SUBMITTED TO: SUBMITTED BY:

Tanmay Agrawal 18DM229

Sridharan S 18DM224
Simarpreet Singh 18DM216
Prof. Sunil Sangra Parwaj Singh 18DM143
Neha Farheen 18DM131
Sanchit Jain 18DM180

Neha Farheen (18DM131)

[Company name]
[Date]
 COFFEE BEVERAGE INDUSTRY IN INDIA

Coffee consumption in India has been largely concentrated in the southern region which also
contributes 90% of the total domestic production. However, in the past two decades, there has been
a spread in coffee consumption to other parts of India, Coffee is one among the top ranked
beverages and the source of caffeine. India is the largest exporter of coffee in Asia (as per coffee
board 2017).currently, coffee industry in India accounts for 3.65% of global production as of 2017.
This is a $20 billion industry. There are many players which constitutes coffee beverage industry,
these are Starbucks, Costa coffee, McDonald’s McCafé, Barista, Gloria Jeans, coffee bean & tea
leaf and Illy café. The market share of CCD is 54% which is the largest then, Barista with26%, costa
coffee with 14% and others with 6%. In this era it is becoming the important part of daily routine.
Coffee market is growing at Compound annual growth rate of 5.5%, during 2019-2024 (Forecasted
period) which clearly shows the gradual shift from soft drinks to coffee among consumers.

ABOUT CAFÉ COFFEE DAY

Café Coffee day is the well-established coffee chain with its headquarters in Chikkamagaluru
(Karnataka). The first café was opened in Bangalore in 1996 and at present it is the largest cafe
retail chain with more than 1000 cafés in 141 cities. The company is basically working in food
segment. The tag line is “A lot can happen over coffee”. For youth, CCD is a place where they meet
people, have conversation and lot of fun over cup of coffee. If we talk about the USP of the company
in India then it is the affordable as well as recognizable brand. It also did tie ups with World Space
and Micro sense to enable its cafes with satellite radio and Wi-Fi, respectively.

The mission of the company is to be the best café chain in country by offering world class coffee
experience at affordable prices.

V G Siddhartha started his career in JM Financial Limited as management trainee in 1983-84. After
working for two years he started investing in stock market for Rs. 30000, with Sivan Securities. He
hold 10,000 Acres of coffee farms by 1985. Siddhartha owns the largest coffee estate with more
than 30,000 employees and administer the supply chain in all the outlets. There are 1,752 outlets of
CCD across India till March 2019. In Financial year 2018-19, the revenue are Rs 1,777 Cr and Rs
1,814 Cr respectively.
 TRENDS IDENTIFIED

POLITICAL

Global recession, Trade Wars, E-governance, Isolationism, Major shift or reallocation of

Government budget.

ECONOMIC

Workers and wages will come to the fore, Merger and Acquisition, Entrepreneurship/ Start-ups,
Made in India, Digital India Initiative: It is supposed to widen India’s digital infrastructure, Global
inflation rates will remain close to 3.0%, Trade conflicts: More trade conflicts in South Asia are
expected to stir, Infrastructural investment :In the making of New India, infrastructure development
was given top priority. The finance minister announced an investment of INR 100 lakh crore (INR
100 trillion) over the next five years.

SOCIAL

Demographic shift, Accelerating urbanization, Popup shops, More Transparency, Tourism, Green
Consumerism, Meditation, Population Growth, Work Life Balance, Now or never attitude, Modern
Customer, Freelance workforce, Social Shopping, Boom in Coworking, Veganism, Healthy eating,
healthy living, Alternatives to milk.

TECHNOLOGICAL

Artificial Intelligence, Automation and robotization, Self-driving cars, The Future of Work is now, 5G,
Blockchain, Innovative payment mechanisms, Disrupting Utilities, Drone delivery, 3D Printing,
Mobile marketing, Mobile Computing, Cloud Computing, Rise of IoT, Big Data contextualization will
become easier, Voice Search, New Payroll Technology, E-sim, Wearable encryption, Serverless
computing, Augmented Reality, Dynamic pricing, Quantum computing, Bots: More adoption of this
technology on websites and real time. Advertising: New forms of advertising are adopted in the
technological realms of big data and artificial intelligence, Optic Fibres, Personalisation: Technology
is attempting to reach every individual differently by adopting this concept and with the help of
artificial intelligence. Data Privacy: Because of more prone to data breaching, people are adopting
safe and secure methods of data transmission. E sports: Around 70% of the U.S. population are
aware of virtual reality in sports segment. E commerce, Social Media Marketing, Testing Taste Buds:
Personalized food is trending. Ethics into algorithm, Live video.
LEGAL

Consumer protection, Tax policy, New FDI Regulations, Patents, Virtual Law Firm, Alternative Legal
firms, Alternative Billing Model, Legal Process Outsourcing, Globalization, Eco-Consciousness,
Legalization of Marijuana, Ross intelligence, L-Chatbots, Big data analytics and data visualization.

