INTRODUCTION

Caf Coffee Day (CCD) pioneered the caf concept in India in 1996 by opening its first caf at Brigade Road in Bangalore. Till about the late 1990s coffee drinking in India was restricted to the intellectual, the South Indian traditionalist and the five star coffee shop visitor. As the pure (as opposed to instant coffee) coffee caf culture in neighbouring international markets grew, the need for a relaxed and fun hangout for the emerging urban youth in the country was clearly seen.

Recognizing the potential that lay ahead on the horizon, Caf Coffee Day embarked on a dynamic journey to become a large organized retail caf chain with a distinct brand identity of its own. From a handful of cafs in six cites in the first 5 years, CCD has become Indias largest and premier retail chain of cafes with 950 around the country.

In a rapidly growing organization HR forms a major role in introducing new policies, restructuring old policies to suit the changing trends and implementing the same. At Caf Coffee Day the HR Department holds a very important position linking the various departments of the organisation into one strong union for effective and various departments of the organisation into one strong union for effective and efficient functioning. For this they follow a structured process consisting of the acquisition, development, motivation and maintenance of human resources.

Through their method of acquisition of human resource, the company ensures that it has the right number and kinds of people, at the right places, at the right time, capable of effectively and effectively and efficiently completing the work required so that the overall objectives can be achieved.

Competent employees will not remain competent forever. Some are minimally qualified upon entering the organisation but require additional training or education. Others enter the organisation capable of performing at an optimal level, but their skills become obsolete over time. In a rapidly growing environment such as that of Caf Coffee Day where change is the name of the game, individual abilities need to be aligned with organisational need for the future.

Employee training gives individual specific skills that they will use on the job. When human resources have been developed efficiently, one can expect to have competent employees with up-to-date skills and knowledge.

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Motivation and ability trigger high performance. At Caf Coffee Day the performance appraisal process and its outcome influence employee motivation. Rewards and punishment that follow the appraisal also affect motivation.

INDUSTRY PROFILE
The F & B Retail Industry

The three key factors driving the growth of the retail industry in India are:

Disposable income increasing, The customer becoming more discerning Real estate prices falling

There are studies that indicate that organised retail will grow from a mere 6 per cent of the total retail industry to a significant 40 percent by the end of the decade. This is not surprising, considering that the organised retail sector is growing at the rate of 9.5 per cent per annum.

In addition to the growth in population and consumer spending, spending habits are also changing. Close to 60 per cent of consumer spending is on food & beverage (F&B). This has not gone unnoticed by retailers.

Growth in the retail sector has been thus far focussed on Tire 1 cities only. These cities have mature markets, supported by immense competition, good infrastructure and high consumer awareness. Retailer focus is now broadening to include Tire 2 cities as well. Operations have been set up in secondary cities, including Nagpur, Indore, Jaipur, Chandigarh, Lucknow and Kochi.

The key drivers of retail activity are the apparel and F&B sectors. F&B activity has been driven primarily by coffee house chains. Tea and coffee, once boring commodities, have strong brand aspirations today. The pioneering venture by a leading coffee-plantation corporate to transform a stuck-in-the-bean commodity into a youthfully exiting experience by launching in 1996 Indias first fine coffee caf on Bangalores upmarket Brigade Road started the coffee caf trend in India.

Today, some 950 cafs later, Caf Coffee Day (CCD) is not just a brewed-in-India brand. Its aroma has spread overseas to first Dubai and now Australia.
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Barista arrived on the India coffee-caf scene in February 2000. Unlike CCD, the Barista Coffee Company (BCC) started not in the south but in north India with the idea of providing the consumer the experience of an authentic Italian neighbourhood espresso bar. CCDs cafs and BCCs bars were followed by the coffee pubs of Qwikys. There is even talk of the almighty Starbucks cafeing in India if, as and when the steep duty on important beans is relaxed.

Starbucks has been cited as a very successful example of the blending of the old economy with the new, the integration of aesthetics, technology and community. Nothing is left to chance in Starbucks from the beans and the baristas to the ambience of interiors, music and furniture.

The tea-plantation corporates have also got into the parlour act. The Apeejay Surrendra Group has promoted the Cha Bar which offers cultural preparations like Moroccan Mint and Russian Caravan, apart from organic tea, green teas, Ayurvedic tea and premium, virginal single-estate teas. Then there are the Cha Bars at Oxford Bookstores, and stand-alones like Gunjan Jindals Passion My Cup of Tea, Kolkatas Dollys Tea Shop, Chennais Cup & Saucer and Bangalores Infinitea.

They offer tea-lovers a chance to smell, swirl and taste the finest Indian teas. The menu is innovative, ranging from Tea Punch (laced with ginger and lemonade) and Mango Tea to Tea Float (tea with a dollop of ice-cream and honey) and Tea Cocoa!

The spin-offs go far beyond that cuppa tea or coffee! Today, the coffee in India has evolved from a concept to a brand to a culture.

The fact that coffee cafs are seen as places for youth to hang out, and the high proportion of repeat customers, has spawned a new kind of advertising. A day could come when the in-caf advertising of lifestyle products targeted at the youth could substantially defray the cost of the cup and overheads! Indias 950 cafs cumulatively consume only 600 tonnes of the countrys annual crop of 500,000 tonnes. But cafs could consume more and more by evolving into newer forms. Fusion cafs will be the future where every business enterprise morphs itself into a part-caf. A Laundromat will be a caf and so will a petrol-bunk and also a surfing centre. One can now say with conviction that a lot can indeed happen over a cup of coffee!

