has alsoseen which activities inspire the customer to visit Café Coffee Day more often. Thestudy was made know whether customers are satisfied about Café Coffee Day or not.Because satisfied customers will be the loyal customers. It has also seen which thingsare not going good for further improvement.Customer Relationship Management:Customer Relationship Management is a company-wide business strategy designed toreduce costs and increase profitability by solidifying customer loyalty. Its a strategyused to learn more about customers needs and behaviors in order to develop strongerrelationships with them. After all, good customer relationships are at the heart ofbusiness success
Customer retentionUnder the present of competitive environment, the focus of the Organization is moreon customer retention than customer acquisition. Customer retention is the process ofkeeping customer acquisition. Customer retention is the process of keeping customerin the customer inventory for an Unending period by meeting the needs and exceedingthe expectations of those customersTopic of the Study“Customer Relationship Management initiatives to improve the salesat Café Coffee Day”Need: 1. To understand the importance of CRM in service industry To understand whether CRM strategy helps in retaining existing customer 2. To know how CRM will help in improving CCD performance.Objective: 1. To know the importance of CRM in Café Coffee Day. 2. To introduce CRM strategy in Organization. 3. To know whether CRM helps to build strong relation with customer. 4. To know whether CRM helps to retain the customer. 5. To identify area for further CRM improvement.Research Methodology 1. Survey through questionnaires 2. Face – to-Face interview
Sample size: 100Sample unit: Customers of Café Coffee Day Sampling method: Convenience Sampling Secondary Data: The major source of secondary data is through internet .The information oncoffee industry and company profile of Café coffee Day is collected through internet. Analysis & Interpretation.
Occupation: Occupation of Respondent Cumulative Frequency Percent Valid Percent Percent Valid Student 58 58.0 58.0 58.0 Working 33 33.0 33.0 91.0 Business 9 9.0 9.0 100.0 Total 100 100.0 100.0 70 60 58 50 40 30 33 20 Frequency 10 9 0 Student Working BusinessInterpretation: • 58% of the respondents are students. • 33% of the respondents are working. • 9% of the respondents are business. • Student Visit Café Coffee Day more than other.
Gender:GG Gender Cumulative Frequency Percent Valid Percent Percent Valid Male 56 56.0 56.0 56.0 Female 44 44.0 44.0 100.0 Total 100 100.0 100.0 60 56 50 44 40 30 20 10 Frequency 0 Male FemaleInterpretation: • 56% of the respondents are Male. • 44% of the respondents are Female.
Age of the respondent Age of Respondent Cumulative Frequency Percent Valid Percent Percent Valid 15-20 15 15.0 15.0 15.0 20-25 57 57.0 57.0 72.0 25-30 21 21.0 21.0 93.0 30-35 6 6.0 6.0 99.0 35-40 1 1.0 1.0 100.0 Total 100 100.0 100.0 70 60 57 50 40 30 20 21 15 Frequency 10 6 0 15-20 20-25 25-30 30-35 35-40Interpretation: • 15% of the respondents are between the age group 15-20. • 57% of the respondents are between the age group 20-25. • 21% of the respondents are between the age group 25-30. • 6% of the respondents are between the age group 30-35.
• 1% of the respondents are between the age group 35-40. • Age group” between” 20-25 visit Café Coffee day more other age group.How often you visit Café Coffee Day? How often you visit CCD Cumulative Frequency Percent Valid Percent Percent Valid Every Day 5 5.0 5.0 5.0 Once in Week 39 39.0 39.0 44.0 Once in fortnight 19 19.0 19.0 63.0 Once in Month 37 37.0 37.0 100.0 Total 100 100.0 100.0 50 40 39 37 30 20 19 10 Frequency 5 0 Every Day Once in Week Once in fortnight Once in MonthInterpretation:• 5% of the respondents visit Café Coffee Day every Day• 39% of the respondents visit Café Coffee Day once in a Week• 19% of respondent visit Café Coffee Day once in fortnight• 37% of respondent visit Café Coffee Day once in Month.• Only 5% of the respondent Visit Café Coffee Day every day. So by using Promotional Activities and CRM techniques Café Coffee Day can make them to visit frequently.
