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India Runs on Chai

Introduction
India, the land that once woke up to the sounds of temple
bells and factory sirens, today wakes up to emails on smart
phones, world headlines, global markets, and a train of
deadlines.
India, the land that never pauses, surpasses all expectations,
and insistently paves its way forward. Welcome to the picture
of a billion on a mission. Now meet the beverage that fuels
these billion dreams, that keeps the momentum alive.
Meet Chai, the undisputed ally of the Indian-on-the-go.

Chai Point Background


Amuleek Singh Bijral founder of the Chai
Point. Hes a graduate of the Harvard
Business School. Mr Singh said that the idea
of becoming an entrepreneur hit him while
pursuing MBA at Harvard University.
However, he made his decision to open
outlets that served chai in a pristine clean
environment, after he returned to India and
this decision was based on facts.
He said India runs and lives on tea and it is
second to China in terms of production and
the consumption is overreaching production
and yet, there was no brand around chai'.
This really surprised me and I saw a business
opportunity here. So, I decided to build one
(brand in chai),

Mission
To us, success isnt about how much Chai we sell, but how many days
we brighten for our customers. Chai Points mission is simply to fuel the
billion Indians-on-the-go, to justify those billion reasons with that great
glass of Chai. Were that stop along the way for a quick refill and a
refreshing jumpstart, so that you can get back to your demanding day
completely refreshed and rejuvenated. We make our niche within the
hustle and bustle of everyday life so that the tempting whiff of our
freshly brewed Chai inspires you to stop, sip, and start again.

Principals or Operating Pillars


At Chai Point, we believe that a conductive working environment
yields not only the best brews, but also the happiest customers. After
all, if you have a billion good reasons, we have a billion great
experiences.

Situation Analysis
January 2009:
Chai needs a global brand the idea surfaces.
January 2010:
Mountain Trail Foods Private ltd. Goes live
February 2010:
Idea meets reality first Chai Point store opens in Bangalore.
April 2010:
2nd store opens
September 2010
Angel funding secured
January 2011
10th Chai Point store opens
May 2011:
Mountain Trail Academy takes root training curriculum & programs for
authentic brewing of Chai

Situation Analysis

June 2011:
Coupons based loyalty program launched
August 2011:
1st large corporate customer starts consuming 1000 glasses of Chai from
a Chai Point store
October 2011:
1 millionth Chai glass sold at Chai Point
December 2011
All Chai Point gets network
January 2012
Chai Point introduces Vada Pao Quickly reaches a close second to
Samosa as the preffered combo with Chai
Feb 2012:
Chai Points starts gets its exclusively manufactured Chai glasses

March 2012:
5000 glasses of authentic Chai get sourced daily from Chai Point stores
by corporates
April 2012:
Chai Point starts running on Cloud triumvirates of sms-mobile, prepaid
& retail POS system
May 2012:
Chai Point opens its first 24x 7 store at Bangalore international Airport
also its first 100% electric store
June 2012
Next version of loyalty program India runs on Chai Prepaid card
launched across all stores & pilot store set up in New Delhi
July 2012
Chai Point introduces its own Masala- Chai biscuit
August 2012
2nd store opens in New Delhi

Situation Analysis

Situation Analysis

Character Analysis
Job Responsibility:
Hygiene and health are of utmost importance
Taking special measures to keep every store spic and span.
The sourcing, training, testing, and certification of all
employees at Chai Point.
Growth in quality and quantity of leading experts in Chai
brewing as well as its finer appreciation.

Personality:
Hygiene, perfection, service, quality, presentation, initiatives
are maintained.

Competency :
Through easy-to-understand and well structured training
modules for all roles at Chai Point, MTA's aim is to create a
strong and competent work force, well educated and aware of
the importance of authentic Chai brewing, as the face of Chai
Point.

Problem Statement

Gap Analysis between goal and achievement:


- Teas popularity in Indian homes, in fact, acts against its image.
-

Coffee is considered a lifestyle statement, while tea is ordinary.


Its easy to convince a consumer to spend upward of Rs80 for
a cup of coffee. However, even Rs30-40 for a cup of tea is
considered expensive.
On the same years other competitors are also emerging.
India's third largest packaged teamaker, Wagh Bakri opened
its tea lounge in suburban Mumbai. "The response we have
received is fantastic,
Goodricke too has invested in tea bars. They have opened tea
bars in Bhopal and Jaipur recently.
Earlier this year Starbucks paid $650 mn to take over the tea
company, Teavana. Starbucks CEO Howard Schultz
announced that apart from introducing Teavana products at
their own outlets, the company would open standalone
Teavana stores to do for tea what it [Starbucks] did for coffee.

Problem Statement
Primary Problem:
There are several reasons for this image. " At one level, tea is
something you drink daily at home. At the same time, it's also a
seen as a connoisseur drink," says the marketing head of a
multinational foods company. Moreover, unlike coffee, there
are very few tea lounges or bars that are devoted to a culture of
tea.

Secondary Problem:
As of today, there are over 1,870 cafes in the country. In
comparison, there are just 41 tea lounges cha bars in India,
pointing out that the likes of Barista, Cafe Coffee Day have done a
great job of popularising coffee consumption in India. Now,
Starbucks is coming.

Problem Solutions

Primary Solution :
Nobody in office takes a cappuccino break. They take a chai break.
Office-goers are not looking for a lounge, s outlets should be in
areas with lots of offices colleges around.

Alternative Solution :
Introducing new flavours required

Conclusion
It's ironic that a good cup of coffee is easier to find
than a good cup of chai in a tea-drinking nation like
India.
Tea chains attract a miniscule crowd compared to
coffee chains.

Recommendations
Decision :
The chai Point innovation is what drives them forward. The
decision to new plans should be taken carefully which should not
affect negative to the current growth.

Action Plan for Implementation:


They must first to introduce customers to various kinds of teas.
Depends on the area the tea rates must be different. Example If it
is near colleges the rates must be less.
If the surrounding of the outlet requires internet. There must be
wifi or caf should be introduced.
More quality snacks or wraps should be introduced.

THANK YOU

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