Group 6 serviceindustry_ccd
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Transcript of Group 6 serviceindustry_ccd
Essence of MarketingService Industry
Presented By : Ashish Borhade
Sandeep Desai
Harish Amritkar
Mukesh Agrawal
Chandan Nandy
SIBM MBA Executive Education Div-A
About the industry - Coffee
India ‘s annual consumption – 97000 tonnes
Annual growth rate – 5-6%
Average per capita consumption : 66 grams annual
Urban areas – 73% Rural areas – 27%
Café Coffee Day
Café Coffee Day (C.C.D.) is India’s largest coffee conglomerate, the Amalgamated
Bean Coffee Trading Company Limited (ABCTCL). Popularly known as Coffee
Day was formed.
Its origin lies in the golden soil of Chikmagalur that a traditional family owned a
few acres of coffee estates, which yielded rich coffee beans.
V.G.Siddhartha Hegde – Founder & Chairman of Amalgamated Bean Coffee
Trading Co.
His family owns 10,500 acres of coffee plantation farms in Karnataka.
Venu Madhav – Head of Operations at C.C.D.
Largest organized retail coffee chain in India.
Total outlets – 1450+ in every nook and corner of the country
New cafes planned across – Middle East, Eastern Europe, Egypt, Eurasia, South
East Asia. (Total 2000 planned by 2015)
Division of Coffee Day
Coffee Day - Fresh & Ground
Café Coffee Day
Coffee Day – Vending
Coffee Day – Xpress
Coffee Day – Exports
Coffee Day – Perfect
Café Coffee Day is the part of India’s largest coffee conglomerate
named Coffee Day,
Rs.750 crore ISO 9002 certified company.
3
Competitors
Direct Competitors:
Barista
Cafe Mocha
Costa Coffee
Beyond Coffee
Gloria Jeans
Minerva Coffee Shop
Indirect Competitors:
McDonald
Haldirams
Global Competitors:
Star Bucks
Product
Wide range of products appealing to Indian coffee and snack lovers.
Grows the coffee it serves in its cares
Well equipped roasting units
Indian taste.
Eatables adopted to Indian taste buds, created by different vendors
Ice creams – Cream Bell
Milk – Amul
Snack – From local vendors
Sells Merchandising through its stores
Enjoys trust for quality, Hygiene and consistency of food.
Price
Affordable prices
Price for a cup of coffee ranges from Rs. 45 to Rs 200
Target Customer Segment - Aged between 15- 35 yrs
Only Minor changes in the pricing policy due to changes in Govt. taxes
Physical Evidence
Logo, Colours, Images
- Larger Font – Emphases on the word Café
- RED signifies leadership , vitality and passion .
- WHITE SWIRL signifies purity of purpose, invigorating properties
of feel of coffee.
- Café - larger than the text inside the logo box. C.C.D. would like to
own the word “café” in the minds of its customers.
Décor & Architecture uses bright colours and interiors according to the
youth
Designing of pamphlets posters and menu to attract the youth.
New Logo
Process
Ordering and delivery earlier was self service
Now most of the coffee shops have waiters to take order and deliver at the
table.
People
Emphasis on motivation and personal skills of the people
Friendly waiters and services
Employee follow international standards of hygiene, cleanliness and
personal grooming
Reward Schemes like “ Employee of the month”
Management at C.C.D. believe that “People are hired for what they know
but fired for how they behave”.
(e.g. Incidence when a Manager was fired in an Hour in Chennai cafe, for
asking cover charges)
Place
Prime factors for success – located at every possible location where
business can be generated
Caters to target market with strategically placed outlet.
Located in High street, Fuel stations, Malls, Multiplexes, Near
colleges and office premises
Metros Cities
Tier – 1 Cities (Jaipur, Kanpur, Surat)
Tier – II cities (Mysore, Guwahati, Jamnagar, Shillong)
Tier – III cities (sangli, katra – Jammu and kashmir)
Tie up with Ginger hotel of Taj Group.
Promotion
Through SMS
Valentines Day promotion, “Café Coffee day Luv zone”
Through Television
Held a contest around a very popular program on Zee English called Friends
They have tied up with Channel [V]’s “Get Gorgeous contest”
First TV commercial Cafe Coffee Day debuts in Dec 2012 after being in operations for 16 years
It’s built on the premise that ‘standing up’ often doesn’t really yield results, but “a lot can happen over coffee” when you ‘sit down’.
Ticket Sales
They were involved in Elton John and Bryan Adams ticket sales.
Promotion
Tie ups
Liril, Airtel Friends
HDFC wanted to promote their debit card and they chose café coffee day.
Association with Movies
Bas yun Hi
Khakee
Main hoo naa
Socha Na tha
Mujhse Shaadi Karogi
Sales Promotion
Special “Café citizen Card”
Shop Online
Positioning and Brand Image
Brought Café culture to India
For the Youth: Young (AT HEART) customers, Young and Friendly staff
Highest distribution network
Target middle and upper middle class
Age group 15 – 29
Consumer Profile
Age Group:
15 -24 years – 37%
25-35 years – 27%
Gender :
Male– 60%
Female – 40%
Frequency of Visit:
Daily – 18%
Weekly – 44%
Café Formats
Different Café Formats
Music café
Books café
Highway café
Garden café
Cyber café
Recent addition: Lounge café
Conclusion
• C.C.D. is the fastest growing Café in the country.
• The major competitor undoubtedly Barista.
• That Café Coffee day is planning to go international.
• The other major things regarding service marketing is that customers
give top priority to the quality of the services / products and ambience.
• It is providing tough competition to its competitors by satisfying its
customers with great café experience.
• “A lot can happen over coffee” message has touched the hearts of
youngsters who are the largest consumers of C.C.D.
Sites Referred
http://www.casestudyinc.com/coffee-day-brand-strategy-india
http://www.pr-inside.com/india-food-and-drink-report-q-r2164244.htm
http://en.wikipedia.org/wiki/Marketing
http://www.cafecoffeeday.com/
http://www.barista.co.in/users/index.aspx
http://businesstoday.intoday.in/storyprint/18661