Cuppa Cafe

Strategy: Cuppa Cafe

Coffee in India • 1930’s: Brought in by the British – Habit caught over amongst upper class Brahmins

• Spreads across South India • Mess’s / Restaurants serve Coffee – Raayars Mess, Chennai (1942) – Served in Daavra Tumbler

Barista • First to spot opportunity • Started in 1999 • 25 cities, 200 outlets – 1 new outlet every week – Moving to Dubai, Sri Lanka, Malaysia etc.

• Major Supplier – Tata Coffee

• Product: – Coffee – Merchandise (1/4th of revenues)

• Pricing: Market Skimming – 3 reductions in last 2 years – Still premium to CCD

• Process: self-service • Profile: Age 18-30, students, professionals

• Brand Image – where the world meets – Smooth, Sophisticated

• People: Pleasant, Polite, Positive • Physical Evidence – Earthy Orange, Brown

• Promotions: (no media) – Sponsorships (events, college festivals) – no cash – Collaborations (Leo Mattle – Scrabble, Star World), Cr. Cards

• Training – – – – –

Induction Refresher (every 2 months) Promotions from within Appraisal every quarter Employee Turnover – 10%

Café Coffee Day • Amalgamated Coffee Company – 1870 • USP – Grow own Coffee, affordable, winner of platinum, gold, silver medals at Barista Championship • Products: – Coffee – Merchandise

• Process: Delievered to the table • Profile – 20-24 yrs – 37% – 25-29 yrs – 27%

• Brand Image – Cool place to hang out – Invigorating, Young

• Pricing – Lower than Barista (keeping target in mind) – No changes recently (other than for taxes)

• Physical Evidence: – Red, White, Green (leaf)

• Literature: Café Beat • Promotions – TV: Friends – Tie-ups with channels (inc. Channel V) • Get Gorgeous

– Event tickets – FMCG – Liril, Scooty, Airtel ‘friends’

Recruitment

• Training – 12 days • Appraisal – every 6 months • Turnover – 9%

Data

Cuppa Café

P&G: 1 Pager Element Who What How

Description Consumer Segmentation, Description, Needs Product, Features, Price Place, Promotion – Media, Trade

Cuppa Café • Lack of Strategic Vision

– Where is the business going? – How do we define the proposition? – (Farzana: too bogged down with Franchisees)

• Desperately Need

– Brand Image – Emotional connect – Consistency

• Consumers - 'effortlessly cool, perhaps professional, but certainly sophisticated‘ – Valuable insight

– Explains chic cafes, accessorised by Wi-Fi and music lounges

• Do Consumer work, co-create – Proposition – Positioning – Experience (e.g. CCD’s biggest area of improvement)

• Develop Competencies – Retail market – Systems, processes – Franchisee managements etc.

• Bottom Line – The consumer owns the brand – As long as the consumer owns the brand, the BM’s personal traits / baggage, become irrelevant – Create the Soul !!

P&G: 1 Pager Element Who What How

Description Consumer Segmentation, Description, Needs Product, Features, Price Place, Promotion – Media, Trade

How to change the world - Food for thought

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