to improve sales at café coffee day project report

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A lot can happen over coffee Executive Summary Introduction: Café Coffee Day is a division of India’s largest coffee conglomerate, Amalgamated Bean Coffee Trading Ltd (ABCTCL), popularly known as Café Coffee Day. ISO 9002 certified company. CCD has become India’s largest and premier retail chain of cafes with 552 cafes in 90 cities around the country. Its different division includes: Coffee Day Fresh n Ground Coffee Day Xpress Coffee Day Take away Coffee Day Exports and Coffee Day Perfect division About project: Topic “Customer Relation Management initiation to improve sales at Café Coffee Day” The project also includes how to retain the existing customer. It has also seen which activities inspire the customer to visit Café Coffee Day more often. The study BABASAB PATIL 1

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Page 1: To improve sales at café coffee day project report

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Executive Summary

Introduction:

Café Coffee Day is a division of India’s largest coffee conglomerate,

Amalgamated Bean Coffee Trading Ltd (ABCTCL), popularly known as Café Coffee

Day. ISO 9002 certified company. CCD has become India’s largest and premier retail

chain of cafes with 552 cafes in 90 cities around the country.

Its different division includes:

Coffee Day Fresh n Ground

Coffee Day Xpress

Coffee Day Take away

Coffee Day Exports and Coffee Day Perfect division

About project:

Topic

“Customer Relation Management initiation to improve sales at Café Coffee Day”

The project also includes how to retain the existing customer. It has also seen

which activities inspire the customer to visit Café Coffee Day more often. The study was

made know whether customers are satisfied about Café Coffee Day or not. Because satisfied

customers will be the loyal customers. It has also seen which things are not going good for

further improvement.

Objective:

i) To know the importance of CRM in Café Coffee Day.

ii) To introduce CRM strategy in Organization.

iii) To know whether CRM helps to build strong relation with customer.

iv) To know whether CRM helps to retain the customer.

v) To identify area for further CRM improvement

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Findings:

Students visit Café Coffee Day more

Age group between “20-25” visits Café Coffee Day more. They are the potential

customers.

39% of the respondents visit Café Coffee Day once in week and 37% of the

respondent visit café Coffee Day once in month.

57% of the respondent visit CCD refreshment Purpose

49% of the respondent feel coffee and Snacks influence them to visit CCD

63% of the respondent were not aware of the promotional activity Conducted by CCD

76.8% of the respondent would like to know about promotional activity.

77% of the respondent would like to be part of any future event in CCD

78% of the respondent Satisfied about service

66% of the respondent feel event conducted by CCD influence them to visit CCD

73% of the respondent feel Staff of CCD is friendly

36% of the respondent said promotional activity influences them, 34% said DJ shows

influences them.

Promo:

53.6% of the customer rated prom was good and 35.7% rated promo was

excellent.

89% of them expect more events in future.

96.4% of the respondent satisfied about promo.

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Suggestions and Recommendations

1. Organize at least few promotional activities in order to build good relation with

customer

2. Give advertisement about promotional activity

3. Maintain Customer data base.

4. Wish the regular customer for New Year or for any festivals through greeting card or

SMS or through gift. This will increase the loyalty of the customers.

5. Increase number of couches and place

6. Play the good music

7. Quick Service

8. To increase sales Café Coffee Day can also have corporate tie ups within the city.

9. Provide scratch card to the customers.

10. Identify the regular customer of the Café Coffee Day and provide them cards through

they can get some discount. Through this Café Coffee Day can retain their existing

customer.

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Table of Content

S.No Particulars Page.No

1 Section- I Industry overview

1-10

2 Section –II Company Profile

11-40

3 Section-III Project Details

42-44

4 Section-IV Analyses & interpretation Findings Recommendation & Suggestion Conclusion Limitation

44-71

71

73

75

5 Section VAnnexure Questionnaire Advertisement Bibliography Coding sheets

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Section

-I

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Industry Overview

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Introduction:

Coffee occupies the third slot after tea and milk in the domestic market. Non-drinkers and

occasional coffee drinkers, who account for 78% of the country's populace, are the prime

target for the Coffee Board and retail chains for promoting consumption.

According to the study done by the Gallup and Coffee Board, the top of mind recall for teas

in the country is 66% as against 22% for coffee. Speaking on opportunities for coffee

retailing in India, the country's coffee consumption topped 85,000 tonnes in 2006. Though

coffee has been in a commanding position in the southern states, tea also has an equal share.

There is a great scope for increasing coffee consumption amongst occasional drinkers and

non-drinkers.

Coffee has to compete with other beverages to get its share of throat. Marketers have to target

younger consumer, and come with new and appealing patterns. Coffee can be easily

associated with wellness, health and youth. The market potential is $100 million.

INDIA -- Domestic consumption of coffee shows a steady increase. This fact is happening in

the same time with the fast food segment growing at the rate of 40% every year. In the next

couple of years, coffee chains in India are expected to grow at an annual rate over 30%.

From being a traditional beverage consumed mainly in South India, coffee now has a

national presence, consumed in several forms and retail formats.

The results have been dramatic: domestic consumption of coffee last year increased by nearly

one-third, from 60,000 to 80,000 tons.

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Coffee production and consumption State-wise Production in metric tones

Coffee consumption in India Estimated Domestic Consumption (1991 - 2005)

Calendar Year Quantity (in MT)

1991 55000

1992 55000

1993 55000

1994 55000

1995 55000

1996 55000

1997 55000

1998 55000

1999 55000

2000 60000

2001 64000

2002 68000

2003 70000

2004 75000

2005 80200

Internationally, coffee sales are virtually stagnant, moving ahead at 0.5 per cent. According

to a research report by the United Nations Food and Agriculture Organisation, India's coffee

consumption has been chugging along at 2.2 per cent per annum.

