THE INDIAN INSTITUTE OF PLANNING AND MANAGEMENT
Barista v/s Cafe Coffee Day
Poorva V.P. Saxena
Salik E. Khan
The aim of this study 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 finding out which one has been able to attain the maximum market share. Barista and Café Coffee Day are chosen because of their identical pattern of functioning and growth. They are the only two major players in the national coffee café industry, in India 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. This study is divided into five sections:
Section One: The Coffee Café Industry.
Section Two: Case study on Barista.
Section Three: Case study on Café Coffee Day.
Section Four: Customer Survey.
Section Five: Conclusion.
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.
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. 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.
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.
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.
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...
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