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Café - Coffee Day - A Lot Can Happen Over A Coffee

Café Coffee Day is the largest coffee chain in India, with over 937 outlets across the country. Founded in 1996, it aims to open 180 more outlets in 2010. It grows its own coffee and has a well-equipped roasting unit to ensure quality. While the coffee market in India is growing at 5-6% annually, CCD faces competition from chains like Barista and Costa Coffee. To maintain its leading position, CCD follows a backward integration model and focuses on its core competence of coffee.

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Satish Sadasivam
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57 views9 pages

Café - Coffee Day - A Lot Can Happen Over A Coffee

Café Coffee Day is the largest coffee chain in India, with over 937 outlets across the country. Founded in 1996, it aims to open 180 more outlets in 2010. It grows its own coffee and has a well-equipped roasting unit to ensure quality. While the coffee market in India is growing at 5-6% annually, CCD faces competition from chains like Barista and Costa Coffee. To maintain its leading position, CCD follows a backward integration model and focuses on its core competence of coffee.

Uploaded by

Satish Sadasivam
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Café - Coffee Day - A lot can happen over a coffee

About the Industry

• India’s annual Consumption -97000 tonnes.

• Annual growth rate :5-6%

• Average per capita consumption : 66 grams annual

• Urban areas-73%, Rural areas- 27%.


Café Coffee Day
• Started by V. G. Siddhartha in Brigade Road Bangalore, 1996

• Largest organized retail coffee chain in India Total outlets- 937 in every nook and corner

of the country

• Plans to open 180 more outlets in fiscal year 2010.

• A Rs. 750 crore, ISO -9002 certified company.

• New cafes planned across – Middle East, Eastern Europe, Egypt, Eurasia, South East Asia
Competitor Analysis
• The Biggest Competitors for CCD are:
• Barista
• Café Mocha
• Qwicky
• Costa Coffee
• Java Green
• Café Pascucci

• Indirect Competitors
• McDonald’s, Haldiram’s
• Local Café shops like Nescafe
Product Offerings
• Grows the coffee it serves in its cafes
• Well-equipped roasting unit
• The eatables catered by different vendors Ice creams- Cream Bell Milk -
Amul Snacks from local vendors
• Sells merchandise through its stores.
• Enjoys trust for quality, hygiene and consistency of food.
Re-Branding
SWOT
Strengths Weakness
Products of extremely good quality and taste Its a youth The store ownership of the company might hinder in their
oriented brand , hence huge potential since 40 % expansion policies Price of the products is relatively higher
population is below 20 It produces the coffee it serves than brands like Java Green and McDonalds CCD cafes are
hence reducing the cost USP of brand is its considered a small in sizes Many of the CCD stores are incurring loses
highly affordable brand due to wrong site selection (national highways)

Opportunities Threats
Coffee cafe industry is one of the fastest growing industry Competition with other coffee cafes like Costa Coffee,
in Asia More people like to visit CCD for informal meetings Barista & Mochas. Consumer trends towards more
CCD has gone international , and is planning to attract healthy ways and away from caffeine International players
many new international markets, hence gaining like Starbucks New entrants and costs
international recognition Changing lifestyle of youth, they
like to spend time on lounging. New Products
Competitive Strategies/Next Steps
• Follows a backward integration of the value chain
• Procures coffee beans from its base in Bangalore.
• Quality assurance
• Focus on core competence- coffee, outsources other item
• Food items are obtained from local suppliers- cost advantage
Thank You - Any Questions?

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