With consumption pegged at 70,000 tonnes, branded coffee accounts for 53 per cent,

unbranded 40 per cent, with cafes constituting 7 per cent. Industry estimates peg the annual

growth rate of the coffee-house segment at a half per cent clipz

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The Coffee Café Industry

The Coffee Café industry is currently one of the biggest and fastest growing sectors in

business. The industry consists of a mix of individual cafés, hotel cafés and retail café chains.

India has always been predominantly a Chai (Tea) drinking nation. India is famous for

drinking tea .people in India irrespective of the Class, religion and place are fan of tea. Coffee

remain in a distinct position compared to tea. However in these days coffee consumption is

increasing in India. Indian coffee Board is promoting coffee and it seems that their

promotional activities are yielding good result.

Coffee has been only moderately popular in some southern states, other than that it has been

Chai (Hindi term for Tea), Chahaa (Marathi term for Tea), cutting (Mumbai term for half tea

cup), maramari (another popular term from western India for tea) all the way!

However, there has been a sudden change in this trend with coffee becoming more and more

popular in recent times especially among the younger population. The roadside Chai (Tea)

thelas (shops) outside colleges and offices have been replaced by hip coffee joints like Barista

and Café Coffee Day. The Chai (tea) that used to cost couple of rupees (5 cents) is replaced

by coffee costing something like Rs. 100 ($2.50).

The organized coffee retail business in India is over Rs.8 billion ($17 million), and the

potential for coffee retail outlets are nearly 3,000.

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With the Indian middle class consumer ready to spend more and be a part of global lifestyle

and culture, coffee parlours in the country are on an expansion spree.

From small-sized coffee parlours to classy coffee lounges leading coffee retailers such as

Café Coffee Day, Barista, Costa Coffee and Coffee World have all been fighting hard to lure

India’s growing middle class.

Individual Cafés:

The main bulk of revenue is earned by small, individual cafés, run mostly by families and

friends. It is a relatively unorganized sector. There are millions of such cafés around the

world, and they provide customers with a homely, casual experience.

The bulk of these cafés are mainly in Europe, where every little town or village has local

cafés, where people gather together for a conversation over coffee, or just to be alone with

their thoughts.

These cafés have been the birthplace and sanctuary for various creative minds,

revolutionaries and thinkers of our time. The most recent example is the author J.K. Rowling,

who has written most of the Harry Potter series of books, sitting at her local café.

These cafés set themselves apart from retail chain cafés and hotel cafés because they provide

customers with a homely, classic appeal, which cannot be emulated.

Hotel Cafés:

Ever since the popularization of coffee, hotels all over the world started opening 24-hour

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coffee shops where visitors to the hotel could walk in for a cup of coffee and some food at

any time.

These coffeehouses are extremely important, because they provide international visitors to

the hotel with a universal drink- coffee. Any customer can walk into any major hotel in the

world, and enter the coffeehouse, and know what to expect. These cafés are not really major

players in the coffee café industry, but rather provide supplementary services to the hotel

industry.

Retail Café Chains:

The last, and the most organized sector in the coffee café industry, is the retail café chain. Off

late, these chains have become extremely popular and are growing at an ever-increasing pace.

These retail chains have work with an organized structure of man, material and money. The

work on developing a recognized brand consistent to all their outlets, which customers can

easily relate to, wherever they go. They provide customers with a standardized level of

service and quality at each of their outlets. Tiff in also.

The vintage location of the mess attracts huge crowds even today early in the mornings,

Coffee however was not the only item on the menu. These places also served food and other

drinks to their customers.

The drink also became famous and as a result even five star hotels began cashing in on it.

Several hotels all over the country started opening coffee- shops that catered to high- end

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customers. This showed the popularization of coffee cafés, to all sections of society.

The drink has now become more of a concept than merely a drink itself. The last decade

witnesses the growth of numerous coffee pubs in the country. A number of coffee café

owners tried to westernize the taste in contrast to the filter coffee.

Now, large retail chains like Qwikys, Barista, and Café Coffee Day have opened up around

the country. The concept of a café today is not merely about selling coffee, but about

developing a national brand. Retail cafés now form a multi- crore industry in the country,

and have huge potential for growth locally, and internationally.

Major Competitors

 As coffee culture gets bigger in India, a traditional tea drinking nation, domestic and

international chains are lining up big expansion plans to the tune of nearly Rs 325 crore in the

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next 3-5 years.

Majors players like Barista, Costa Coffee, Cafe Coffee Day and Barnie's are already

working overtime to expand their presence in the country and implement product portfolio

overhauls. On the other hand, global player Starbucks Corporation is all set to make its

India debut in 2007.

All café chains, are looking to cash in on the booming coffee retail in India, which is

expected to grow at an annual rate of over 30 per cent in the next couple of years on the back

of patronage from the young population in the 18-25 age bracket with a growing disposable

income.

The latest to announce big plans for expansion in the Indian coffee retail market is UK-based

coffee shop chain Costa Coffee. The company is doing an investment of Rs 150 crore to set

up 300 outlets in the next five years. Costa is taking steps to widen its menu, including

addition of a range of wraps. It is also in the process of fine-tuning an India specific menu to

appeal to the local palate.

In the wake of increased competition, Barista, one of the first players, is making an

investment of Rs 50 crore this fiscal to add around 100 new stores. It plans to have a total of

250 outlets by end of this fiscal and take it beyond the metros to smaller cities.

US-based coffee store chain Barnie's had said it would invest Rs 75 crore while announcing

its foray in the Indian market. It will open 300 stores across the country in the next five years.

In the first year itself they are looking at setting up 25 stores in the country and the company

would open stores at Bangalore, Mumbai, Chandigarh, Jalandhar and Lucknow.