ENVIRONMENTAL

Global Warming, Climate change and resource scarcity, Shrinking Carbon Footprints, Sustainability
as a Competitive Advantage, More Renewable Energy Sources, Environmental Compliance, Ocean
Plastics, Natural Gas, Electric Vehicles, Ride pooling, Biodiversity in freefall, Demographic
Displacement, Shifting Food Supply.

FASHION TRENDS

Pastel Shades: People are moving from high vibrant colours to minimalistic colours. Vintage
Collection: People are gaining interest in vintage items and paying hugely for it. Luxury shopping:
Adoption of Luxury items in lifestyle segment to satisfy social status in the community. Plus Size:
Adoption of oversized clothes and lifestyle products is the new fashion statement. Sustainability:
The generation is moving towards sustainable fashion products. Colour: Consumers respond to
certain colour trend like Blue is the new black and Green is the new blue. Indian Ascent: India is
increasingly becoming a focal point for the fashion industry due to growing middle class and powerful
manufacturing sector. Radical transparency: The fashion industry suffers from a rising trust deficit
and are demanding to know much more about the whereabouts of the products they are selling.
Counterfeit: Major companies are facing this problem as the market are copying their design and
selling it at a low cost. Self-Disruption: Fashion companies are often successful but in order to
expand their business they often compete with their own benchmarks. On demand: Design and
production are long processes but due to technological and analytic developments companies have
started responding quickly. Khadi is new couture: In India, the biggest designers have rediscovered
the beauty of our heritage fabrics and is celebrating the freedom of fabrics. End of celebrity
aspiration: The constant wave of obsession over how celebrities style themselves have changed
and the younger generation is borrowing heirloom pieces from their mothers and grandmothers, and
revamping them with a contemporary twist. Shift in alcohol beverages: Sour beers, rosé and bourbon
are in. Irish whiskey is also moving up in prominence, as evidenced by the fanfare.
 FIELDS OF PLAY

1. MILLENNIAL COFFEE:

Penetrating alternative forms of coffee owing to trends. Trends Covered: Veganism, Healthy
Living, Social Media Age, Changing taste for coffee, Climate Change, Alternative milk sources,
Allergies of products, personalization in taste, work-life balance, customization, shift in alcohol
beverages.

Ready-to-Drink Coffee: Pre-made coffee, Frappuccino, or cold brew that you can find in gas
stations and convenience stores.
Nitro coffee: It's a specialty drink that involves infusing coffee with nitrogen gas. The result is a
rich and creamy texture as well as carbonation. Another benefit of nitro coffee is that it’s strong.
Buttered Coffee: Buttered coffee includes just a little bit of butter or coconut milk as a vehicle
for healthy fats. This is especially popular in the Keto diet. The butter helps give the coffee
drinker an energy boost without the caffeine crash while also keeping them full for longer.
Coffee Cocktails: Some options you might see are espresso martinis, Irish coffees, cold brew
gimlets, flat white martinis, and even black coffee lagers.
Non-Dairy Milk: Soy, lactose-free or almond milk are pretty well established, options like
cashew, oat, almond, rice, coconut, and macadamia milk coffee.

2. FUTURISTIC INTERIORS:

In this modern age of coffee fanatics and overzealous caffeine drinkers, we need to redesign the
overall appearance and aesthetic of their shops to cater to a more youthful and modern consumer.
These fantastically futuristic coffee shops that are both visually stimulating and architecturally
unique. From coffee shops that can change form based on the weather to those that infuse artistic
designs and encourage creativity, these futuristic cafes are definitely taking the coffee-drinking
experience to a whole new level. Trends Covered: Social Media, Sustainability, Climate Change,
Population explosion, Green Living, Modernization.
 3. AUTOMATED CAFÉ:

Coffee technology has become entangled in this network of connectivity. It comes with a tablet and
a machine is linked to the cloud, making it possible to receive notifications on the equipment status,
adjust settings remotely. Make two drinks in under a minute and will get your order right every time.
The robotic coffee bar employs assembly line-style robots to build your coffee orders for you. The
robotic arm pivots and goes about its business to brew your coffee once an order is placed. There's
a screen attached to the coffee station indicating where to plug in your code to pick up your coffee.
This system will be kiosks and app operated and will be opened in commercial and office spaces.
This along with the kiosks will help cut the queues and make it a more personalized and on the go
system. Brew mechanism that delivers your personalised beverage. It’s app remembers your
preference for strength, bitterness, caffeine and more, so you can go back time after time for
immediate satisfaction. Trends Covered: Bots, Mobile Computing and Cloud Computing
Technologies, Customizing, IOT, Big Data, Population, Urbanization, On the Go, e-Payment.

