Preface

The objective of the thesis is “To compare and study Barista

& Café Coffee Day, identify areas of excellence and areas needing
improvement; and provide suggestions for such improvement”. The
aim of this Thesis is to successfully compare two prominent service
sector companies on a common platform, analyze their working and
performance, and highlight what they are doing well, while providing
suggestions and recommendations for improvement. Barista and Café
Coffee Day were chosen because of their identical pattern of
functioning and growth. They are the only two major players in the
national coffee café industry, and their customers consider both as
interchangeable brands. This is why it is important to study how
these brands differentiate themselves from each other, and attempt to
improve brand loyalty amongst their customers. For the purpose of
this study, I prepared 2 research tools, both questionnaire, to find out
the relevant primary data pertaining to the functioning and working
of both Barista and Café Coffee Day.

Coffee is a beverage that puts one to sleep when not drank.

~Alphonse Allais

Coffee smells like freshly ground heaven. ~Jessi Lane Adams

A fig for partridges and quails,

ye dainties I know nothing of ye;
But on the highest mount in Wales
Would choose in peace to drink my coffee.
~Jonathon Swift
BARISTA VS
CAFÉ COFFEE
DAY
A COMPARATIVE
STUDY

Black as the devil, Hot as hell,

Pure as an angel, Sweet as love.
That is WE called as coffee
……………AUTHORS

Coffee, which makes the politicians wise,

And see through all things with his half-shut eyes.
~Alexander Pope
I never drink coffee at lunch. I find it keeps me awake for the
afternoon. ~Ronald Reagan

This coffee tastes like mud! Well, it was ground this morning.

I don't have a problem with caffeine. I have a problem without

caffeine!

Everybody should believe in something. WE believe WE will

have another PROJECT like this in coffee.

Executive Summary

Indian consumer is a very interesting entity. The consumer in India is

as heterogeneous as the country itself is. The urban consumer
contrasts with the rural and the South Indian consumer with the
North Indian. Further still, the consumer in the metros militates with
his usage and habit patterns. The Indian consumer, is therefore very
difficult to understand and very difficult to predict.

Tea and Coffee are the favourite drink in India especially tea. A quiet
cafe revolution is sweeping urban India with the explosion of coffee
bars. That is bad news for tea - still the favourite brew for a majority
of Indians -, which has been losing out to coffee in recent years.
India is one of the world's largest exporters of tea and one of its
biggest consumers. However, it is coffee drinking which is
increasingly becoming a statement of young and upwardly mobile
Indians. Moreover, coffee bars, an unheard of concept until a couple
of years ago, are suddenly big business. Coffee is slowly but surely
substituting tea. There is also rise in the consumption of coffee. The
specialty coffee movement has gained much of its momentum
through the efforts of companies like Barista, Café Coffee Day and
Starbucks.

In India CAFÉ COFFEE DAY and BARISTA are the most popular
and well-known cafés. The college crowd rates them as one of the
coolest hangouts. These companies sell similar product but their
positioning and target audience are very different from each other.
These players not only sell coffee and tea but also food and other
merchandise items.

Despite of serving to different audience, these players compete with

themselves. Each player fights for its own share of market. They try
to differentiate themselves by the way of product or price or
promotion. However, they are also facing the competition from the
foreign players like Georgia, Starbucks etc. It would be interesting to
see how the companies differentiate and maintain their share in the
market.

History of company CAFÉ

COFFEE DAY
Café Coffee Day is a chain of coffee shops in India having it's head
quarters in Chikkamagaluru, Karnataka. A division of Amalgamated
Bean Coffee Trading Company Ltd. (ABCTCL), it is commonly
known as Coffee Day or CCD. It opened its first cafe in 1996 on
Brigade Road in Bangalore, and today has the largest cafe retail
chain in India - with 800 cafes in 112 cities.

Headquartered in Bangalore, a majority of its cafes are also located

in Bangalore. The cafe chain has had much success riding, and to
some extent creating, the cafe culture wave that swept across
metropolitan India following strong economic growth resulting in an
increase in youth spending power. It has even tied up with World
Space and Micro sense to enable its cafes with satellite radio and Wi-
Fi, respectively. Its first Wi-Fi cafe was opened on Lavelle Road,
Bangalore.

Cafe Coffee Day sources coffee from 10000 acres (40 km²) of coffee
estates, the 2nd largest in Asia, that is owned by a sister concern and
from 11,000 small growers. It is one of India’s leading coffee
exporters, with clients across the USA, Middle East Europe and
Japan.

With its roots in Chickmagalur, the home of some of the best Indian
coffees, Coffee Day has its business spanning the entire value chain
of coffee consumption in India. Its different divisions include: Coffee
Day Fresh 'n' Ground (which owns 450 coffee bean and powder retail
outlets), Coffee Day Xpress (which owns 730 Coffee Day kiosks),
Coffee Day Takeaway (which owns 9000 vending machines), Coffee
Day Exports and Coffee Day Perfect (FMCG Packaged Coffee)
division. It is entering the European market by opening two Caffes at
Austria as well, making forays into Pakistan, and Germany to set up
cafes abroad. The strategy CCD has adapted is to place a cafe in
every possible location where some business can be generated. So in
Bangalore, in the main shopping district, there are 6 outlets in a 2 km
radius and over all 120 cafes in Bangalore alone.

Another model which CCD has adapted is to be present in

educational institutions and corporate campuses either in the form of
detailed Cafes or its economical model of CCD express.
 These innovative strategies have ensured that the competition is at
bay and ensured CCD's dominance in the Indian market though many
of its outlets are incurring losses.

Another model which CCD has adapted is to be present in

educational institutions and corporate campuses either in the form of
detailed cafes or its economical model of CCD express.

These innovative strategies have ensured that the competition is at

bay and ensured CCD's dominance in the Indian market though many
of its outlets are incurring losses.

Cafe Coffee Day competitors include but are not limited to

Café Coffee Day is a division of India's largest coffee conglomerate,

Amalgamated Bean Coffee Trading Company Ltd. (ABCTCL), popularly
known as Coffee Day, A Rs. 750 crore ISO 9002 certified company. Coffee
Day sources coffee from 5000 acres of coffee estates, the 2nd largest in Asia,
that is owned by a sister concern and from 11,000 small growers. It is one of
India’s leading coffee exporters with clients across USA, Europe & Japan.

With its roots in the golden soil of Chickmaglur, the home of some of the
best Indian Coffees and with the vision of a true entrepreneur nurturing it,
Coffee Day has its business spanning the entire value chain of coffee
consumption in India. Its different divisions include: Coffee Day Fresh n
Ground (which owns 400 Coffee bean and powder retail outlets), Coffee Day
Xpress (which owns 895 Coffee Day Kiosk), Coffee Day Take away (which
owns 12000 Vending Machines), Coffee Day Exports and Coffee Day
Perfect (FMCG Packaged Coffee) division.

Café Coffee Day (CCD) pioneered the café concept in India in 1996 by
opening its first café at Brigade Road in Bangalore. Till about the late 1990’s
coffee drinking in India was restricted to the intellectual, the South Indian
traditionalist and the five star coffee shop visitor. As the pure (as opposed to
instant coffee) coffee café culture in neighboring international markets grew,
the need for a relaxed and fun “hangout” for the emerging urban youth in the
country was clearly seen.
Recognizing the potential that lay ahead on the horizon, Café Coffee Day
embarked on a dynamic journey to become a large organized retail café chain
with a distinct brand identity of its own. From a handful of cafés in six cites
in the first 5 years, CCD has become India’s largest and premier retail chain
of cafes with 858 cafes in 134 cities around the country.

“Enthused by the success of offering a world-class coffee experience, CCD

has opened a Café in Vienna, Austria and is planning to open other Cafes in
the Middle East, Eastern Europe, Eurasia, Egypt and South East Asia in the
coming months.”

A) Origin
A traditional family owned a few acres of coffee estates, which
yielded the rich coffee beans in the soil of Chikmagalur, However
they soon amalgamated with Bean Coffee Trading Company
Limited, now popularly known as Coffee Day. The coffee growing
tradition was since 1875, but the opportunity after the deregulation of
the coffee board in the early nineties. Coffee Day began exporting
coffee to the connoisseurs across USA, Europe & Japan. In the
calendar year 2000, Coffee Day exported more than 27000 tonnes of
coffee valued at US$ 60 m to these countries and, for the second time
in its short career of 7 years retained the position as the largest coffee
exporter of India.
 B) About Coffee Day

Coffee Day has a wide and professional network in the major coffee
growing areas of the country comprising over 50 agents and 50
collecting depots. Coffee Day's two curing works at Chikmagalur and
Hassan cure over 70,000 tonnes of coffee per annum, the largest in
the country. Coffee Day has a well-equipped roasting unit catering to
the specific requirement of the consumers. The process is carried out
under the control of experienced personnel to meet highest quality
standards. The most modern technology available is used to maintain
consistency and roast the coffee beans to the demanding
specifications of the discerning coffee consumers.

Key Features:

• 125 years of coffee growing history

• A fully equipped ISO certified roasting plant with a 70000
tonnes per annum capacity at Hassan
• 5000 acres of self owned Coffee Plantations
• A ready and enviable base of more than 10000 suppliers
• Among the top exporters of coffee in India (Coffee Day Exports)

Coffee Day Comprises of the following Sub Brands

• Coffee Day - Fresh & Ground

• Café Coffee Day
• Coffee Day – Vending
• Coffee Day – Xpress
• Coffee Day – Exports
• Coffee Day – Perfect

Actually, this seems to be the basic need of the human heart in

nearly every great crisis - a good hot cup of coffee.

C) Introduction

Café Coffee Day currently owns and operates 169 cafes in all major
cities in India. It is a part of India's largest coffee company
named Coffee Day, ISO 9002 certified company. Coffee Day's
most unique aspect is that it grows the coffee it serves in its
cafes. Cafe Coffee Day's vending machines have a special niche
in the market compared to competitors because Cafe Coffee
Day machines offer filter coffee unlike the instant coffee offered
by competitors' brands. Growing from a coffee exporter to a
coffee parlour, café coffee day has certainly come a long way in
this segment.
 The Coffee Café Industry

The Coffee Café industry is currently one of the biggest and fastest
growing sectors in business. The industry consists of a mix of
individual cafés, hotel cafés and retail café chains.
Individual Cafés:
The main bulk of revenue is earned by small, individual cafés, run
mostly by families and friends. It is a relatively unorganized sector.
There are millions of such cafés around the world, and they provide
customers with a homely, casual experience.
The bulk of these cafés are mainly in Europe, where every little town
or village has local cafés, where people gather together for a
conversation over coffee, or just to be alone with their thoughts.

Diagram – Individual Cafés

These cafés have been the birthplace and sanctuary for various
creative minds, revolutionaries and thinkers of our time. The most
recent example is the author J.K. Rowling, who has written most of
the Harry Potter series of books, sitting at her local café.
These cafés set themselves apart from retail chain cafés and hotel
cafés because they provide customers with a homely, classic appeal,
which cannot be emulated.

Hotel Cafés:
Ever since the popularization of coffee, hotels all over the world
started opening 24-hour coffee shops where visitors to the hotel
could walk in for a cup of coffee and some food at any time.
These coffeehouses are extremely important, because they provide
international visitors to the hotel with a universal drink- coffee. Any
customer can walk into any major hotel in the world, and enter the
coffeehouse, and know what to expect. These cafés are not really
major players in the coffee café industry, but rather provide
supplementary services to the hotel industry.

Diagram – Hotel Cafés

Retail Café Chains:
The last, and the most organized sector in the coffee café industry, is
the retail café chain. Off late, these chains have become extremely
popular and are growing at an ever-increasing pace. These retail
chains have work with an organized structure of man, material and
money. The work on developing a recognized brand consistent to all
their outlets, which customers can easily relate to, wherever they go.
They provide customers with a standardized level of service and
quality at each of their outlets.
The vast popularity of these retail chains is shown in the rapid
international growth of brands like Starbucks. Customers can do to
any Starbucks across the world and know exactly what to expect. The
main focus of my project is on two nationally recognized retail café
chains: Barista & Café Coffee Day.

Diagram – A popular Retail Café Chain logo

Growth of Café Industry in India

Hot beverages have always been a part of the tradition of India,
especially South India. Coffee took the first seat in South India when
the traditional Brahmin classes brought down the beverage from the
ruling British around the 1930s. During the early years the drink was
confined only to traditional rich Brahmin families who served filter
coffee in ‘davra- tumbler’. Coffee is no more confined to the rich
Brahmin class now, though the tradition of serving filter coffee in the
‘davra- tumbler’ continues to this day.
In order to spread the drink, coffee houses emerged at various places
in the country, which also served as the opposite places for lawyers
and the educated class to hold discussions ranging from politics to
cinema. It is also believed that many scripts and ideas for films
evolved here. One of the oldest coffee houses in South India is the
Raayars mess, Chennai, which serves first class filter coffee even
today. The mess was established in the 1940s and continues the
tradition of coffee but supplements it with tiffin also. The vintage
location of the mess attracts huge crowds even today early in the
mornings, Coffee however was not the only item on the menu. These
places also served food and other drinks to their customers.
The drink also became famous and as a result even five star hotels
began cashing in on it.
Several hotels all over the country started opening coffee- shops that
catered to high- end customers. This showed the popularization of
coffee cafés, to all sections of society.
The drink has now become more of a concept than merely a drink
itself. The last decade witnesses the growth of numerous coffee pubs
in the country. A number of coffee café owners tried to westernize
the taste in contrast to the filter coffee.
Now, large retail chains like Qwikys, Barista, and Café Coffee Day
have opened up around the country. The concept of a café today is
not merely about selling coffee, but about developing a national
brand. Retail cafés now form a multi- crore industry in the country,
and have huge potential for growth locally, and internationally.These
cafés form the main focus of this project.

Food & Beverages Market In India

India ranks first in the world in production of cereals, livestock

population and milk. It is the second largest fruit and vegetable
producer and is among the top five producers of Rice, Wheat,
Groundnuts, Tea, Coffee, Tobacco, Spices, Sugar, and Oilseeds, yet
India’s share in international food trade is a minuscule 1.5%. Value
addition to foods by processing is a mere 8% of total production.
Organized food retailing industry is still at infancy stage with share
less than 1 per cent of food retail market size in India.

Do I like my coffee black? There are other colors?

Transition Of Cafes

Coffee remains in the outer periphery of interest in the minds of

consumers. Other aggressive beverages like tea and the colas of
every hue have a substantially higher degree of interest and of course
advertising backing them. Coffee consumption is down in the last
four years. From a level of 55,000 tpa, the numbers are down at
52,000 tpa today. Per capita consumption hover around 52 gms. This
signifies a measly 10 cups of coffee per Indian per year!

Branded coffee consumption is a small percentage of the total. Only

19 per cent are branded and the rest is in loose forms. However, a
significant increase in consumption in the branded segment
anticipated. This is going to be spurred by the liquid coffee cafes and
of course, the inroads foreign brands will make in the domestic
market soon.

Liquid coffee bars and vending machines are going to spur

consumption on in the country for coffee. These are going to be
front-ended efforts that will make coffee that much more consumer-
friendly and will make the beverage accessible at arms length reach
and available at the end of a desire.

It is expected to have 60,000 coffee vending machines in the country

in the next three years and expect to see at least 4000 Cafes across
the country in the next five years.

The market for vending products in India is opening up. Towards the
end of the review period, with organized retailing coming in,
consumers started believing in brand names. Vending products
through machines started not only for coffee and tea, but also for soft
drinks, chocolate confectionery and magazines, amongst others. The
total strength of vending machines in the country is approximately
about 60,000 machines by the end of 2004, which includes a large
number of unbranded machines too.