Another major player in the segment part of Amalgamated Bean Coffee Trading Company

Ltd, Café Coffee Day is looking at an investment of about Rs 35-50 lakh per outlet. Cafe

Coffee Day has already made plans to open toyal 500 outlets across India by 2007.

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While the existing players are looking at consolidating their businesses, US-based coffee

retail giant Starbucks Corporation is planning to enter India with its expected debut in 2007.

They are looking forward to offering the finest coffee in the world to customers in this

country within the next 18 months.

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Section –II

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Company Profile

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About Amalgamated Bean Coffee Trading

Company Limited (ABTCL)

Mr.V.G Siddhartha, Chairman CCD initiated his business interests in coffee by incorporating

Amalgamated Bean Coffee Trading Company Limited (ABCTCL) in the year 1994. From

Exports to commodity trading and building a brand, Coffee Day entered with ‘Fresh n

Ground’ and subsequently went up the value chain thereby revolutionizing the metropolis

with Cafes under the brand Café Coffee Day.

ABCTCL today is one of Asia’s top 500 companies and soon aims to be among the top 3

coffee retailing companies in the world. We are currently 400 cafes in India, Pakistan &

Austria (Vienna). ABCTCL also has an ambitious growth plan of opening 1000 cafes by

2010 making its presence across 80 Indian cities also establishing 50 cafes in 10 foreign

countries. Our customers have given us the thumbs up for our quality standards in Pakistan

and Austria and that motivated us to go to 10 countries where plans are currently being rolled

out. And is planning to open other Cafes in the Middle East, Eastern Europe, Eurasia, Egypt

and South East Asia in the coming months.

Café Coffee Day is a division of India's largest coffee conglomerate, Amalgamated Bean

Coffee Trading Company Ltd. (ABCTCL), popularly known as Coffee Day, a Rs. 300 crore

ISO 9002 certified company. Coffee Day sources coffee from 5000 acres of coffee estates,

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the 2nd largest in Asia, that is owned by a sister concern and from 11,000 small growers. It is

one of India’s leading coffee exporters with clients across USA, Europe & Japan.

Café coffee day I based in chickmaglur and has its business spanning the entire value chain

of coffee consumption in India.

Its different divisions include:

Café Coffee Day:

It is a place where customers come and rejuvenate themselves. It is a meeting place for the

young at heart. In the cafes they sell Hot and Cold coffee as well a Food and Merchandise to

the customer.

Coffee Day Fresh n Ground: Which owns 354 Coffee bean and powder retail outlets

Major player in the most and ground filter coffee segment. It provides a unique assortment of

blend at affordable prices. The coffee is freshly ground in front of the customer and sold to

him.

Coffee Day Xpress: Which owns 341 Coffee Day Kiosk

Bridges the need gap between the leisurely cuppa and a bite at the café and a quick drink at a

vending point. In this segment you would notice kiosks strategically positioned, where

customer can not only drink a cup of coffee but also grab a quick bite on the move.

Coffee Day Take away: Which owns 7000 Vending Machines

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To serve the man on the move, who though in a hurry doe not have to compromise on the

quality of coffee he drinks. Coffee Day has its vending machines placed in vendor outlets in

all major cities.

Coffee Day Exports : India’s largest coffee exporters.

Currently export over 30000 tones of green coffee per annum, i.e. 15% of India’s coffee

exports. We have also ventured into specialty coffee exports.

Coffee Day Perfect: FMCG Packaged Coffee

For mass-in-home consumption segment where filter coffee is consumed everyday. The filter

coffee is sold in a packaged form to the consumer

Plantation:

ABC has its seeds sown in the heart of the coffee

cradle of India, Chikmagalur. The region is a

world wrapped in primeval innocence, where

panthers, tigers and elephants roam.

ABC has its seeds sown in the heart of the coffee

cradle of India, Chikmagalur. The region is a

world wrapped in primeval innocence, where

panthers, tigers and elephants roam.

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Our passion for coffee stems from the august heritage of coffee estates inherited by the

promoter's family. What started out with a small group of family-owned estates, gradually

grew as more and more estates were included to finally form Amalgamated Bean Coffee

Trading Co. Ltd.

The plantations nestled in Chikmagalur and Mudigere region of the Western Ghats, are

spread over 5000 acres of well-maintained estates upto 4500ft above sea level. This makes us

the second largest plantation company in the country.

They are hosts to innumerable herbs,shrubs and

trees like jackfruit, arecanut, orange, pepper,

cardamom, etc.

The coffees at our estate are grown under the dark

shades of various forest trees like silver oak, Indian

Rose wood and various others.

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Awards and Accolades

Café Coffee Day was named Food Services Retailer of the Year and Eclusive Brand

Retailer of the year at 1st ICICI Bank Retail Excellence Awards function in 2005.

Café Coffee Day was rated the No. 3 food services brand in Business World and Brand

Equity surveys in 2004

Café Coffee Day was ranked as the 3rd best Retail F & B chain in the Brand Equity

Survey in 2004.

Mr. V. G. Siddhartha, Chairman ( Amalgamated Bean Coffee Trading Company Limited)

received the “ Economic Times – Entrepreneur of the year 2003” award.

Café Coffee Day has had a hat trick victory in the India Barista Championship. For 3

years in a row 2002, 2003, 2004 ccd has won all the top award and its representative has

gone on to represent India at World Barit Championships, winning silver medal in 2002

and 5th place in 2004 for the country.

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About

CAFÉ COFFEE DAY

Café Coffee Day (CCD) pioneered the café concept in India in 1996 by opening its first café

at Brigade Road in Bangalore. Till about the late 1990’s coffee drinking in India was

restricted to the intellectual, the South Indian traditionalist and the five star coffee shop

visitor. As the pure (as opposed to instant coffee) coffee café culture in neighbouring

international markets grew, the need for a relaxed and fun “hangout” for the emerging urban

youth in the country was clearly seen.

