STRATEGIC MANAGEMENT

PRESENTED BY: Mohit Dhingra 51 Zainab Navsariwala 20 Samkit Nahar 08 Nirjari Raval 16 Aarti Ahuja 40 Vinita Mundara 39

Flow
INTRODUCTION VISION MISSION STRATEGIC THINKING

SWOT ANALYSIS
MARKETING MIX PORTERS FIVE FORCES BCG MATRIX CONCLUSION

INTRODUCTION
Caf Coffee Day(CCD) Established in February 2000, pioneered the caf concept in Barista Lavazza is noted as a India in 1996 pioneer of Indian caf culture Initially known as Amalgamated The Barista Lavazza is chain of Bean Coffee Trading Company espresso bars that delivers a Ltd. (ABCTCL) truly Italian coffee experience Largest cafe retail chain in India, with 1000 cafes in 141 cities and many in its base, Bangalore CCDS most unique aspect is that it grows the coffee it serves CCD has today become the largest youth aggregator

INTRODUCTION Cont.
It is a Rupees 750 crore ISO 9002 certified company It is Indias one of the leading coffee exporters with the clients across USA, Europe and Japan Currently there are Barista Lavazza Espresso Bars and Barista Crme Lavazzas in over 30 cities in India

VISION
To be present in every space where coffee can be an integral ingredient. To passionately deliver the highest levels of experiential services. Maintain consistency in serving the highest quality products.

MISSION
Our mission is a simple one, to be the best Cafe chain by offering a world class coffee experience at affordable prices. To provide an authentic Italian coffee drinking experience in a warm, friendly, no pressure environment.

STRATEGIC THINKING
Today, with 400 cafs in 75 cities, Caf Coffee Day is the largest chain in the country. Main strategy is: Attention to customer needs Combination of affordable prices and product Currently, the company has around 225 Barista Lavazza in the country. Main strategy is: Pricing Diversifying hot beverages menu

SWOT ANALYSIS
Strength 1.Excellent brand name 2.Large young crowd as target group 3.Excellent ambience and service 4.Over 1000 outlets and 300,000 visitors per day 5. Self production Weakness 1. High competition in this segment Strength

1. Strong Brand Image 2. Expresso Highest selling coffee 3. Skilled Human Resource 4. Rapidly growing no. of outlets
5. In home source of coffee beans Weaknesses 1. Self Service for Customers 2. Lesser market penetration in Southern India

SWOT ANALYSIS
Opportunities 1.Introduce cheaper versions of coffee 2.Tap the smaller towns/cities 3. Merchandising 4. Tie ups with other companies for promotion Threats 1.Entry of foreign players like starbucks 2.Dependent on Govt commodity rates Opportunities 1. Tie ups with companies. 2. Capturing the loyalty of younger crowds 3. Emphasize on its food and snack menu Threats 1. New players like Bru World Caf 2. Large unorganized markets.

MARKETING MIX
Product Wide range of products that appeal primarily to Indian coffee and snack lovers. 1. The Indian taste along with classic coffee 2. In summer is frappe, which is coffee and ice cream blended together 3. In winter it is cappuccino Product 1.Best coffee in the market, also have a variety of other drinks to offer 2.Offers a variety of snacks that complement a coffee 3. Also sells coffee powder

Price 1. The price of coffees in Barista is on a slightly higher note compared to other coffee shops 2. Caters more to the working and professional class of people

MARKETING MIX
Place Caf Coffee Day looks to cater to their target market with strategically located outlets Place 1. Prime factor in determining the success of any retail outlet 2. Top Down approach- they identify the cities and then decide on precise locations within its limits

Promotion 1. CCD is involved in all the areas of serious consumer passion like: Tie-ups Levis Scooty, Liril Airtel Television 2. Association with movies: CCD can be seen in movies like Khakhee and Mai Hoon Na

PORTERS FIVE FORCES

Threat of new entrants (high)
Costa Coffee Barista Starbucks

Barganing power of customers (high) Price comparison Variety of products Service provided

Competition within industry Barista targeting same youth Nescafe Unorganized Market

Barganing power of suppliers (low)

Food items obtained from local suppliers Follows backward integration

Threat of substitutes (high) Ice tea offered by Costa coffee Coffee offered by other competitors

PORTERS FIVE FORCES

HIGH

LOW

Eatables & Other drinks,Coffee mugs(*)

Cakes & Pastries,Choco Shots(?)

HIGH

Espresso Americano and Caf Latte($)

Coffee Maker(Dog)

LOW

HIGH HIGH

LOW

Beverages & Eatery(*)

Desserts & Health Zone(?)

Espresso Italiano & Cappuccino($)

Merchandise(Dog)

LOW

FOOD FOR THOUGHT

Local Leadership

Global Leadership