Coffee pubs and cafes mushroom throughout India, with vending

machines also on the rise. Over the review period, there was a
mushrooming of coffee pubs and cafes across regions, and across the
country as a whole. Coffee chains like Barista, Qwiky's and Cafe
Coffee Day (run by Amalgamated Bean Coffee Trading Co Ltd) have
become hugely popular hangouts for Indian cities' young and trendy
consumers. The cafes and pubs are not just places where people buy
coffee; they also try to sell a certain lifestyle. The chains, with their
glitzy interiors and designer furniture, are targeted at urban, upper-
middle-class and rich Indians.
 CAFÉ COFFEE DAY
VALUES- PRISM
PRIDE - I take pride in my work and in my
organization.

RESPECT - I respect my customers, my

subordinates, my peers and my superiors.

INTEGRITY - I will show the highest level

of integrity towards my work and my
company under all circumstances.

SELF - DISCIPLINE - I will imbibe and

practice self-discipline in all my daily
activities.

MOTIVATION - I will always be motivated

to give the best for my organization, my team
and my customers.
If (pot.coffee=EMPTY) {programmer-
>;brain=OFF};

MISSION STATEMENT

CAFÉ FORMATS
Café Coffee Day has been experimenting
with café formats for quite sometime.
Backed by the motivation of providing
customers with exciting choices as well as
constantly redefining ‘the café experience’,
CCD has ventured into the following formats:

Music Cafés provide customers with the

choice of playing their favourite music tracks
on the Digital Audio Jukeboxes installed at
the café! There are around 85 cafes with such
jukeboxes. 32 cafes also provide customers
with the visual treat of watching their favorite
music videos by means of Video Jukeboxes.

Book Cafés offer the perfect solution to

people who think that the coffee experience
is incomplete without browsing through the
bestsellers or reading a classic. CCD’s book
corners accentuate the age-old combination
of ‘coffee and books’. This exciting concept
has been successfully tested at 15 cafes in 12
cities across India and the numbers are set to
grow exponentially. CCD has tied up with
English Book Depot, one of India’s leading
book distributors for placement and rotation
of reading materials appealing to Café Coffee
Day’s discerning customers.

Highway cafés presents the traveler en route

not only with good coffee and scrumptious
snacks amidst great ambience but also with
clean restrooms to get rid of that weariness
from the road!

Lounge cafés at Hauz Khas, Delhi and

Southern Avenue, Kolkata(Southern Avenue)
and Hyderabad (Jubilee Hills) combines the
style and luxury of a lounge with the lively
ambience and comfort of a café. With
exquisite interiors, exotic menu and thematic
music, CCD Lounge offers a whole new
experience to the connoisseur while assisting
the latter through its team of hostesses who
are poise and style incarnate and are looked
upon as fashion icons.

Garden cafés combine the joy of

rejuvenating amidst verdant
 landscapes
and pots of coffee.

Cyber cafés combine the urge to surf, & not

to mention get connected through the internet
while enjoying perfectly brewed cups of
coffees, both domestic as well as
International blends! These are of course just
milestones. CCD is about to launch Sports
Café, Fashion Café & Singles Café……..
LOGO
For a brand to stand out and be successful
there has to be a personal commitment from
staff at all levels. The target customers must
identify with it. It should be vibrant and have
a “life” of its own. Liveliness, growth, fun
and passion depicts our brand, our customers,
our staff and our future – this is embodied in
our design and colour.

Key Features of CAFÉ

COFFE DAY
Pioneers of  the Café Concept in India with
the its first Café at Brigade Road, Bangalore
in 1996. This Café was opened as a Cyber
Café (first of its kind) but later, with the burst
of cyber cafes it reverted to its core
competency…. Coffee.
Essentially a youth oriented brand with
majority of its customers falling in the 15-29
year age bracket
Each café, depending upon its size attracts
between 400 and 800 customers daily.
It is a place where customers come to
rejuvenate themselves and be themselves.
USP of the Brand:
Affordable Price
Coffee – Winner of Platinum, Gold, Silver
and Bronze medals at the India
Barista Championship 2002

Table: Growth of Café Coffee Day

outlets

Physical Evidence

a) Logo, Colors, Images:

Café Coffee Day has used bright red and
green colors in its logo. RED stands for
leadership and vitality. It also stands for
passion (… for coffee). The GREEN stroke
harks back to their coffee growing heritage
and the coffee plantations that they own.
Café is noticeably larger than the rest of the
text inside the logo box. This denotes that
Café Coffee Day pioneered the café concept
in India way back in 1996. Café Coffee Day
would like to own the word “café” in the
minds of its customers.
Our LOGO colours embody:
Red Square= Leadership, passion

White Swirl = Purity of purpose,

invigorating properties of coffee
Green Stroke = 125 years of coffee growing
heritage of this vertically integrated Group

Diagram – The Café Coffee Day

Logo

When one thinks of a café it’s got to be Café

Coffee Day. The font used for “Café” is
called SLURRY. The font looks as though
the letters have congealed out of a liquid. It
gives the impression that the word is still
forming itself and evolving into something
new and something better constantly. This is
the characteristic of Café
Coffee Day’s customers and this is the
characteristic that the brand too wants to
adopt. The upward SWIRL inside the logo
box stands for the invigorating and uplifting
nature of coffee and the ambience at Café
Coffee Day.

Décor & Architecture:

Café Coffee Day had gone in for image
change and revamping of interiors in the last
quarter of 2001. Café interiors have been
given a whole, new look. In a change from
the largely wood and granite based interiors,
there is more of steel and lots more colour
now. The young colours of today, lime green,
yellow, orange, and purple predominate.

Diagram – The Café Coffee

Day Decor

Literature:
The literature provided by Café Coffee Day
is indicative of its youthful image. The
menus, posters, pamphlets are all designed to
attract young and young at heart. They also
have their magazine called as ‘Café Beat’,
which is published monthly at their
Bangalore head office and distributed
throughout the branches.

Locations:
Café Coffee Day looks to cater to their target
market with strategically located outlets.
Their outlets are generally located in High
Street/ Family Entertainment Centers.
Considering their generic appeal, there are
Barista outlets located in and around Malls,
Cinemas, Colleges, Offices, etc. This
endorses their brand image of a café that
appeals to coffee lovers of all ages.

Promotion:
Café Coffee Day does not believe in mass
media promotions. But they are involved in
all the areas of serious consumer passion.

Through television:
Café Coffee Day held a contest around a very
popular programme on Zee English called
Friends. All the six lead characters are shown
often visiting a coffee shop and a lot of youth
like watching the programme. That is why
they had a contest running where customers
could win Friends' merchandise. The linkage
was that it is a youth based programme and it
had a coffee house.
They have tied up with Channel [V]'s Get
Gorgeous contest. The reason being that a lot
of their young consumers are interested in
careers. Modeling is a career that a lot of
youngsters are interested in and this was an
excellent platform. They have also done
promotion for History Channel, where they
have run promotion for Hollywood Heroes.
They had asked a few question and a lucky
winner won a trip to Hollywood.

Ticket sales:
Café Coffee Day is involved in ticket sales in
quite a few events, Enrique being one of
them. They were involved in WWE, Elton
John, and Bryan Adams ticket sales. These
acts are very much appreciated by their
consumers.
It helps both the organizers as well as Café
Coffee Day. Organizers need to tell people
where the tickets are available and single
Café Coffee Day logo says it all. From Café
Coffee Day’s point of view, they always ask
for a certain amount of tickets around which
they have a contest. Couples can win ticket
for free. This in turn raises the awareness
level as cafe staff approaches the consumers
to inform them about the contest. There is not
a better publicity mechanism then the person
who is serving you telling you about the
same.

Sales Promotion:
Café Coffee Day uses special ‘Café Citizen
Card’ for rewarding Café Coffee Day’s
customers. It is a loyalty program to gain new
customers and retain the existing ones. The
Café Citizens Card entitles members to a
10% discount on all food and beverage bills.
The members also receive surprise gifts,
along with special offers and invitations from
Café Coffee Day from time- to- time.

Diagram – The Café Citizen Card

 Distribution:
Distribution of outlets:
Every Café Coffee Day outlet is a part of
India’s largest coffee conglomerate named
Coffee Day. Since all the cafes are owned by
the company, it becomes easier for them
conduct feedback surveys like dipsticks etc.
Coffee day’s most unique aspect is that it
grows the coffee it serves in its cafes.
Pioneers of the Café Concept in India with
the its first Café at Brigade Road, Bangalore
in 1996. This Café was opened as a Cyber
Café (first of its kind) but later, with the burst
of cyber cafes it reverted to its core
competency…. Coffee.
Café Coffee Day currently operates 213
outlets all over the country. They have a
market presence in over 49 cities. Delhi,
NCR alone has 24 outlets, and the number of
outlets in the area is increasing at a
phenomenal pace. Each café, depending upon
its size attracts between 400 and 800
customers daily.

In addition to that they are also going abroad.

They will open 50 outlets overseas in 10
cities.

Location:
This is a prime factor in determining the
success of a retail chain. Café Coffee Day is
focusing mainly in malls and main markets.

Distribution of stock:
 Table: Café Coffee Day
- Distribution

The distribution of coffee beans start from

their roasting plant at chikmagalur. The
coffee
beans are sent to the main offices of north
and south India on monthly basis. The outlets
contact the Head Distributors on weekly
basis.
As far as other eatables are concerned, the
inventory is checked on daily basis and
orders are placed according to the
requirement. Café Coffee Day uses its own
store vehicle (small van) for transportation
needs.

Human Resources
With the boost in the number of their retail
outlets, Café Coffee Day had to concentrate
on the quality and quantity of their human
resource in order to meet up with the set
standards. They make sure that the
employees all across the country are well
trained and provide consistent services at
every outlet.

Recruitment & Selection:

It is the process of differentiating between
applicants in order to identify those with a
greater likelihood of success in a job. The
role of selection in an organization’s
effectiveness is crucial for at least two
reasons; first work performance depends on
individuals and second because of the costs
incurred in hiring individuals is enormous for
an organization.
The best way to improve performance is to
hire the people who have the competence and
the willingness to work. Arguing from the
employee’s viewpoint poor or inappropriate
choice can be demoralizing to the individual
concerned and demotivating for the rest of
the workforce. The cost of searching and
training individual may range from Rs.
2,50,000.or more. Costs of wrong selection
are even greater.
Selection is a long process commencing from
the preliminary interview of the applicant and
ending with the contract of employment. The
process differs among organizations and
between two different jobs within the same
organization. Selection procedure for senior
managers is long-drawn and rigorous but on
the other hand for shop floor workers it is
simple and short.

EXTERNAL ENVIRONMENT
INTERNAL ENVIORNMENT
PRELIMINARY INTERVIEW
SELECTION TESTS
EMPLOYEMENT INTERVIEW
REFERNCE AND BACKGROUND
ANALYSIS
SELECTION DECISION
PHYSICAL EXAMINATION
JOB OFFER
EMPLOYMENT CONTRACT
EVALUATION
 Table: Café Coffee
Day – Selection Process
Café Coffee Day is expanding at a
phenomenal rate. Thus the need for right
people, in the right place at right time is also
increasing. In order to meet the demand for
efficient and effective workforce, Café
Coffee Day has adopted the correct
recruitment and selection procedures.

Sources of recruitment:
Café Coffee Day has different sources for
recruitment depending on the job profile in
demand. For Team Members the sources
are:
In store Posters

REJECTED APPLICATION

Referrals and Walk- ins

Recruitment and selection process:

For posts of team members the following
rounds take place
1.Psychometric tests, Behavioural
Intelligence Test, Logical thinking and
Comprehension
Test.
2. Application blank.
3. Personal Interview, Operations Interview,
Regional Manager Interview.
For Area Manager:

Recruitment and selection process:

1. Collection & review of curriculum vitae
2. Personal interview with Regional HR
Manager
3. Personal interview with GM- HR.

Training & Development:

To ensure consistent employee performance,
training and development policies are very
important- even more in service sector
organizations. Café Coffee Day has set 12
days rigorous training procedure at their
office in Bangalore for all the assistant
managers.
Whereas all the team members undergo a 3
days training at respective head offices in
North or South India.

Employee working hours:

The working hours are split into convenient
shifts spread over 8:30 am to 10:30 pm.
Night drops are provided for late evening
shifts.
Employee code of Conduct:
After substantial efforts Café Coffee Day has
been able to convey to their staff (the ones
who serve food) that they are doing a job and
are at par socially with many consumers.
Their attitude and communications is kept up
to mark.
Along with cleaning the table well, their
employees communicate with the consumers
on one to one basis. It is a cultural shift; it is
a huge responsibility as, in India you do not
look at the people serving at your table as
your peer
Their employees are like friend to the
customer but at the same time they know
about the international standards of hygiene
and cleanliness and personal grooming.

Promotion Policy:
Café Coffee Day prefers promoting from
within, rather than externally.

Performance Appraisal:
Performance management is an integral part
of a comprehensive human resource
management strategy. Its objective is to
maximize individuals' performance and
potential with a view to attaining
organizational goals and enhancing overall
effectiveness and productivity. The
immediate superior carries out the
performance appraisal at Café Coffee Day
every 6 months.

Employee Turnover & Retention:

Café Coffee Day’s current rate of Employee
Turnover is about 9%. The reason behind this
is the people between the age group of 19-24
who do not see their job as permanent means
of income. They are not committed towards
the organization
 AWARDS AND
ACCOLADES
Cafe Coffee Day was named Food Services
Retailer of the Year and Exclusive Brand
Retailer of the Year at the 1st ICICI Bank
Retail Excellence Awards function in 2005.
Cafe Coffee Day was rated the No. 3 food
services brand in Business World and Brand
Equity surveys in 2004.
Cafe Coffee Day was ranked as the 3rd best"
Retail F 6t B" chain in India in the Brand
Equity survey in 2004.
Mr. V.G. Siddhartha, Chairman
(Amalgamated Bean
Coffee Trading Company Limited) received
the "
Economic Times - Entrepreneur of the year
2003
"award.
Cafe Coffee Day has had a hat trick victory
in the India Barista Championship. For 3
years in a row, 2002, 2003, 2004 CCD has
won all the top awards and its representative
has gone on to represent India at World
Barista Championships, winning silver medal
in 2002 and 5th place in 2004 for the country.

DEPARTMENTS AT CAFÉ
COFFEE DAY
BUSINESS DEVELOPMENT:
The team decides upon a suitable site where
the cafes can be set up. They identify,
shortlist, and finalize a site by negotiating
with property owners. A significant effort is
involved in getting legal clearences and
statutory compliances. After all formalities
are completed, the site is handed over to the
projects team.
 PROJECTS:
The team comprises of some of the best
designers who ensure that the coffee culture
is spread across the country through beautiful
outlets. All new cafes are built with a
standardized design and the look of the café
is in sync with the brand positioning. They
aim to build cafes in the shortest possible
time, at the least possible costs to capital
outlay. A recent innovation is the Lounge
cafes which are set up in Delhi, Bangalore,
Hyderabad and Kolkata.

OPERATIONS:
This team achieves their sales objectives and
is responsible for the daily running of their
cafes in a profitable manner. Customer
interaction is very important for this team, as
they are the ones who interface with the
customer and provide them with a
satisfactory service and product experience.
Café managers train all their employees who
are involved in day-to-day operations.
The café staff is their brand ambassador. The
brand image of café coffee day is and will be
reflected through them by the way they dress,
behave and carry themselves , both within the
organization and outside. They are the face of
the company since they will be the first point
of interaction with the customer.

FOOD AND BEVERAGES {F &

B}:
CCD are a lot more than coffee. Apart from
serving the best coffee in the country they
also serve a wide assortment of savories and
desserts. The various coffee concoctions that
they serve are the creations of their F&B
team. They also ensure the highest level of
hygiene and food quality. They impart
training to the team on the preparation of the
best quality of coffees and food at their cafes.
The F&B team sources and manages vendors
who supply food to the cafes.

MARKETING:
The marketing team is responsible for the
brand positioning and all brand building
activities that result in increased sales and
greater visibility. They are also responsible
for the various sales promotion activities and
tie-ups. This team designs and manages the
merchandise category, which is displayed and
sold at their cafes. They constantly track
loyalty programs and promotions at the cafes
to help minimize sales. The café citizen
program is a unique customer loyalty tool
which helps us to create new customer and
retain existing ones by rewarding them with
handsome points which can be earned and
redeemed at the cafes.