Café Coffee Day is a division of India's largest coffee conglomerate, Amalgamated Bean

Coffee Trading Company Ltd. (ABCTCL), popularly known as Coffee Day, a Rs. 300 crore

ISO 9002 certified company. Coffee Day sources coffee from 5000 acres of coffee estates,

the 2nd largest in Asia, that is owned by a sister concern and from 11,000 small growers. It is

one of India’s leading coffee exporters with clients across USA, Europe & Japan.

Recognizing the potential that lay ahead on the horizon, Café Coffee Day embarked on a

dynamic journey to become a large organized retail café chain with a distinct brand identity

of its own. From a handful of cafés in six cites in the first 5 years, CCD has become India’s

largest and premier retail chain of cafes with 552 cafes in 90 cities around the country.

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With its roots in the golden soil of Chickmaglur, the home of some of the best Indiann

Coffees and with the vision of a true entrepreneur nurturing it, Coffee Day has its business

spanning the entire value chain of coffee consumption in India.

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Its different divisions include:

Coffee Day Fresh n Ground (which owns 354 Coffee bean and powder retail outlets)

Coffee Day Xpress (which owns 341 Coffee Day Kiosk)

Coffee Day Take away (which owns 7000 Vending Machines),

Coffee Day Exports and Coffee Day Perfect (FMCG Packaged Coffee) division.

Mission statement………

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Logo….

For a brand to stand out and be successful there has to be a personal commitment from staff

at all levels. The target customers must identify with it. It should be vibrant and have a “life”

of its own. Liveliness, growth, fun and passion depicts our brand, our customers, our staff and

our future – this is embodied in our design and colour.

Our LOGO colours embody:

Red Square= Leadership, passion

White Swirl = Purity of purpose, invigorating properties of coffee

Green Stroke = 125 years of coffee growing heritage of this vertically

integrated Group

Café store:

Café Coffee Day is India’s largest and

premier retail chain of cafes with 421 cafes in

75 cities around the country.

All major cities such as

Banglore – 83 cafes at present

Ahemedabad - 12 cafes

Chennai – 16 cafes

Goa – 7 cafes

Gurgaon – 9 cafes

Hyderabad – 22 cafes

Jaipur – 7 cafes

Kolkata – 15 cafes

Mumbai – 65 cafes

New Delhi – 50 cafesBABASAB PATIL 25

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Puna – 20 cafes

Café Stores

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HEAD - OPERATIONS

REDGIONAL MANAGER

ASSISTANT REGIONAL MANAGER

CITY MANAGER

CAFÉ MANAGER REGIONAL

TRAINER

AREA MANAGER

ASSISTANT MANAGER CITY TRAINER

CAFÉ INCHARGE

TEAM MEMBERS

ORGNIZATIONAL CHART AND A CAREER GROWTH

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Different formats of café……..

Café Coffee Day has been experimenting with café formats for quite sometime, CCD has

ventured into the following formats:

Music Cafés provide customers with the choice of playing their favourite music tracks on the

Digital Audio Jukeboxes installed at the café! There are around 85 cafes with such jukeboxes.

32 cafes also provide customers with the visual treat of watching their favorite music videos

by means of Video Jukeboxes.

Book Cafés offer the perfect solution to people who think that the coffee experience is

incomplete without browsing through the bestsellers or reading a classic. CCD’s book

corners accentuate the age-old combination of ‘coffee and books’.

Highway cafés on the Bangalore – Mysore highway and NH-8, presents the traveler en route

not only with good coffee and scrumptious snacks amidst great ambience but also with clean

restrooms to get rid of that weariness from the road!

Lounge cafés at Hauz Khas, Delhi and Southern Avenue, Kolkata(Southern Avenue) and

Hyderabad (Jubilee Hills) combines the style and luxury of a lounge with the lively ambience

and comfort of a café. With exquisite interiors, exotic menu and thematic music CCD Lounge

offers a whole new experience to the connoisseur while assisting the latter through its team of

hostesses who are poise and style incarnate and are looked upon as fashion icons.

Garden cafés at M.G Rd, Bangalore and GKII, New Delhi combine the joy of rejuvenating

amidst verdant landscapes and pots of coffee.

Cyber cafés at Brigade Rd, Bangalore, Airport, Bangalore and Airport, Delhi combine the

urge to surf, not to mention get connected through the internet while enjoying perfectly

brewed cups of coffees, both domestic as well as International blends!

Sports café, singles café, fashion café are the upcoming café formats……………………

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ProductRa

nge:Coffees

& Teas

Hot Coffee

Espresso

Espresso

Americano

Macchiato

Cappuccino

Café Latte

Chococinno

Café Mocha

Irish Coffee

International

Coffee

Colombian

Juan Valdez

Ethiopian

Qahwah

Kenyan Safari

Cold Coffee

Sweet Mint

Cold Sparkle

Brandied

Banana

Tropical

Iceberg

Iced Eskimo

Coffee Add-

ons

Honey

Flavoured

Syrups

Red Eye

Whipped

Cream

Scoop pf Ice

cream

Chocolate

Sauce

Teas

Assam Tea

Masala Chai

Lemon ‘n Ice

Tea

Kashmiri

Qahwah

Apple n

Cranberry ice

tea

Refreshing

Alternatives

Granitas

Blood Orange

Cool Blue

Pineapple

Crush

Emerald Ice

Ruby Surprise

Smoothies

Mango

Colada

Strawberry

Colada

Cremosas

Litchi

Ginger Spice

Pina Colada

Cool

Refreshers

Fruit Juices

Mineral Water

Eatables

Melting

Moments

Banana n’