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Coffee Day set to brew 3 premium formats

India's biggest cafe chain Coffee Day will unfurl three new premium formats as it brews the next phase of growth. Coffee Day Square, which will become the chain's flagship outlets, will roll-out into four metros over the next six months, specialising in 'single origin' coffees - classic beans sourced from a single estate in a single country across the world - targeted at a more discerning consumer. Coffee Day Lounge will be cafes where beverage is paired with food, where people "meet over a meal" and not just coffee. The third format, still to be named, may be resembling a cafe nightclub and would look at offering a more vibrant experience with live DJ music and bar-stool seats. The decade-old Coffee Day, which heralded a cafe revolution in urban India, is also powering ahead with its existing core format that has carved out a place as 'young hangouts'. At present, the chain has 694 outlets and is seen adding 20-25 every month in a slowing market. The 3,000 sqft first Coffee Day Square, the most premium of the emerging formats, is expected to open in Bangalore next month, to be followed by 8-10 more outlets across the four top metros in six months, Cafe Coffee Day director Alok Gupta told ET. "Cafe Coffee Day has been a youth hang-out, now Coffee Day Square will be a 'coffee hangout' for a more discerning, young-at-heart consumer who wants a truly great cup of coffee," he added. Besides the single-origin brews from around the world, it will also propel India's signature coffees - like Araku Emerald and Rajgiri Pearl - into the cafe culture. "The effort is to take consumers up the value chain and connect them with India's coffee heritage in a contemporary way," Mr Gupta said. The next in the line, Coffee Day Lounge, will be more focused on the dining experience. "This will be a gourmet format where we will look at food as a separate vertical. Here we will offer diet food, traditional foods and separate offerings for children, among others," he said. The biggest youth puller, however, is likely to be the third format resembling a nightclub, which the company will start rolling out only after six months. Mr Gupta describes this as an outlet where people can "connect standing rather than sitting".

Cafe Coffee Day to have 1000 outlets by year end

India's biggest coffee cafe chain, Cafe Coffee Day (CCD), has just upped its growth target. CCD marketing president Bidisha Nagaraj says the latest plan is to grow from the present level of 790 cafes to 1000 by the end of FY11. This works out to a growth rate of almost 68% for the remaining nine months of the fiscal. If one takes 620 cafes CCD had at the beginning of the fiscal as the base, the growth rate will be a whopping 92%. "We are constantly revising our target upwards," she says. "We planned to end the previous fiscal with 480 cafes, but exceeded it by over 8% and set up 620 cafes. The basis for our growth strategy for this fiscal is a brand archetype study, which indicates that there is a growing market for CCD in both the 15-29 age group and the 29-plus segment. We are

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averaging 600 footfalls per cafe per day. At present, 80% of our consumers are in the 15-29 age group."

Cafe Coffee Day adds aroma to Karachi

Born in Bangalore, brewing in Karachi. Can Indian coffee add some pep and aroma to Pakistan amid an economic downturn? Amin Hashwani, the CEO of Cafe Coffee Day (CCD) in Pakistan, is hopeful that more people will flock to his cafes in the coming months. He is wooing young Pakistanis. Regular customers say the best thing about the cafe and #233; is the international standards and the Pakistani prices and some sandwiched designed for local taste. However, what makes the familiar urban Indian brand look unique is not the price, but the very fact that CCD is possibly the only franchise of its kind operating across the historically troubled border. "Although there are restrictions for investment from both countries, there should be a genuine effort to not just look at trade but long-term investment to create vested interests in maintaining good relationships between the two countries," comments Hashwani, who also heads the Pakistan India Business Forum. The easier part for the Cafe was brand Recognition in the early days. "Most people who walked through the doors said that they knew about the Cafe and were eager to see what was in the menu," recalls Ajay Solanki, the operations manager.

Cafe Coffee Day to expand in Pakistan

Cafe Coffee Day, India's largest retail coffee shop chain, plans to open 19 more outlets across Pakistan in the next 12 months after the success of its first venture in Karachi.

"We are opening the second retail outlet in Karachi next week in the posh Clifton area where we are already operating the first outlet since November 2006. We plan to open 18 more such outlets in the four provinces of Pakistan, covering Islamabad, Lahore, Peshawar and other cities later this year," Cafe Coffee Day director Naresh Malhotra told IANS here.

Unlike in Vienna where the company already operates two retail outlets on its own, it has opted for a franchise route in Pakistan to comply with the regulatory framework there and protect its investments.

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Buoyed by the overwhelming response to our first outlet, we have decided to open the second one in the same locality to create a cluster for greater visibility, brand promotion and increasing market share. With an upfront investment of about Rs.5 million in each outlet, the company plans to make a cumulative investment of Rs.90 million in Pakistan and create a retail chain as in India.

"We are setting up our kiosks with vending machines at about 120 railway platforms across the country in the next 12 months to boost consumption of our coffee varieties and brands,"

The company is also in talks with two more low-cost air carriers to extend its reach beyond Air Deccan and Go Air in airline catering.

