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COFFEE DAY
DECLARATION
I hereby declare that the project work entitled COMPLETE STUDY OF CAF
COFFEE DAY submitted to GURU GOBIND SINGH INDRAPRASTHA
UNIVERSITY, is a record of an original work done by me under the guidance of
Mrs. SANGEETA JOSHI, Faculty Member LINGAYAS LALITA DEVI
INSTITUTE OF MANAGEMENT & SCIENCES, and this project work has not
performed the basis for the award of any Degree to the best of my knowledge.
NEHA SINGHAL
14619201712
[SIGNATURE OF STUDENT]
NEHA SINGHAL
14619201712
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CERTIFICATE
Certified that this project report COMPLETE STUDY OF CAF
COFFEE DAY is the bonafide work of NEHA SINGHAL and has
carried out the project work under the supervision of Mrs.
SANGEETA JOSHI.
SIGNATURE
SIGNATURE
Project Incharge
BBA DEPARTMENT
DEPARTMENT
BBA
LINGAYAS
NEHA SINGHAL
14619201712
OF
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ACKNOWLEDGEMENT
I take this opportunity to express a deep sense of gratitude to
Mrs. SANGEETA JOSHI (the Guide of the project for guiding) for
his/her cordial support, valuable information and guidance, which
helped me in completing this task through various stages.
I express my thanks to the HOD Mr. PRANAV MISHRA of BBA
Department for his support in completing the project.
I would also like to express my gratitude towards my parents and
people who have willingly helped me out with their abilities in
completion of this project.
NEHA SINGHAL
14619201712
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TABLE OF CONTENT
S.NO.
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
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24.
25.
TOPIC
Declaration
Certificate
Acknowledgement
Executive Summery
History
Objectives
Features
Current trends in Industry
Market size in US
Major players in the Industry
Customer Expectations
Promotion
Mission Statement
Logo
Product at Caf Coffee Day
Rewards
Awards
Caf Formats
Benefits
Sales Promotions
Segmentations Strategy
Seven steps of Great Services
Research & Methodology
Recommendations & Conclusions
Bibliography
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PAGE
NO.
1
2
3
5
6
10
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13
15
16
19
21
25
26
27
32
33
34
36
38
39
40
44
47
48
EXECUTIVE SUMMERY
The research project deals with CAF COFFEE DAY. The research
project addresses the issues and facts that are critical to success
of chain of Caf Coffee Day in India. Along with this, the project
has also covered management skills, services provided and trends
& opportunities. The report also discusses about the competitors
of the Caf Coffee Day in India. It also covers various promotional
techniques adopted by Caf Coffee Day in order to attract
customers. It also shows its comparison with its competitors.
There is an intense competition among these players which
makes them come out with various offers time to time. Surveys
were also conducted with customers during this project which
gave insights about these outlets and the factors that are
motivating them to visit Caf Coffee Day. The result of these
surveys gives very interesting facts. Finally, the report also covers
strength and weaknesses along with opportunities and threats
involved for Caf Coffee Day in Indian market. This study is
primarily intended to oversee and evaluate the history of Caf
Coffee Day as a brand of new generation Coffee item and
Beverages viz. Coffee in Delhi. Culture and cuisine are two
highlights of the city of Delhi. The objective of our project is to
explore the marketing techniques adopted by Caf Coffee Day in
India. And to know the recent trends in the market with respect
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History
Caf Coffee Day is a division of India's largest coffee
conglomerate, Amalgamated
Bean Coffee Trading Company Ltd. (ABCTCL), popularly known as
Coffee Day. This
is a Rs. 300 crore ISO 9002 certified company. Its chief customers
are in USA,
Europe & Japan. Based in Chickmaglur, the home of some of the
best Indian
Coffees, Coffee Day has its business spanning the entire gamut of
coffee
Consumption in India. Its different divisions include:
Coffee Day Fresh n Ground (354 Coffee bean and powder retail
outlets)
Coffee Day Xpress (341 Coffee Day Kiosk)
Coffee Day Take away (7000 Vending Machines)
Coffee Day Exports
Caf Coffee Day
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ABCTCL 6 divisions:
Exports - India's largest coffee exporters. Currently export over
30000 tonnes of green coffee per annum, i.e 15% of India's coffee
exports. They have also ventured into specialty coffee exports.
Coffee Day Fresh and Ground- Maior player in the roast & ground
filter coffee segment. It provides a unique assortment of blends at
affordable prices. The coffee is freshly ground in front of the
customer and sold to him.
Cafe Coffee Day - It is a place where customers come and
rejuvenate themselves. It is a meeting place for the young and
the young at heart. In the caf Hot and Cold coffee as well as
merchandise are sold to the customers.