Walnut Cake

Banana

Chocolate

Mousse

Banana

Caramel pie

Chocolate

Doughnut

Cookies

Marble Cake

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Pineapple

Getaux

Chocolate

Cake

Ice-Creams

Vanilla

Chocolate

Seasons Best

Quick Bites

Samosa

Puff

Pizza

Croissant

French Fries

Kathi Roll

Wraps

Biryani

Sandwiches

Burger

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Product Sources:

Coffee Day's most unique aspect is that it grows the coffee it serves in its

cafes. Coffee Day has a well-equipped roasting unit catering to the specific

requirement of the consumers. The process is carried out under the control of

experienced personnel to meet highest quality standards. The most modern

technology available is used to maintain consistency and roast the coffee beans to the

demanding specifications of the discerning coffee consumers. The coffee beans are

supplied to all the cafés from Chikmagalur.

The eatables at Café Coffee Day are catered by different vendors: example: ice

creams are catered by Cream Bell, Milk by Amul and samosa’s by Patsiers Gallery.

Café Coffee Day also sells merchandise through its stores. 5 per cent of the revenue

comes from sale of merchandise.

Quality standards:

Quality policy: “We are committed to quality and we shall strive continuously to

provide products, which consistently meet the needs of our customers and establish a

value-added relationship, ensuring total customer satisfaction.”

Café Coffee Day has a check on quality all the time and in several aspects. The

operational in-charge will go around checking business, record keeping, and service

and heck the feedback forms. The food in-charge will look at the way food is being

stored, coffee is being made, what is the time take to extract the coffee and so on.

Marketing person will go about checking displays, how the merchandise is displayed.

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Café Beat

Café Beat reaches more than a million smart, receptive and upwardly mobile youth of

India every month. It is one of the most widely read YOUTH magazines in the country

and is a part of one of the largest Indian retail youth brands - Café Coffee Day.

 

CAFÉ BEAT FACTFILE:

16 pages, all colour, monthly tabloid.

Available at all cafes across the country (552 cafes in 90

locations as of Today!).

Available FREE of cost to customers for in-café reading. Many customers also carry

it away for their referrals.

38% of the customers at CCD read Cafe Beat (survey conducted in Aug.'04 in the 4

metros.). CCD gets around 3.9 million walk-ins in all its cafes per month.

Essentially a youth magazine covering topics like movies, music, travel, lifestyle, e-

dating, books, career etc. which interest the youth.

Displayed on magazine stands/counter at the cafes. The new issue is kept on the tables

during the first week for greater visibility.

Readership profile: Students and young professionals, mostly. SEC A and B.

 

 

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Merchandising:

Every one likes to cherish good times with a hope that they last forever. To

make this a reality merchandising started. At Café Coffee Day merchandise

started more as a sentimental thing than as revenue stream. They wanted to reward

coffee lovers and they started selling mugs. People wanted to wear something that

reminded them of the cafe so they designed T-shirts and sold thousands of those. But

soon it has become a serious business. 5 per cent of their revenue comes from the

merchandising. Café Coffee Day sells various young and trendy merchandise

through its stores:

Café Coffee Day Merchandise now got more Affordable

Coffee Powder

1 Arabicaah @ Rs 65

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S.No Particulars

1 Funky Caps @ Rs 60 onwards

2 Cool T-Shirts @ Rs 229 onwards

3 Bags @ Rs 225 onwards

4Coffee Filters @ Rs 120

5Coffee Filters @ Rs 120

6Coffee Filters @ Rs 120

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2 Perfect @ Rs 55

3 Charge @ Rs 45

4 Dark Forest 200gms @ Rs 125

5 Dark Forest 500gms @ Rs 260

6 Malabar Monsoon 200gms @ Rs 125

Customer Profile:

The café is a meeting place for 15-29 year olds, both male and female who are served

the best coffee by friendly and informed staff, in an uplifting and invigorating

ambience.

Research shows that teen-agers form 25% of our customers while 38% of the

customers are between 20-24years and another 23% belong to the age group of 25-29

years.

Students and young professional comprise around 72% of our customers.

18% of the customers visit the cafes daily while another 44% visit weekly.

Each café, depending upon its size attracts between 500 and 800 customers daily,

mainly between 4pm and 7 pm.

Customers describe Café Coffee Day as the place they frequent most after “home and

workplace/college”. It is a place where they meet friends and colleagues, in groups of

3 or more; a place where they rejuvenate and are free to be themselves rather than a

place to be “seen at” vis a vis other cafes.

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People:

People at Café Coffee Day believe that “People are hired for what they know but

fired for how they behave”. Motivation and personal skill are laid emphasize upon.

Employee base and career growth…..& organizational culture…

The company today has over 3500 employees. The basic criteria for selection of an

employee are he should be extremely creative and passionate. So the company has a

intensively growth oriented team with it.

Company is recognized as an equal opportunities employer. To provide individuals

with continual growth and prosperity is fundamental to the culture of our

organization, however our inner strength is derived from encouraging the

entrepreneurial spirit among our employees.

Experiencing unforeseen challenges is a way of life in café coffee day. Facing

creative and innovative brainstorms is a part of everyday decision making and an

open door policy helps drive these ideas towards real time turnaround and faster

completion.

Internal Promotions: An intensive, focused in-house training structure helps

employees to grow to the next level with highly active internal promotions process.

Job Enrichment: The organization firmly believes in creating opportunities for

learning in the employee’s area of interest outside his scope of routine

responsibilities. This comes mostly in the form of projects or assignments carried out

under the supervision of a mentor within the organization.

Job Rotation: Employees are rotated through the various sections at the café so that

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they will be exposed to all facets of the café operations.