COMPANY PROFILE
Caf Coffee Day Caf Coffee Day is a division of India's largest coffee conglomerate, Amalgamated Bean Coffee Trading Company Ltd. (ABCTCL), popularly known as Coffee Day, a Rs. 750 crore ISO 9002 certified company. Coffee Day sources coffee from 10,500 acres of coffee estates, the 2nd largest in Asia, that is owned by a sister concern and from 11,000 small growers. It is one of Indias leading coffee exporters with clients across USA, Europe & Japan. With its roots in the golden soil of Chickmaglur, the home of some of the best Indian Coffees and with the vision of a true entrepreneur nurturing it, Coffee Day has its business spanning the entire value chain of coffee consumption in India. Its different divisions include: Coffee Day Fresh n Ground (which owns 604 Coffee bean and powder retail outlets), Coffee Day Xpress (which owns 541 Coffee Day Kiosk), Coffee Day Take away (which owns 10,000 Vending Machines), Coffee Day Exports and Coffee Day Perfect (FMCG Packaged Coffee) division. 3.1 The following are ABCTCLs 6 divisions:

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- Coffee Day Exports

Amalgamated Bean Coffee Trading Company is one of the largest exports of green coffee from India since 1999. They currently export over 30000 tones of green coffee per annum, i.e., 15% of Indias coffee exports. ABC has invested well into R&D on coffee quality that supports the domestic promotion of various blends of coffee and augments export activities. Their markets include large rosters, traders, and Food & Beverage companies in major important nations such as Europe, USA, Japan & the UAE.

Procurement & Curing Works Among ABCs biggest strengths are the two curing works, strategically located in Chikamangalore and Hassan with a combined installed capacity of a million bags. These curing works aid in enabling complete control over grading standards and flexibility thus ensuring quality and efficiency. A highly disciplined and dedicated network of over 65 agents who operate throughout the major coffee growing areas of India form the back bone for the coffee procurement chain. ABCs vertically integrated infrastructure ensures that the coffee never need to leave the able hands of ABC until final dispatch / shipment

UTZ KAPEH Certification

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ABC is the first UTZ kapeh certified coffee producer from India and the first Arabica Coffee certified producer from Asia. It has been their constant endeavor to promote responsible coffee production and sourcing, while working towards enhancement of social, environmental, managerial and economical conditions of coffee farmers. UTZ Kapeh Certification is a significant step forward in the companys efforts to address the issue of better returns for the grower community while bringing out a product which suits the present as well as the future needs of business environment.

- Caf Coffee Day

Caf Coffee Day (CCD) pioneered the caf concept in India in 1996 by opening its first caf at Brigade Road in Bangalore. Till about the late 1990s coffee drinking in India was restricted to the intellectual, the South Indian traditionalist and the five star coffee shop visitor. Recognizing the potential that lay ahead on the horizon, Caf Coffee Day embarked on a dynamic journey to become a large organized retail caf chain with a distinct brand identity of its own. From a handful of cafs in six cites in the first 5 years, CCD has become Indias largest and premier retail chain of cafes with 607 cafes in 98 cities around the country.

Each caf, depending upon its size, attracts between 400 and 800 customers daily with majority of them falling in the 18 35 year age bracket.

- Coffee Day Fresh & Ground

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A major player in the roast and ground filter coffee segment, Fresh n Ground provides a unique assortment of blends at affordable prices. The coffee is freshly ground in the presence of the customer and sold to him. Tea Day, a specially branded premium tea, has been recently introduced.

Fresh 'n Ground has a chain of over 400 exclusive outlets in the States of Karnataka, Tamil Nadu, Andhra Pradesh and Kerala.

Presently Fresh 'n Ground has over 22 exquisite blends of coffee on offer across all Fresh 'n Ground outlets, and is one of the fastest growing filter coffee brands in India. These outlets have been converted into one stop shop for tea and coffee beverage, varieties of coffee and tea powder, specialty coffee, accessories like coffee filters, mugs, etc.

Institutional Sales Coffee Day Fresh n Ground caters to the need of several prestigious institutions in Bangalore and Chennai. Coffee Day Fresh n Ground supplies specially blend coffee powder tailor made for institutions (Hotels, Factories, etc.) As a part of its commitment to educate the customers on preparation of a good cup of coffee, Fresh n Ground regularly conducts brewing workshops to help them benefit in terms of cuppage, costing, brewing methods, etc. The convenience in delivery and attractive incentives make it a very attractive option.

- Coffee Day Vending To serve the man who does not compromise on quality Coffee Day has its vending machines placed at vendor outlets in all major cities to cater to those who have little time to spare but who never compromise on the quality of the coffee they drink.

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The Coffee Day Take Away initiative is a virtual revolution in dispensing coffee. For the first time, it makes freshness a part of the vending machine proposition. Only the freshest ingredients are used and strict control is maintained to ensure that every cup delivers the satisfaction of a freshly brewed cup of coffee.

The Coffee Day Take Away vending machine initiative delivers what the consumer has been missing till now authentic filter coffee and fine tea made available conveniently.

Coffee Day vending machine offers a repertoire of various products: Authentic filter coffee and Special Assam tea.

