Café Coffee Day aims to be the leading café chain in India by offering high quality coffee experiences at affordable prices. It currently has over 1400 cafés across 200 cities with an average of 200 customers per café daily. Café Coffee Day's target audience is mainly youth aged 20-30 years old. It focuses on expanding into smaller tier 2 and 3 cities while launching new café formats in metro areas. Café Coffee Day has strong brand recognition but also faces competition from chains like Barista and Starbucks that are gaining market share. The marketing strategy discusses promoting through media partnerships, advertising, sales promotions and maintaining affordable prices to continue leading the growing coffee market in India.

1. MARKETING
PLAN OF
Presented by:Shahbaaz Ahmed (PGFB1345)
Shravan Kumar (PGFB1347)
Sundram Sinha (PGFB1352)
Saloni Mishra (PGFB1343)
Swati Sharma (PGFB1353)
Rajni Vasisht (PGFB1336)

2. •India's largest coffee
conglomerate, Amalgamated Bean
Coffee Trading Company Ltd.
• Pioneer of the café culture and
the first to launch the ‘coffee bar’
concept in India.
Executive Summary
• Network strength: Over 1400
cafés in 200 cities/towns across
India and growing.
• Average Footfalls: 200 per café
per day.

3. Mission
“To be the best cafe chain by
offering a world class coffee
experience at affordable
prices.”

4. Current Market Situation
• Coffee – a sunrise industry
• Growing young population and
promotion of coffee culture
• Coffee Segmentation:
Filter coffee and instant coffee
43% share of filter coffee
Pure and blended coffee
Cheaper products like chicory, vanilla, mocha
Robusta and Arabica Beans
Different growth culture

5. Café Coffee Day Network
of 1450 cafes across India
185 cafes
64 cafes
172 cafes
191 cafes

6. • Major chunk of CCD customers falls within the age
group of 20 to 30 which accounts for 57% of the
overall percentage.
Target
Audience
• The group comprises of mainly college going
students and young working professionals

7. • There is a definite skew towards singles: 66%
singles, 27% married & 7% others.
Target
Audience
7%
27%
66%
Married
Single
others

8. S-T-P-D
SEGMENTATION
Café Coffee Day has its main
consumer base in the age group
of 16-30 years.
TARGETING
•Middle class and upper middle class
youth
•CCD seeks to target not just the
youth but anyone who is “young at
heart”.
•Medium Price Brand
POSITIONING
•“Third
DIFFERENTIATION
Place" away from the
home and college or workplace
for the young and the young at
heart.
•1481 outlets in 200 cities
•Fun Place
Corporate Campuses.
•Cafe in locations where some
business can be generated.
•Educational institutions and

9. DISTRIBUTION STARATEGY
• Network strength of over 1450 cafes in 200 cities
and towns with average footfalls of 200 per café per
day
• Distribution Strategy:
Growth Target
Tier I
• Single unit at Chikmagalur with capacity of
70,000 tonnes per annum
Tier II
Tier III
10%
50
• Packaging industry:
• Serving hot coffee 210ml and cold coffee 350ml
• CCD merchandises
• Regional Distribution:
• Targeting expansion in smaller towns
• New café formats in metros –
• Lounge
• Square
30%
150
60%
300

11. STRENGTHS
•
•
•
•
•
•
WEAKNESS
First-mover advantage
Excellent brand name and visibility
ISO 9002 certified company
Quality, service and taste
Youth oriented brand
Reduction in cost
• Lack of individual attention to loyal customers
• Unavailability of fresh food
• Market penetration of coffee bars is 5%
SWOT
OPPORTUNITY
•
•
•
•
•
THREAT
Fastest growing industries in Asia
Merchandising
Tie ups with other companies for promotion
Tapping smaller market
Cheaper varieties of coffee
• Competition with Barista, Mochas, Gloria
Jeans, Costa Coffee & Starbucks
• Presence of other ‘Hangout’ locations
• Unorganized market
• Dependent on government commodity rates

12. Objectives & Issues:Threat of new entrants - Medium
• Presence of several established brands/hangout places/fast food joints
• High Investments for Expansion.
• Government policies promoting FDI .
Buyer’s Power - High
• Low switching cost
• Variety of products
• Variety of services
Profitability - High
• Increase Market Size and Brand Awareness by Vending Machines and Kiosks
in public places.
• To Increase the use of Technology Portfolio.

13. Competitor Analysis
Market Share
others
6%
Gloria
Jeans
3%
costa coffee
14%
Barista
26%
Share of mind
CCD
54%
Starbucks
12%
Barista
17%
CCD
68%
Sample size – 150+

14. Marketing Strategy: Marketing Mix
Product
• Wide range
Price
• Range from Rs45 to
Rs100
• Frappe – Summer
• Cappuccino - Winter
• Merchandizing
• Over the years only
minor changes in
pricing policy
Place
• All locations
• Strategically located
outlets
• Coffee machines in
college canteens
Promotion
• Channel [V]’s “Get
Gorgeous” Contest
• Tie up with youth
brands
• Khakee and Main Hun
Na
• Kiosks in offices
• Sales Promotion

15. • As a reaction to the launch of
Starbucks in India, CCD debuted
with TV Ad – Sit down-ism
Action
Programs:Advertising
• Gives customer a purpose for
hanging out
• Word of mouth
• Subtle advertising in movies and TV
serials
• Print and social media
• Sponsoring college events and giving
out discount coupons
• Tie up with different corporates
• Presence of outlets in all areas

16. Alternate Advertising Mediums…
Media Partner
Advertising Medium
Pan India presence
Teli Brahma
Wi-Fi / Bluetooth Downloads
405
Café Chronicle
Café Newspaper
721
DSN screens
Television Screens
168
Radiowalla
Café Radio
334

17. Coffee Day Xpress branding options
Leaflets
Counter top Tent Card
Danglers
Standee
Cup Branding
Vouchers / Scratch Cards / Discount Coupons

18. BUDGET
• Organised Coffee Market is around 67$ Million ( Rs. 300 crore)
growing at a rate of 40%.
• Or
• CCD Contributes a third of the Group’s Combined Revenue of
nearly 2,000 crore.
• Revenue Model is measured by Market Potential for Business
(Price *Volume).
• Cost Structure includes Allocation of Costs in Key Assets, Direct
Costs, Indirect Costs etc.
• Owns Plantation, Cold chain, Logistics for Economy of Scale and
Effective Supply chain.
• Satisfactory Margins and Inventory Turnover for the Growth.
• 3 % of Company’s Revenue Spent on Training the Staff in Major
cities.

19. CONTROLS
Treat customer. fairly
Cultivate Relationship with Customer
Learn from Recovery Experience
Fail-safe the service
Track complains

20. References
http://www.casestudyinc.com/coffee-daybrand-strategy-india
http://www.pr-inside.com/india-food-anddrink-report-q-r2164244.htm
http://en.wikipedia.org/wiki/Marketing
http://www.cafecoffeeday.com/
http://www.barista.co.in/users/index.aspx