Rewards & Recognition:

At café coffee day people are brought out in appreciation for their efforts in various

formats. A whole lot of rewards are offered along with great incentive programs with

access to gift certificates and merchandise.

Café Culture

Along with the company’s fast paced growth, company provides ample growth

opportunities for those who would go that extra mile to deliver and contribute to their

success.

Employees are encouraged to be participative with suggestions to improve their

workspace in particular and the company at large.

The company has an open door policy that allows every member of the team to access

the Management head regarding any proposals or problems.

The practices like Coffee Table encourage innovative thought pattern that habituate

growth and smart work in the day to day lives of employees. The company culture is a

reflection of the café culture which symbolizes team work and creative outlook on

life.

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Strategy

Café Coffee Day was among the first coffee cafés to start operations in India in

1996, but was the last to go national (end-2001).

Today, with 400 cafés in 75 cities, Café Coffee Day is the largest chain in the country.

Main strategy is

combination of affordable prices and product

attention to customer needs

a strong back-end support system.

India is largely a tea-drinking nation, and coffee has always been a fringe player.

While coffee cafés have existed in Europe since the 15th century, in India coffee

drinking was restricted to niche segments like intellectuals, the south Indian

traditionalist and the five-star coffee shop visitors till the late-1990s. This started

changing slowly after 2000 — and not because there were many café players in

India by then.

The direct causes for this change were probably the increasing spending power

among urban youth and the increasing exposure to global trends.

Hence, even as the first café was set up in Bangalore in 1996 — an idea that struck

our chairman V G Siddhartha, while on a visit to a coffee shop in Singapore — it

proved to be an idea whose time came only by the turn of the century. By then, most

other players had joined the bandwagon.

They have seen the hard days when every customer had to have every item on the

menu explained. That’s one reason they waited until 2000-01 to start expanding

nationally.

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Supply chain

Another reason was that they wanted to put the back-end systems in place.

Transporting fresh roasted coffee from their own estates in Chikmagalur to faraway

places like Mussourie in the north and Jamshedpur in the east —they are the only

national player present in both cities — was a logistical nightmare

If, in the thirst for growth, company did not pay attention to this aspect. Believed in

being more sure-footed.

From bean to cup company is into the coffee estate business for the past 125 years:

which means they do not look at the coffee chain business as a short-term business.

Company invested approximately Rs 1. 2 crore in r supply chain and chalked out what

is called a B2C (bean to cup) supply chain strategy.

The supply chain had to support the expansion plans of adding four to six new cafés

every month, which led us to adopt industry best practices and, in some cases,

develop our own modules.

Company went in for a decentralized distribution strategy instead of a hub-and-spoke

model, and set up regional hubs in Delhi, Mumbai and Kolkata. These cities then

linked to the towns in their neighborhood.

The sourcing policy at these hubs included both local and centralized sourcing, based

on the volume lead time and value of the materials. We followed a continuous

replenishment policy by integrating vendors upstream. For items that had fluctuating

demand and large volumes, the inventory was managed by vendors.

By implementing a web-based ordering and electronic order processing system, we

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cut order-to-delivery lead-time considerably. Online inventory tracking process

operated with the use of two supply chain modules: one at the café level — called the

POS (point of sales) module — and another at the distribution centre level. This was

developed internally.

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Chikmagalur

Bangalore (South India)

(Head Distributor)

New Delhi (North India)

(Head Distributor)

Local Warehouse Local Warehouse

OutletsOutlets

Outlets

Outlets

Outlets

Outlets

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What’s on the menu

Menu includes over 250 customised food and beverage offerings to cater to different

geographic and demographic segments.

At cafés, every coffee menu is combined with the right kind of eats, whether a dessert

or a snack. Menu changes occur once in four months to prevent food fatigue.

Company believes in regular customer feedback and research so as to determine

changing tastes and preferences.

An important decision company took in their outlets was to provide table service and

not enforce self-service. The finding was that customers did not want their names to

be shouted out when their orders were ready.

Another advantage of table service is that they can engage customers in conversation

and persuade them to try more dishes on the menu. This is something that cannot be

done in a self-service set-up, when there are people queueing up, waiting to be served.

Putting consumers first

Customers are the best consultants we have. CCD has redesigned its logo, look, and

feel of the café, as well as our brand positioning according to the customers.

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We also give out customer feedback forms along with the bills. The filled forms are

collected from all regions and sent to the headquarters on a regular basis, to be read

and analyzed in detail. These forms also have an email id.

Customers who mail in with serious complaints receive a reply within 24 hours.

The price of a cup

Main strategy has always been to provide the best coffee experience at an affordable

price. For this they need to keep operating costs low.

In fact, a large part of our success is due to stringent cost controls. We get coffee

beans cheap because we source from our own estates. Most IT solutions were also

designed in-house to keep costs low.

Company is extremely cost conscious, which they try to inculcate in their employees

as well. Traveling expenses and the use of cars and telephones is kept to a minimum.

And in many outlets, employees who serve customers do the housekeeping as well, so

that they need not need hire extra employees for that task.

They try to cut costs at every stage, without cutting corners. For instance, instead of

three hinges for the café doors, we use only two; and, instead of six screws in the

hinges, we use only four.

They also keep our costs low by sourcing furniture from overseas — compared to

India, east Asian countries and China are far ahead in terms of low-cost, quality

furniture. Imported furniture is about 25 per cent cheaper than Indian, custom-made

furniture. It’s not just furniture. Bangladesh and Sri Lanka produce better quality

crockery at similar prices.

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Café Coffee Day has different food suppliers for different locations. Within one

region, we may have as many as three suppliers if there are 40 or 50 cafés. That way,

one supplier can serve 15 to 20 cafés. It is too risky to depend on one supplier — if

something goes wrong, the food supply to all the cafés in a city can be affected.