Coffee Day Vending To serve the man on the move who though
hurry does not have to compromise on quality of coffe he drinks.
Coffee Day has its vending machine placed in vendor outlets in
major cities.
Coffee Day Express Bridges the need gap between the leisurely
cuppa and the bite at the caf and a quick drink at the vending
point. In this segment you would notice kiosks strategically
positioned where a customer can not only drink coffee but also
grab a quick bite on the move.
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Coffee has been around in India since the 17th century. However,
coffee drinking has traditionally been largely restricted to
domestic consumption, and mostly in the South Indian states of
Tamil Nadu, Karnataka, Kerala and Andhra Pradesh. Coffee has
been around in India since the 17th century. However, coffee
drinking has traditionally been largely restricted to domestic
consumption, and mostly in the South Indian states of Tamil Nadu,
Karnataka, Kerala and Andhra Pradesh.
India ranks sixth as a producer of coffee in the world accounting
for 4.5% of the global coffee production. India has about 170,000
coffee farms cultivating around 900,000 acres of coffee trees.
India is the largest producer and consumer of milk
in the world with 98% of milk being produced in rural India. Coffee
consumption in India is growing at 6% per annum compared to
the global 2% plus.
Caf Coffee Days menu ranges from signature hot and cold
coffees to several exotic international coffees, tea, food, desserts
and pastries. In addition, exciting merchandise such as coffee
powders, cookies, mugs, coffee filters, etc. is available at the
cafs.
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tradition
since
1875
behind
it
coupled
with
the
modern
technology
available
is
used
to
maintain
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OBJECTIVE
To be the best Cafe chain by offering a world class coffee
experience at affordable prices.
The offerings are designed in such a manner that one cannot be
spelt without the other; there are the hot coffee or cold coffee
combinations with delectable desserts and special coffee and eats
combinations for even a group of four friends.
Coffee Day Comprises of the following Sub Brands
1. Coffee Day - Fresh & Ground
2. Caf Coffee Day
3. Coffee Day Vending
4. Coffee Day - Xpress
5. Coffee Day Exports
6. Coffee Day - Perfect
Pioneers of the Caf Concept in India with its first Caf at Brigade
Road, Bangalore in 1996. This Caf was opened as a Cyber Caf
(first of its kind) but later, with the burst of cyber cafes it reverted
to its core competency i.e.; Coffee. Essentially a youth oriented
brand with majority of its customers falling in the 15-29 year age
bracket .Each caf, depending upon its size attracts between 400
and 800 customers daily. It is a place where customers come to
rejuvenate themselves and be themselves.
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Key Features
Pioneers of the Caf Concept in India with the its first Caf at
Brigade Road, Bangalore in 1996. This Caf was opened as a
Cyber Caf (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 caf, depending upon its size attracts between 400 and
800 customers daily.
It is a place where customers come to rejuvenate themselves
and be themselves.
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opening
coffee-
shops
that
catered
to
high-
end
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MARKET SIZE IN US
Snapshot: Coffee Shop
Retail Sales Estimates Year End 2009 Coffee Cafes: (beverage
retailers with seating) 1,250 locations averaging $550,000 in
annual sales = $ 6.12 billion or adults who have visited a
coffeehouse in the past week:
Average weekly spending $5 or under: 41%
Rarely or never purchase food: 49%
Consume the beverage off-premises: 52%
Demographics
Seventy-seven percent of U.S. adults drink coffee daily, and
gourmet coffee consumption has risen in the past five years.
According to Scarborough Research, a market research firm that
studies media, lifestyle, and shopping patterns in the United
States, in October 2008, 12 percent of adults have been to a
coffee shop in the past month.
shops has recently spread across the nation, the West coast has
the most coffee shop patrons. The ideal ratio of coffee shops to
residents in a particular area is 1:10,000
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Indian
borders
into
neighboring
countries.
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Owned
by
Impresario
Entertainment
&
Competitors Analysis
8%
Barista
8%
32%
4%
48%
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CUSTOMERS EXPECTATIONS
When a customer visits a coffee shop they expect a good
experience. They want the service provider to provide them with
the best services they have. From the chart given below we can
easily make out that the customers gives high preference to the
quality of services and they give least preference to the pricing.
The major reason behind customer giving least preference to the
price is because they want a good experience which is beyond
price.
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Location
Ambience
Pricing
24%
42%
11%
11%
13%
From the above chart one can easily make out that 42%
people consider the quality of services offered by the coffe
shop before going to it.
