Coffee restaurants chain Cafe Coffee Day (CCD) is aiming to expand its overseas presence by establishing outlets in the European continent and Pakistan.
CCD, a part of the Rs 450 crore Amalgamated Bean Coffee Trading Company, is also planning to widen its home network by adding 300-plus outlets to the existing 400-odd.
After opening the 25th outlet in Pune, Simran Sablok, head of marketing, CCD, said the good response in Vienna, Austria, had encouraged the company to look at more opportunities in the European continent.
“Our overseas expansion will be Europe-focused as we are known in that market as the largest Indian coffee exporters,” said Sablok, adding that the company had devised special coffee blends to suit the European taste.
CCD is also present in Pakistan, through outlets in
Lahore as well as in Karachi, and plans to increase the number of outlets in these cities.
“We would be present in 50 locations overseas by the end of next year, out of which 25-30 will be in Europe,” she stressed.
Commenting on the opportunities in the Indian market, Sablok said the market is booming, thanks to rapid urbanisation of the vast hinterland coupled with higher spending power in the urban areas.
“The company is looking at reaching the landmark of 750 outlets in India by the end of next year,” she said.
Sablok refrained from disclosing the investment details for the proposed expansion.
She, however, said the company owns and runs all outlets by itself, without opting for the franchisee model. The business is now stabilised and has become profitable, she added.
CCD has tied up with petroleum marketing companies BPCL and HPCL for opening its outlets at the gas stations owned by these companies along the country’s highways.
“We will expand our presence along the highways as we have the freedom to open outlets even outside the gas stations of these companies, if the locations are convenient,” Sablok said.
Source : Business Standard, India