Full of beans

Café Coffee Day generally believes in having clusters of cafés. Within the Mumbai

suburb of Bandra, for instance, we have six outlets.

At another location, too, CCD has six cafés within a span of half-a-kilometre. This

does result in a little cannibalization, but it also means that we blanket that area.

Importantly, none of these outlets is a franchise. A crucial part of the strategy is that

all outlets are company-owned. Even though self-owned cafés are more expensive in

the short term, a too-hasty switch to the franchisee model may cost the brand value.

Besides, self-owned cafés mean greater control on product quality, service and

training, which is critical for a relatively-young brand such as ours.

Another policy is that CCD do not advertise. They believe that they are not yet big

enough to justify mass advertising — on-site promotions and localised marketing

initiatives still do the trick for CCD. It is found that 85 per cent of the customers are

through word-of-mouth.

And even without advertising, last year 30 million people visited our cafés. This year,

we’ve hiked that target to 40 million.

Then, employee incentives at the cafés depend not only on sales, but also the profits.

Also, if a café does not deliver profits within six months of starting operations, they

close it. Over the years, we have closed 14 Café Coffee Days, while 153 are in

operation.

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CCD is in the process of revamping our loyalty programme to make it dynamic and

attractive. Previously customers could get 10 per cent discount on purchases made at

our outlet and the points accumulated could be encashed for prizes.

Café Coffee Day gives the market what it wants, not what it is

good at.

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Business association:

CCD has emerged as an interactive alternative media for brands to communicate with

the ‘young at heart’.

Other media, such as electronic, print and outdoor, offer brand communication

through visual and audio modes to a large section of the populace, both relevant and

irrelevant. Café Coffee Day offers a much more interactive, targeted communication,

sometimes adding even a taste dimension to a brand idea!

Various in-café collaterals used to impart visibility to a brand inside a café or to add

the element of interactivity to a campaign are Posters, Tent Cards, Danglers, Leaflets,

Brochures, Coasters, Drop boxes, Contest Forms, Stirrers, Standees etc.

Over the years, CCD has successfully promoted a number of brands/products/events

through various innovative tactics and promo ideas. Cashing in on its mass captive

audience, we at CCD have entered into tie-ups and promotions which are well knit

with our brand promise and which can be creatively used to woo the Indian Youth.

Corporate Social Responsibility

Despite achieving tremendous growth, the company has counted it of utmost priority

to contribute success back to our society. Of our many corporate social

responsibilities our main attempt has been to create exciting and valuable employment

opportunities for the less fortunate and make them as independent as possible.

Our understanding with a known NGO Enable India gives us the opportunity to

employee hearing & speech impaired people. The company has also initiated a

VOCATIONAL TRAINING COLLEGE that recruits individuals from the less

fortunate, remote parts of the state and trains them in a state-of-the-art facility at

Chickmaglur. Here they learn about operations & customer service. The training also

includes on-the-job training after which the students are provided with full time

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Section-III

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Project

Details

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Project Details

“Customer Relation Management initiation to improve sales at Café Coffee Day”

The project also includes how to retain the existing customer. It has also

seen which activities inspire the customer to visit Café Coffee Day more often. The

study was made know whether customers are satisfied about Café Coffee Day or not.

Because satisfied customers will be the loyal customers. It has also seen which things

are not going good for further improvement.

Customer Relationship Management:

Customer Relationship Management is a company-wide business strategy designed to

reduce costs and increase profitability by solidifying customer loyalty. It's a strategy

used to learn more about customers' needs and behaviors in order to develop stronger

relationships with them. After all, good customer relationships are at the heart of

business success

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Customer retention

Under the present of competitive environment, the focus of the Organization is more

on customer retention than customer acquisition. Customer retention is the process of

keeping customer acquisition. Customer retention is the process of keeping customer

in the customer inventory for an Unending period by meeting the needs and exceeding

the expectations of those customers

Topic of the Study

“Customer Relationship Management initiatives to improve the sales at Café Coffee Day”

Need:

1. To understand the importance of CRM in service industry

To understand whether CRM strategy helps in retaining existing

customer

2. To know how CRM will help in improving CCD performance.

Objective:

1. To know the importance of CRM in Café Coffee Day.

2. To introduce CRM strategy in Organization.

3. To know whether CRM helps to build strong relation with customer.

4. To know whether CRM helps to retain the customer.

5. To identify area for further CRM improvement.

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Research Methodology

1. Survey through questionnaires

2. Face – to-Face interview

Sample size: 100 Sample unit: Customers of Café Coffee Day Sampling method: Convenience Sampling

Secondary Data:

The major source of secondary data is through internet .The information on

coffee industry and company profile of Café coffee Day is collected through internet.

Analysis

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& Interpretati

on

.

Occupation:

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Occupation of Respondent

58 58.0 58.0 58.0

33 33.0 33.0 91.0

9 9.0 9.0 100.0

100 100.0 100.0

Student

Working

Business

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

58% of the respondents are students.

33% of the respondents are working.

9% of the respondents are business.

Student Visit Café Coffee Day more than other.

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Gender:

GG

Gender

56 56.0 56.0 56.0

44 44.0 44.0 100.0

100 100.0 100.0

Male

Female

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

56% of the respondents are Male.

44% of the respondents are Female.

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Age of the respondent

Age of Respondent

15 15.0 15.0 15.0

57 57.0 57.0 72.0

21 21.0 21.0 93.0

6 6.0 6.0 99.0

1 1.0 1.0 100.0

100 100.0 100.0

15-20

20-25

25-30

30-35

35-40

Total

ValidFrequency Percent Valid Percent

CumulativePercent

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35-4030-3525-3020-2515-20

Fre

qu

en

cy

70

60

50

40

30

20

10

06

21

57

15

Interpretation:

15% of the respondents are between the age group 15-20.