4. CCD ORIGINALS (SHORT FILMS):

The idea of short films is catching on in the digital world. This will be one of the most unique digital
platforms for short films in India, it will encourage young, aspiring directors in its new campaign. The
platform caters to both filmmakers and film-lovers with short films that can be easily watched over
mobile phones. It remains the ultimate destination for aspiring directors to convey their message
through this short format.

Trends covered: Time shortage, After cricket most followed entertainment source are movies. India
is the one of the youngest country in the world and youngsters are more inclined towards short and
nicely scripted stories. Can easily showcase Café Coffee Day in movies.
 5. iCOFFEE TABLE:

For those who want to sit back and enjoy the experience of the café, the iCafe’ will serve them. “I”
stands for interactive. The iconic “Coffee Table” has now been transformed into this mini world from
where one can do anything. Food ordering, watching as your order is prepared, browsing, sync with
phone, entertainment, multimedia, gaming, drawing, news, weather forecast, cool background for
insta lovers. Bill can be paid from the table as well.

Trends Covered: Big Data, Cloud Computing, Internet of Things, Cloud Computing, Transformed
Entertainment, Online Gaming, Live Video, Social Media, e-Payment.

6. BLIND DATING APP:

Our in five singles will look for love on the internet by 2050 with a surge in over-65s using online
dating. A massive increase of OAPs are expected to use online dating services in future. By 2050,
more than 80 per cent of singles will find love on the internet. According to the latest research, the
average age of those using online dating services will increase from 38 to the age of 47 by 2050. It
adds that a wave of ‘silver singles’, aged 65-85, will see the biggest increase of online daters – with
up to 78per cent predicted to use the services in the future. Trends Covered: Big Data, IOT, Dating
Lifestyle.
 SHORTLISTING FIELDS OF PLAY

THE PROCESS: A Matrix Approach was followed to prioritize the Fields of Play in order to select
one amongst them to make a Business Concept. Six different criteria are drawn and each Field of
Play was rated upon each of these six criteria on a scale of 1-5 (1 being the lowest and 5 being the
highest). Whichever FOP scored the highest, that was selected as the Business Concept.

ASSUMPTIONS: The process was done keeping Indian context in mind since CCD is operating in
India only. Also, it is done with respect to the current state of technology and the current growth rate
of population. Target market ranges from the average Indian coffee drinker to high end customers.
Certain legal aspects like Taxation, Alcohol Laws, Property Laws, Compliances etc have been
overlooked for the purpose of creativity.

RESULTS:

• While Millennial Coffee will generate more sales, it is not innovative as many cafes are
already serving cold brews, vegan coffee, etc. Thus, it didn’t score high.
• The shape-shifting, futuristic ambience is surely creative and rare to see, but it won’t create
much of value for coffee drinkers after a point as after all, it’s just an area with aesthetics.
• Automate Café is an amazing concept, it will increase convenience and boost sales. But a
similar concept has been developed by Starbucks hence it does not have innovation.
• Short Films and Dating App made by CCD is diversifying from coffee but it is adopting an
already existing trend and not innovating something of its own.
• iCoffee Table is one of it’s kind concept and will completely transform the café experience
of people it creates value, will increase sales and is futuristic. It will definitely be a game
changer for CCD. Hence this FOP scores the highest and gets shortlisted.
 BUSINESS CONCEPT

INTERACTIVE iCOFFEE TABLE

For centuries, a Coffee Table has been the place for people to meet, have conversations, bond over
a cup of coffee. From marriages to big business deals, a coffee table has been witness to it all.
Coffee Table has also been the place where people would play cards, chess and entertain
themselves. Also, coffee tables have had an important place in the interior aesthetics of a home,
with people decorating it with beautiful artefacts, vase, etc. Not to forget the Novels and Magazines
without which a coffee table is incomplete, making it a place for reading and gaining knowledge.