- Coffee Day Express

Strategically positioned kiosks where a customer can not only have a cup of coffee but also grab bite. Xpress bridges the need gap between the leisurely cuppa , a bite at the caf and a quick drink at a vending point. Coffee Day Xpress was launched on the 26th of February, 2003 at Bangalore. Xpress serves exotic shakes, cold and hot coffees and hygienic ready to eat food for people on the move. Xpress gives emphasis to the quality and the freshness of the product as well as the affordability. Coffee Day Xpress provides quick and delightful service. It presently has 300 outlets across 13 cities in India and is still growing.

- Coffee Day Perfect

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OBJECTIVE

To provide the consumer a superior coffee-chicory blend that he or she has been drinking till date A superior product than what others have been offering

To be available in every possible retail outlet which ensures convenience and ease in availability To provide the best quality of coffee- chicory blend at value for money prices.

What makes Coffee Day Perfect so special?

Coffee Day Perfect is a superior filter coffee with a unique blend of 57% coffee and 43% chicory. Coffee Day Perfect is superior blend of beans handpicked from our own estates in Chikmagalur, roasted & ground to give you that perfect taste youve never experienced before.

One of the unique attributes of the product lies in the 57% coffee & 43% chicory blend as against the commonly available 53% coffee- 47% chicory blend in the market. The blend has been put together by our expert blend-master.

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3.2.1 CAF COFFEE DAY MISSION AND VALUES

MISSION TO BE THE BEST CAF CHAIN IN THE COUNTRY BY OFFERING A WORLDCLASS COFFEE EXPERIENCE AT AFFORDABLE PRICES

VALUES

The PRISM represents the values of Caf Coffee Day. Just as white light passes through the prism and gets transformed into myriad different colours, similarly, the human character gets transformed while imbibing the right values. That is when a complete person is born. PRIDE I take pride in my work and in my organisation. RESPECT I respect my customers, my subordinates, my peers and my superiors. INTEGRITY I will show the highest level of integrity towards my work and my company under all circumstances. SELF DISCIPLINE I will imbibe and practice self-discipline in all my daily activities. MOTIVATION I will always be motivated to give the best for my organisation, my team and my customers.

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3.2.2 CAF COFFEE DAY THE LOGO

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Significance of the Colours:

Red Square= Leadership, passion White Swirl = Purity of purpose, invigorating properties of coffee Green Stroke = 125 years of coffee growing heritage of this vertically integrated Group

Significance of the Text: Caf is noticeably larger than the rest of the text in the logo box as it denotes that Caf

Coffee Day pioneered the Caf concept in India. The word Caf must remind customers of Caf Coffee Day.

Significance of the Font: The font used for Caf is called SLURRY. The font looks as though the letters have

been congealed out of a liquid and that word is still forming and evolving into something new and better. Coffee Day has been written in the stylized font called REVUE and is the same as in the earlier logo to maintain the link with Coffee Day, its sister brand.

Significance of the Swirl:

The upward swirl inside the logo stands for the invigorating and uplifting nature of coffee and the ambience at Caf Coffee Day.

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3.2.3 THE NEW CAF COFFEE DAY THE LOGO

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Significance
The new trendy dialogue logo symbolises the essence of what a Caf Coffee Day caf is all really all about a perfect place to relax and dialogue. And as we all know, a lot does happen over coffee.

The new caf coffee day logo came into effect from 7 Oct 2009. Cafe Coffee Day is changing everyday. Where you will find the same great drinks and snacks, but surrounded by a fresh new look to inspire the free spirited moments of creativity and fun you experience at Caf Coffee Day.

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3.2.4 CAF COFFEE DAY BASELINE

A LOT CAN HAPPEN OVER COFFEE

The baseline is derived from the Brand Positioning Statement. It signifies a promise to the customers and it is a promise that all of us at Caf Coffee Day must keep with oneself through providing great service, great ambience and regular events and promotions, giving our guest the perfect setting to meet up with friends, family and colleagues.

Caf Coffee Day is unique, rich and wonderful and best described in the theme line A lot can happen over a coffee. Indeed a lot does happen over coffee friendship, love, ambition, dreams, world shaking ideas, codes, plays, songs, poems or just that most special human interaction, two friends savouring a moment called Life.

3.2.5 CAF COFFEE DAY PRODUCT PROFILE

HOT COFFEE

Espresso: Strong black coffee ...no frills Espresso Americano: Lighter espresso for mellow moods. Solar Eclipse: blend of cappuccino with chocolate swirls and spicy overtones. Macchiato: Expresso topped with milk foam. Cappuccino: The hottest selling item,prepared in true Italian style. Cafe Latte: Espresso with milk. A light coffee. Chococinno: A sinful combo of chocolate ice & hot coffee. Cafe Mocha: Hot coffee with a swirl of chocolate. Irish Coffee: Whipped cream tops the flavour of your choice. Plunge deeper and discover light espresso. Caffeine kick Black velvet Take Away Regular/ Large

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INTERNATIONAL COFFEE

Ethiopian Qahwah: Delightfully flavoured and aromatic with dark chocolate overtones. Kenyan Safari: With the bright, striking flavour of blueberry. Aztec: blend of imported coffee beans topped with steamed and foamed milk

COFFEE ADD ONS

Honey Flavoured Syrups: Try hot coffee with specially imported flavours. Red Eye: An additional shot of espresso. For strong coffee. Whipped Cream: Snowcap your coffee with some lightened cream Scoop of Ice Cream Chocolate sauce