HUMAN RESOURCES AND

TRAINING:
The HR team deals with all matters
pertaining to people within their team. They
are responsible for recruitment and selection
at all levels from team members to the
management staff. They are responsible for
employee salaries, career development and
councelling. Constant efforts are made for
employee upgradation in terms of improving
skills and job satisfaction to meet the
aspirations of all employees.

ACCOUNTS:
They look after the day to day accounting and
financial activities and also provide them
with the financial reports, which will help
them, find out the profitability of the outlet.
They help them reduce the costs and ensure
compliance and fiscal discipline at the cafes.

MANAGEMENT INFORMATION
SYSTEM:
Their function is mainly to update the point
of sale software and the café website and
provide MIS reports to aid management.
They also look into any other system
malfunctioning, repairs, and replacements at
cafes and offices. The café staff is trained on
the billing software by this team. Their new
initiative is the phased roll – out of the Wi Fi
point of sales billing system.

SUPPLY CHAIN MANAGEMENT:

This is the team which ensures that all stock
keeping units of items used in the café are
received at stores from vendors and
distributed to the cafes on time. They receive
store orders and maintain the inventory of
stock keping units so that cafes do not run out
of critical supplies at any point.

Business development team:

Café Coffee Day have a department-the
business development team- who are in touch
with a lot of property owners who are
interested in franchising and licensing CCD.
They normally take up places on long lease.

Company finance
CCD is a privately held company. The group
turnover is expected to touch about Rs three
billion now. It was Rs two and half billion
last year.
 Advertisement
department
The advertisement department tied up with
various companies to promote CCD. They
also tied up with a channel called Zee English
with a ground programme for a popular show
called Friends. All the six lead characters
were shown often visiting a coffee shop and a
lot of youth like watching the programme.
That is why they had a contest running where
you could win Friends' merchandise. The
linkage was that it was that it is a youth based
programme and it had a coffee house. They
were also involved in a lot of ticket sales in
quite a few events, Enrique being one of
them. they were involved in WWE, Elton
John ticket sales. These acts are very much
appreciated by the consumers.
The ticket sales is the organisers' benefit.
They need to tell people where the tickets are
available and single Café Coffee Day logo
says it all.

CCD always ask for a certain amount of

tickets around which they have a contest.
Couples can win ticket for free. This in turn
raises the awareness level as cafe staff
approaches the consumers to inform them
about the contest. There is not a better
publicity mechanism then the guy who is
serving you telling you about the same.
Besides that they also tie up lot of the youth
brands. Their promise to the customer is that
a lot can happen over a coffee. So every time
they try to ensure something good happens to
the customer. So they have a contest going on
with Levis, another one with Scooty, and
latest contest with Liril.
CCD still doesn't believe in mass media
promotions. But they want to be involved in
all the areas of serious consumer passion.
They are doing it with music. About 80 per
cent of their cafés have a juke box and a few
of their cafes are now book cafes.
Next big consumer passion is Bollywood, so
they have decided to be associated with
movies. they had a Hindi movie Bas Yun Hi
and a couple of Telugu and Tamil films with
prominent Cafe Coffee Day brand placement.
Later they took a conscious decision of being
seen in certain movies like Khakee and Main
Hoon Na and Bluffmaster being the recent
hit.
Another placement area that happened
accidentally was with HDFC. They wanted to
promote their debit card and they choose us.
So all the 21 cafes had debit card machines,
just during that month. The ad was shot in a
Cafe Coffee Day premises.
A lot of serials are shot in Cafe Coffee Day.
Recently, Kahaani Ghar Ghar Kii was shot
but they have no prominent tie ups.
What they are offering is just a location to
shoot in. They do charge a very small
amount, which is the direct revenue loss for
that period.
They have done ads but all through barter
deals. If they get a good deal from any other
media, they will definitely go in for a
marketing deal. But as an advertisement
option or as a marketing spend, they are not
looking at mass media.

Quality checks
Quality checks take place all the time and in
several aspects.
The operational in-charge will go around
checking business, record keeping, service
and check the feedback forms. Thefood in-
charge will look at the way food is being
stored, coffee is being made, what is the time
take to extract the coffee and so on.
Marketing person will go about checking
displays, how the merchandise are displayed.

CAFÉ COFFEE DAY IN

COMPETITION
If you are talking about Cafe Coffee Day as
meeting place then the park bench is their
competitor, if you are talking about in terms
of food and chain then McDonalds is a
competitor and so are other coffee chains like
Barista And Mocha. In fact they are aiding
each other in creating and growing the coffee
culture.
They are not trying to be some one else. They
are not trying to be an upper class coffee
shop where you can walk in only if you have
certain amount of money in your pocket.
These are the upper end coffee shops that
have hookahs and the works.
They are about an every day hang out. They
are about being the third most frequented
place after home and workplace or college.
So they are like the coffee chains overseas
but with about affordable fun. they have a
distinct identity; they are about coffee and
about hanging out and about nice time spend.

HYGIENE & FOOD HANDLING

Employees use tongs or wear gloves to
handle food items. They cannot USE BARE
HANDS. Cutting Boards and knives to be
washed and wiped dry every hour.
They always have to use clean and dry plates
and bowls, cutlery while serving food.
Clean the refrigerators before opening, and
while closing. Cannot use chipped plates,
cups. Cant open the mineral water bottle,
tomato sauce sachets, before and also at the
time of service The racks (where crockery are
kept) should always be clean.
Pantry area should be clean and dry all the
time.

Food Usage:
Use first in rust out method. Order on a day-
to-day basis.
No food should be kept beyond the shelf life.
The display has to be clean all the time.
Only the fresh food received has to be used
for display.
Stack foods neatly on display plates.
All the food, which is supposed to be
microwave, has to have a paper underneath
and then transferred to a new plate.
All items stored at room temperature to be
covered at all times either by a toed cover or
wrapped in cling film.
All the cakes will be cut when they are
received in the morning by the cafes.
A clean knife dipped in hot water and then
wiped to be used to cut the cake. Rinse the
knife after each cut with hot water.
The appropriate cutlery and accompaniments
have to be provided along with the food.
The food should not be heated along with the
cling wrap.
The food has to be taken care of while
packing up the food for parcel order.
Thumb rule to be followed while storing food
in the coolers. (Display as well as back up
ones) (All the pastries on the top shelf the
vegetarian Savories on the center and the
non-vegetarian Savories on the bottom shelf.)
Reject food items which appear damaged
while receiving food.
Date/Color code stickers should be placed on
all food.

COMPENSATION & BENEFITS

PAY PERIOD:
Café coffee day’s employees are paid on a
monthly basis.
One shall receive one’s pay by the seventh
working day of the subsequent month. One
can access salary slip by logging onto
cafécoffeeday.com/attendence, when the
window opens click on the “GO” button. One
will have to enter the user name and
password. One’s employee code is the user
name and password by default. Once login
they can change the password by using the
change password option.

MEDICAL INSURANCE
POLICY:
Café coffee day had a tie-up with insurance
agencies with policies such as the group
personal accident insurance and group health
insurance policy. This is only applicable to
employees who are conformed in the
organization. Details of the same can be
availed from HR department.

STATUTORY DEDUCTIONS:
EMPLOYEE PROVIDENT
FUND:
All full time employees who are appointed on
the company’s rolls are eligible for the
provident fund schemes, which is a social
security fund payable to on retirement. As per
the provisions, employees must contribute
12% of their basic salary and an equal
contribution will be made by the employer.
The nomination form {Form 2} is filled at the
time of joining. Yearly returns will be
provided. Please collect PF number from
regional HR resource. It may take around 15-
20 days from the time of filling and
submitting the form.

EMPLOYEES STATE
INSURANCE:
This is provided to employees who’s gross
salary is Rs 7500/- p.m. or less and the
benefits provided under the scheme are for
sickness, maternity etc. the employee has to
contribute 1.75% of his gross salary and the
employer contributes 4.75% of the employee
salary under the scheme. The completed ESI
form along with two post card sized full
length photographs should be submitted for
ESI registration.
Please collect ESI card number from regional
HR resource.

GUIDELINES FOR PERSONAL

GROOMING AND
HYGIENE
Clean uniforms have to be worn everyday.
Store dirty uniforms and linen away from
food items and clean linens.
All male employees should come well-
shaved, short haircut, trimmed moustache,
and clean and short nails.
No full beards or French beards are allowed
except for religious reasons.
Wear a light deodorant to mask perspiration
odour.
A hair net should be in place for ladies with
long hair.
The cap is a protective hair gear. Please
ensure that hair is well concealed within the
cap.
All employees should regularly wash their
hands with antibacterial soap before
beginning duty and after taking breaks.
Spitting, smoking, chewing gum, betal leaf or
supari is not allowed within the café
premises.
If smoking outside the café premises, use a
breath freshener and wash hands after
smoking.
Those with infected wounds, cuts, open
sores, boils, intestinal illness, any infection,
bruises, coughs or colds should not prepare or
handle food.

HOW A CAFÉ COFFEE DAY CAFÉ IS

MAINTAINED?
INTERIORS:
Wall finishes are washable. Clean them
whenever necessary.
Do not hang merchandise from electrical
conducts on ceiling. These are of a clip-on
type and loading them will pull them off from
their saddles.
Do not keep wipe pads on the counter top.
If terra cotton pots are being used in café,
they are to be painted with red oxide paint
once in 3 months.
Do not force shut the glass doors, but allow it
to close of its own accord. Forcing the door
shut damages the spring inside.
Do not place merchandise on top of wall
visuals/mirrors.
Outdoor café floors need to be washed more
often.

LIGHTS:
Red cube lights and cove lights above the
servey are to be kept switched on always.
 GENERATOR:
Check the water/oil/fuel levels in DG
regularly.
Always allow a fifteen second time gap
between switching on the DG and flipping
the change over switch.

OUTDOOR:
Umbrella’s should be opened fully and made
taut. They should not sag.
Umbrellas and awnings should be washed
with water once a week.
Doormats have to be cleaned at regular
intervals with water.

REWARDS
The management believes that rewards
offered by the company should be
meaningful and valuable to the employees.
The rewards are always based on attainable
goals, they believe in SMART goal stetting
{ S- specific, M- measurable, A- attainable,
R- realistic and T- time bound}.
The rewards are clear, understandable and
open to all. The main focus of the rewards is
to recognize performance and motivate the
high performers.

TYPES OF REWARDS:
An employee is chosen based on criteria such
as excellent customer comments, and
maintenance of quality product standards that
will be publicized well in advance.
The “employee of the month” will feature in
the café magazine “café beat”.
Select “café of the month” that will be
featured in the café beat.
Select “employee of the month” that will be
displayed at the café. Certificate of
appreciation from the regional head.
Participation in city/ regional/ national café
managers context.
Consistent and loyal employees with a good
performance will be rewarded with employee
stock options.

MAJOR RESPONSILITIES
TEAM MEMBER
Responsibilities
Customer service
Serve the customer with a Smile, to their
satisfaction.
Should collect their handheld from the
Docking station wear its belt on their necks
and park it in the pouch.
Provide speedy and effective Customer
Service.
Follow all service standards laid down.
Ensure customer feedback forms are
collected on a daily basis.
In case of complaining customers, take
suitable action to solve the complaints Keep
Café Manager informed of all complaints.
Responsible for table turnover.
Never get into an argument with customers.
Should constantly employ suggestive selling
practices to make customers aware of new
products and current promotion.

Cashiering
Printer is in working condition.
Cash pouch has minimum float to start with.
Handheld terminals and batteries are in good
condition.
Manager is intimated about the login
password.
Logout and hand over proper physical count
of cash and the terminal to the next person –
in the presence of the Café Manager- every
time you leave the café.
Bills are made for every order.
Transfer- in and GRN entries are entered for
the day.

Cold Coffee Products/Food Service

Recipes of cold coffee and cool drinks are
adhered to.
Pastry cooler display is setup using
appropriate tent cards.
The temperature of the refrigerator, freezer,
and ice cube machine is of desired level.
Microwave, Mixer, Griller and Oven are in
working condition and kept clean and
hygienic.
Shelf life of food is followed strictly and
FIFO is maintained for storage.
Food is dispensed at standardize service
temperature.
Food is handled using disposable gloves and
tongs and never bare hands.
Servery is kept clean and hygienic and avoids
all sources of contamination.

Café Opening Duties

Setting up the counter for the day’s operation.
Receipt city store items like coffee beans,
cold coffee mix & cups and stationery and
perishables like food, milk.
Check on equipment (pastry cooler, AC,
microwave,
mixie, refrigerator, ice cube machine, and
freezer) for cleanliness and ensure they are in
proper working condition. Cleanliness of the
café interiors, exteriors and servery.
Before they are handed over the terminal, it is
the team member’s responsibility to see to it
that the terminal is in good condition.
While taking the terminal, if there are
damages noticed, Team member shall report
it on the register counters signed by café
manager or his nominee. If the terminal
batteries need to be changed or recharged
then team member shall hand over the
batteries to the café manager or his nominee
and collect charged batteries from him.

Café Closing Duties

Cleanliness of all equipment and thorough
cleaning of the café. Checking the physical
stock with assistance from the café in-charge.
Ensure food beyond shelf life is discarded
and food to be retained overnight is stored at
proper temperature.
Assist the manager in compiling reports and
updating registers etc.

Part Timer/Weekender
The responsibilities of a Part
Timer/Weekender are similar to that of a
team member.
Every Part Timer/Weekender should
stringently follow these duties with a smile
with utmost diligence, zeal and application.
The duty hours of the Part Timer/Weekender
will be as specified by the City
Manager/Area Manager.
As you grow within the organization, you
will be briefed about new role and
responsibility.

Brew Master
Responsibilities
All standard recipes of coffee are strictly
adhered to and maintain uniform quality of
these recipes at all times.
Coffee Machines, Coffee Grinders and
dispensers are cleaned and maintained well
and all preventive maintenance procedures
are carried out.
Hot coffee is prepared as specified by the
F&B Department.
Excess coffee is stored in airtight containers
at the end of the day.
Grammage and flow of espresso is as per
standards.
Ensure speedy production of pending orders.
Knowledge about storage and shelf life of
coffee and food related products. Proper
closing and opening of pantry and keeping
the work area clean and hygienic.

Manager In Charge Of
A Café
Responsibilities
Should maintain a positive image of CCD
(café coffee day)
Sport a smile always, as you are the Brand
Ambassador.
Achieve sales in a focused and planned
manner.
Achieving sales target daily. Table turnover
and efficient customer handling.
Handle pressure during the rush hours by
ensuring proper pre-rush preparations.
Allocating assignments and targets to the
staff working in the floor area.
Constantly review all suggestive selling
practices employed by the café staff.
Ensure all items on the menu are available at
all times.
Responsible for customer feedback forms.
Forecast orders accurately to minimize
wastage.
Maintain legally required licenses and others
documents as required by local authorities.
Implement other assignments delegated by
the city manager from time to time.
Should coordinate with the regional head and
marketing department for various products
launches and other marketing initiatives to
improve sales.
Be responsible for all materials and
machinery .To ensures that all the terminals
are docked to the docking stations when not
in use.
Have complete knowledge of all standard
operating procedures governing the café and
implement the same at all times.
Maintain all records, reports and
vendor/utility bills correctly.
Maintain all opening & closing forms and
formats.
Adhere to all opening, closing, quality &
consistency standards laid down by the
company. Accountable for maintaining the
stocks for smooth operations.
All service standards, hygiene standards and
cleanliness of the entire floor areas are
maintained. Maintaining all product
standards, coffee standards and recipes as
specified by company policy.
Planning the counter and ensuring proper
workflow is maintained. Speedy products of
all hot coffee, cold coffee, food, other
beverages and desserts.
Ensuring all machines including the nurit
terminal and the kiosk behind the counter are
in working condition.
Intimate the café manager immediately in
case of any breakdown.
Food standards and hygiene are maintained
all times.
Responsible for depositing the daily sales
proceeds of the cafe in the bank.
Ensure all stocks and inventories are properly
accounted for.
Practice wastage control and spot audits so as
to have control over the raw material costs.
Take the responsibility of charging the
batteries and docking the terminals. When the
café manager is not present, only a senior
team member designated by the café manager
shall take responsibility of charging the
batteries and docking the terminals.
HANDLING RUSH
Typically 80% of the business happens in
20% of the time & cafes will have distinct
‘lean’ & ‘rush’ periods. CCD cannot prepare
rush hours during rush period,& therefore
they have to prepare well in advance & have
the café ready in all respects.