How long you have been visiting Café Coffee Day How long you have been visiting CCD Cumulative Frequency Percent Valid Percent Percent Valid From Start 30 30.0 30.0 30.0 From 2 years 28 28.0 28.0 58.0 From a year 29 29.0 29.0 87.0 Recently 13 13.0 13.0 100.0 Total 100 100.0 100.0 40 30 30 29 28 20 13 10 Frequency 0 From Start From 2 years From a year RecentlyInterpretation: • 30% of the respondents are visiting café from start. • 28% of the respondents are visiting café from last two year. • 29% of the respondents are visiting café from a year. • 13% of the respondents are visiting café from recently.For what purpose did you visit Café Coffee Day
For what purpose did you visit CCD Cumulative Frequency Percent Valid Percent Percent Valid Refreshment 57 57.0 57.0 57.0 Light Snacks 20 20.0 20.0 77.0 Parties 12 12.0 12.0 89.0 Business meeting 5 5.0 5.0 94.0 Other 6 6.0 6.0 100.0 Total 100 100.0 100.0 For what purpose did you visit CCD 70 60 57 50 40 30 20 20 Frequency 10 12 0 5 6 Refreshment Parties Other Light Snacks Business meeting For what purpose did you visit CCDInterpretation: • 57% of the respondent visit café for refreshment purpose • 20% of the respondent visit café for light snacks • 12% of the respondent visit café for Parties • 5% of the respondent visit café for Business meeting • 6% of the respondent visit café for other reason ( hanging up with friends)What factor influences you to come Café Coffee Day What factors influences you to come CCD Cumulative Frequency Percent Valid Percent Percent Valid Music 7 7.0 7.0 7.0 Service 8 8.0 8.0 15.0 Coffee & Snack 49 49.0 49.0 64.0 Price & Promo 1 1.0 1.0 65.0 Hospitality 2 2.0 2.0 67.0 Environment 33 33.0 33.0 100.0 Total 100 100.0 100.0
What factors influences you to come CCD 60 50 49 40 30 33 20 Frequency 10 7 8 0 Music Cof f ee & Snack Hospitality Service Price & Promo EnvironmentInterpretation:• For 7% of the respondent music influences to come CCD• For 8% of the respondent service influences to come CCD• For 49% of the respondent coffee and snacks influences to come CCD• For 1% of the respondent price & promo influences to come CCD• For 2% of the respondent hospitality influences to Come CCD• For 33% of the respondent Environment influences to come CCD• This shows that promotional activities are not effective. To make them effective company has to do some plan.Are you aware of promotional activity conducted by Café Coffee Day Are you aware of promotional Activity conducted by CCD Cumulative Frequency Percent Valid Percent Percent Valid Yes 37 37.0 37.0 37.0 No 63 63.0 63.0 100.0 Total 100 100.0 100.0
70 60 63 50 40 37 30 20 Frequency 10 0 Yes NoInterpretation: • 37% of the respondents are aware about promotional activities • 63% of the respondents are not aware about promotional activities. • This shows that promotional activities are not effective and advertisement is less. Would you likr to know Cumulative Frequency Percent Valid Percent Percent Valid Yes 53 53.0 76.8 76.8 No 16 16.0 23.2 100.0 Total 69 69.0 100.0 Missing System 31 31.0 Total 100 100.0
60 53 50 40 30 20 16 Frequency 10 0 Yes No Interpretation:• 76% of the respondents would like to know about promotional activities• 34% of the respondents not like to know about promotional activities.• This shows that most of them are interest in promotional activities. Would you like to celebrate your special moment at Café Coffee Day Would you like to celebrate your special moments at CCD Cumulative Frequency Percent Valid Percent Percent Valid Yes 84 84.0 84.0 84.0 No 16 16.0 16.0 100.0 Total 100 100.0 100.0
100 80 84 60 40 20 Frequency 16 0 Yes NoInterpretation:• 84% of the respondents like to celebrate their special moments at CCD• 16% of the respondents don’t like to celebrate their special movement at CCD.Would you like to be a part of any CCD event conducted in future? Would you like to be a part of any CCD event conducted in future Cumulative Frequency Percent Valid Percent Percent Valid Yes 77 77.0 77.0 77.0 No 23 23.0 23.0 100.0 Total 100 100.0 100.0
