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Formats of café coffee day

Coffee Day Square Coffee Day Lounge

Cafe Coffee Day redesigns its lounge format
Archana M Prasanna / Bangalore May 06, 2010, 00:38 IST

In a bid to re-connect with its consumers who have moved up the economic ladder in the last few years, Cafe Coffee Day(CCD), India’s largest cafe retail chain, will soon reveal a new look for its lounge outlets. The company plans to convert its existing lounges into the new design and set up 50 new lounge outlets by the end of this financial year.

The company opened its first outlet in 1996. “While the central purpose of our cafes remains being hubs of conversation, over the years, our customers have moved up. To re-engage with them, we have worked on our lounges offering a more relaxed ambience and catering to a global palate,” said Alok Gupta, director, Cafe Coffee Day. The company has 918 outlets in the country, located in 139 cities, of which 20 are lounges. It plans to touch 1,100 outlets by the end of this financial year. The company’s lounge is a more premium format compared to its cafes. In the lounges, the beverage is paired over gourmet cuisine and not just over fast food. The cuisine in the lounge will be European-styled and enable consumers to customise their food items like bread, pizza, etc. High streets, premium malls and airports are the type of locations the company is identifying to set up the new lounge outlets. An investment of around Rs 35 crore is expected to be put into the expansion of the lounge outlets. All its stores are self-managed. On an average, it takes the company 18-24 months to predict how a particular outlet is likely to perform. “Lounges tend to deliver better top line and better bottom line, albeit at slightly higher rentals. A lounge could typically operate at 1.8 times to two times better top line over regular cafes,” said Gupta. It is also planning to bring world trends of coffee brewing, such as pour over and siphon, to these lounges. As part of its strategy to become a global player, CCD has set up four outlets in Vienna and two in Karachi. “We are looking at setting up 20-30 cafes in Europe with a focus on the eastern part,” said Gupta. He added that the company was exploring the inorganic route outside India with a cafe retail chain but declined to disclose more details. The company has revenues of Rs 400 crore. The retail cafe market in India is estimated to be around Rs 800 crore, of which significant players other than CCD include Barista, Costa Coffee, Gloria Jean’s Coffees and Aromas. Global cafe retailing major Starbucks is also reportedly evaluating an entry into the space in India.

CDS is CCD's 700th outlet in the country. In the Lounge format. 120 in Mumbai and over 100 outlets in the Delhi NCR is targeting 1000 outlets by end of 2009.2 billion. CCD has recently added breakfast to its menu. It has 135 outlets in Bangalore. The company expects to tie up with one more airline over the next few months. Added CCD president – marketing Bidisha Nagaraj. Presently.php Indiantelevision. informed Gupta. said Gupta." Meanwhile. the in-shop branding initiatives that CCD has with other brands in CCD outlets will be limited to very niche products mainly connected with coffee in the case of CDS. which today launched its new format and flagship outlet Coffee Day Square (CDS) in Bangalore. the expansion will require an investment of about Rs 1. Among the expansion plans for 2009 are 60-80 CCD Lounge format outlets and another five CDS outlets in major metros in India. CCD outlets are present in 110 cities in the Team (22 December 2008 7:00 pm) BANGALORE: Café Coffee Day (CCD). Go-Air and Jetlite flights in India. In the highway format. Amongst CCD's future plans include e-commerce initiatives through which CCD will deliver non-perishable merchandise such as coffee brewing equipment and coffee in bean/powder against orders placed online." Gupta said. We want to make Coffee Day Square the Mecca of coffee. CCD will extend the coffee experience in other metros in the country eager for the coffee enthusiast to enjoy this novel experience. "Over the next months.Cafe Coffee Day launches new format. CCD serves foods and beverages including meals. "The launch of Coffee Day Square is the natural evolution for the brand having pioneered the coffee café concept in the country. CCD has 6 Lounge formats outlets. According to CCD Director Alok Gupta. targets 1000 outlets by 2009-end http://www. . Its products are sold on Indigo. Currently.

one in Bangalore and one in Delhi and the company is looking to scale up with at least one store each in the metros and key cities. The joint venture between Tata Global Beverages and Starbucks. and in the next three years we should be present in 500 towns. It is coffee snobbery and we don't serve tea at Square.http://news.” Cafe Coffee Day plans 900 more outlets by 2014 http://www. we are also looking at other cities. The Square format is for the absolute coffee connoisseur. has announced its plans to ramp up its premium coffee chain format Square in an attemot to counter the entry of US-based major Starbucks in India. the owner of Amalgamated Bean Company and operates the Café Coffee Day chain of coffee shops. Ramakrishnan K. the difference lies in the treatment. “Square is a tough format to expand.000 to 3.000 sq. . there are two But. Cafe Coffee Day. space and we need experts in terms of staff working there. ft. is planning to add 900 more outlets spanning 330 towns in the next three years. adding 900 new outlets. Cafe Coffee Day.” Cafe Coffee Day marketing president K Ramakrishnan told PTI.livemint.indiamart. Typically it requires a 2.500 square feet. marketing. which is planning to invest Rs 400 crore and open 50 outlets by the end of 2012. president. At present. is eyeing outlets measuring “There is no saturation in big cities. We are present in 170 towns now.html Café Coffee Day ups top-end to counter Starbucks' entry Cafe Coffee Day plans to scale up its coffee chain format Square to counter Starbucks' entry BANGALORE: Cafe Coffee Day (CCD). first opened Square three years ago.html Mumbai: Leading coffee chain. said. VG Siddhartha. Between Lounge and the Square.

600 cafe chains in the organised space. Typically we increase our prices once a year. and Whitbread-operated Costa Coffee. “Commodity prices don’t impact us that much as all our coffees are self-sourced. . “There is enough room for many more. Ramakrishnan said.” The firm operates 20 CCD lounges. he said. There are 1.” “The current per capita coffee intake is just 82 gm in the country. while it is 4 kg in the US. he did not divulge investment.100 outlets in 170 cities in three formats --lounges.100 outlets CCD is the largest. However. revenue or profitability details. and as they grew up they felt the need to have something sophisticated and hence the lounge format was introduced. there is food. Asked if CCD will increase prices due to increasing commodity prices. then we will be forced to pass it on to the customers.A part of Amalgamated Bean Coffee Trading Company (ABCTCL). was in response to the customer demand. With 1. and it competes with the Luigi Lavazza-run Barista Lavazza chain. Ramakrishnan said that launch of lounge. When asked how the company will safeguard its share in the segment with the iconic Starbucks planning to enter India. he said.000 towns in the country and the entire cafe industry put together is present only in 180 towns. “Most of our customers have been associated with us from their teenage days. There are 5. but if it is unbearable. which will go up to 100 in the next two years.” The company had increased the prices in April.” he said. However. cafes and kiosks. the latest format. Cafe Coffee Day now operates 1. milk and sugar that we also use.