PRE-RUSH PREPARATION
To ease workload & handle rush hours better
Forecast the sales for the rush period
Accordingly, ensure there are no stock out
situations of any item on the menu.
All the stock items or the food items should
be well within reach & enough to last during
rush hours
Staffing should be adequate & work should
be allotted well in advance & there should be
no confusion about who is doing what
Any breaks for the staff or change of old shift
to mew shift staff should happen before rush
time starts
Pep up the staff
If needed have one staff taking care of table
turn over & ensure guests are received &
seated
The counter should be set up in a way that
can help reduce clutter, crossovers between
work areas & reduce the possibility of staff
making mistakes.

TIPS
Portion out cakes , brownies etc.
Refill sugar bowls , tissue box , straws &
food stocks during free time
Make sure all the cutlery & crockery is
washed, wiped & ready for use
Re-arrange spoons & plates size wise
The cold coffee powder dispensers should be
full & new packets should be well within
reach Steam & keep enough milk in the
refrigerator for cold coffee
Clean the milk steamer for good froth
Fold & keep readily 6 to 8 T/A boxes & 2 to
3 parcel boxes
Wipe & keep the counter clean & clutter free
Ensure the servey & seating area is well
cleaned.
Mirrors , glasses ,table tops etc should be
wiped down & floors should be swept &
mopped clean
Place importance on cleaning outside the café
& replace fresh garbage bags in the garbage
bins. There should be enough diesel in the
generator & in storage
Check air conditioner for efficient
performance
Check water level in the storage tank
Check water level in the boiler of Espresso
machine
Make sure have enough change in the cash
drawer
Once pre rush preparations are done, ensure
you have a positive mental attitude & work
on speed consistently
.Enjoy work & be self motivated to beat the
rush.
Be calm & in control of the situation. A well
planned counter, which is set up in
preparation for rush hour, will go a long way
in providing speedy customer service .A
cross trained& multi skilled team member
can rotate between work stations to ease any
pressure points.

SEVEN STEPS OF GREAT

SERVICE
1. WELCOME THE
CUSTOMER
Acknowledge customers presence at the café.
A smile goes a long way. That is guaranteed.
Open the door to receive a customer & greet
him courteously with a smile
Meeting greeting & seating the customer in a
warm & friendly manner sets the ball rolling
for the service that follows .It will reflect in
voice
Check whether the customer wants a
takeaway or will be seated at the café
Take his preference if possible & direct him
to available vacant tables. Request the
customers to be seated & introduce self.

2. TAKE THE ORDER &

PRESENT THE BILL
A confident demeanour & good menu
knowledge will help you to assist the
customer to his satisfaction
Hand over the menu to the customer & if not
ready return to take the order in a few
minutes
Help the customer choose the right coffee or
food by explaining in detail the attributes of
the product. It is important that you
recommend special product & add –
Suggestive selling will help you offer
customers a better choice of their products.
When the customer is ready to give the
order , use handheld terminal. Choose
“SELL” amongst user functions. Enter the
table number & the number of people. Take
the order.
Check if the customer is the café citizen ,if
not, enroll the customer in the café citizen
program
Inform customers at what time they should
expect order to be served. For eg. ” order will
be served in 10 minutes.
Sir”
Print the order confirmation cum bill & place
it in the folder on the table.
TIP: use one liner terminology to describe
product & its benefits to the customer.

3 .SALVER SERVICE
Serve the customer at the promised time &
know the products that you are about to serve
.Pride in products will enhance the customers
confidence in their brand.
Arranged the readied products on a salver
Serve the food first & serve the cold coffee ,
hot coffee or other beverages later. However
check the customers preference. For eg. “Can
I serve the food items first, Sir or would you
like everything to be served together?”
In case of no specific customer preference
serve food first followed by coffee/ beverages
Announce the name of the product while you
serve the product
Remember who ordered which coffee / food
in case of a group & serve the items
accordingly
If there are four people gathered at a table,
then bring the coffee two at a time. Else, if
you wait to bring all four together, the first
two will not retain their temperatures.
In case there are any delays after announcing
the time of service, please keep the customer
informed of delay.
TIP:Ensure that you have served all the
mandatory accompaniments with the food &
beverages like sauces , cutlery , napkins etc..

4. VERBAL FEEDBACK &

REPEAT ORDER
A feedback on existing service would help
you improve performance in future .Also, the
customer will feel more valued &
important.Keep an eye on the tables in
allocated section
Check with the customer if they would like
some more coffee , snacks or desserts
 Interact with as many as customers as
possible & get their feedback on the service
& product. For eg. Hope you liked the coffee
Sir! I hope you found the service friendly
& prompt. Is there any way we can improve
our quality of coffee, food or service
TIP: If you ask for feedback, you are sure to
receive comments from customers

5 .CLEARANCE
Prompt clearance of the tables ensures that
customers find the café seating area clean,
hygienic & presentable when they are seated
at the tables
Clearance should be very prompt
Clear empty plates, cups & soiled napkins
from the table using a salver
Ensure that the surface & edges of the table is
wiped with assigned scrubber .Use a spray
gun to dampen the table with a cleaning agent
prior to wiping the table.

6. BILL SETTLEMENT &

CUSTOMER FEEDBACK
MAKE THE POST SERVICE WAITING
PERIOD EASY & FAST
FOR THE CUSTOMER
When the customer is ready to leave check
the amount of the bill from handheld & tell
him the overall amount payable
Once the customer places the cash, remove
the bill folder from the table & clear the
transaction promptly Request the customer
to fill up the comment card. ”I would be
delighted if you could kindly fill up our
customer comment/ feedback form while I
return with the change, Sir!”
Present exact change to the customer &
collect the comment card.” change, Sir!”
In case of any negative comment , tackle the
situation before the customer leaves the
café .Acknowledge good comments too.

7. PARTING REMARKS
Show customers that we value them & want
them to return. A pleasant parting remark
would ensure that customer comes back to
café Thank the customer for choosing
CAFÉ COFFE DAY. And how delighted you
are to be of service to him. “Thank you for
choosing CAFÉ COFFEE DAY, Sir! It has
been a pleasure having you over.”
TIP: It is not what you say , but how you say
it!

PRODUCTS AT CAFÉ
COFFE DAY

Description of various Food and Beverages:

Hot Coffees
One Line Descriptions: Espresso : Strong
black coffee extracted at high pressure and
optimum temperature.
Espresso Americano : A shot of lightened
Espresso diluted with hot water.
Macchiato : A shot of Espresso topped up

with milk foam.

Cappuccino : Strong milk based coffee with
a shot of Espresso, milk and milk foam. It is
one of the most popular hot coffees at Cafe
Coffee Day.
Café Latte : Milkier hot coffee, mild and
goes best with coffee flavoring syrups. It has
a very thin layer of milk foam.
Chocochino : A blend of Chocolate ice
cream and Espresso garnished with a dollop
of milk foam. It is neither a hot coffee nor a
cold coffee. It is a warm coffee.
Cafe Mocha: Chocolate flavored
Cappuccino. Goes best when served with
whipped cream. Garnish it with a dash of
cocoa powder.
Irish coffee: A light Espresso flavored with a
choice of
Irish Cream/ Hazelnut/ Caramel and topped
with Whipped Cream.
Caffeine Kick: Double shot of espresso
diluted with hot water.
Black Velvet: A'ristretto'strong coffee served
around 5-20ml.
Kenyan Safari : An international coffee with
the hidden flavor of Blueberry.
Colombian Juan Valdez: Rich, mild
international hot coffee with fruity flavour.
Ethiopian Qahwah : International hot coffee
with a hidden mocha flavour.
Hot chocolate : Lots and lots and lots of
chocolate.
Cold Coffees

Tropical Iceberg : Ice blended cold coffee

with notes of chocolate. It is the most popular
cold coffee across the country.
Tropical Temptation : A Tropical Iceberg
topped with whipped cream and a shot of

chocolate
sauce.
Cold Sparkle: Ice blended cold coffee with a
sparkling taste of coconut, it is among the
earliest cold coffees introduced in their menu.
Iced Eskimo : Ice blended cold coffee with
notes of coffee and cream balanced in right
proportions.
Arabian Heights : Ice blended cold coffee
with a distinct flavour of cardamom.
Vegan Shake : It is made of 100 % pure
vegetable fat and does not contain any animal
fat & dairy product. It is unique and is being
launched for the first time in the country by
CCD.
Cappachillo : Coffee with sweetened creamy

milk served on the rocks.

Mochachillo : Chocolate flavored coffee
with sweetened creamy milk served on the
rocks.
Cafe Frappe : A judicious blend of ice
cream and coffee that gives a smooth and
creamy effect.
Almond frappe : Almond flavored rich,
creamy cold coffee with whipped cream,
garnished with almond flakes.
Choco Frappe: A Cafe Frappe with an extra
scoop of Vanilla ice cream and a shot of
chocolate sauce, garnished with cocoa
powder.
Devils Own : A smooth blend of cream and
coffee drenched with chocolate sauce and
topped up with a shot of whipped cream.
Kaapi Nirvana : It is their ultimate signature
blend, very
Indian with hidden Caribbean taste, won the
silver medal in the in the world barista
championship held in Oslo 2002.
Rich coffee taste, heavy body with creamy
texture and does not require any additional
flavors.
Fruit Frappe : A judicious blend of ice
cream and fruits having different fruity
flavors and thick cool texture. (Mango
Frappe, Strawberry Frappe, Pineapple
Frappe, Lichi Frappe, Cold Chocolate).

Teas
Assam Tea: A strong Tea grown in the best
tea estates of
Assam.
Masala Chai : High grade Assam tea in
combination with a Masala bag which is

meticulously
prepared with pepper, cardamom and
cinnamon to give an ethnic feel.
Ice Tea: A flavoured cold tea served with
lemon juice on the rocks, garnished with a
slice of lime.
Granitas / Cremosas
Granitas : A cool slush drink in different
flavour variants
Pineapple Crush : Pineapple flavour.
Cool Blue : Orange & hidden flavour of
mint.
Blood Orange : Orange flavour.
Smoothies : Ice-drinks blended with ice

cream to give
it a creamy texture, which gives a smooth
creamy after taste
Strawberry/Mango Colada : A smoothie,
flavoured with strawberry/mango garnished
with whipped cream.
Cremosa : A fizz drink served with fruit
concentrate, soda and Ice
Cubes Served on the Rocks. (Flavor options:
Litchi, Ginger
Spice and Pina Colada)

Desserts
Mousse Au chocolate : A double layered
Chocolate mousse with a combination of
milk a dark chocolate & subtle coffee flavor
for all the chocolate lovers.
Mocha Pastry : A fresh coffee sponge cake
flavored with Coffee cream and syrup.
Chocolate Fantasy Cake : Rich Chocolate
Pastry pampered with a rich garnish with
chocolate truffle swirl.
Pineapple Gateaux : Delicious cream and
pineappleflavoured cake, very light and
refreshing.
Chocolate Mousse : Creamy, Fluffy,
Smooth, chocolate flavored dessert, ideal
with coffee.
Black forest Cake : The all time favorite
Choco pastry with cherries suited to our
Indian palate.
Sugar/chocolate Doughnut : A deep-fried
dumpling doused with cinnamon flavoured
top dipped in sugar or chocolate truffle.
Date & Walnut cake : Rich butter base Cake
made of delicious combination Dates &
Walnut.
Chocolate Brownie : A rich dessert made
with the combination of chocolate, butter,
walnuts best with coffee. [TIP: Tastes best

with a scoop of
Vanilla Ice Cream.]

Banana walnut cake : Delicious teacake

flavored with bananas and walnuts

Marble cake : A delicious combination of

chocolate and vanilla butter sponge best with
tea or coffee, topped with pure chocolate. Try
with a scoop of choc ice cream, vanilla ice
cream, nuts & chocolate sauce.

Cookies : A crisp sweet snack accompanying

all coffee and teas with choco chips,
chocolate ginger, peanut butter and coconut
macaroon flavour options.

Cafe Coffee Day in ‘wi-fi' tie-up with

Microsense
Cafe Coffee Day, the country's leading chain
of cafes, has tied up with Microsense,
provider of wireless computing solutions, to
wi-fi enable its coffee outlets across the
country.
BANGALORE, DHNS:
Partnering with
Microsense, Cafe Coffee Day has already wi-
fi enabled 50 of its outlets across Bangalore,
Mumbai, New Delhi and Chennai.
The number would increase to
100 by March, Cafe Coffee Day
Chief Executive Officer Naresh
Malhotra told newsmen here on Monday. In a
phased manner, all the Cafe Coffee Day
outlets, spread over 50 cities, will be wi-fi
enabled, he added.
Pointing out that the cafes had been attracting
huge number of business customers, he said
the partnership would enable laptop and PDA
owners to hook to the internet while sipping
coffee at its outlets.
Microsense Director N V Krishna said the
wi-fi service would feature plug and play
functionality VPN support and always on
connectivity. It would be provided through
post-paid and pre-paid access accounts
supported by a central authentication and
billing platform developed and operated by
microsense, he added.

CAFÉ BEAT MAGAZINE

Café Beat reaches more than a million smart,
receptive and upwardly mobile youth of India
every month. It is one of the most widely
read YOUTH magazines in the country and
is a part of one of the largest Indian retail
youth brands – Café Coffee Day.

CAFÉ BEAT FACTFILE:

12 pages, all colour, monthly tabloid.
Available at all cafes across the country (226
cafes in 55 locations as of Today!). Available
FREE of cost to customers for in-café
reading.
Many customers also carry it away for their
referrals.
38% of the customers at CCD read Cafe Beat
(survey conducted in Aug.'04 in the 4
metros.). CCD gets around 3 million walk-ins
in all its cafes per month.
Essentially a youth magazine covering topics
like movies, music, travel, lifestyle, e-dating,
books, career etc. which interest the youth.
Displayed on magazine stands/counter at the
cafes. The new issue is kept on the tables
during the first week for greater visibility.
Readership profile: Students and young
professionals, mostly. SEC A and B.

INSIDE CAFE BEAT –

CCD’S OWN PROMOTIONAL
MAGAZINE

Every month Café Beat brews a

story for the ‘young’ and the ‘young at heart’,
a tale that
they can relate to, a phase that they have
experienced or
are doing so and a decoction, which makes
them feel
FOREVER YOUNG!

Check out the FQ (‘Funk

Quotient’) of college bands in ‘Phat Noise’
and witness ‘The
Ticket’ review the movies coming to the
theatres near you.

Be informed about the list of exciting

events just around the corner. You simply
can’t miss these

Know more about the latest Cafe

Coffee Day launched in your neighbourhood
and find the
expert, Harish Bijoor throw light on how the
café of
tomorrow will look and feel!
Is Sandra Bullock still congenial? Is
direction Antara Mali’s cup of coffee?? Get
your dose of
gossip while navigating through the
grapevine.

Mr. Bean talks to the troubled

hearted.

Add more Gadgets and Gizmos to

your wishlist with the G&G!

Know who all have bean

modelling this month?
 CUSTOMER PROFILE (TARGET
AUDIENCE)

The café is a meeting place for 15-29 year

olds, both male and female who are served
the best coffee by friendly and informed staff,
in an uplifting and invigorating ambience.

