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    Starbucks has entered India's premium coffee market, opening 22 outlets in its first 20 months, bringing competition to established chains like Café Coffee Day. Café Coffee Day faces competition from local chains as well as McDonald's and Haldirams, and now the global Starbucks brand. Starbucks is targeting younger Indians and has introduced Indian food items to its menu. Café Coffee Day will need to expand and improve its menu offerings as well as personalize services to attract customers based on taste and quality as Starbucks utilizes the resources of its partner, the Tata Group, to gain market share in India.

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    Starbucks has entered India's premium coffee market, opening 22 outlets in its first 20 months, bringing competition to established chains like Café Coffee Day. Café Coffee Day faces competition from local chains as well as McDonald's and Haldirams, and now the global Starbucks brand. Starbucks is targeting younger Indians and has introduced Indian food items to its menu. Café Coffee Day will need to expand and improve its menu offerings as well as personalize services to attract customers based on taste and quality as Starbucks utilizes the resources of its partner, the Tata Group, to gain market share in India.

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    Starbucks has entered India's premium coffee market, opening 22 outlets in its first 20 months, bringing competition to established chains like Café Coffee Day. Café Coffee Day faces competition from local chains as well as McDonald's and Haldirams, and now the global Starbucks brand. Starbucks is targeting younger Indians and has introduced Indian food items to its menu. Café Coffee Day will need to expand and improve its menu offerings as well as personalize services to attract customers based on taste and quality as Starbucks utilizes the resources of its partner, the Tata Group, to gain market share in India.

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    © All Rights Reserved
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    Download as docx, pdf, or txt
    41 views2 pages

    Document

    Uploaded by

    yash rathod
    Starbucks has entered India's premium coffee market, opening 22 outlets in its first 20 months, bringing competition to established chains like Café Coffee Day. Café Coffee Day faces competition from local chains as well as McDonald's and Haldirams, and now the global Starbucks brand. Starbucks is targeting younger Indians and has introduced Indian food items to its menu. Café Coffee Day will need to expand and improve its menu offerings as well as personalize services to attract customers based on taste and quality as Starbucks utilizes the resources of its partner, the Tata Group, to gain market share in India.

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    SHILPA AHUJA Both brands are targeting the youth in India.

    Starbucks can sometimes be full of


    “wannabes” who want to show off their financial prowess for being able to buy “premium” coffee.

    SHILPA AHUJA If you compare the hospitality for Starbucks vs CCD, both of them are good in terms of
    their customer relationship.

    KANIKA OREA AVIRAL ROY Competitors: Café Coffee Day faces direct competition from Barista,
    Café Mocha, Costa Coffee, Beyond Coffee, Gloria Jean’s, Minerva Coffee Shop and indirect

    competition from McDonalds and Haldirams. But a new global competitor Starbucks has entered into
    the premium segment of the café market which has already opened 22 outlets across the country within
    20 months of its opening.

    KANIKA OREA AVIRAL ROY Marketing Strategies: Starbucks has Indian food items or snacks in their
    menu taking care of Indian eating habits. Café Coffee Day should go ahead and revise their menu. The
    menu has been the same for long. New food items should be introduced taking care of the interests of
    the target segment. They should also offer coffee in different cup sizes. They should take care in
    personalization of the coffee as in take inputs from the customer and prepare the coffee according to
    their requirements. It is rated highly in terms of taste and quality of products according to research
    reports. As they grow their beans, they have huge potential to attract customers based on taste and
    quality. They should also open counters for buying products such as mugs, coffee beans, personalized
    gift items and instant photographs of the customers.

    SOWJANYA KANURI Challenges for players:

    Starbucks has considerable experience in the coffee chain industry, it is new to the Indian market and
    will face some difficulties in its introduction phase. Amalgamated Bean is a home-grown company and
    has 17 years of experience catering to the Indian population. With over 1,300 outlets across 180 towns
    of India, and also divisions like ‘Fresh n’ Ground’ (450 coffee bean and powder retail outlets) and ‘Coffee
    Day Xpress’ (900-plus Coffee Day kiosks), it has a much broader reach than merely the CCD outlets we
    see on every other road in major cities.

    CCD can expand considerably faster and easier, being an established player.

    However, Starbucks’ partnership with the Tata group will place at its disposal considerable resources
    and the expertise of one of India’s largest conglomerates which will reduce this advantage to a great
    extent.

    RAMAKRISHNAN While Starbucks is expected to impact CCD’s business, the Indian chain is
    currently on an expansion spree. CCD currently has around 1,275 outlets across the country, but plans to
    increase that number to 2,000 by the end of 2014. In the meantime, the chain’s food menu is being
    revamped and

    expanded, and the vendor base is being accordingly strengthened. CCD is also becoming more active in
    Internet space. “We have 1.3 million fans on Facebook and this number is growing daily,” Ramakrishnan
    notes. “We

    see it as a great vehicle for communication and feedback and, most importantly, for co-creating new
    initiatives — like new food items, for instance.”
    But Starbucks also brings strengths to the table, including a global footprint and having an Indian partner
    firm in the Tata Group According to

    Research, Starbucks and all other global entrants will face challenges in India, including understanding
    the nuances of the Indian consumer. “In the U.S, 40% of

    coffee sales occur before 11 a.m. In India, sales typically happen only after 11 a.m.,” he says. “That’s a
    huge shocker for the Western brands.”

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