COLD COFFEE

ICE BLENDED COFFEE: Cold Sparkle: Chilled coconut - flavoured coffee Tropical Iceberg: Chocolate flavoured coffee with ice Arabian Heights: Distinct flavour of cardamom, stimulating from the first sip Tropical Temptation: Tropical Ice Burg with Whipped Cream Iced Eskimo: A chiller to the core. This is as good as coffee can get And the Winner is..Kaapi Nirvana: Presenting the Indian coffee that won the silver medal in the world Barista Championship,2002 crushed

COFFEE ON THE ROCKS: Mochachillo: A swirl of chocolate, espresso and rich creamy milk served on the rocks Cappachillo: Espresso with rich creamy milk, served with floating ice cubes
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Vegan shake: Our Speciality. No animal Fat. A chilled coffee shake with soy milk.

CREAM BLENDED COFFEE: Cafe Frappe: Ice cream and coffee blended to smooth, creamy perfection Almond Frappe: Almond Flavoured rich, Creamy Cold Coffee with Whipped Cream, garnished with almond flakes Devils Own (frappe+ choc. Sauce + cream): A smooth blend of cream & coffee, drenched with Chocolate sauce,topped up with a shot of Whipped Cream and Coffee beans Choco Frappe (frappe +ice cream +choc sauce): Frappe with vanilla ice cream & Chocolate sauce

FRUIT FRAPPE: Mango Frappe Strawberry Frappe Pineapple Frappe Litchi Frappe Cold Chocolate

HOT CHOCOLATE: Lots and lots and lots of Chocolate

TEA:

Assam Tea: Premium tea from the misty hills of Assam. Masala Chai: For that ethic feel Lemon 'n Ice Tea: Chill out Strawberry Ice Tea Hot Lemon Tea

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POWDER COFFEE

Dark Forest 200gms/500gm: India's first special, high altitude, single-origin coffee. Arabicaah: Cafe blend Perfect: Ultra Rich Charge: Bright

COOL DRINKS

SMOOTHIE: Mango Colada: It is a mango smoothie with a real taste of garden fresh Mango Strawberry Colada: A rich strawberry shake. With whipped cream

GRANITAS: Blood Orange: It is blood orange Granita.With a real Juicy Orange Cool Blue: Granita with blue Curacao taste of

Pineapple Crush: It is a pineapple granita. Flavored with juicy pineapple

CREMOSAS (SODA)

Litchi Ginger Spice Pina Colada Banana 'n Walnut Banana Chocolate Mousse Banana Caramel pie Butterscotch Gateaux (100% veg) Black Forest Gateaux Chocolate / Walnut Brownie

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Chocolate Doughnut Chocolate Fantasy Chocolate Mousse Chocolate Cake Cookies Date & Walnut Cake Fresh Fruit Gateaux Mocha Magic / Pastry Marble Cake Mousse au Chocolate Pineapple Gateaux Qahwah Slice

ICECREAMS

Vanilla Chocolate Seasons Best

COOL REFRESHERS

Fruit Juices: Orange & Apple flavour Mineral Water

SUNDAES

Chocolate Fudge Choc-a-Vloc Vanilla Sundae

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QUICK BITES

VEG: Veg Samosa Veg Puff Veg Quiche Veg Pizza Veg Croissant Veg Burger Veg S/W Veg Masala Sandwich* Veg Submarine Potato Cutlets French Fries Veg Kathi Roll Rustica Chesse s/w Foccaccia veg s/w Spicy veg S/W Multi Grain Veg S/w Veg Ciabata

NON VEG: Chicken Samosa Chicken Puff Chicken Ciabatta Chicken Quiche Chicken Wraps Chicken Pizza Chicken Croissant Chicken Burger Chicken Sandwich Chicken Masala Sandwich Chicken Puff Roll Chicken Kathi Roll
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Garlic Chicken Sandwich Chicken Tikka Sandwich Chicken Submarine Multi Grain Chicken S/W Foccaccia Chicken s/w

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FUNCTIONS To communicate to customers about new product launches and changes in caf operations Brand positioning and all brand building activities that result in increase sales and greater visibility Various sales promotion activities and tie ups Designing and maintaining merchandise Tracking loyalty programmes and promotions at the caf to help maximize sales Bringing out Caf Beat, a monthly tabloid circulated in all cafs across India. To handle customers feedback through feedback forms, mails and telephone

As u can see, the marketing department of Caf Coffee Day plays an important role. It is the responsibility of the marketing department to take care of the advertising of the new products and latest offers. Also to bring an awareness among the consumers about these offers. This department is also responsible for the Brand positioning and all brand building activities that result in increase sales and greater visibility. They also plan up for various sales promotion activities and tie ups. The innovative ideas of designing and maintaining merchandise is also handled by them

Caf Beat, a monthly tabloid circulated in all cafs across India to the latest buzz in their respective towns and also collect feedback from the customers regarding the service, innovation and other aspects, that make Caf Coffee Day the second largest Caf shop in the world

3.2.8 CAF COFFEE DAY FORMATS

Caf Coffee Day has been experimenting with caf formats for quite sometime. Backed by the motivation of providing customers with exciting choices as well as constantly redefining the caf experience, CCD has ventured into the following formats: Music Cafs provide customers with the choice of playing their favorite music tracks on the Digital Audio Jukeboxes installed at the caf! There are around 85 cafes with such jukeboxes. 32