The next important factor considered by customer before
choosing a coffee shop is the ambience. They want the
coffee shop to be a cool hangout place where they can
hangout with friends and do some combined studies
RATING TO CAF COFFEE DAY BY THE CUSTOMER ARE
SHOWN IN THE CHART BELOW
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Rating to Cafe Coffee Day given by customers on the factors listed below
Ambience Location
Pricing
Quality of Product
Service Offered
52
48
52
44
40
20
16
4
4 4
Not0 Satisfied
28
24
16
16
28
16
4
Satisfactory
24
20
Good
Very Good
12 12
4
Excellent
From the chart above one can easily make out the following
things regarding to Caf Coffee Day:1. Customers grade Caf Coffee Day very good when it comes
to ambience.
2. Customers grade Caf Coffee Day good when it comes to
pricing.
3. Customers grade Caf Coffee Day very good when it comes
to service offered.
4. Customers grade Caf Coffee Day very good when it comes
to quality of product.
5. Customers grade Caf Coffee Day very good when it comes
to Location.
Which simply proves that Caf Coffee Day is one of the best
hangout place for the youth who consider the factors mentioned
above while selecting a Coffee Shop.
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Promotion
Caf Coffee Day does not believe in mass media promotions. But
they are involved in all the areas of serious consumer passion.
Through television
Caf
Coffee
Day
held
contest
around
very
popular
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Place
Caf 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 caf that appeals to coffee lovers of all ages.
People
People at Caf 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.
Process
The order process at Caf Coffee Day is based on services, where
the customer can read the menu and order. Whereas they have a
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MISSION STATEMENT
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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.
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To
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
the most popular hot coffees at Cafe Coffee
Day.
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of
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.
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with
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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.
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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 pineapple-flavoured
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.
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REWARDS
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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 caf magazine
caf beat.
Select caf of the month that will be featured in the caf
beat.
Select employee of the month that will be displayed at the
caf.
Certificate of appreciation from the regional head.
Participation in city/ regional/ national caf managers context.
Consistent and loyal employees with a good performance will
be rewarded with employee stock options.
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AWARDS
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.
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CAF FORMATS
Caf
Coffee
Day
has
been
experimenting with caf formats for quite
sometime. Backed by the motivation of
providing customers with exciting choices
as well as constantly redefining the caf
experience, CCD has ventured into the
following formats:
Music Cafs provide customers with the
choice of playing their favourite music
tracks on the Digital Audio Jukeboxes
installed at the caf! 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 Cafs offer the perfect solution to people who think that
the coffee experience is incomplete without browsing through the
bestsellers or reading a classic. CCDs 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 Indias leading book
distributors for placement and rotation of reading materials
appealing to Caf Coffee Days discerning customers.
Highway cafs 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!
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Cyber cafs 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
Caf, Fashion Caf & Singles Caf..
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BENEFITS
Following are the benefits that a customer can get from Caf
Coffee Day:
1. Benefits through pricing of products
Considering that Cafe Coffee Day is trying to target a market
whose age range is between 15 and 60 years, a pricing
policy appealing to this segment is difficult. The pricing is
extremely low and act as a deterrent to some customers who
might regard it as an indicator or quality, while very high
prices cannot be afforded by most of the youth. But since
Cafe Coffee Days current consumer profile is quite young,
their prices are mostly inexpensive, and at par with their
competitors.
unit
catering
to
the
specific
requirement
of
the
Page 38
modern
technology
available
is
used
to
maintain
by
Patsiers
Gallery.
Caf
Coffee
Day
also
sells
sale
of
merchandise.
Caf
Coffee
Day
product
Mix
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SALES PROMOTIONS
Merchandising- Every CCD stocks merchandise ranging from
coffee mugs, Tshirts,
caps, bags, coffee filters, mints, different flavours of coffee
powders,
tea and cream, wafers and biscottis. It also merchandises
promotional
materials for other brands it associates with. When some brands
are
conducting events for which passes are distributed or movie
premiere tickets
are given out, CCD is an important hub for these activities as
most of the
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SEGMENTATION STRATEGY
Caf Coffee Day has its main consumer base in the age group of
15-29 years. Its
customers are mainly middle class and upper middle class youth
who are upwardly
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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...
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5 .CLEARANCE
Prompt clearance of the tables ensures that customers find the
caf 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.
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7. PARTING REMARKS
Show customers that we value them & want them to return. A
pleasant parting remark would ensure that customer comes back
to caf
Thank the customer for choosing CAF COFFE DAY. And how
delighted you are to be of service to him. Thank you for
choosing CAF COFFEE DAY, Sir! It has been a pleasure having
you over.
TIP: It is not what you say, but how you say it!
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RESEARCH METHODOLOGY
Research Design
The controlling plan for a marketing research study in which the
methods and procedures for
collecting
and
analyzing
the
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RECOMMENDATIONS &
CONCLUSIONS
From the project we can conclude the following: That Caf Coffee day is planning to go
international.
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BIBLIOGRAPHY
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