Brand Management Case Study

Cafe Coffee Day - Brand Strategy in India

Case Study Contents

  1. Introduction
  2. CCD - an established brand image in India
  3. CCD’s wide network - the anytime, anywhere cafe
  4. Exhibit 1: Total number of stores/cafes of Café Coffee Day and its competitors
  5. 1996 – 2008, CCD’s first store launch to building a strong competitive advantage
  6. Innovative formats to woo new customers
  7. Reinforcing brand image with the cluster approach strategy
  8. Company-owned stores instead of franchises to not dilute brand value
  9. Lower pricing and ‘no-segmentation’ approach
  10. From a largely south Indian retail chain to a national brand
  11. Co-branding
  12. Reinvigorating the brand and taking it to the next level
  13. Projecting a feeling of togetherness
  14. Silent brew masters – special employee program
  15. Background Note (History of Cafe Coffee Day)
  16. Café Coffee Day – Quick Facts
  17. Exhibit 2: Various store/café formats of Café Coffee Day
  18. Exhibit 3: Different divisions of Café Coffee Day
  19. Exhibit 4: Brand Logo of CCD and its significance
  20. Exhibit 5: Sample Consumer profile by Age group at Café Coffee Day

Case Study Abstract

This case study covers the following issues:

Introduction

“CCD today has become the largest youth aggregator, and from a marketing stand point, the success has come by focusing on the 3As: Accessibility, Affordability and Acceptability.”- Bidisha Nagaraj, the Marketing president of Cafe Coffee Day

"Although demographically, a typical consumer would be male or female between 15-29 years of age, belonging to middle or upper middle class, we call our consumers young or young at heart. We are about juke boxes, good and affordable coffee and food. The brand fit is with youth or the young at heart. So we often look out for brands that are aspirational in nature." – Sudipta Sen Gupta, Marketing head, Café Coffee Day.

CCD - an established brand image in India

Cafe Coffee Day (CCD) has an established brand image in India and ranks No 2 in the Brand Equity’s Most Trusted Brands 2008 survey - in the food services category. Rival Barista is at No 5. CCD has been able to make a connection with the Indian consumers, predominantly among the youth. CCD is the market leader in India and was awarded the 'Exclusive Brand Retailer of the Year' by ICICI Bank in its Retail Excellence Awards 2005 for the organized retail sector.

CCD’s wide network - the anytime, anywhere cafe

CCD has been able to make its brand presence felt through the sheer number of stores. CCD has 620 cafes at present and it has ambitious plans to launch more than 900 cafes by the end of the current financial year. This means launching one store every other day which is not surprising from a company which launched a cafe (in 2005) in Vienna, the coffee capital of the world. CCD also has three cafes in Vienna, and two in Karachi, Pakistan. Lagging behind CCD in the Indian market, Barista has about 200 cafés, Java Green (around 75 cafés) and Mocha (around 25 cafés). The Indian organized sector has potential for around 5,000 cafés but fewer than 1,000 cafés exist currently.

Exhibit 1: Total number of stores/cafes of Café Coffee Day and its competitors

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Case Study Keywords: Cafe Coffee Day, CCD, Amalgamated Bean Coffee Trading Company Ltd., ABCTCL, V G Siddhartha, Café Beat, Brand Equity’s Most Trusted Brands 2008 survey, Bidisha Nagaraj - Marketing president, brand image, brand management, Exclusive Brand Retailer of the Year, Barista, Java Green, Mocha, company owned stores, national brand, south Indian retail chain, Chikmagalur, Co-branding, international brand consultant Landor, Silent brew masters – special employee program, a feeling of togetherness, Coffee Day Exports, Coffee Day Xpress, Coffee Day Take Away (coffee vending machines), Coffee Day Fresh 'n Ground (ground coffee retail outlets), Coffee Day FMCG (packaged filter coffee powder)
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