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cafes also provide customers with the visual treat of watching their favorite music videos by means of Video Jukeboxes. Book Cafs offer the perfect solution to people who think that the coffee experience is incomplete without browsing through the bestsellers or reading a classic. CCDs book corners accentuate the age-old combination of coffee and books. This exciting concept has b een successfully tested at 15 cafes in 12 cities across India and the numbers are set to grow exponentially. CCD has tied up with English Book Depot; one of Indias leading book distributors for placement and rotation of reading materials appealing to Caf Coffee Days discerning customers. Highway cafs on the Bangalore Mysore highway and NH-8, presents the traveler en route not only with good coffee and scrumptious snacks amidst great ambience but also with clean restrooms to get rid of that weariness from the road! Lounge cafs at Hauz Khas, Delhi and Southern Avenue, Kolkata (Southern Avenue) and Hyderabad (Jubilee Hills) combines the style and luxury of a lounge with the lively ambience and comfort of a caf. With exquisite interiors, exotic menu and thematic music CCD Lounge offers a whole new experience to the connoisseur while assisting the latter through its team of hostesses who are poise and style incarnate and are looked upon as fashion icons. Cyber cafs at Brigade Rd, Bangalore, Airport, Bangalore and Airport, Delhi combine the urge to surf, not to mention get connected through the internet while enjoying perfectly brewed cups of coffees, both domestic as well as international blends. Garden cafs at M.G Rd, Bangalore and GKII, New Delhi combine the joy of rejuvenating amidst verdant landscapes and pots of coffees.

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3.2.9 CAF COFFEE DAY FUTURE PLANS FOR GROWTH

Caf Coffee Day plans to open 50 outlets in the overseas markets this year, besides expanding its chain from 200 to 500 by the year 2007. The company plans to open 50 cafs in five cities abroad in the current financial year.

The company is also talking to public sector oil companies for opening outlets in the premises of dispensing points in cities and along the highways.

Caf Coffee Day, which plans to invest around Rs 25 crore (Rs 250 million) in expanding the chain each year, experts its revenue at Rs 100 crore (Rs 1 billion) by the end of the next financial year.

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ACHIEVEMENTS AND LAUNCHES

CCD bags the Best Coffee Bar title for the 3rd consecutive year. Caf Coffee Day takes top honours at Coca Cola Golden Spoon Awards 2010 Stimulating beverages to keep you warm during the Winter SaReGaMaPa over a cup of Coffee CCD opens its second caf outlet at Badnera Road Friendship Day release July 09 Combo Carnival at CDS April 09 Shadows Menu launch January 2009

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Cafe Coffee Day has been awarded as the Best Coffee Bar in Ahmedhabad by Times Food Guide for the 3rd Consecutive year.

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MEDIA COVERAGE

Caf Coffee Day takes top honours at Coca Cola Golden Spoon Awards 2010

Mumbai, March 05, 2010: Indias largest caf chain Caf Coffee Day (CCD) continues its leadership as an iconic retail brand whose dynamism and popularity have won it respect and admiration from both consumers and rivals. In a latest of a series of honours, the chain was

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conferred with the title of the Most Admired F&B Retailer of the Year: Cafes, Juice Bars and Parlours at the glittering third annual Coca Cola Golden Spoon Awards ceremony in Mumbai last night. CCD won in the same category at the 2009 Coca Cola Golden Spoon Awards as well. Caf Coffee Day fought off competition from four other finalists in the above mentioned category: Barista, Jus Booster Juice, Costa Coffee and Baskin Robbins. The Coca Cola Golden Spoon Awards -- IMAGES awards for excellence in food retailing, were part of the ongoing annual food industry conclave Food Forum India at The Renaissance, Mumbai. Incepted in 2008 by the IMAGES Group, Food Forum India is Indias largest gathering of food manufacturers, marketers, retailers and support organisations in India, and includes an exhibition, conferences and the awards ceremony. Year 2010 marks the third year for both Food Forum India and the Coca Cola Golden Spoon Awards. During fiscal 2009-10, Caf Coffee Day has taken its retail presence to 882 outlets across the country, which is a growth of nearly 16 per cent over the previous fiscal year. The chain was ranked as the most likely winner by the industry due to its continuous and significant marketing initiatives through the year. Besides CCD, 12 other food & grocery retailers, F&B brands and professionals received trophies in recognition of their achievements in the past year at the awards ceremony.

Theres an inviting aroma in the air and its intoxicating! Caf Coffee Day launches Layers- Stimulating beverages to keep you warm during the Winter
Mumbai, November 06, 2009: The mercury around town has started dipping and the winter has started to set in. Warm up with Caf Coffee Days (CCD) Layers A new range of signature coffees that will help you keep a check on the chill during the winter. CCD, the chain