Teen-agers form 25% of CCD’s customers

while 37% of the customers are between 20
and 24years and another
24% belong to the age group of 25-29 years.
Customers within the age group of 30-34, 35-
44 & >45 form 4%, 5% and 5% respectively
18% of the customers visit the cafes daily
while another
44% visit weekly. 22% of customers visit it
occasionally

CAFÉ COFFEE DAY –

MERCHANDISE
Every one likes to cherish good times with a
hope that they last forever. CCD make this a
reality, in the form of merchandise, specially
chosen and created for the customers to carry
a piece of the good times spent at Café
Coffee Day!
So visit your nearest CCD to pick these
trendy items of merchandise today!! Funky
Caps, Cool T-Shirts, Bags, Mugs,
Coffee Filters, Mints.

Coffee Powders
Arabicaah, Perfect , Charge , Dark Forest .

New Introductions
Malabar Monsoon premium Coffee Powder
Varieties in coffee mugs
Funky T-shirts and Caps
CCD’s guide to Active Holidays (A travel
guide focusing on adventure sports)
while 16% visit monthly. Each café,
depending upon its size attracts between 500
and 800 customers daily, mainly between
4pm and 7 pm. Customers describe Café
Coffee
Day as the place they frequent most after
“home and workplace/college”. It is a place
where they meet friends and colleagues, in
groups of 3 or more; a place where they
rejuvenate and are free to be themselves
rather than a place to be “seen at” viz a viz
other cafes.

AIR DECCAN TAKES CAFE COFFEE

DAY TO THE SKIES
With Starbucks expected to enter the Indian
market sooner rather than later, it seems
logical that India's leading fine coffee-cafe
chain Cafe Coffee Day should take to the
skies, courtesy the country's pioneering low-
budget airline which now links up more
urban centres — 46 at last count — than the
competition. Both Air Deccan's parent
company Deccan
Aviation and Cafe Coffee Day took off in the
same year from India's Garden City.
Cafe Coffee Day, a division of the Rs 300-
crore
Amalgamated Bean Coffee Trading
conglomerate, will now be the single-point
vend or supplying snacks and beverages on
board all of Deccan Air's 186 daily flights.
Cafe Coffee Day (CCD) estimates that when
the roll-out is in full flow, the four million
passengers on board Deccan Air flights could
add up to Rs 20 crore a year to its annual
turnover, at an average of Rs 50 per
passenger.
For Deccan Air, the tie-up could enable the
airlines to provide its passengers with
reasonably priced snacks and beverages of a
standard quality. Which is what its
passengers are said to have indicated a
preference for in a recent survey. The CCD
service will begin with the
Bangalore-Chennai flights, and will be
extended to other sectors progressively. Since
CCD has a pan-India footprint, the strategy
can be implemented seamlessly even in
smaller hinterland towns, where the
competition —in both aviation and the fine
coffee cafe segment— does not have a
presence.
The MoU to this effect was signed today by
Air Deccan managing director Captain GR
Gopinath and Cafe Coffee Day director
Naresh Malhotra. Speaking on the occasion,
Capt Gopinath quipped that another factor he
and Amalgamated
Bean Coffee Trading chairman VG
Siddhartha and he owned
neighbouring coffee estates.
D) Marketing
Mix
Every company goes through different phases
in the business. The phase is very similar to
that of the product lifecycle. In order to
sustain in the market and to maintain its
market share it is essential for the company to
have a right marketing mix. The company has
to have a mix of proper product that is
relevant to the target audience, proper price,
proper reach i.e. the place and relevant
promotion that keeps the target audience
interested in the company.

I) Product

Café Coffee Day’s menu ranges from hot and

cold coffees to several other items. However,
the core product is the coffee. The
management believes that trend is changing
towards coffee. So taking this opportunity,
the company also sells coffee powder. Café
Coffee Day also believes in selling other
merchandised products.

Core Product:

• Exotic international coffees e.g.

Capachinos
• Food items e.g. Sandwich,
Samosas
• Desserts and pastries

Supportive Products:

• Funky Caps @ Rs 60
onwards

• Cool T-Shirts @ Rs
175 onwards
• Bags @ Rs 160
onwards
• Mugs @ Rs 60
onwards

• Coffee Filters @ Rs 95

Coffee Powders:
 • Arabica @ Rs 43
• Perfect @ Rs 35
• Charge @ Rs 28
• Dark Forest 200gm @ Rs 80

New Introductions:

• Reglon Sleeves T-Shirts @ Rs 249

• Marquis pens @ Rs 315 Onwards.
• Shoulder Bags @ Rs 209
• Coffee Mints @ Rs 40

II) Price

Café Coffee Day has positioned as “Value for

Money”. The major target customers are the
youngsters. Pricing is a very sensitive issue
for the Indian consumers.

Café Coffee Day believes in mass marketing.

The average spent by the customer is 100-

125. Their coffee starts from as long as 15
Rs. However there are some outlets where
the students are given special discounts. CCD
even set up their outlets in the college
campus. For e.g. Café Coffee Day has
opened an outlet at the NMIMS campus
where they are providing additional 10%
discount to the students.

CCD is looking for expansion to more

interior places. Here prices become more
complex as the consumer are very
conservative in spending. A cup of coffee at
Rs. 35 is accepted in metro cities but not in
small towns.

The price of the product has to be kept

uniform in order to maintain the
uniformity in all the outlets.

CCD target audience is youngsters. Majority

of them are dependent on their family for
their expense. This is one of the most
important reasons for low pricing compared
to other cafes. They believe it in making
their product at an affordable price.
Pricing is one of the important weapons
for them to fight against their competitor.

III) Place

Café Coffee Day outlets are spread across

India. However, there are more number of
outlets in the metros and towns. For e.g. In
Mumbai CCD have 37 outlets. In the past
12 months, Café Coffee Day has also been on
an aggressive drive to expand the number of
cafés in the smaller towns across the country
based on research and invitations received
from these places to open more such cafes
there. The company expects to cross the
figure of 200 cafés in 60 cities by December
2004. There will be an increased focus in
cities having populations from as low as Five
Lakh upwards. However, the focus has not
been on just opening more cafés wherever
there has been an opportunity. Café Coffee
Day is already the largest and most wide
spread retail chain of cafes in India with a
current count of 169 cafés in 43 cites.

CCD plans to reach cities like Kolhapur and

Nagpur in the west, Hubli, Belguam and
Vizag in the South, Allahabad, Varanasi,
Ambala and Patiala, in the North, Jodhpur
and Mount Abu in Rajasthan and
Bhubuneshwar, Ranchi, Cuttack, Darjeeling,
Guwahati and Jamshedupr in the East.
 Product Mix:

Café Coffee Day:

Product Width
 People:
People at Café Coffee Day believe that
“People are hired for what they know but
fired
for how they behave”. Motivation and
personal skill are laid emphasize upon.
IV) Promotion

In order to stay with the competition and

to keep the audience interested,
they undertake lot of promotion
activities. CCD jointly organizes
large number of promotions with
the other companies serving the
similar target audience. These
cafes have emerged as a new
media vehicle for reaching the right
type of the customer. CCD gets in
physical touch with audiences,
target loyalty club members, or
advertises in their newsletters.
CCD has also undertaken a promo
jointly with TVS scooty. The promo
was done at all the outlets across
43 cities. In this promo a package
of 2 ices blended cold coffee and 1
choc fantasy for just selling for Rs
82.

Customer Loyalty Programme:

Coffee shops have a high loyalty factor i.e.

60-70% of customers come in at least once
a week. The Cafe Citizens Programmed
launched along with Net Carrots Loyalty
Services would reward regular customers of
Cafe Coffee Day. Any customer who bills a
minimum of Rs 100 on a single bill is
automatically eligible for membership to the
Cafe Citizens Programmed. The programmed
entitles members to a 10 percent discount on
all food and beverage bills for a year from the
month of membership. Members will also
receive surprise gifts from India times
Shopping when they reach a total billing
amount of Rs 2,000, Rs 5,000, and Rs
10,000. Members can track their total bills
spend at any Cafe Coffee Day outlet across
the country. The programme was very
successful and they attracted 1,35,000
citizens.

Smart Card Programme:

Started from 1st Aug, 04; one can enroll into

the program by paying Rs.100/- at any Café
Coffee Day Outlet and get a TEMPORARY
CARD immediately after filling in the
enrolment form. With the Card, one can
accumulate Value Points Equivalent To
Cash on net purchases at every transaction
made at any of CCD outlets, provided the
card is submitted to the café staff at the time
of placing each order.

The personalized permanent SMART CARD

would reach at ones place in 7 days from the
day of enrolment and the points would be
transferred from temporary card to the
PERMANENT SMART CARD. The points
accumulated on the card would be printed on
the bottom of the bill. So it is very easy to
keep track of the points. As soon as 100
points have been accumulated on the card,
one can start redeeming the points. Points
can be redeemed on food, beverage and now
even merchandise like coffee powder, T-
shirts, mugs etc except Jukebox coupons.

Current Promotion:

Oyester BayThe current

promotion is done with the
Oyester Bay Jewellery for the
woman’s day. CCD has arranged
the contest, which is arranged for
the woman’s day event. This type
of contest attracts the young
crowd especially girls.
E) Ambience and Surrounding

“First Impression is the Last Impression”.

This is true in this business. The first thing
that the customers come across is the
surrounding and the ambience of the store.

To further brighten the vibrant atmosphere of

the cafés, there has been a greater thrust on
providing more value added services such as
video juke boxes, cosy sofa seating, and
exciting round the year promotions. Trading
Co. Ltd had gone in for an image change and
revamping of interiors in the last quarter of
2001.

Café interiors at the company's

169 outlets are being given a
whole, new look. In a change
from the largely wood and
granite based interiors, there is
more of steel and lots more
colour. The young colours of
today, lime green, yellow, orange, and purple
will predominate. The crockery will also
sport these colours. The larger cafes will also
have lounge areas and a few beanbags.
F) International Presence

Café Coffee Day, the premier retail chain

of cafés in India announced major
developments within the company
including its dynamic plan to expand the
chain into the overseas markets. After
having established itself firmly in the
domestic market offering a world-class food
and coffee experience to over 25 million
customers annually across the country, the
chain has already started setting up the
infrastructure at 10 cities where it has
targeted to open at least 50 cafes by
December 2004.

The entire international offering will be based

on the successful Indian brand/model in
which Café Coffee Day has gathered a lot of
rich experience in coffee café retailing. As
with the domestic cafés, the international
cafés will also be trendy, offering
attractive prices, and the coffees served
will be made from the premium quality
coffee beans.
G) Future Strategy

Spreading Wide:

CCD is planning to increase its reach by

going to the small towns. To achieve the
mission of being a number 1 player in coffee
category they cannot ignore these small
towns. CCD plans to open 45 more cafes in
the next three months. The Company is
focusing on the southern states of the country
such as Tamil Nadu, Karnataka, Andhra
Pradesh and Kerala, and the western region,
starting with various markets in the state of
Maharashtra.

To widen the scope of target audience, CCD

is planning to open some special cafés. These
cafes would serve to the different target
audience. However, they have aggressive
competition from the Barista and other
cafes. According to the management, they
have a greater threat from the foreign
players.

Expensive Cafes:

The major target group of CCD is the

youngsters. However, the company wants to
widen its target group. Café Coffee Day is
planning to come up with a different type
of café, which will be having different
environment all together. Even the
merchandise will be different from that of the
original CCD cafes. The coffees and the
merchandise would be much more expensive
and of a better quality. These cafes are
mainly targeted to people with high-
income group and status oriented people.

International Coffee Flavours:

CCD is planning to start soon with the

international coffee at all the outlets.
They have already done the test
marketing in certain outlet of
Bangalore. Adding the new flavour
would increase the choice for the
customer.

H) Its All In the Mind

CCD holds a distinct position in the minds of

the target customer. Most of the customers
are loyal and visit the same outlet. CCD is
very aggressive in terms of the marketing
activity in order to maintain the market share.
Major customers are youths. Focusing on the
target group, tie-ups are done with other
companies in order to keep the audience
interested. They are planning to tie-ups
with the cinema theaters, shopping malls.

Coffee Café Day is the most popular hang

out place for the youngsters. CCD is
perceived as energetic and trendy
organization. The crowd is very lively. Most
of the consumers are frequent visitors. Many
of the people also have their loyalty card “I
visit here twice a week. It’s a good place to
hang out with friends.

CCD has the wide variety of coffee that suit

to the consumers needs. The ambience is very
clean, well-lighted and airy. Most of the
outlets also have large parking space and
good seating arrangements. There is a young
feel to it. The prices are very reasonable
(compared to Barista, not our local Udipi)
too and an average coffee would cost about
Rs. 40. They also have attractive T-shirts
sporting Coffee day labels, cups, etc for sale,
which are manufactured by Coffee day.

The food at CCD is at the affordable price.

Customers coming out there also find the
food interesting especially veg. wraps and
the chicken ciabatta (Italian sandwich).
However they don’t like pizzas. Sometimes,
the food smells a bit stale. The deserts are
the most preferred by the youngster’s
especially chocolaty cakes and apple pie.
The employees are very friendly. They
maintain a good relation with their
customers. At CCD employees are very
helpful and serve the customers, which
differentiate them from other cafes. CCD
coffees are much cheaper than that of cafes.
This is one of the main reasons for attracting
the young college crowd. CCD is also very
well spread.

Many customers believe CCD move with

the competitor. Wherever Baristas opens
its outlet, CCD comes with the outlet.

One will not find more of working class or

management people. It’s not the good place
to have a business talks. The place is very
noisy which makes them difficult to
concentrate. Even the seats are much
closed arranged thus does not maintains
secrecy.

The music at CCD is very loud and trendy

that is suited for the young crowd. There
are also some people who believe that CCD
is cheap and it does not suit their status.

The other problem that customer feels is the

practice of having a TV set that is perpetually
on MTV or Channel V or something and
something loud and jing-bang going on.....It
would be much better to have some soft
music.
I) SWOT Analysis

Strength:

• Large Number of outlet.

• In house sourcing of coffee beans.
• Tie Ups with good companies.

Weakness:

• Limited Target Audience.

• Follow the competitor strategy.
• Quality of food- Stale breads.
• Loud and Hard Music.
• Improper sitting arrangement.

Opportunity:

• Large Untapped Market

• Tie-ups with other companies for
promotion.

Threat:

• Entry of Foreign players like Georgia,

Starbucks etc.
• Large unorganized market.
Tie-Ups with companies

CCD jointly organizes large number of promotions with the other

companies serving the similar target audience.

EBD Book Café:

EBD is book café has joint ventures

with CCD. EBD Book Café believes
that by selling books from within the
espresso bars like CCD and other such
co-locations that have a footfall of over
100 plus customers in a day will help
them to achieve growth in book sales. One can find one’s favorite
books at such cafes starting from fiction, non-fiction, religion,
cookery, management, lifestyle, art & craft, children books and
much more. EBD Book Café are in collaboration with Café
Coffee Day have existing outlets in
Ludhiana, Jaipur, New Delhi and
Kanpur and are in discussion to open
more such outlets in, Mumbai and
Ahmedabad. The CCD bookshops are in
the same premises though not
necessarily inside the outlet.

Himalaya with CCD:

To drive usage of honey, Himalaya Drugs is developing daily diet

products and looking at marketing them by tying-up with leading
consumer brands. It has tied up with Cafe Coffee Day, to create
four dishes; Honey Cappuccino, Honey milk shake, Rich
Chocolate Cake and ice cream topped with honey and nuts. The
Cafe Coffee Day partnership is unique. It provided a platform to
reach out to the target audience in a relaxed environment where they
could experience innovative uses of honey. The association with
Cafe Coffee Day across 100 outlets in seven cities was not only to
expand the category, but also towards creating touch points to
experience the goodness of Himalaya Forest Honey.

Fame Adlabs

CCD is also involved in the promotion with Fame Adlabs. The

pamphlets are being distributed indicating the current movie shown
and the movies to follow. Also it shows the special offer for some
lucky customer to get the coffee free.

