Competitor Analysis of Coffee Shops in India

2.9 Competitor analysis of coffee shops in India

Coffee shops have long been occupied a good position in South India. In the previous years it occupied a key presence among five star hotels that opened up their own coffee shops so as to meet the requirements of high end consumers. But times changed and now coffee has become more of a concept than just a drink. This has resulted in the booming of a large number of retail coffee chains that are basically international in nature. These are in form of Barista, Cafe coffee day (Kress and Shoffner, 2007). These have shown there continuity not only as a coffee selling outlet but have focussed themselves more towards the development of a national brand. It is clear from the data that branded coffee market is characterized by 53% share where unbranded accounts to 40%.

The Indian coffee market is characterized by the presence of many major players in form of Cafe coffee Day. The firm started its operations in 1996 and is so far regarded as the largest retail chain player of India. It has a presence of 1000 cafes in over 141 cities. The firm has got a growth plan to start 1, 000 cafes in coming years across 102 cities of India. Other than coffee, the firm has incorporated the elements of healthy food like herb breads, multigrain breads, sandwiches. They have also started the range of premium coffee, mugs and message T shirts to attract the Indian audiences (India May Bring Starbucks to New Highs, 2012).