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that offers refreshing moments to millions across the country now introduces arange of four special new offerings that are designed to beat the chill out of the winter! Wake up and embrace the morning. Start your day on the right foot with Chocolayers Hot choco-latte infused with hints of aromatic cinnamon, or you could try the Arctic Sun Layers of vanilla ice cream laced with dark chocolate sauce, served with a double shot of espresso. Its a bubbly symphony of Mocha and Java as hot and cold come alive together. A truly perfect way to start your day full of energy and feeling coffee fresh. Compliment your long and chilly evenings with Level Three - Irish crme flavoured Kaapi and spicy overtones come together to envelope you with warmth just like your favourite cardigan. End your day with a Winterberry - A thick strawberry shake blanketed by pulpy mango puree. Its beyond doubt, winters chill in a glass. All these treats specially crafted for the connoisseur in you. The Layers range of coffees is available across the country at all Caf Coffee Day outlets. Commenting on Caf Coffee Days latest introductions, Alok Gupta, Director, Caf Coffee Day, India said, At Caf Coffee Day we are committed to enhancing the coffee experience for consumers through exciting new offerings. The Layers range of beverages is a recognition of the fact that every season needs a specialized offering both in terms of the ingredients as well as taste. This new range of winter beverages is designed to tantalize the mind and refresh the senses and we look forward to our customers enjoying the winter with our new offering.

SaReGaMaPa over a cup of Coffee

November 5, 2009: Always tuned to its customers needs, Caf Coffee Day, Indias premier and largest chain of coffee cafs, had its discerning customers meet the next generation
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play back singers, Parthiv Gohil & Deepali Somaiyya of Hero Honda Sa Re Ga Ma Pa Mega Challenge fame over a cup of coffee at the Hari Om Caf in Ahmedabad today. In tune with the pulse of the younger generation, Zee TVs decade old show Hero Honda Sa Re Ga Ma Pa Mega Challenge along with Caf Coffee Day will run a joint contest for a period of one month. The contest will be spread across 160 cafes in the country, wherein one lucky CCD customer will get a special invite to be on the show. Alok Gupta, Director, Caf Coffee Day, India, says We believe that talent platforms hosted by TV channels are a very strong and effective medium to connect with our young and young at heart audiences. This alliance made for great value addition to our customers as it gave them an opportunity to meet with their favourite upcoming stars where after all, the caf environment is all about fun and excitement. We are glad this activity gave our customers yet another reason to visit their favourite caf.

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Friends are the best accompaniment with a great cup of coffee!!! Caf Coffee Day launches The Greatest Friends on Earth campaign

Mumbai, 27 July, 2009: Caf Coffee Day, the chain that serves refreshing moments to millions across the country celebrates Friendship Day by launching The Greatest Friends on Earth campaign - a collection of true friendship brews. Inspired by the classis friendships of our time; the coffees are teamed up with their most complimenting eats. At Caf Coffee Day, strangers are just friends waiting to happen and all it takes is aFriendzy Chill (chilled chocolate shake with crunchy almond flakes), the Warm Shake(soothing crunchy caf au lait topped with cookies crumbles) or the Awesome Amigos (a serving for four that will help you bond over 4 Cappuccinos, 1 Chicken Tikka Sandwich, 1 spinach Corn Sandwich and 2 Chocolate Brownies). The offerings are designed in such a manner that one cannot be spelt without the other; there are the hot coffee or cold coffee combinations with delectable desserts and special coffee and eats combinations for even a group of four friends. The idea is to invite all customers to come into the caf along with their favourite buddies and spend quality time over food and beverage that absolutely compliment their friendly banter!!! A bonus for those billing more than Rs. 200/- (+ taxes) free gifts will be added to enhance their friendship quotient. Also for this friendship day CCD has introduced e-voucher which enables a person to send a gift voucher to their friends through the internet

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Caf Coffee Day launches value-for-money menu at Coffee Day Square Announces the Combo Carnival for Rs. 249/- only!
Bangalore, April 29, 2009: With prices soaring all around and disposal income getting sparse, Caf Coffee Day, the largest chain of coffee cafes that offer refreshing moments to millions across the country launches a whole new menu that offers a value-for-money proposition. The Combo Carnival is being launched at Coffee Day Square (Vittal Mallya Road), the flagship cafe of Caf Coffee Day. Priced at just Rs. 249/- only, the Combo Carnival caters to both, veg and no-veg customers. The 5 course menu comprises; starters, the main course, accompaniments, coffee and dessert. A true value-for-money offer. For Starters, pick from Devilled Potatoes, Tossed Salad or Bean Layonnaise. The scrumptious Main Course spoils one for choice, there are Roasts & Curriers (Roasted Chicken / Curried Chicken / Paneer Shaslik / Mixed Veg Curry), Pasta (Tri Coloured Pasta in rustic sauce, Veg & Non-Veg), and Sandwiches (Garden fresh Muesli Sandwich, Veg & Non-Veg). The tantalizing Accompaniments be it Okra Rice, Wok Tossed Rice and Herb Ricethat perfectly compliment the main course. To end the meal a Dessert of a gooey Browniewith a cup of single origin Rajgiri Pearl or Araku Emerald is a perfect way to end a delectable meal. Commenting on the launch of the Combo Carnival Bidisha Nagaraj, President, Marketing, Caf Coffee Day said, At Caf Coffee Day, we are committed to giving our customers the best value experience at all times. The Combo Carnival is an endeavour to encourage people to experience a Coffee Day Square offering. We look forward to our customers enjoying this new offering and hope to bring many more of the kind in the future.

