The given case is based on CCD the largest coffee retailer in India. It started operation since 1996 by V.G Sinddharth. CCD pioneered the café concept in India by year 2000 the company had only 14 outlets in 6 cities. It was after year 2000 the company started on a massive expansion program that has been it set up nearly 1000 outlets in India in ten years. The café coffee day is owned by ABC Ltd which is the largest producer of Arabic coffee in Asia. There were many move made by café coffee day.
It was café coffee day the made coffee drinking popular among India youth by offering a brand experience environment and other value addition. There is much different type of formats for its cafés like High street café, garden café, mall café, Highways café etc. Café coffee day today has become the largest youth aggregate for a marketing. Stand point the success has come by focusing on 3’A: Accessibility, Affordalibility, and Acceptability coined by “ Bidisha Nagaraj, the marketing president of café coffee day. The amalgamated bean is among India’s top two coffee producers exporters with 10500 acres of coffee plantations in chik magalur company has 3 formats to focus on its customers café coffee day lounge the premium format for the elite customers. The café coffee day square the café coffee day for the large number for the large number of regular customers.
Review of literature
The coffee market in India has been growing due to the demand for ready to drink coffee and it has become a part of an individual’s daily concepts basket. It is café coffee day that understand the changing trends in the tastes and preferences of the consumers. Café coffee day is no longer the place for just some coffee cookie and music. In a survey done by brand equity (economic times), the consumer ranked café coffee day to be the 22nd place most trusted service brand of the country 2014 compared to that 2013.
The main expertise of café coffee day is in the service retailing of the coffee while they carry out operation sector also. The role of service employees is very important for the success of any services organization, especially those that process people and internal marketing can help firms to deliver service excellence. Service excellence means delivering what the customer wants at the first encounter for café coffee day there is a lot of competition in the leverage industry. The newly emerged player TATA Starbucks Ltd Starbucks expanded its presence to Delhi in January 2013 by opening two outlets at terminats3of the Indira Gandhi international airport and later it opened a combination of standard outlets located at malls, airports, metro station, and other various commercial complexes.
It took six years for café coffee day to open 35 outlets on other hand the star buck-TATA alliance is planning to half century in a little more than a year. There were already competitors like Barista, java green, and Macho. Parts from Starbuck there are various international players like Costa coffee, Illcafe etc. which are trying to enter the Indian market. These market situations have a deep impact on the operations of café coffee day to gain back its lost customers and also to get the potential customers do so.
One central problem that has retarded the growth of the coffee business is the quality of staff available in the sector. Like the rest of the retail sector getting good staff training them in coffee and service aspects and retaining them is a costly undertaking. Analyst estimates that there is a turnover of around 40 per cent for the industry among the highest in the organized business sector.
To sustain the present customer: In the marketing context it is said that the relations with the customer should be such that don’t have to go to the competitors. So the needful renovations should be bought into consideration
To maintain the standard: The coffee chain businesses have been many changes since their start. The standardization is where they fail badly. The taste of a coffee or snacks being offered outside the main outlets is rarely the same as compared to those being provided in the main outlet.
Make effective marketing strategies : The prime concern of the café coffee day outlets should be based upon the 7p’s of the service marketing mix so as to get the best of the marketing result. Cutting down prices:- The prices should be sliced down so that even if CCD are operating in rural areas their sales will rise. Moreover people should not think twice before enjoying their coffee in ambient environment.
Flexible menu:- The menu of CCD should evolve their menu constantly after certain period of time. Maintaining their key status i.e coffee , their should be additions to local tastes in terms of eatables. This strategy will surely attract people.
For the purpose of the study two research tools can be used both questionnaire ,to find out the primary data pertaining to functioning and working of CCD with reference to consumer perception and sales strategy. The data will be provided by asking:1.The management of CCD. 2.The consumers that are visiting CCD outlets.
Besides collecting the primary data through questionnaire , secondary data will also be collected through magazines, journals ,books , internet . Based on both the data , analysis will be done in the areas of excellence and areas of improvement. The areas of excellence and improvement will be identified on factual information in which recommendations and suggestions will be provided for the overall improvement of the organization. The study will be conducted in CCD of LPU and phagwara.
Types of Research:- Descriptive research.
Descriptive research includes surveys and fact findings enquiries of different kinds. The main characteristic of this research is that the researcher has no control over the variables; he can only report what is happening or what has happened already.
The data is collected from both primary and secondary sources.
a. Primary sources:= The data will be collected from at least 50 respondents directly.
b. Secondary sources:- The secondary data will be collected via online , sales department of CCD and CCD product manuals.
Appropriate questionnaire will be formed with relevant questions. The questionnaire will help the interviewer to take the interview or take a proper direction. The questionnaire will act as a guide to interviewer to collect all the necessary information and input from the costumer so that the better feedback of the costumer and information about brand awareness can be properly collected.
Questionnaire:- The questions that will be presented to costumers will either be open ended or close ended.
Open ended:- Allows respondents to answer in their own words and are difficult to interpret and tabulate.
Close ended:- Pre specify all the possible answers and are easy to interpret and tabulate.
Types Of Questions Included
Dichotomous Questions:- Which has only two answers ‘yes’ or ‘no’. Multiple choice :- Costumer is offered more than two options. Importance scale:- A scale that rates the importance of some attribute. Rating scale:- A scale that rates the attribute from ‘highly satisfied’ to ‘highly unsatisfied’ and ‘very inefficient’ to ‘ very efficient’.
Who is to be surveyed? The market researcher must define the target population that will be sampled.
The a sample units that will be taken are:- general public of different age groups , different gender and different genders .
1. Aaker, David,” Building Strong Brands” ,The Free Press, Printed in the United States Of America, Year 1996.
2. Aaker, David,” Strategic Brand Management” ,Prentice Hall, Printed in the United States Of America, Year 1989.
Toshowe, Stanley, The Marketing Review – Café Retail, The India chapter, Volume86, Number 336, Jan’2005, page-36.
www.cafecoffeeday.com – Search engines – Case Study
International coffee organization- Total production of exporting countries. http://www.indiacoffee.org/coffeeinindia/database-jan-2007.htm coffee board of indiadatabase on coffee. 8. A .Santa Ram. Breeding coffee for leaf rust resistance the Indian experience. 9. http://www.indiacoffee.org/coffeeinindia/database_may07-1.pdf coffee board of India area, production, and productivity.