This document discusses Tata Starbucks' plans to introduce coffee kiosks in India. It notes that coffee kiosks are a relatively new concept in India, with Café Coffee Day being the dominant player with over 900 locations. The document performs a comparative analysis of Café Coffee Day and other competitors like Costa Coffee and Starbucks. It then outlines challenges for Tata Starbucks in India, such as establishing brand awareness and price competitiveness. Finally, it proposes strategic options for Tata Starbucks around product, price, place, and promotion to tap into India's growing coffee market and demand for easily accessible kiosk locations.

1. SIMS BRAND AMBASSADOR
PROGRAM
SALIL GOYAL
DIV: B
ROLL NO: 64
BATCH: 2013-2015
TATA STARBUCKS – INTRODUCING KIOSKS IN INDIA

2. THE COFFEE KIOSK MARKET
• Conceptualized to flow around the fast moving lifestyle of today.
• Relatively new both in India and world over.
• Very accessible at marketplaces, highway, malls, corporate offices,
hospitals, institutions etc.
• Time for preparation comes down from 6mins to 60 seconds.
INDIA
• CCD - market leader - over 900 coffee day express kiosks
market share - 90%. Rest - Other local and regional coffee kiosks.
INTERNATIONAL
• New entrants like the gourmet coffee and the Rubi’s coffee now
expanding the coffee kiosks business.
• Kiosk concept already famous in malaysia and vietnam.

3. COMPARATIVE ANALYSIS
PARAMETERS
CAFÉ COFFEE
DAY
BARISTA COSTA COFFEE STARBUCKS
• Target Audience
•Branding
•Promotions
•Location
•Working Models
• Mass Market/
young crowd/
middle class.
•“A lot can
happen over
coffee.”
•Interior
aesthetics, WIFI,
Music promo..
1438 outlets in
28 states.
Vertical
integration, low
costs.
• Lifestyle
brand/upper
middle class.
•“Where the
world meets”.
•Branded
merchandising,
store-in-store.
•225 cafes in 30
cities.
• A strong belief
in Italian
products.
• Leisure brand/
upper middle and
elite class.
• “ The only
genuine coffee
shop.”
•Word of mouth
promos, posters,
wall pics.
•All metros with
73 stores.
•Complete focus
on product.
No particular
target, middle
class, Elite class
Changing logos,
community
centric.
Promote loyalty,
consumer
connection.
Just entered with
6 stores in 2 cities.
Belief in
community
principles and
quality.

4. COMPARATIVE ANALYSIS
• Coffee day express or CDX from the coffee day company - Major
rival/competitor and market leader in KIOKS segment.
• CDX has over 900 stores in over 25 cities and expanding.
• Other competitors in the segment include other local and regional
new entrants in the coffee kiosk concept of business.
CHALLEGES to TATA STARBUCKS
• Well established CDX with market value is about 150crores.
• Combine coffee with youth, vibrancy, color, a zest for life and real true
fun.
• Price competition with CDX. Be able to provide coffee at as low as
11Rs.
• Be accessible to as many public places including, malls, market
places, offices, institutions, hospitals etc.

5. STRATEGIC OPTIONS- TATA STARBUCKS INDIA
• USP building would be defined by effective Pricing and the Volume or the
number of stores for easy accessibility.
PRODUCT:
• Enlarge product line. Introduce instant special coffees and teas.
• Add a few healthy fast food snacks. ( Both Veg and Non Veg).
PRICE:
• India is Price Sensitive: Target masses and serve more for more.
• Keep an eye on competition ( From CDX)
PLACE:
• Target Tier1 along with Tier2 and Tier3 cities. (Most revenue should come
from Tier1 cities. ( Malls, high streets, offices, institutions)
• Make it popular to masses through effective branding( STARBUCKS is
BIG brand world over.
PROMOTON:
• Use Starbucks for brand promotion in Tier1 and Tata in Tier 2 and Tier3
Cities.
• Promote Fair trade, Charity etc.

6. CONCLUSION
• Use Starbucks Strengths like the High brand visibility, superb
marketing techniques
• Access to Tata’s Robusta and Arabica coffees provides some sense of
vertical integration and help in Pricing.
• Tackle issues like the Luxury coffee outlet image of Starbucks.
• Tackle certain rigid policies and standards that need to be mentioned
in certain places.
• India has a dominant tea consuming population. Attract middle class
drinking tea into consuming coffee. ( Ease of Access in Hectic
Lifestyles).
• Growing with a huge middle class with increasing purchasing power
and changing fast lifestyles.
• Coffee market to expand at 40% annually.
• Huge potential for STARBUCKS in India to tap the growing coffee
market and the need for KIOSKS for easy accessibilty.