Now the same iconic Coffee Table is going to be transformed completely. Doing the same activities
in a modern way and much more. Features of this concept are:

• For those who want to sit back and enjoy the experience of the café, the iCafe’ will serve
them. Target audience are the people who want to dine in and enjoy the experience.
• A screen will ne embedded on the table, through which various functions can be done. Include
waiter-free, Artificial Intelligence assisted ordering and entertainment software. Multitouch.
Scratch resistant. Water resistant.
• Customers can browse interactive menus (showcasing video or photos, ingredient info,
nutrition facts, and the cooking process), place orders, as well as review and pay bills directly
from the table. You do not need a whole team of waiters to fulfil orders. Orders go directly
from the table to the cloud.
• Play collaborative games, browse news and social media, finger paint pictures, message
people at other tables, share content from a smartphone and more! And better yet – all of
this entertainment is at your fingertips while waiting for your food to arrive.
• Content management software, analytics, POS, CMS, ERM in one Central Command Centre.
• It will change how customers pay with breakthrough contact-less payment technology (or
credit card), with unique security features built right into the device. So now customers can
use their smartphones or credit cards to pay in a simple, safe and completely secure method.
• Use NFC, mobile apps, or a QR code for easy access to your customer account and instantly
receive discounts and Facebook data, or simply share photos with your friends online.
• Every waiter in the interactive restaurant can now be equipped with their own personal Smart
Watch. It can also track each waiter’s activity and instantly transfer the information directly to
a staff management Command Center.
 CHANNEL OF DISTRIBUTION:

Kodisoft is a Ukraine Based company who are currently developing these interactive coffee tables.
This world-leading product isn’t available from any other vendors, so Kodisoft is the only suitable
place from which the technical know how and the product can be directly outsourced at the moment.
This technology shall be adopted by CCD to completely transform the café experience of people in
India as it is a one of its kind concept.

PRICING STRATEGY:

• There will be cost saving in staff as only 1/2 of average waiter staff will be required because
all straightforward ordering and billing can be easily completed directly by guests at the table.
• Save money on renovations. Now that the restaurant is fully digital, any and every theme as
well as your overall daily atmosphere can be altered quickly, easily and very reasonably. New
pictures, videos and social media content will continually create fresh, exciting impressions
on new visitors and regular guests. And when choosing projection technology for interactive
walls, you can do the same with an entire room.
• Installing this system may temporarily increase the budget by 30-40% initially, but it will begin
paying for itself immediately before paying off quickly. Depending on certain specific factors
you should reasonably expect an ROI in 12-18 months and then enjoy profits from that point
forward. This technology creates a brand-new, innovative business which will open up new
possibilities every day moving forward.
• Installing a basic form of this system can involve costs around $200,000 initially as per
Kodisoft.
• Revenue Model will be pay per use. Customers shall be given basic time limit and features
for trial period which they can use, post which they shall have to pay to use it further.
• Complimentary usage to be provided if customers bill is above a certain limit e.g. Rs 1000.
• Additional charges for unlocking certain exclusive music, movies, games, etc.
• Membership options with rewards system and premium membership, this will help boost
revenue.
• Saving on depreciation expense of furniture.
• Will involve maintenance of the system but much lesser than that of expensive fine dine café
furniture as the bulk of it is done while installing.
 MARKETING STRATEGY

• Don’t limit yourself to food. Now you can sell almost anything—consider games, gifts, any
types of discounts, gift certificates or tourist packages. Your guests can now book rooms in
hotels, order taxis straight to the door, or even purchase vacation packages—and your
business will get a percentage of each transaction.
• Everyone can control an absolutely new and unbelievably powerful advertising channel. It’s
like broadcasting your own TV channel, but with even more control.
• It will bring near limitless possibilities when it comes to dominating local events. With the vivid
visual impression that it can create, businesses can take it to new levels in terms of hosting
birthday parties, corporate anniversaries and weddings. Decorate any space with the
customer’s personalized photos using the optional wall projection technology, show thematic
slide shows and videos/movies on tables, or run games and competitions between tables.
• A modern, updated, fresh and inspiring atmosphere will increase visitor flow dramatically.
With a new interactive CCD you’ll be able to easily create the “big buzz” every local
community constantly craves! So prepare to become the new dining “destination” in the
neighbourhood scene.
• Because of tight integration with major social networks, guests and visitors can and will
enthusiastically promote the restaurant all by themselves. Proactive social marketing like this
is invaluable and will undoubtedly be many times more effective than traditional Social Media
Marketing avenues.
• Tie ups with Digital Streaming Platforms like Amazon Prime, Netflix to stream their content
at the tables.
• Complimentary usage to be provided if customers bill is above a certain limit e.g. Rs 1000.
• Membership options with rewards system and premium membership, this will help boost
revenue.