100 80 77 60 40 20 23 Frequency 0 Yes NoInterpretation• 77% of the respondents like to be part of the CCD event• 33% of the respondents don’t like to be part of the CCD event• CCD has to see the advertisement should reach those 77% of the customer. And conduct the events which should retain those customers. Opinion about service opinion about service Cumulative Frequency Percent Valid Percent Percent Valid Highly Satisfied 17 17.0 17.0 17.0 Satisfied 61 61.0 61.0 78.0 Nutral 17 17.0 17.0 95.0 not satisfied 4 4.0 4.0 99.0 Highly not Satisfied 1 1.0 1.0 100.0 Total 100 100.0 100.0
70 60 61 50 40 30 20 17 17 Frequency 10 0 4 Highly Satisfied Nutral Highly not Satisfied Satisfied not satisfiedInterpretation: • 17% of the respondents are highly satisfied about service • 61% of the respondents are satisfied about service • 17% of the respondents feel service is not good and not bad means ok . • 4% of the respondents are not satisfied about service • Only 1% of the respondents are highly not satisfied about service. • This shows service at café coffee day is overall good
Opinion about Price opinion about Price Cumulative Frequency Percent Valid Percent Percent Valid Highly Satisfied 3 3.0 3.0 3.0 Satisfied 39 39.0 39.0 42.0 Nutral 48 48.0 48.0 90.0 not satisfied 10 10.0 10.0 100.0 Total 100 100.0 100.0 60 50 48 40 39 30 20 Frequency 10 10 0 3 Highly Satisfied Satisfied Nutral not satisfiedInterpretation • 3% of the respondents are highly satisfied about price • 39% of the respondents are satisfied about price • 48% of the respondents feel price is neutral • 10% of the respondents are not satisfied about price.Opinion about promotional Activity
opinion about Promotional Activity Cumulative Frequency Percent Valid Percent Percent Valid Highly Satisfied 10 10.0 10.0 10.0 Satisfied 16 16.0 16.0 26.0 Nutral 69 69.0 69.0 95.0 not satisfied 5 5.0 5.0 100.0 Total 100 100.0 100.0 80 69 60 40 20 Frequency 16 10 0 5 Highly Satisfied Satisfied Nutral not satisfiedInterpretation:• 10% of the respondents are highly satisfied about promotional activity• 16% of the respondents are satisfied about promotional activity• 69% of the respondents feel promotional activities are neutrl• 5% of the respondents are not satisfied about promotional activity• This shows promotional activities are not effective.Do event conducted by CCD influence you to visit CCD
Do event conducted by CCD influence you to visit CCD Cumulative Frequency Percent Valid Percent Percent Valid Yes 66 66.0 66.0 66.0 No 34 34.0 34.0 100.0 Total 100 100.0 100.0 70 66 60 50 40 34 30 20 Frequency 10 0 Yes NoInterpretation: • 66% of the respondents said events conducted by CCD influences them to visit CCD. • 34% of the respondents said events conducted by CCD not influence them to visit CCD.Which of the following Activity would influence you visit CCD Which of the following Activity woulf influence you to visit CCD Cumulative Frequency Percent Valid Percent Percent Valid Birthday Party 26 26.0 26.0 26.0 DJ Show 34 34.0 34.0 60.0 Promotional Activity 35 35.0 35.0 95.0 Foos Fest 5 5.0 5.0 100.0 Total 100 100.0 100.0
40 35 34 30 26 20 10 Frequency 5 0 Birthday Party DJ Show Promotional Activity Foos FestInterpretation: • For 26% respondents Birthday parties influences. • For 34% respondents DJ show influences. • For 35% respondents Promotional activity influences. • For 5% respondent Food Fest influences. • This shows promotional activity and DJ shows are more effective.Opinion about the Staff: Opinion about the staff Cumulative Frequency Percent Valid Percent Percent Valid Friendly 62 62.0 62.0 62.0 Very Friendly 11 11.0 11.0 73.0 Rigid 18 18.0 18.0 91.0 Blank(No Reaction) 9 9.0 9.0 100.0 Total 100 100.0 100.0
