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Food and Beverage 2013-08-28

Brewing profits with coffee

Brewing profits with coffee

According to IBIS world report, coffee retailing is a growing segment in India. Close to Rs 450 crore and is expected to grow at an annual rate of 30 per cent. In a conversation with Ekta Verma, Rahul Leeka, Partner, Di Bella Coffee India, sheds light on the current escalating graph of coffee consumption in India and the opportunities offered by Di Bella in India.

Kindly share with us the inception and growth of your coffee chain, Di-Bella.

Di Bella Coffee was founded in 2002 by Philip Di Bella with the mission to assist our customers to get Australia’s ultimate coffee experience. Combined with our signature coffee blends and the ability to inspire passion, Di Bella is recognised as the fastest-growing company in Australia. Di Bella Coffee has over 1200 retail and wholesale outlets globally - Australia, New Zealand, China & India, which serve more than 2.4 Million cups of coffee per week. We continue to develop the market both nationally and internationally working on all the elements to create Australia’s Ultimate Coffee Experience- The constant pursuit of premium quality beans, the development of rich full-flavoured blends, the use of the finest coffee machinery and the education of the coffee processes.

Discuss the current potential of your brand.

Di Bella Coffee is much more than just coffee and conversation. It’s the ultimate coffee experience. We aim to gather customer loyalty and promote our business mainly through the unique selling propositions Di Bella Coffee offers. Our signature coffee blends are sourced from world’s finest coffee growing regions to achieve a distinct taste profile for each blend. We also have a full digital interactive platform throughout all stores. This includes tablets on each table for menu ordering, internet and email usage. Our application software has been designed to offer full Facebook interactivity with our menu to ensure our consumers have a personal connection with the Di Bella brand. The launch of our mobile application (for android, iphone and blackberry devices) offers the consumer convenience at their fingertips by allowing them to order coffee anywhere, anytime.

Where are you present across India (via franchise and company owned outlets) ?

Currently we are operational in Mumbai with 10 outlets and will add four stores in the next quarter. All Mumbai outlets are company owned. We have two stores in Hyderabad and are looking at launching more outlets in the next 3-4 months via franchise route. We will also be looking at markets like Pune, Delhi and Bangalore for expansion (both through company owned and franchise outlets) within the next 12 months.

What kind of training and support do you offer to your franchisee?

We bring our expertise and commitment to our partners and offer our franchisees extensive business experience and a proven operational system to assist them to grow quickly, efficiently and successfully. We also deploy our teams full-time at the locations and handhold the business right from day one in order to ensure the franchisee can manage end-to-end operations of their store.

When and why did you plan to expand via franchise route?

We have achieved a consistent growth having set foot in India earlier this year and intend to further increase our presence through an exclusive franchise proposition. We have now begun to invite select investors/franchise partners who understand the credenda of our company to join us and be part of our winning team. Di Bella Coffee in India has opted the franchise pathway as it provides brand recognition, economies of scale and most importantly a localised management structure. With the current escalating graph of coffee consumption, Di Bella Coffee proceeds to expand its services to Hyderabad, Pune, Bangalore and Delhi within the next 1 - 2 years.

Franchise facts

Area

Investment

RoI

Breakeven

800-1200 sq ft

Rs 50-70 lakh

25 per cent

24-36 months

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