Other tie-ups:

Barista has tie-ups with Planet M, Crossword and the Taj group of
hotels for setting up Espresso corners within their premises.
Moreover, along with ABN Amro, Barista has introduced a concept
called Ban café - a café in the bank premises.
Tie-ups:
Besides that Café Coffee Day also tie up lot of the youth brands.
Their promise to the customer is that a lot can happen over a coffee.
So every time they try to ensure something good happens to their
customer. So they have a contest going on with Levis, another one
with Scooty, Liril, latest one with Airtel Friends.
Another placement area they have is with HDFC. HDFC wanted to
promote their debit card and they choose Café Coffee Day. So 21
cafes have debit card machines.

Association with movies:

Café Coffee Day also decided to stick with the next big thing i.e.
Bollywood. Earlier a few movies, whose target audience matched
that of the consumers at Cafe Coffee Day, started shooting a few
scenes in the cafe. So they had a Hindi movie Bas Yun Hi and a
couple of Telugu and Tamil films with prominent Cafe Coffee Day
brand placement. Later they took a conscious decision of being seen
in certain movies like Khakee and Main Hoon Na.
As part of this effort, the brand was placed smartly in two Bollywood
ventures,
the Amitabh Bachchan, Aishwarya Rai, Vivek Oberoi starrer Kyun
Ho Gaya Na,
Sajid Nadiadwala's Salman Khan, Priyanka Chopra starrer Mujhse
Shaadi
Karoge, forthcoming movies like Salman Khan starrer Lucky and
Socha Na Tha.

A lot of serials are shot in Cafe Coffee Day. Recently, Kahaani Ghar
Ghar Kii
was shot.
 BUSINESS ASSOCIATION

CCD has emerged as an interactive alternative media for brands to

communicate with the ‘young at heart’.
Other media, such as electronic,

print and outdoor, offer brand

communication through visual and audio modes to a large section of
the populace, both relevant and irrelevant. Café Coffee Day offers a
much more interactive, targeted communication, sometimes adding
even a taste dimension to a brand idea!
Various in-café collaterals used to impart visibility to a brand inside
a café or to add the element of interactivity to a campaign are
Posters, Tent Cards, Danglers, Leaflets, Brochures, Coasters, Drop
boxes, Contest Forms, Stirrers, Standees etc.
Over the years, CCD has successfully promoted a number of
brands/products/events through various innovative tactics and promo
ideas. Cashing in on its mass captive audience
 THE LEVI’S CAMPAIGN

The 6” Below the Naval Jeans campaign, the Sykes

Reversibles (Ulta Pulta) campaign, the Levi’s 501 campaign, the
TLTT (The Levi’s Torture Test), the ‘Hello Gorgeous’ campaign etc
all are some of the successful in café activations designed and
executed for Levi’s. Every season

CCD becomes an important media for Levi’s to launch its new range
of apparels. Along with providing tremendous on ground visibility in
terms of wall visuals, tent cards, danglers, posters etc., a contest
(wherein customers could win Levi’s clothes) is designed to inject
customer interactivity and to add excitement to the entire campaign.
The cohesiveness of the entire campaign is accentuated by creating a
new drink and christening it as the Levi’s drink for the promo period!
 THE SUGAR FREE CAMPAIGN

In order to promote Sugar Free, CCD launched a “ Low calorie

menu” in
association with the former for the calorie conscious. The new menu
consisted of a wide range of Low calorie Hot coffees, International
coffees, Tea, Tropical
Iceberg & a range of veg. and non-veg. food as well as deserts like
Lemon Soufflé to name a few. This menu was communicated to the
customer by means of Sugar Free branded menu boards, menu cards
etc. Also, a few bottles of
Sugar Free were displayed at the counter to serve as a pointer to the
on-going activity.

THE CHANNEL V- GET GORGEOUS HUNT

CCD was the exclusive on ground partner for the national hunt for
the most gorgeous female models by Channel V, wherein candidates
could drop their entry forms with portfolio at any CCD outlet. The
event was heavily promoted by CCD through in café branding and on
air by Channel V.
CCD also launched a new range of ‘Get Gorgeous drinks’ as part of
the promotion. Innovative collaterals like branded stirrers etc. were
used to add that extra element of surprise.
So much so was the success of the campaign that Channel V has
chosen CCD to be the on ground partner for ‘Get
Gorgeous- Part
 The ‘Mujhse Shaadi Karogi’ Promotion:
The contest, starting July 10, 2004 ran across 168 cafes in
42 cities for a month, where any customer billing a ‘Shagun’ amount
of Rs 301 was guaranteed to win at least one prize ranging from
audiocassettes to movie tickets and a chance to enter a lucky draw,
which would win them a coffee date with Priyanka Chopra. To
heighten the excitement, CCD even created an ambience of ‘Shaadi
Season’ with cafe staff wearing heart shaped badges with ‘Mujhse
Shaadi Karogi
Contest @ CCD’ pinned on their shirts. Creatively designed

posters and tent cards in the wedding card format were used as tools
to encourage customers to be a part of this contest.
Coffee shops have a high loyalty factor i.e. 60-70% of
customers come in at least once a week.
CCD also has private magazine distributed free to their
customers. It includes ads and advertises about the
promotions to follow.
Most of the consumers are frequent visitors.
Many of the people also have their loyalty card “I visit
here twice a week. It’s a good place to hang out with
friends.
Most of the outlets also have large parking space and
good seating arrangements. There is a young feel to
it. The prices are very reasonable (compared to
Barista, not our local Udipi) too and an average coffee
would cost about Rs. 40.
The food at CCD is at the affordable price. Customers
coming out there also find the food interesting
especially veg. wraps and the chicken ciabatta (Italian
sandwich).

However they don’t like pizzas. Sometimes, the food

smells a bit stale. The deserts are the most preferred
by the youngster’s especially chocolaty cakes and
apple pie. The employees are very friendly. They
maintain a good relation with their customers. At CCD
employees are very helpful and serve the customers,
which differentiate them from other cafes. CCD coffees
are much cheaper than that of cafes. This is one of the
main reasons for attracting the young college crowd.
CCD is also very well spread.

One will not find more of working class or management

people. It’s not the good place to have a business
talks. The place is very noisy which makes them
difficult to concentrate. Even the seats are much
closed arranged thus does not maintains secrecy.

The music at CCD is very loud and trendy that is suited

for the young crowd. There are also some people who
believe that CCD is cheap and it does not suit their
status.

The other problem that customer feels is the practice

of having a TV set that is perpetually on MTV or
Channel V or something and something loud and jing-
bang going on.....It would be much better to have
some soft music.
 Outlets Visited
I) Lokhandwala CCD:

The Store at Lokhandwala is also a

good revenue earner for the company.
The store is located just outside the
Lokhandwala and situated just opposite
to Barista. This store is also an important
store due to the location and also the
target customers. Lokhandwala is one
of the most famous place for shopping. This store is not as big as
that of the outlet at Carter Road. It has a sitting capacity of 95
people. This store also has indoor as well as the outdoor space but
has more of the outdoor spacing.
The working hours at Lokhandwala outlet is 9 am to 12 pm.

The peak timings are

• 7-9p.m.(Working Crowd)
• 10:30 p.m.- 11.30 p.m.
(Families)

The USP of this store is its large

parking space. Customers come to the
outlet after shopping from Lokhandwala to have a coffee. The music
is not appropriate which makes some of the customers annoyed. The
Machine used in this outlet is Asttoria, which cost around 3.5 lac.

The store sells lot of other products like T-Shirts and cups, which
also do good business. However, the goods are not properly
displayed. The staff at the outlet was efficient courteous and very
helpful. There is a good customer service from the staff and helps the
customer in making the decisions. The staff strength is 11 and is
divided into 3 shifts that include 1 store manager.

Customer Profile:

• Foot fall- around 115 per day

• The average spend: Rs.125-150/customer–1-3 p.m.
• Comprises primarily of youth from the 18-30 yrs age group
• Attracts a lot of people from the film industry
 Carter Road CCD:

The Store was started store started on 12 Sept 2003. This is

one of the most premiums and the biggest of the CCD outlet
with the capacity of 130 seat and 25 tables spread over
more than 1200 sq. feet. The location of the store has also
played an important role. The store is located just opposite
the beach at the Carter road, which is one of the favourite
freaky places for the youngsters. The store has indoor as
well as the outdoor space. Being one of the most important
outlets for CCD, it also has a jukebox so that the customers
are entertained and can choose the song they like to hear.

CCD working hours is normally from morning 9 to 11:30

nights. However, the outlet at Carter road Working Hours are
from-Morning 9 to Night 1.30 as their daytime customers
mainly includes youngsters, students, and families in the late
night. However the peak timings are from- 6-8, 10-11 pm.
The staff members include 2 Branch Manger and 12 male
employees, and 4 female employees. CCD also follows the
pattern of shifts i.e. 4 staff member in the morning and 14 in
the evening.

Normally the footfall at the Carter Road branch are 325 / per
day. However it may vary substantially during the holidays
and during other occasions. The Average spend by the
customer is Rs 100. The footfalls and the average spending
however vary. This branch has more footfalls and also the
average spending is more compared to the other stores.

The outlet has Unique Machine – LaMarzotco (Asconia) which

itself cost approximately 5 lac Rs.

Customer Profile:

• 37% lies in the age group 20 and 24

• 27% between the age group of 25-29 years

• 60% of the customers who visit the café are male

and 40% are female

• 52% of customers who visit the cafes are students

• 18% of the customers visit the cafes daily while another
44% visit weekly

Customer Average Average Time

Timing
Profile Money Spend Spend

Students 5-9pm Rs. 100 1-2 Hr

Families 9-11pm Rs. 200 30 min

 Barista
“Barista” (which means “bartender’’ in English) is an Italian coffee
chain shop. Barista traces its roots back to the old coffee houses in Italy- the
hotbeds of poetry, love, music, writing, revolution, and of course, fine
coffee.

Barista Coffee was established with the aim of identifying growth

opportunities in the coffee business. Increasing disposable incomes and
global trends in coffee indicate immense growth potential in this
particular segment.
More significantly, they have been quick to spot a latent need waiting to be
tapped: Coffee lovers seek a complete experience. One that combines
intelligent positioning with the right product mix and carefully designed
cafes. In other words, they seek an "Experiential lifestyle brand".

As one might imagine, tapping into this need requires a company that
can not only deliver great coffee and espresso bars, but one with the
ability to scale up operations quickly. At Barista, they have gone to great
lengths to establish this.

Barista started its operations with its first outlet at New Delhi in Feb
2000. The Company was promoted by Amit Judge’s Turner Morrison Group
BARISTA Coffee Company Ltd - in which Tata Coffee Ltd holds 34.3 per
cent stake Ventured into India.
Barista Coffee Company Limited has been recently listed among
the top 100 brands in India by Super Brands India; the Indian
Division of the globally renowned Super brands ltd. Barista was
selected out of 711 leading Indian brands across 98 categories.
Barista has its operations spread over 153 outlets across India. At present,
Barista had, he said, over 120 espresso bars and corners in the four
metros and 14 cities of India, with 35 being added over the last 12
months, out of which 10 had been relocated.

Barista Coffee is a chain of espresso bars in India. Headquartered in Delhi,

Barista currently has espresso bars across India, Sri Lanka and the Middle
East. It was founded in 1997 by Amit Judge and was part of his group of
companies. He sold part of the equity to first Tata Coffee. Then after he and
Tata Coffee fell apart, Sterling then bought over the firm. In 2007, Sterling
divested all their stake to Lavazza. Barista Coffee Company is currently
owned by Lavazza, Italy’s largest coffee company. As of 2009, the chain has
2009 stores in India, with an estimated annual revenue of Rs 200 crores.

Barista was the fastest brand to make it to the list of super brand's and is
ranked among the top 50 phenomenons that changed India.

Background, Market Entry & Growth:

Barista coffee was establishes in 1999 with the aim of identifying growth
opportunities in
the coffee business. Increasing disposable incomes and global trends in
coffee indicate
immense growth potential in one particular segment.
More significantly, they believe they have been quick to spot a latent need
waiting to be
trapped: Coffee lovers seek a complete experience. One that combines
intelligent
positioning with the right product mix and carefully designed
cafés. In other words, customers seek an “experiential lifestyle brand”.
 Diagram– The Barista Café Logo

As of today, Barista exists in over 22 cities, and operates over 140 outlets
nationally. In the last 2 years, Barista has opened over 100 outlets in the
country and with a new outlet opening nationally every 14 dates, Barista is
currently experiencing phenomenal growth.
With outlets opening in Sri Lanka and Dubai, Barista is looking at potential
growth
opportunities in Asia, making it highly competitive international brand.
 Distribution:
Distribution of outlets
Every Barista outlet is owned by the company, and not franchised out to
anyone.
Barista can thus control and make quick changes to its entire retail chain.
Barista currently operates in over 120 outlets all over the country, and at
their current rate, they are opening a new outlet approximately every 10
days. They have a market presence in over 20 cities. Mumbai alone has over
30 outlets, and the number of outlets in the city is increasing at a
phenomenal pace.
Barista has a thumb rule for selecting cities and locations for the distribution
of outlets.

Location: this is a prime factor in determining the success of a retail chain.

However, Barista Coffee has adopted a top down approach, wherein they
first identify the cities and then decide on precise locations within its limits.

Selecting a city: Barista has devoted substantial management time and

effort in zeroing in on the cities where they are now situated. The selection
of the cities was
based on the following criteria.
Sizeable population of executives, students and families in SEC A & Barista
category;
High disposable income with people looking for new vistas in leisure and
lifestyle
oriented concepts;
High level or organized retail activity;
Level ofRapid socio- economic development;  commercial importance
(Industrial cities, state capitals etc.)
Number of educational establishments and opportunities available for
employment.
On the basis of the above criteria, they had initially targeted cities like Delhi,
Mumbai, Bangalore, Chennai and Hyderabad. Chandigarh and Ludhiana
were later added due to tie- ups with ‘Planet M’ and ‘Ebony’ to set up store-
in- stores at their outlets.
They are also pursuing an equally aggressive international business
expansion strategy. They have over 50 overseas locations presently under
their consideration.
They have already done their groundwork in terms of getting brand and
name registrations in over 30 of these locations. To facilitate their global
expansion, they plan to work with strategic partners, who share the same
vision of expanding and promoting the brand worldwide. Currently they
have opened new outlets in Sri Lanka and Dubai as a part of their
international strategy.

Distribution of Stock
The distribution of stock at Barista begins from the coffee beans being sent
abroad for roasting. The roasting takes place in Venice, and the beans are
then supplied to the main warehouse in Delhi. Stock is then distributed to the
various Regional Warehouses, and then to the local Warehouses. The outlets
get their stock from the Local Warehouses. Barista uses a Re-Order Level
system for the distribution of their stock.
Barista out sources its transportation needs from external organizations, and
currently uses trucks as the preferred means of distribution.

Human Resources
Barista’s boom in growth has sparked of a greater need for more and more
human resources. This poses a challenge for Barista to ensure that their
employees all across
the country are well trained and provide consistent service at every outlet.

Table: Employee Profile

The average age of Barista employee is 22. Most employees are in the 19-26
age groups. The break-up of the various posts are given below:
Recruitment & Selection:
Barista currently opens a new outlet somewhere in the country every 10-12
days. The spurt of growth can only be successful if they have the right
people working for them. The high expansion means that more staff is
needed immediately at the Counter Staff and Field Staff Level. This is only
possible is Barista uses the correct recruitment and selection policy

Sources of Recruitment
Barista’s main sources of recruitment are:
i. Walk- ins
ii. Referrals
iii. Placement Agencies

Recruitment & Selection Process

Barista hires people for their counter staff from external sources, and follow
the
following process for recruitment:
i. Collection and review of Curriculum Vitae
ii. Personal interviews with H.R. Manager
iii. Personal Interviews with Area Manager/ Regional Manager.
Recruitment is usually done on a monthly basis, depending on the number of
outlets and expansion taking place in that month.

