Business Daily from THE HINDU group of publications Monday, Feb 26, 2007 ePaper |
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Agri-Biz & Commodities
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Coffee Marketing - Retailing Café Coffee Day, Barista to expand overseas operations Our Bureau
At a time when global coffee retail giants such as Starbucks, Illycafe's `Espressamente' among others have lined up at the doorsteps of the Indian market, the home grown retailers Café Coffee Day (CCD) and Barista are looking at expanding their overseas operations even while increasing their footprints here.
Looking at Europe
After its successful foray into Vienna, Austria and in Karachi, Pakistan, Café Coffee Day is looking at Germanic speaking countries in Europe such as Switzerland, Germany, Czechoslovakia and other countries to expand its operations, said the CEO, Mr Naresh Malhotra. CCD has opened two outlets in Vienna in the past 18 months and is in the process of opening the third. It operates one outlet at Karachi and plans to launch shortly in Islamabad and Lahore. "We plan to increase our overseas outlets to 20 in the current year," Mr Malhotra said adding sales have exceeded expectations.
CCD outlets
Back in the Indian market, the company plans to increase its total outlets to 550 in 100 cities from the present 400 being operated in 80 cities, Mr Malhotra said. The company is also setting up some 120 kiosks at railway platforms in different cities over next three months. CCD, which supplies in-flight snacks and beverages to two low-cost airlines, Air Deccan and Go Air, is also in talks with to more low-cost carriers. Besides, the company is also in talks with big retailers to set up cafes in hypermarkets across the country. The company closed last year with a turnover of Rs 450 crore, up from Rs 350 crore in the earlier year.
Barista plans
The CEO of Barista Coffee Company, Mr Partha Dattagupta, said his company would increase Barista Crème, a premium café, from the present seven to 25 over the next four to six months. "We also plan to increase the regular Barista Espresso bars to 200 during this financial year and add 120 more in the next fiscal," he said. Barista, which already operates in Gulf countries, was exploring options to expand in the Maldives, the Mauritius, Egypt and South-East Asian markets, he said. The company plans to open some three outlets in Dhaka this year.
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