CAF COFFEE DAY

a lot can happen over coffee

INTRODUCTION
Caf Coffee Day is a venture of the AMALGAMETED BEAN COMPANY. It is a lar e or ani!e" retail #afe #hain $ith its "istin#t %ran" i"entity of its o$n& offers a $orl" #lass #offee e'(erien#e to its #usto)ers at affor"a%le (ri#es. It has (ositione" itself as a (la#e for han out es(e#ially for the youn sters an" for the infor)al )eetin s. *ith in#reasin "e)an" of li+ui" #offee a)on (u%li#& sin#e ,--.s there has %een a "rasti# in#rease in the nu)%er of #offee (arlours& $ith Cafe #offee "ay o(enin its ,.. th outlet in Delhi. Coffee (arlours have $itnesse" an in#rease in their #usto)er %ase as in no$& #onsu)(tion of #offee %ein not restri#te" to the elite #lass only. The in#rease in the "is(osa%le in#o)e an" the lifestyle are the t$o )a/or fa#tors #ontri%utin to$ar"s the visit of all (eo(le of all a es an" #lasses visit #offee (arlours& thus hel(in in the )ar0et (enetration an" e'(ansion of outlets for CCD. 1trate i# allian#es of Cafe Coffee "ay $ith %ran"s li0e Garfiel"& Levis2& Elle ,3& et# that are

youth #entre" hel(e" CCD in in#reasin its sales at less #ost an" #reatin a youth oriente" %ran" i)a e. It is also ivin the ift an" the "is#ount vou#hers to the #usto)ers $ho are fre+uent visitors. CCD& $ith its first outlet in Ban alore %asi#ally ha" an ur%an )ar0et. Peo(le of all a e rou(s visit it& %ut their )ain tar et is the youth. CCD has (ositione" itself as a (la#e for havin #offee an" fun to ether at the sa)e ti)e. MISSION: TO BE THE BEST CAF CHAIN IN THE WORLD BY OFFERNG A WORLD CLASS COFFEE EXPERIENCE AT AFFORDABLE PRICE.

SWOT ANALYSIS
Strengths: 4ery stron )ar0et (enetration In house sour#in of #offee %eans Tie u(s $ith #o)(anies Affor"a%le (ri#e5avera e (ri#e is 6s.7.8 Custo)er frien"ly e)(loyees It is I1O-.9 #ertifie" #o)(any

Weakness:

Lou" : noisy;< It2s not a oo" (la#e to have %usiness tal0s Con este"5i)(ro(er sittin arran e)ent8 =ollo$ the #o)(etitors strate y >na%le to #ate ori!e either as a (re)iu) (ro"u#t or as a )ass (ro"u#t ?uality of foo" as #o)(are" to the #o)(etitors

Opportunity:
2

Tie u(s $ith other #o)(anies for (ro)otion Diversifi#ation in foo" in"ustry Lar e unta((e" )ar0et To use )e"ia for effe#tive a"vertise)ent

Threat: Co)(etitors li0e Caf Mo#ha& Barista : international (layers li0e Geor ia& 1tar%u#0s

MARKETING MIX
Products: Caf Coffee Day (ro"u#t )i' #onstitutes a $i"e ran e of (ro"u#ts that a((eal (ri)arily to In"ian #offee an" sna#0 lovers. (ro"u#ts have a "e#i"e" In"ian taste to it < %e it foo" or #offee. Most of the eata%les have %een a"o(te" to )eet the In"ian taste %u"s li0e sa)osa& )asala san"$i#h& ti00a san"$i#h et#. Thus they have %een tryin to #a(ture the In"ian taste alon $ith #lassi# #offee. Prices: Consi"erin that Caf Coffee Day 0no$s its )a/or #usto)er lies in the %ra#0et of ,@< 9-& it has trie" to "erive a (oli#y $here%y it #an satisfy all its #usto)ers. The (ri#e for a #u( of #offee ran es fro) 6s.,A to 6s.@7. Promotio : Caf Coffee Day has use" )ass )e"ia (ro)otions. But they are involve" in all the areas of serious #onsu)er (assion. They (ro)ote via Television& tie<u(s $ith "ifferent %ran"s& #ontest& sales (ro)otion& asso#iation $ith )ovies& et#. P!"ce: This is a (ri)e fa#tor in "eter)inin the su##ess of a retail #hain. Caf Coffee Day is fo#usin )ainly in )alls an" )ain )ar0ets#

$UESTIONS:
$%# W&"t e 'iro me t"! ("ctors "re res)o si*!e (or t&e )o)u!"rit+ o( !i,uid co((ee ret"i!i -. The environ)ental fa#tors that #ontri%ute" to the ro$th of li+ui" #offee retailin $ere;
a. De)o ra(hi# fa#tors;

De)o ra(hi# fa#tors as $ell as in#o)e shift $as (ro)(tin )ore an" )ore (eo(le of all a e rou(s to visit these #offee (arlours. 3.B of the (o(ulation of In"ia #onsists of (eo(le %et$een the a e rou( of ,@<9-yrs& this %ein an a""e" a"vanta e as CCD )ainly fo#us on youth. The in#reasin stresse" life of the youn sters an" the #or(orate "urin the $or0 "ays )a0e the) to visit (la#es li0e CCD to rela' an" to have fun ti)e.

%. Psy#ho ra(hi# fa#tors Psy#ho ra(hi# fa#tors su#h as (eo(le are rea"y to s(en" an" they (refer to en/oy their leisure hours out"oor also lea" to the (o(ularity of #offee (arlours. #. >r%ani!ation an" #han in lifestyle; In#rease" a"a(tation to ur%ani!ation an" #han in lifestyle of (eo(le $as another fa#tor #ontri%utin to their ro$th.

$/# W&"t )rom)ted m"r0eters to use co((ee )"r!ours "s medi" 'e&ic!es. There $ere various reasons for #offee (arlours %ein use" as )e"ia vehi#les. 1o)e of the) #an %e as follo$s;
a. In#reasin (o(ularity of #offee outlets a)on all a e rou(s& as a result of $hi#h the

#o)(anies #an rea#h to )ore (eo(le at a sin le (oint of ti)e.

b. Lar e #usto)er %ase c. De)o ra(hi# fa#tors that are (eo(le of all a e& #ulture& an" re ion visite" these

outlets $hi#h a#t as a tool for the )e"ia to a""ress their issues an" their (ro)otional offers "ire#tly to the lar e rou(.
d. Geo ra(hi# fa#tors su#h as #offee (arlours $ere easily a##essi%le %y the (eo(le an"

also ren"ere" the (ro"u#t at a #o)(aratively #hea(er (ri#e.

4

e. These outlets $ere not )erely #offee (arlours %ut also a (la#e $here (eo(le #a)e to

rela'. Thus a"vertise)ents of other %ran"s #reate" a lon (eo(le.

lastin

i)(a#t on the

These $ere various reasons for #offee (arlours %ein use" as )e"ia vehi#les.

$1# 2o3 c" co((ee )"r!our c&"i s *e e(it (rom ru t&eir stores.

i - )romos o( ot&er com)" ies "t

Benefits that #offee (arlours e'tra#te" fro) runnin (ro)os of other #o)(anies $ere; a. Bein %a#0e" %y %i #o)(anies su#h as Elle,3&Garfiel" et# hel(e" the) to #reate )ar0et (ositionin &
b. Mar0et (enetration is le" %y runnin s(e#ial (ro)os on 4alentine2s Day& Christ)as

et#. #. Ten"en#y a)on (eo(le to follo$ %ran" na)es in turn in#rease" the #usto)er %ase of these outlets&