Training & Development:

To insure consistent employee performance, training and development
policies are very important- even more so in service sector organizations.
Barista Coffee has a set, 14 days rigorous training procedure for each
employee. With training modules customized to fit the professional needs of
each employee. In the case of their brew masters, the training programs are
drawn up and conducted by trainers who have been trained by Italian brew
masters.
Barista has a Training & Development policy, which basically consists of
two parts,
Induction Training and Refresher Training.

i. Induction Training
Induction Training occurs when a new employee joins Barista. The
employee is taught about the Barista culture, what it means to be a Barista
employee, the sort of attitude and behavior expected from him, and product
and technical training.
ii. Refresher Training
Refresher Training usually happens ones every two months, in the form of
technical training and soft skills training. This ensures that the employees
are constantly aware of what is expected from them, and their required level
of performance.

Employee Working Hours:

Barista employees work on an average for 9 hours, and there are usually 3
shifts per day.

Employee Code of Conduct:

Barista employees are trained with regard to their code of conduct at the
induction level. It is at this stage Barista tries to infuse, what it refers to as
key qualities for its employees: pleasant manners, polite behavior and
positive attitude. The code of conduct of each employee is supervised
everyday by territory managers.

Promotion Policy:
Barista prefers promoting from within, rather then externally. The amount of
training and development programs that go into developing an employee,
they would like to harness that potential for higher posts. The current
promotion policy is based purely on performance.
Performance Appraisal:
Barista currently carries out performance appraisals every quarter of a year.
Direct supervisors in most cases carry out these appraisals. Currently Barista
doesn’t have any other kind of appraisal programs like upward/ 360o
appraisals.
Barista does conduct Exit Interviews though, and uses it to improve
employee retention.

Employee Turnover & Retention:

Barista’s current rate of Employee Turnover is about 10 %. The company
attributes this to the fact that some of the employees in the 19-22 age group,
look at this job as a temporary source of income, and have no long-term
commitment to Barista.
To increase employee retention, Barista focuses on the following key
aspects:
Right hiring
Right working environment
Grievance handling and redressal.
 Table: Barista: Product Mix Width
Some products may have been added/ removed from the product mix, due
to changes since gathering information.

Product Sources:
Barista sources its coffee beans from around the world, but a major supplier
is TATA Coffee, part of the TATA Group that owns a large stake- holding
in Barista. These coffee beans are then sent to Venice, Italy where they are
roasted into
a blend exclusively for Barista. The food and desserts at Barista
is exclusively catered to by the Taj, who ensures a high standard of quality
with all its products. Barista also sells merchandise through its store, all of
which is imported. The merchandise accounts for nearly 1/6th of Barista’s
overall sales.

Diagram – The Barista coffee beans

Quality Sources:
Barista has a check on the quality of its products every 14 days. Barista also
incorporates TQM at its headquarters in Delhi. Since Delhi is the base for all
its distribution, quality control measures are adopted there to avoid any poor
quality products being distributed.

Serving Size:
The serving size of a product is a measure, not only of quantity, but also of
value for money. The average serving size for Barista’s main product
categories is detailed in
Table given below

:
Table: Barista Serving Size

Merchandising:
Barista sells various kinds of merchandise through its stores. The table
details the
different merchandising products.
 Table: Barista Merchandising

Process:
The order and delivery process at Barista is based on self- service, where a
customer goes up to the counter to place his order, and goes back to the
counter to pick his delivery once it is prepared.

Positioning:
Consumer Profile:
According to research, over 65% of Barista’s customers are in the 15- 30
age- group. The majority of these are students and young urban
professionals.

Brand Image:
Barista positions itself as a brand for anyone who loves coffee. Their
products, services and outlets are more like the traditional European cafés,
where people would meet for the love of coffee, and for an intellectual
appealing time. They position their outlets as a place “where the world
meets”, and they look to appeal to anyone in the 14- 60 age group that loves
good coffee and looks for a nice quiet time.

Products:
Barista’s product mix constitutes a wide range of products that appeal
primarily to traditional coffee lovers. Their products themselves are
traditional products with traditional names. Food items like croissant, pastas,
and sandwiches are complimentary to their coffee, and project a very classic
image of Barista. Their merchandising also consists of primarily coffee
related products like coffee beans, coffee machines, etc.
 People:
The people at Barista are characteristically trained to be Pleasant, Polite and
Positive.
They ensure you have a quiet, uninterrupted visit and provide an escape
from the daily pressures of life. Their uniforms are in sober shades of brown
and orange, and contribute to the overall laid-back feeling of the café.
Physical Evidence:
a) Logo, Colors, Images:
Barista, since the beginning has looked to use colors in its café interiors,
logos and images; to project a “warm, earth glow, synonymous with coffee”.
Barista uses shades of Orange & Brown to good effect to promote its “laid-
back” atmosphere.

Diagram – The Barista Interiors

The logo is a combination of Brown, Orange and Light Yellow; with the
word “Barista” written in an upward curve, and the word “Coffee”
underneath. A simple logo that perfectly expresses Barista’s brand image: A
traditional café for coffee lovers.

b) Décor and Architecture:

Barista’s internal décor and architecture expresses the simplicity you would
normally associate with traditional cafés. The furniture is made of light
shades of wood, and there are comfortable sofas in bigger cafés. The walls
are shades of orange, with various photographs of the love for coffee spread
around each outlet.
 c) Literature:
The literature provided by Barista is indicative of its brand image. The
menus,
posters, pamphlets are all traditionally designed, with a classic and simple
look. One aspect of particular note is their magazine, which is privately
circulated in the cafés.
The magazine encourages customers write, draw, make etc anything
creative; and this is then published in the magazine. The magazine not only
provides an avenue for advertising, but also an opportunity for Barista to
express its brand image.

Place:
Barista looks to cater to their target market with strategically located outlets.
Their outlets are generally located at High Street/ Family Entertainment
Centers.
Considering their generic appeal, there are Barista outlets in and around
Malls,
Cinemas, Colleges, and Offices etc. this endorses their brand image of a café
that appeals to coffee lovers of all ages.

Promotions:
Barista currently carries out mass promotion campaigns. This is mainly in
the form of promotions in the Press, TV and Radio Medias. At present, they
do not rely heavily on advertising, but rely more on sponsorships and
strategic alliances with other corporations. Barista also takes part in various
sales promotion activities to help increase sales at their outlets.
a) Sponsorships:
Barista sponsors various events and festivals, which provides them valuable
promotion directed at strategic markets. The sponsorships are mainly in
kind, although major events are sponsored in cash also.

Collaborations:
Barista has entered into special collaborations and alliances with various
partners for co- marketing brands. For example, Barista entered into a deal
with Leo Mattel toys to provide the popular board game Scrabble at every
Barista outlet across the country.
This is an ideal alliance for both the organizations, because it provides Leo
Mattel with an important avenue for promoting their product, and it provides
Barista’s customers an added attraction for spending more time at Barista
outlets.
Barista has also entered into partnerships with various movies, for
promotions through Barista, and recently, they tied up with Star World for
its “Everybody” campaign.

Diagram– The Barista Collaborations

Sales Promotion:
Barista uses a special “Barista Coffee Card” for its sales promotion
activities. The
Barista Coffee Card entitles you to one complimentary hot beverage when
you are done sipping seven. It is available to all Barista coffee regulars. No
membership fees, no references required. Fill out the card and you are a
member. As a Coffee Card holder, you earn one stamp on the card every
time you purchase a beverage. Simply present the card to the cashier when
you place your order at any of their outlets. Once you have collected seven
stamps, you can hand over the card to receive your complimentary hot
beverage. Barista hopes this card can help drive sales growth, and increase
customer retention.
 B) Barista –Marketing Mix

Barista continued to maintain its focus on quality by sourcing only Arabica

beans and using the best international espresso machines, supplied by the
Italy-based LaCimbali.

Barista was, working towards becoming the number one in terms of

parameters likes brand-imagery, brand-dominance, customer-loyalty
and turnover. The strategy for fulfilling its mission over the next decade
would be by leveraging its strong position in the Indian market to grow
further in an Asian context.

I) Product

Barista cafes also have a good number of product mixes. The menu ranges
from variety of coffees and pastries. Barista also sells other items like mugs,
Coffee beans, T-Shirts, Coffee Kettles.

Core Product:

• Coffees
• Cakes and Pastries
• Coffee Beans

Supporting Products:

• Coffee Mugs in Orange and Blue which cost Rs 55 and Rs 99

• T-Shirts which cost Rs 150
Coffee and Coffee beans are also considered as the core product for Barista.
The company has also tested marketed coffee beans through its outlets in
Mumbai and Delhi. Barista claims that they sell a best coffee bean.

Barista has started with a new concept by the name Barista Merchandise.
Barista Merchandise is available at selected Barista espresso
bars in Delhi, Mumbai, Kolkata, Chennai, Hyderabad and
Bangalore. The Barista merchandise are the different types of beans
that customer can take home and have the coffee of his own taste.
Some of the Barista Merchandise includes

• The French Press

• Barista House Blend

Barista is also diversifying its hot beverages menu and introducing

several specialty teas. The reasoning undoubtedly is based on the fact
that apart from South India, all other parts of the country are mainly
tea-consuming areas, and this step is expected to help the company
expand its client base in the smaller towns of these regions.

II) Price

Barista holds the perception of being an expensive cafe. However, Barista

was the first organization to start the concept of the organized cafes in India.
Initially Barista started with Skimmed pricing policy. Barista segmented
the market according to the income and age.

Due to the entrance of new players, Barista was finding difficult to

maintain the market share. First and foremost, Barista re-defined the
target market customer. They even planned to change their tagline. "Where
the world meets” And so when company looked at this positioning and they
looked at the pricing - the strategy being that if we lower the pricing.

Apart from this, Barista has also introduced new low-priced beverages.
The officials say these price cuts have resulted in 15-per cent walk-ins at
Barista's outlets during the last few months. Barista decided to alter
their strategy in order to retain their market. After studying the market,
Barista found that competitors were fighting against them against the
pricing. They decided to reduce their pricing. It was not done from a
perspective of acquisition. With reduction in the prices, there had been a 47
per cent increase in footfalls over the subsequent three months. December
2003 had, seen Barista experiencing a 21 per cent per-store increase in
footfalls over the previous December, with the number of footfalls for
the year totalling 14 million.

III)

Place

Barista started its first outlet at Bangalore and from there it has started
spreading its wings especially after price reduction. Now they are even
planning to focus on raising the bar of coffee experience. Barista already
has presence in all the metros and has a presence in all the highly
populated regions like Mumbai, Delhi, Bangalore and many more
places.

Barista is seeking to expand through the franchisee route model and plans to
enter B-class towns in the country and middle-class localities in the metros
such as North and East Delhi. By 2005-06, Barista plans to have over 300
outlets across the country up from 153.

IV) Promotion

Barista did not initially believed in any kind of promotion but in order to
keep their customers interested they started building the brand by
communication both within the store as well as outside the store through
mass media. It under takes various promotion activities during the
festival or during occasions like Valentines Day. Barista has done
advertising in almost all national newspapers. Barista has launched summer
campaign through summer chillers, and was advertised through different
channels.
C) Ambience And Surrounding

The colour shades that they have used

are terracotta; it is warm - it is
orange. The background has a dark
Orange colour. Orange colour
signifies of a style and friendly
ambience of its own.

In order to match the colour

combination of the surrounding even
the uniform of employees are orange in
colour. The place invites the customers
to spend time. However, the focus
would, continue to be to recreate
the ambience of the typical Italian
neighbourhood espresso bars in India
so as to provide a comfortable place
for people to relax and experience
“the joy of coffee”. The ambience of the location and the quality of
coffee would, continue to be the key factors while growing the chain.

It has lots of board games for any one to indulge in, like chess, word
scramblers, and a guitar to pluck some chords.
Music:

The music is not too loud and encourages conversation, and the person
behind the counter is non-intrusive and friendly. Barista is also
planning to organize live music. Listening to live music, while sipping a
warm cup of coffee, next to your beloved can make an evening a perfect
memory to cherish. In order to gift its customers with this tranquilizing
experience, Barista is buzzing with live music this winter spate. Barista
presents 'Oceans', the music band that will perform live at various
Barista outlets.

Sitting Arrangement:

Barista is a place for relaxes. Even in a crowded espresso bar, at Barista, one
will have his share of privacy. The seats are arranged at a certain
distance to have a privacy of talks as their major customers come there
to discuss the business or to relax and chat.

D) International Presence

The company operates over 130 coffee joints including four in Dubai
and Colombo. Barista had chalked out aggressive strategies for
expansions into Europe and West Asia.

Barista has already started its operation in both Sri Lanka and Dubai
and doing very well. They are talking terms with a few potential partners in
Kuwait. Barista owns and manages all its outlets in India but operates
through franchisees in other countries.
 Future Strategy

The management at the Barista outlets thinks that their positioning is very
different from that of CCD. They think that the people going to CCD are
young college students. The target audience for the Barista are young
managers and middle level mangers and also family. However there is a
treat to them in terms of the share of the young college going crowd, which
forms a main target audience for the CCD and comparatively small part for
Barista. In order to maintain the share the managers of Barista thinks that
they would need to increase their presence and also have to tap the other
untapped market. The company is also planning to tie-up with other
companies in order to increase the promotion activities that would keep
the crowd interesting. They also are planning to organize the festivals of
the college or sponsor prizes in the festival.

Increase in outlet:

As part of its marketing strategy, the company is planning to promote

international coffee blends first through 40 Barista stores in Mumbai,
Delhi and Bangalore. With the move, the company also hopes to expand
the number of Barista Espresso Bars on an average rate of two to three per
month as well.

International expansion:

Barista is also looking for the international expansion. They are

planning to expand in the Kuwait market. Barista is also planning to
expand its presence in the other Asian countries like Sri Lanka, Dubai.
Promotional Activity:

As part of its marketing strategy, Barista Coffee Company Ltd is

planning to launch a host of consumer promotions at its outlets in 2004.
For the purpose, the company is currently in talks with many entertainment,
consumer goods and music companies, which include the US-based Bose
Corporation, Swatch and International Travel House.

Improvement in the Services:

Initially Barista had a system of self-serving. Indian consumers are not

comfortable with this concept. However in some of the outlets they have
started serving the customers.

Informative Staff:

The staff should be qualified as they will be dealing with intelligent

people. The staff should be friendly but should not try to educate the
customer who is already aware of the things.

F) Its All In The Mind

Barista is a place where the world meets. People come to Barista to have a
meet or to relax. A lot of them actually come alone as well. This is
actually one of those places with people coming in alone because they
are comfortable with themselves. It is a place where people are meeting
each other in an environment, which is fulfilling social and intellectual
needs.

The employees at the Barista are also energetic. They help the customer
in making decisions for their purchase. Some of the customers at the
Barista think that they should be personally served rather than self-
serving. When the person wants to orders for some thing customer has to
go to the counter order the requirements, pay bill and the employee takes the
name of the customer. When ever the order gets ready the employee shouts
on the top of the voice calling for the customer to take the order. This
actually unpleased the customer as the customer gets disturbed every time
the employee calls for some person.

Product:

During the time of discussion I found two types of customers, one who
visits regularly and other who visits rarely. The customers who come
rarely are not actually the coffee lovers. They just come there to do some
time pass. They have no complains about the product.

But the customers who are coffee lovers are not satisfied by the product they
serve. There are some customers who actually complain about the quality of
the product. Coffees are not really that good. The bread is dry; the amount of
filling has reduced in quantity etc. Their desserts fortunately have not
suffered and are still pretty good.

Customers not only come there to have a coffee or have a sandwich. They
actually come there to have an experience. They find prestigious when
they visit to the Barista. As major target audience are youths, young
managers

and middle level management people who come to discuss their business.
The young students visit there as they feel the sense of maturity. The
people who are status oriented would prefer visiting Barista rather than
CCD. Their targets are youth, young executives and nucleus families.
Barista also claims that intelligent people come here “Someone who is
intelligent and appreciates the good things in life.” claim by Barista. There
are many customers who come there, as they perceive themselves as
intelligent people.