70 60 62 50 40 30 20 18 Frequency 10 11 9 0 Friendly Very Friendly Rigid Blank(No Reaction)Interpretation:• 62% of the respondents feel staff of CCD is friendly• 11% of the respondents feel staff of CCD is very friendly• 18% of the respondents feel staff of CCD is Rigid• 9% of the respondents feel staff of CCD is Blank.• This shows staff of café is good.Cross Tabs Age of Respondent * How often you visit CCD Crosstabulation Count How often you visit CCD Once in Every Day Once in Week fortnight Once in Month Total Age of 15-20 7 2 6 15 Respondent 20-25 2 20 7 28 57 25-30 3 10 6 2 21 30-35 1 4 1 6 35-40 1 1 Total 5 39 19 37 100
60 28 50 40 30 7 How often you visit 20 20 Once in Month 6 6 Once in fortnight 10 10 Once in Week Count 7 4 0 3 Every Day 15-20 20-25 25-30 30-35 35-40 Age of RespondentInterpretation:From above cross tabs, it can be interpretated that different age group people visit cafeCoffee Day more in once in week, once in fortnight, once in month. The majorpercentage of the customer who visit Café Coffee Day are in the age group rangingfrom 20-25. Major part of the customer visit Café Coffee Day once in Week and oncein Month. This may not workout for the company. Therefore company has to takecustomer relation management initiative to retain the old customer and also acquiringnew customers. How often you visit CCD * What factors influences you to come CCD Crosstabulation Count What factors influences you to come CCD Coffee & Price & Music Service Snack Promo Hospitality Environment Total How often Every Day 1 1 1 2 5 you visit Once in Week 4 21 1 13 39 CCD Once in fortnight 2 3 6 1 7 19 Once in Month 4 21 1 11 37 Total 7 8 49 1 2 33 100
50 40 13 11 What factors influen 30 Environment 21 21 Hospitality 20 7 Price & Promo Coffee & Snack 10 6 Service Count 3 4 4 0 Music Every Day Once in fortnight Once in Week Once in Month How often you visit CCDInterpretation :According to above cross table 21 % of the respondent visit monthly & 21% of therespondent visit once in week for the purpose of coffee and Snacks. Occupation of Respondent * Are you aware of promotional Activity conducted by CCD Crosstabulation Count Are you aware of promotional Activity conducted by CCD Yes No Total Occupation of Student 26 32 58 Respondent Working 9 24 33 Business 2 7 9 Total 37 63 100
70 60 32 50 40 30 24 26 20 Are you aware of pro 10 No Count 9 7 0 Yes Student Working Business Occupation of RespondentInterpretationAccording to above cross table awareness in each segment (student, working,business) is less. Percentage of aware respondent is less compare to the not awarerespondents. To give awareness café has to give some advertisements ( in café). CCDcan maintain customer data base so that they can send message or they can give call tothe customer. Age of Respondent * Which of the following Activity woulf influence you to visit CCD Crosstabulation Count Which of the following Activity woulf influence you to visit CCD Promotional Birthday Party DJ Show Activity Foos Fest Total Age of 15-20 3 8 4 15 Respondent 20-25 15 16 22 4 57 25-30 6 6 8 1 21 30-35 2 3 1 6 35-40 1 1 Total 26 34 35 5 100
60 4 50 22 40 30 16 Which of the followi 20 8 Foos Fest 4 15 Promotional Activity 10 6 8 Count DJ Show 6 3 0 3 Birthday Party 15-20 20-25 25-30 30-35 35-40 Age of RespondentInterpretation:• 22% of the respondent between age group 20-25 said promotional activity influence them to visit Café Coffee Day• 8% of the respondent between age group 15-20 said DJ show influence them to visit Café Coffee Day.• 8% of the respondent between age group 25-30 said promotional activity influence them to visit Café Coffee Day. About PromoAfter analyzing the survey, it was very much clear that the customers were seemed tobe more influenced by promotional activities. According to the survey 35% of therespondents feel promotional activity influence them visit t Café Coffee Day.Therefore accordance to customer’s response, it was decided to implement a promofor 2 days that is on Saturday and Sunday and to check out whether sales willincrease, for the customer satisfaction regarding Promo.For this promo a local Heartbeat gallery has sponsored giftsThe promo was like make a bill of Rs 299 and Get exciting gifts. I preparedadvertisement, which was put on Café door before two days.
