Coffee Wars in India
-Café Coffee Day Takes on the Global Brands
1.Priyanka Agarwal
11.Fahad Dossani
51.Komal Vasoya
The Coffee Shop Market in India
• Hot beverages – a part of Indian tradition
• Coffee took the first seat in south India
• To spread the drink – coffee shops emerged
• Indian ( RTD ) Domestic coffee market – INR
1100 crore
• Growth – 2250 crores by 2017
Overview
Market Share
Café Coffee Day
• Founded in 1996
• V.G. Siddhartha-Founder and Chairman
• 1497 outlets across 142 cities
• Average footfall: 300 per café per day
• Vertically Integrated
• Short purchase cycle
• Zero Channel Distribution
The Café, Lounge and Square Cafe
Cafe
• Chairs very close – customers complain of intrusion of privacy
• Affordable hangout for the young crowd
Lounge
• Outstanding ambience – commendable service
• Meal for two @ INR 750
Square
• For absolute Coffee Connoisseurs
• Coffee Snobbery Lounge
Starbucks
• Founded in 1971
• Howard Schultz- Chairman and CEO
• Tata Coffee – Tata Starbucks
• 84 outlets (May 2016)
• C.A.F.E Practices-ensuring quality
• Long purchase cycle
• Brand Positioning
Segmentation, Targeting and Positioning
Parameters Starbucks CCD
Segmentation People looking for
coffee with
experience
Youngsters looking to
hangout with friends
Targeting Upper middle class Youngsters – college
students and working
professionals
Positioning Great Coffee. Great
Service
A place between
office and home
8Ps of Services
• Product
-Coffee with great taste
- Personalized coffee with
great taste
• Place
-SB in metros and cosmos
- CCD in tier I and tier II
cities
• Price
- A meal for two @ CCD 350
- A meal for two @
Starbucks 750
8Ps of Services
• Promotion
-CCD Print ads on
newspapers, magazines, tie
up with multiplexes, movie
associations
- Social Media ( Starbucks )
• People
- more pleasant, polite,
positive at Starbucks than
CCD
•Physical Environment
- Classic Interiors at
Starbucks
- Trendy and bold interiors
at CCD
8Ps of Services
• Process
- Self Service @ Starbucks
- Partly self service @ CCD
• Production
Quality
- Great coffee great taste.
Challenges
Starbucks:
• Amount of store closures
• Competitors
• Limited outlets
• Not an affordable price
CCD:
• Customer Service
• Rural Employees
• Cost of Land
• Managing outlets
Starbucks vs CCD: Verdict:
• So, after all points being considered for
Starbucks vs CCD, it is obvious that Starbucks
is quite the winner here.
• It is giving quite a good competition to CCD.

Coffee wars in india

  • 1.
    Coffee Wars inIndia -Café Coffee Day Takes on the Global Brands 1.Priyanka Agarwal 11.Fahad Dossani 51.Komal Vasoya
  • 2.
    The Coffee ShopMarket in India • Hot beverages – a part of Indian tradition • Coffee took the first seat in south India • To spread the drink – coffee shops emerged • Indian ( RTD ) Domestic coffee market – INR 1100 crore • Growth – 2250 crores by 2017
  • 3.
  • 4.
  • 5.
    Café Coffee Day •Founded in 1996 • V.G. Siddhartha-Founder and Chairman • 1497 outlets across 142 cities • Average footfall: 300 per café per day • Vertically Integrated • Short purchase cycle • Zero Channel Distribution
  • 6.
    The Café, Loungeand Square Cafe Cafe • Chairs very close – customers complain of intrusion of privacy • Affordable hangout for the young crowd Lounge • Outstanding ambience – commendable service • Meal for two @ INR 750 Square • For absolute Coffee Connoisseurs • Coffee Snobbery Lounge
  • 7.
    Starbucks • Founded in1971 • Howard Schultz- Chairman and CEO • Tata Coffee – Tata Starbucks • 84 outlets (May 2016) • C.A.F.E Practices-ensuring quality • Long purchase cycle • Brand Positioning
  • 8.
    Segmentation, Targeting andPositioning Parameters Starbucks CCD Segmentation People looking for coffee with experience Youngsters looking to hangout with friends Targeting Upper middle class Youngsters – college students and working professionals Positioning Great Coffee. Great Service A place between office and home
  • 9.
    8Ps of Services •Product -Coffee with great taste - Personalized coffee with great taste • Place -SB in metros and cosmos - CCD in tier I and tier II cities • Price - A meal for two @ CCD 350 - A meal for two @ Starbucks 750
  • 10.
    8Ps of Services •Promotion -CCD Print ads on newspapers, magazines, tie up with multiplexes, movie associations - Social Media ( Starbucks ) • People - more pleasant, polite, positive at Starbucks than CCD •Physical Environment - Classic Interiors at Starbucks - Trendy and bold interiors at CCD
  • 11.
    8Ps of Services •Process - Self Service @ Starbucks - Partly self service @ CCD • Production Quality - Great coffee great taste.
  • 12.
    Challenges Starbucks: • Amount ofstore closures • Competitors • Limited outlets • Not an affordable price CCD: • Customer Service • Rural Employees • Cost of Land • Managing outlets
  • 13.
    Starbucks vs CCD:Verdict: • So, after all points being considered for Starbucks vs CCD, it is obvious that Starbucks is quite the winner here. • It is giving quite a good competition to CCD.