For business people toting Laptops they can hook up to the net free of
cost or catch up on the news business magazines and newspapers are
available at every outlet. They also come to Barista, as it’s a good relaxing
place where they can discuss about their clients.

There are people who also come alone. They find Barista is the place
where they can just have a coffee and think deep, as there is no one to
disturb them.

G) SWOT Analysis

Strength:

• Claim to sell the best coffee

• Large Number of outlet
• In house sourcing of coffee beans
• Espresso-Highest selling coffee

Weakness:

• Expensive coffee
• Self service for the customers
• Quality of food- Stale breads

Opportunity:

• Large Untapped Market

• Tie-ups with other companies for promotion

Threat:

• Entry of Foreign players like Georgia, Starbucks etc

• Large unorganized market
Ties up with companies
Barista with Taj Group:

Barista Coffee, a leading coffee bar chain, has tied up with Taj group of
Hotels for setting up exclusive Barista expresso bars at the Taj hotels in
metro cities. The first such bar would be at the Emperor Lounge at the Taj
Mahal hotel in New Delhi followed by a Barista Bar at the Sea Lounge at the
Taj Mahal Hotel in Mumbai. This would be followed by similar bars at Taj
Mahal hotels in Calcutta, Chennai and Bangalore. Barista also will be
housed at the coffee shops of all major Taj Hotels in the country.

Barista with Tata Teleservice:

Barista has also tied up with Tata Teleservice. This tie-up was primarily
done in order to provide consumers' access to the Internet. The objective
being, today if you look at Barista consumers, a fair number of them come to
Barista to discuss business over a cup of coffee. Moreover, it is easier for
them to meet at Barista, discuss business and send the information across. It
is going to be focused primarily on work, towards the busy executive who is
traveling and has dropped by for coffee or the small office segment who
might just want to work out of Barista.
 Lacoste with Barista:

Lacoste India has decided to tie-up with coffee outlet chain Barista in all the
major metros and some mini-metros. The strategy is to target younger
audiences, which have a penchant for the "finer things in life". The
customer segment of Barista is very different from the ones who visit a
regular coffee shop.

Elle-18:

Barista is jointly tied up with Elle 18 to promote their product. Elle-18 is

launching a collection of coffee colored lipsticks and has named it after
Barista’s beverages! Therefore, they are working with Elle 18, which is a
youthful brand. Moreover, they both will grow with this association. For
Elle 18, the objective is to build a platform for their range of coffee colored
lipsticks and for them, the objective is to associate with the brand and have
their consumers coming in to Barista.

CBC Book shop:

Barista has tie-up with CBC bookshop, which has book corner at eight
Barista outlets in six cities. Barista’s bookshops are right inside the café.
Barista prefers best sellers and classic, besides books on management,
lifestyle, sports, health, religion, children and even cookery. Some of the
outlets also stock activity books, comics, CD-ROMs and crayons.
Sony:

Barista Coffee has tied up with Sony Music. Under this association, Sony
Music would endorse CDs and music cassettes of their recent acts, which
will be used as the lucky draw prizes for the participants. Consumers buying
food, beverage and merchandise for Rs 110/-and above during specified
hours of the performance, will be entitled to participate in the lucky draw.
The prizes will be given away in a couple of draws during the performance.
BARISTA
During the time of discussion I found two types of
customers, one who visits regularly and other who
visits rarely. The customers who come rarely are not
actually the coffee lovers. They just come there to do some
time pass. They have no complains about the product.

But the customers who are coffee lovers are not satisfied by
the product they serve. There are some customers who
actually complain about the quality of the product. Coffees
are not really that good. The bread is dry; the amount of
filling has reduced in quantity etc. Their desserts fortunately
have not suffered and are still pretty good.

Customers not only come there to have a coffee or have a

sandwich. They actually come there to have an
experience. They find prestigious when they visit to
the Barista. As major target audience are youths, young
managers

and middle level management people who come to discuss

their business.
 The young students visit there as they feel the sense
of maturity. The people who are status oriented would
prefer visiting Barista rather than CCD. Their targets are
youth, young executives and nucleus families. Barista also
claims that intelligent people come here “Someone who is
intelligent and appreciates the good things in life.” claim by
Barista. There are many customers who come there, as they
perceive themselves as intelligent people.

For business people toting Laptops they can hook up

to the net free of cost or catch up on the news
business magazines and newspapers are available at
every outlet. They also come to Barista, as it’s a good
relaxing place where they can discuss about their clients.

There are people who also come alone. They find Barista
is the place where they can just have a coffee and
think deep, as there is no one
to disturb them.

Sales:

• 40 % spend on food stuff / 60 %

on beverages

• Sales revenues approx. Rs 7000 / day

Consumer Profile:
Research shows that 37% of the customers are between 20 and 24years. 27%
of the customers are between the age group of 25-29 years. 60% of the
customers who visit the café are male and 40% are female. 52% of
customers who visit the cafes are students.
18% of the customers visit the cafes daily while another 44% visit weekly.
Each café, depending upon its size attracts between 500 and 800 customers
daily, mainly between
4pm and 7 pm. Customers describe Café Coffee Day as the place they
frequent most after “home and workplace/college”. It is a place where they
meet friends and colleagues, in groups of 3 or more. The prices here are
perceived to be reasonable and it is a place where customers come to
rejuvenate themselves and be themselves rather than a place to be “seen at”
vis a vis other cafes.
About the Visit

I) Barista at Bandra

The outlet at Bandra has a

capacity of 48 with 16 circular
tables and 2 side tables. The
approximately area of the store
is 800 sq.ft. The outlet is very
big as the other outlet of the
Barista. This outlet being at a
very busy area, there is no
ambience for the customers to
sit outside. Even the parking
space is not sufficient.

As the outlet is located at one of the busier area of Bandra, the working
time for this outlet is from 9 in the morning to 1.30 in the night.
However the outlet is located just opposite the National College, the peak
time is during the afternoon dominated by students who are small spenders,
shoppers & young executives in the evening and families in the night who
are more than average spenders frequent in evenings & night.They come to
Barista to relax and discuss about their business. The outlet has the staff
capacity of 9 out of which 2 people stay from morning to evening. Footfall
varies form 250-300 per day; however it varies widely during the
festival time. The average spend per customer is Rs.120 per customer.

Customer Profile:

Customer Average Average Time

Timing
Profile Money Spend
Spend

Students 10 am-9pm Rs. 0 - 50 0.5 - 2 hrs

Executives 7 pm-12pm Rs. 180 30 - 45 min

Sales:

• Only 35 % sales revenue is from foodstuff

• Balance from coffee and other beverages

II) Barista at Santacruz

The Santacruz outlet has the capacity of 48 people with 14 circular tables
and 2 side tables. The size is 1000 sq. ft.appox. The outlet is located at the
residential place. Majority of the customers are corporate and families.

The working hours are from 9 am to 12.30 am, however the peak timings are
 from 6 to 11. The total staff strength is 7 during the week days and 8 during
weekends. The outlet is not the biggest contributor as it is located at a
residential area and even the footfall is very less compared to that of the
other stores (100 customers). The average spent per customer is also low i.e.
60-70 Rs a visit.

The machine used by them are One M31 Dosatron by La Cimbali (operates
from 9 am to 1:30 am) and one slush machine Hugoleni by Hugo Leni. The
outlet has Guitar (not properly maintained) and chess & scrabble boards for
entertainment.

Customer Profile:

Customer Average
Timing Average Time
Profile Money Spend Spend

Students 10 am-9pm Rs. 0 - 50 0.5 – 1.5 hrs

Executives /
7 pm-12pm Rs. 140 30 - 45 min
Families

Sales:

• 40 % spend on food stuff / 60 % on beverages

• Sales revenues approx. Rs 7000 / day

He was my MILK, and I was his POWDER -
And when you poured us together, it was COFFEE.

CONCLUSION
The best known cup of coffee in town comes from here. You can't miss Cafe
Coffee Day; if there isn't one in your neighborhood, there's one near your
college/office, You might as well give in, they're taking over. The college
crowd is big, because the rates are more or less affordable, officegoers hang
out here at lunch breaks to take in the laid-back air of the place, first-dates
meet here because it's neutral ground, and couples because they're not likely
to bump into their parents. You're left alone to play your favorites on the
jukebox and nurse your mug of coffee for however long you want.
All at a price, of course - Rs. 5 per favourite song and around Rs. 25 for the
drink.
The range of coffees here, both cold and hot, is impressive.
The latte (with cinnamon, if you like it that way), Irish
Coffee, Cappuccino and its chocolate-y version, the
Mochaccino are the most requested hot coffees. While the
Frappe, with chocolate ice-cream blended in, the Tropical
Iceberg, which is the classic cold coffee, and the awardwinning
Kaapi Nirvana is the chilled favorites. Order cookies to go with it and,
suddenly, none of your problems in life will seem like such a big deal.
CCD also does a decent job of the teas, of which it has only three, but the
Masala Chai is good. The eats here are also very popular; in fact, many
people skip coffee altogether and just come here for the grub. For the most
part, though, the food here is nothing spectacular. Their ever-changing
menus haven't really improved matters, either.
CCD also sells its own range of t-shirts, coffee mugs and bags. Their line of
pre-packed coffee powders is steeply priced, but there is no dearth of takers,
and the filter-coffee has some dedicated drinkers
It’s hard to miss: It sports a youthful look. Plush, pleasing interiors, plus
colours such as lime green, yellow, purple and orange predominate make
Café Coffee Day a soft-low decibel spot for the trendy youth. Café Coffee
Day, a division of Amalgamated Bean Coffee Trading Company Ltd
(ABCTCL), has become a hot brand with the youth. Truly, if excitement has
an address, it would be Café Coffee Day. It’s just the place to be

Areas of Excellence
Both cafés have certain areas where they have been consistently performing
well. These are essentially the strengths of the brand, and Barista & Café
Coffee Day need to capitalize on these strengths to increase their market
share and brand loyalty. The main areas of excellence, based on the Case
Studies & Market Survey, have been identified as follows:

Barista
1. Strong Brand Image:
Barista has a strong and clear brand image. Their customers can easily
identify and relate to the Barista brand. This helps increase and maintain
brand loyalty.
2. Excellent Human Resource:
According to the survey, Barista received an excellent rating for the service
and behavior of their staff. This is a huge advantage, especially in a service
organization. Barista must strive to keep this advantage.
3. Ambience & Décor:
Another significant area of excellence is the kind of ambience and décor
Barista cafés have. Respondents to the survey, including whose who chose
Café Coffee
Day as their choice of café, gave Barista a near perfect rating for their
Ambience & Décor.
4. Strong base for expansion & growth: Barista have worked hard on heir
brand image and human resources, and have a strong base for future
expansion and growth- whether nationally or internationally.
 Café Coffee Day
1. Highly rated Taste & Quality of products:
Café Coffee Day got a high rating in the market survey, for the Taste &
Quality of their products. If they work on this aspect, there is huge potential
for them to attract customers, just based on the taste and quality of products.
This is also helped by the fact that they grow their own coffee beans, and
this provides an important base for future expansion and growth. Café
Coffee Day even won the “Barista Coffee- Making Championship” for the
Best Coffee.

2. Value for money proposition:

Café Coffee Day is projected as an “affordable” brand. This strategy has
worked extremely well so far, and Café Coffee Day got a high rating, both
for their prices and for their value for money, in the market survey.
3. Strong youth orientation:
The Café Coffee Day brand is, and always has been, extremely youth-
oriented. In a country where over 40% of the population is under the age of
20, there is huge potential for Café Coffee Day to become one of the
country’s largest youth brands. The untapped market share and potential for
growth is enormous.

Areas Needing Improvement

Both Barista and Café Coffee Day have under performed or not lived up to
potential in certain areas. The areas are weaknesses, which need to be
improved upon, as that both can eliminate any disadvantage that may have,
and improve customer satisfaction. The mail areas needing improvement,
based on the Case
Studies & Market Survey, have been identified as follows:

Barista
1. Average taste & quality of products:
According to the market survey, other than their Dessert, Barista got only an
average rating for the taste & quality of their products. Considering their
strong brand image of being the coffee- lover’s traditional café, they have
not performed up to expectations in this area.
2. Perceived as an expensive brand:
Customer perceptions of Barista’s prices and value for money are quite
negative. Even though the prices of Barista and Café Coffee Day are almost
identical, Barista is still perceived as the more expensive brand.

3. Inconvenient delivery process:

On a smaller note, Barista’s self- service delivery process received almost
unanimous complaints from respondents of the market survey. They found it
inconvenient to go back to the counter just to receive their order.

Café Coffee Day

1. Weak brand image:
The Café Coffee Day brand, although clearly a youth- oriented brand, lacks
the power and strength expected to maintain brand loyalty. The brand
doesn’t project a clear image to customers about what Café Coffee Day is all
about.
This could prove as a deterrent during future national and international
expansion.

2. Inefficient human resources:

According to the market survey, Café Coffee Day’s staff received only an
average rating for their behavior and service. Café Coffee Day needs to work
hard at this aspect, especially considering they are a service sector
organization that is looking at large expansion.

3. Ambience & Décor:

The Ambience & Décor of Café Coffee Day outlets received a below-
average rating from respondents of the market survey. A lot of respondents
did not like the fact that Café Coffee Day outlets and literature served as
prime space for a lot of advertising and promotions. They felt as if the café’s
had been hijacked just for advertising.
RECOMMENDATION & SUGGESTIONS

Barista
Barista has an extremely strong brand image, but they need to work hard on
improving their customer perception of being and expensive brand. Barista
and
Café Coffee Day have almost identical pricing, but Barista is still perceived
as the more expensive brand.
That’s why my first recommendation for Barista is, to carry out a
promotion campaign to ensure that their target market is well aware of their
current low prices. This would help change customer perception and turn
Barista into an affordable brand.
Another backlash of having such a strong traditional café brand image is
that customers have very high expectations of the taste & quality of
products. Barista needs to work hard at this aspect, especially for coffee and
eatables products.
My second recommendation is for Barista to look at its coffee beans
suppliers and coffee brewing process to ensure that it is the best it can be.
This is especially important considering the international expansion
Barista is undertaking. Barista should also look at the Taj, their national
suppliers for eatables and desserts, and either improve the taste & quality of
eatable, or look at another supplier- because as of now, they are not living up
to expectations, and losing customers to Café Coffee Day.
On a smaller note: the Barista delivery process should change, so that a café
attendant delivers the coffee to the table. This may seem insignificant, but it
can go a long way in improving customer satisfaction.

Café Coffee Day

Café Coffee Day has done extremely well so far to project itself as an
affordable youth- oriented brand. But there are still certain areas where their
brand needs to be much stronger.
With regard to the physical evidence associated with the brand, Café
Coffee Day needs to do a lot of work if they hope to catch up with Barista.
My first recommendation for Café Coffee Day is to clean up the décor at
every outlet, wherever unnecessary advertising is taking place.
Although it might be an important source of revenue, long-term customer
perception of the brand isn’t very positive.
Café Coffee Day would do better to provide promotional space for its
partners with the use of clever collaborations, and not printed advertisements
and posters everywhere.
My second recommendation is that Café Coffee Day looks at its current
recruitment, selection and most importantly, its current training policies.
Customers are not happy with the behavior and service of the staff, and
Café Coffee Day is lagging far behind Barista is this aspect.

BIBLIOGRAPHY

WWW.YAHOO.COM
WWW.GOOGLE.COM

www.barista.co.in- Search engines – Case Study

www.google.com- Search engines

The data was collected based on information provided by:

1. The management of the organization.
2. Customers visiting Barista and Café Coffee Day outlets.
Besides the primary data collected with the help of the questionnaire, I have
also collected the relevant secondary data from various sources like
magazines, and Internet and newspapers. Based on the relevant primary and
secondary data, a comparative analysis has been done so as to find out the
areas of excellence and areas of improvement of both organizations.
The areas of excellence and improvement have been identified based on
factual information, in light of which recommendations and suggestions
have been provided for the overall improvement of the organizations in the
future.
Coffee has two virtues: it is wet and warm.