Details of the promo: • Implemented for two days • The promo was promoted to customer two days before implementation and some people were informed through SMS. • With every menu card one advertisement of promo was given. • Around 30 bills were more than Rs 299 • Utmost customer Satisfaction.What is purpose of visit to Café Coffee Day What is purpose of visit to Cafe Coffee Day Cumulative Frequency Percent Valid Percent Percent Valid Just a casual visit 7 25.0 25.0 25.0 I visit on every weekend 7 25.0 25.0 50.0 Promowas the purpose 14 50.0 50.0 100.0 Total 28 100.0 100.0
What is purpose of visit to Cafe Coffee Day 16 14 14 12 10 8 7 7 6 4 Frequency 2 0 Just a casual visit Promow as the purpose I visit on every w ee What is purpose of visit to Cafe Coffee DayInterpretation:From the above graph it can be interpreted that the majority (14) of the respondentagreed that Promo was the purpose of their visit to Café Coffee Day. This is good signfor promo. This clearly indicates that given an opportunity, consumer are willing tovisit Café Coffee Day. This evidently proves that well designed promo can attract thecustomer and also increase the salesThus Café Coffee Day must take an initiatives to organize such more promos toattract and to retain the customer..
How could you rate the Promo How could you rate the promo Cumulative Frequency Percent Valid Percent Percent Valid Excellent 10 35.7 35.7 35.7 Good 15 53.6 53.6 89.3 Average 3 10.7 10.7 100.0 Total 28 100.0 100.0 How could you rate the promo 16 15 14 12 10 10 8 6 4 Frequency 3 2 0 Excellent Good Average How could you rate the promoInterpretation The major pert of the respondents (15) said that promo was good. And to someextent customer (10) said that it was excellent. There were very few people who feltpromo was good but rater as average. This shows promo had given positive impact oncustomer
Would you expect Café Coffee Day to organize such more promotionin future? Would you expect Cafe Coffee Day to organize such more Promos in future Cumulative Frequency Percent Valid Percent Percent Valid Yes 25 89.3 89.3 89.3 No 3 10.7 10.7 100.0 Total 28 100.0 100.0 30 25 20 10 Count 3 0 Yes No Would you expect Cafe Coffee Day to organize such more Promos in futureInterpretation: 25 of the respondent said that promotional activity inspires them to visitCafé Coffee Day. When its crystal clear that promotional activity inspire people tovisit café coffee day, CCD must take opportunity to attract the customer throughpromos which can build trust and good Customer Relation.Are you satisfied with this promo?
Are you Satisfied with tis promo Cumulative Frequency Percent Valid Percent Percent Valid Yes 27 96.4 96.4 96.4 No 1 3.6 3.6 100.0 Total 28 100.0 100.0 Are you Satisfied with tis promo 30 27 20 10 Frequency 0 Yes No Are you Satisfied with tis promoInterpretation: 27 of the respondent were satisfied about promo that they were a part of promo.Several consumers even suggested conducting more promos in future. This positiveoutcome shows that consumer were highly satisfied.
