Tuesday, June 01, 2004

“Visiting Barista is an experience”

Interview with Brotin Banerjee, Head - Marketing, Strategy and Corporate Communication, Barista Coffee Co Ltd on the Indian coffee market and Barista’s expansion plans

What is your existing network like?
As of right now, we have nearly a 120 outlets in India and Dubai. We are planning another 60-70 this year as part of the expansion plans. Of these new outlets, 2-3 will be for Pune.

How have your revenues changed?
There has been a 20-25 per cent rise in revenues over the past year. We expect it to grow by 30-35 per cent this year. The retail industry as such gives you a low return on investment but we seem to be doing well.

How will you be expanding?
Apart from the new outlets, we will also be increasing our presence in places like malls, airports, shop-in-shop and generally widening our portfolio. Another concept that we would be introducing soon is the Corner bookstore concept. We will also be introducing a sub-brand of Barista that will cater more to the 'on-the-go' consumers who can pick up beverages and food or consume it faster. We will announce something to this in the next six months.
We have already submitted tenders for outlets in airports, mainly in Mumbai, Delhi and othermajor airports. We are also aggressively looking at expanding to mini-metros like Nasik and Nagpur and also in the Southern states.

What is the investment made per store?
We invest between 30-40 lakh per store but it can vary depending on location and the city.

What is the new Summer menu you have announced?
Seasonality is the key in the beverage business. Cold beverages do better in the summer and vice-versa. We have launched new flavours in the granitas and also introduced a frozen coffee especially for the summer.

What is the contribution of food and non-coffee products to your revenues?
Food contributes almost 35 per cent to our revenue. Tea is another good seller and almost 10 per cent of sales are of tea.

Is coffee a preferred drink in India?
Surprisingly, for a tea-drinking country like India, coffee is a popular beverage. Moreover, though, being seen in a Barista is an aspiration. Like I said, visiting a Barista is an experience.

What about competition from local brands?
Local competitors will be present in every market. But the point remains that a Barista gives you the best coffee and a hangout with it. We never pressurise our customers to buy anything. We have people coming in and sitting over a cup for hours. It's an experience being in a Barista.

As published in The Herald, Pune

Posted by Scribbler at Tuesday, June 01, 2004