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Theres an inviting aroma in the air and its intoxicating! Caf Coffee Day launches Shadows- coffees inspired by Time For every occasion of the day

Mumbai, 15th January, 2009: Caf Coffee Day, the chain that offers refreshing moments to millions across the country now launches Shadows Coffees inspired by Time that are all set to enhance the romance of the brew; coffees for different times of the day. Everyday, as our lives get more hectic, mornings merge into afternoons into evenings. Shadows sway as the sun moves across the sky and we ignore their beauty. Caf Coffee Day urges consumers to take a moment and cherish the uniqueness that every moment of every part of the day brings with it. The connoisseurs of coffee are once again tantalizing the taste buds and intoxicating the senses with the new range of coffees designed to suit every meal, be it breakfast, lunch or dinner. The different times of a persons day brings in different moods and feelings. Thus it is important that what we consume by way of food or beverage suites that time of the day and enhances the experience and lifts our spirits. It is observed that one tends to feel more energetic and refreshed in the mornings after a good nights sleep; the afternoons usually tend to bring in a certain amount of fatigue whilst the evening sets in that mood of wanting to be with someone/socialize and end the day with a healthy supper. Keeping these changing moods at different times of the day in mind CCD has crafted a new range of coffees after detailed research. The new range of coffees is available across the country at all Caf Coffee Day outlets from 15th January onwards. Wake up and embrace the morning. Start your day on the right foot with a Morning Glory(double shot of espresso, sweetened and spiced on the rocks!) or a First Light (rich caramel sauce, espresso with a swirl of cream), the perfect way to start your day full of energy and feeling coffee fresh. Compliment your long seeming afternoons with a lunch and a Solar Eclipse (Cappuccino with spicy tones & Chocolate swirls) or the Summer Breeze(Coffee on the rocks with milk foam). Now you can rejuvenate those long days with a Yellow Caramellow (Coffee with rich caramel sauce & fruity banana flavouring dressed with whipped cream) or a All-Day Refresher (Creamy cold coffee with the crunchiness of cookies). End your day with a Sunset Brew (Sinful combination of dark chocolate brownie with the richness of coffee). All these treats specially crafted for the connoisseur in you. Commenting on Caf Coffee Days latest customer value initiative, Bidisha Nagaraj, President Marketing, said, "At Caf Coffee Day we are committed to enhancing the coffee experience through continuous research and development. The new range of coffees is a
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recognition of the fact that every mood and day part needs a specialized brew both in terms of the ingredients as well as the end taste . These new Coffees are designed to arouse the senses and compliment the different moods of the day. We look forward to our customers relishing this offer.

FAN FOLLOWERS

Caf Coffee Day in India is today the largest aggregator of youth and is the preferred hangout for the young and young at heart. CCD helps brands reach out to this captive audience with communication elements strategically placed at the caf. With an average dwell time of 45 minutes, these elements get undivided attention as compared to any other medium today. CCD has successfully executed a number of campaigns for various brands across a wide spectrum like FMCG, white goods, telecom, education and many more categories to meet their brand objectives and thus has proved to be a strong alternative to conventional media properties. The opportunity to get your brand message across to our customers in a very subtle yet effective method is limitless. From large wall spaces which can attract the customer with eye catching

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brand messages to 3D table stickers, to branded tissue papers, the list is endless. We are also trying to continuously innovate and offer the best possible options to create a successful campaign. CCD offers you the option to deliver an well rounded brand experience if the youth happens to be your target customer. To know more and for a peep into our past partnerships, you could download a presentation from this. To get us working on one of your requirements to reach our customers with your needs, please get in touch with any of us below come 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, Caf 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 Equitys Most Trusted Brands 2009 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 theExclusive Brand Retailer of the Year by ICICI Bank in its Retail Excellence Awards 2005 for the organized retail sector.

CCDs wide network the anytime, anywhere cafe

CCD has been able to make its brand presence felt through the sheer number of stores. CCD has 720 cafes at present and it has ambitious plans to launch more than 1000 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 cafs, Java Green (around 75 cafs) and Mocha (around 25 cafs). The Indian organized sector has potential for around 5,000 cafs but fewer than 1,000 cafs exist currently.

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SWOT ANALYSIS
Strength Caf Coffee Day started the caf concept in India and is the strongest caf coffee brand in India. Brand acceptance by youngsters. Caf Coffee Day makes the coffee that it serves. The caf outlets are situated at strategic locations keeping in mind the target customers i.e., the college goers and the middle and upper middle class crowd. The cleanliness and adherence to hygiene ambience and the bright dcor draws a lot of people to the outlets. Consumers readily accepting the transition from a conventional and out-dated coffee house to a more sophisticated and trendy coffee bars. No competition among the coffee chains as their main focus is the sustenance and growth of the coffee culture. Employees at the caf level are made to feel socially on par with the customers so as to enable them to communicate better with the customers.

Weakness The brand awareness is not as high as that for major food chain players on a global upfront such as McDonalds, Sub - way and KFC.

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The merchandise at Caf Coffee Day has not created waves as a unique brand in itself especially its range of T-shirts and caps.

Opportunities Caf Coffee Day has just ventured into the international market but with strategic planning it can expand its market base abroad even more. Expanding its range of products to more unique coffee blends.

Threats If the steep duty on imported coffee beans is relaxed then Starbucks, the global coffee conglomerate will march into India. Tea plantation corporate are in the act of re-introducing tea as a trendy, social health beverage to that of the coffee in the days to come. Example: Cha Bar

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