Findings: • Students visit Café Coffee Day more • Age group between “20-25” visits Café Coffee Day more. They are the potential customers. • 39% of the respondents visit Café Coffee Day once in week and 37% of the respondent visit café Coffee Day once in month. • 57% of the respondent visit CCD refreshment Purpose • 49% of the respondent feel coffee and Snacks influence them to visit CCD • 63% of the respondent were not aware of the promotional activity Conducted by CCD • 76.8% of the respondent would like to know about promotional activity. • 77% of the respondent would like to be part of any future event in CCD • 78% of the respondent Satisfied about service • 66% of the respondent feel event conducted by CCD influence them to visit CCD • 73% of the respondent feel Staff of CCD is friendly • 36% of the respondent said promotional activity influences them, 34% said DJ shows influences them. Promo: • 53.6% of the customer rated prom was good and 35.7% rated promo was excellent. • 89% of them expect more events in future. • 96.4% of the respondent satisfied about promo.
Suggestions and Recommendations1. Organize at least few promotional activities in order to build goodrelation with customer2. Give advertisement about promotional activity3. Maintain Customer data base.4. Wish the regular customer for New Year or for any festivals throughgreeting card or SMS or through gift. This will increase the loyalty of thecustomers.5. Increase number of couches and place6. Play the good music7. Quick Service8. To increase sales Café Coffee Day can also have corporate tie upswithin the city.
ConclusionThe study helped me gain valuable insight in understanding how Customer RelationManagement can help in increase sales .The project “Customer RelationshipManagement initiatives to increase sales at Café Coffee Day” has been a knowledgegaining experience. I have been able to understand that designing of promotionalactivity is an art and it help the company to increase the sales.Awareness about promotional activity is less .Though it has not been advertised at alarge on television , still has long way to go before it can catch up with itscompetitors. I hope my work becomes useful for company.
Limitation: 1. A study is restricted only for Hubli CCD 2. Time duration is only 60 days 3. The respondents may give biased opinion. QuestionnairePersonal Details:Name:
Address:Occupation:a) Student b) Working c) Business d) Housewife Age:Contact No:1) How often you visit café coffee day? a) Every day b) Once in fortnight c) Once in fortnight d) Once in Month 2) From how long you have been visiting Café Coffee Day? a) From initiation b) From two years c) From year d) from recently 3) For what purpose did you to visit café? a) Refreshment b) Light snacks c) Parties d) Business meeting e) Other (Specify)-----------------------4) What factor influences you to come to CCD? a) Music b) Service c) Coffee & Snack d) Price & Promo e) Hospitality f) Environment5) Are you aware of promotional activity conducted by CCD? a) Yes b) No If No, Would you like to know? a) Yes b) No 6) Give your opinion about following factor:
Factors Highly Satisfied Neutral Highly not Not Satisfied Satisfied Satisfieda) Serviceb) Hospitalityc) Musicd) Pricee)PromotionalactivityGive your Suggestions to improve the not satisfied factor.__________________________________________________________________________________________________________________________________________7) Would you like to celebrate your special moments in cafe? a) Yes b) No 8) Would you like to be a part of any CCD event conducted in future? a) Yes b) No 9) Do event conducted by CCD influence you to visit Café a) Yes b) No 10) Which of the following activities would influence you to visit CCD? a) Birthday party b) DJ show c) Promotional Activities d) Food Fest e) Any other 11) What aspect of Café Coffee Day Need to be improve? ___________________________________________________________________ ___________________________________________________________________12) What is your opinion about the staff of Café Coffee Day?
a) Friendly b) very friendly c) Rigid c) Blank Also give your suggestion how you would like the team to treat you?13) Would you like to be part of Pastry festival, if conducted by Café Coffee Dayin near future? a) Yes b) No Feedback formName__________________Age___________________Occupation______________1. How often do you visit café coffee day? More than once in week Once in a week Once in a fortnight Once in a month Occasionally2. What is purpose of visit to café coffee day? Just a casual Visit I visit on every Sunday “Promo” was the purpose Any other Specify3. How could you rate this promo? Excellent Good Average Bad Very bad
4. Would you expect Café coffee Day to organize such more Promos in the future? Yes No5. Are you satisfied with this promotion? Yes No Thank You BibliographyReference Books: o Marketing Management : Philip Kotler o Service Marketing: Valarie Zeithaml o Customer Relationship Management :A sagadevanWebsite: www.cafecoffeeday.com www.google.com www.coffeeindustry.com www.wikipedia.com