57% of the respondents are between the age group 20-25.

21% of the respondents are between the age group 25-30.

6% of the respondents are between the age group 30-35.

1% of the respondents are between the age group 35-40.

Age group” between” 20-25 visit Café Coffee day more other age group.

How often you visit Café Coffee Day?

How often you visit CCD

5 5.0 5.0 5.0

39 39.0 39.0 44.0

19 19.0 19.0 63.0

37 37.0 37.0 100.0

100 100.0 100.0

Every Day

Once in Week

Once in fortnight

Once in Month

Total

ValidFrequency Percent Valid Percent

CumulativePercent

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Interpretation:

5% of the respondents visit Café Coffee Day every Day

39% of the respondents visit Café Coffee Day once in a Week

19% of respondent visit Café Coffee Day once in fortnight

37% of respondent visit Café Coffee Day once in Month.

Only 5% of the respondent Visit Café Coffee Day every day. So by using

Promotional Activities and CRM techniques Café Coffee Day can make them to

visit frequently.

How long you have been visiting Café Coffee Day

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How long you have been visiting CCD

30 30.0 30.0 30.0

28 28.0 28.0 58.0

29 29.0 29.0 87.0

13 13.0 13.0 100.0

100 100.0 100.0

From Start

From 2 years

From a year

Recently

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

30% of the respondents are visiting café from start.

28% of the respondents are visiting café from last two year.

29% of the respondents are visiting café from a year.

13% of the respondents are visiting café from recently.

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For what purpose did you visit Café Coffee Day

For what purpose did you visit CCD

57 57.0 57.0 57.0

20 20.0 20.0 77.0

12 12.0 12.0 89.0

5 5.0 5.0 94.0

6 6.0 6.0 100.0

100 100.0 100.0

Refreshment

Light Snacks

Parties

Business meeting

Other

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

57% of the respondent visit café for refreshment purpose

20% of the respondent visit café for light snacks

12% of the respondent visit café for Parties

5% of the respondent visit café for Business meeting

6% of the respondent visit café for other reason ( hanging up with friends)

What factor influences you to come Café Coffee Day

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What factors influences you to come CCD

7 7.0 7.0 7.0

8 8.0 8.0 15.0

49 49.0 49.0 64.0

1 1.0 1.0 65.0

2 2.0 2.0 67.0

33 33.0 33.0 100.0

100 100.0 100.0

Music

Service

Coffee & Snack

Price & Promo

Hospitality

Environment

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

For 7% of the respondent music influences to come CCD

For 8% of the respondent service influences to come CCD

For 49% of the respondent coffee and snacks influences to come CCD

For 1% of the respondent price & promo influences to come CCD

For 2% of the respondent hospitality influences to Come CCD

For 33% of the respondent Environment influences to come CCD

This shows that promotional activities are not effective. To make them effective

company has to do some plan.

Are you aware of promotional activity conducted by Café Coffee Day

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Are you aware of promotional Activity conducted by CCD

37 37.0 37.0 37.0

63 63.0 63.0 100.0

100 100.0 100.0

Yes

No

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

37% of the respondents are aware about promotional activities

63% of the respondents are not aware about promotional activities.

This shows that promotional activities are not effective and advertisement is

less.

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Would you likr to know

53 53.0 76.8 76.8

16 16.0 23.2 100.0

69 69.0 100.0

31 31.0

100 100.0

Yes

No

Total

Valid

SystemMissing

Total

Frequency Percent Valid PercentCumulative

Percent

Interpretation:

76% of the respondents would like to know about promotional activities

34% of the respondents not like to know about promotional activities.

This shows that most of them are interest in promotional activities.

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Would you like to celebrate your special moment at Café Coffee Day

Would you like to celebrate your special moments at CCD

84 84.0 84.0 84.0

16 16.0 16.0 100.0

100 100.0 100.0

Yes

No

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

84% of the respondents like to celebrate their special moments at CCD

16% of the respondents don’t like to celebrate their special movement at CCD.

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Would you like to be a part of any CCD event conducted in future? Would you like to be a part of any CCD event conducted in future

77 77.0 77.0 77.0

23 23.0 23.0 100.0

100 100.0 100.0

Yes

No

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation

77% of the respondents like to be part of the CCD event

33% of the respondents don’t like to be part of the CCD event

CCD has to see the advertisement should reach those 77% of the customer.

And conduct the events which should retain those customers.

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Opinion about service

opinion about service

17 17.0 17.0 17.0

61 61.0 61.0 78.0

17 17.0 17.0 95.0

4 4.0 4.0 99.0

1 1.0 1.0 100.0

100 100.0 100.0

Highly Satisfied

Satisfied

Nutral

not satisfied

Highly not Satisfied

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

17% of the respondents are highly satisfied about service

61% of the respondents are satisfied about service

17% of the respondents feel service is not good and not bad means ok .

4% of the respondents are not satisfied about service

Only 1% of the respondents are highly not satisfied about service.

This shows service at café coffee day is overall good

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Opinion about Price

opinion about Price

3 3.0 3.0 3.0

39 39.0 39.0 42.0

48 48.0 48.0 90.0

10 10.0 10.0 100.0

100 100.0 100.0

Highly Satisfied

Satisfied

Nutral

not satisfied

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation

3% of the respondents are highly satisfied about price

39% of the respondents are satisfied about price

48% of the respondents feel price is neutral

10% of the respondents are not satisfied about price.

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Opinion about promotional Activity

opinion about Promotional Activity

10 10.0 10.0 10.0

16 16.0 16.0 26.0

69 69.0 69.0 95.0

5 5.0 5.0 100.0

100 100.0 100.0

Highly Satisfied

Satisfied

Nutral

not satisfied

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

10% of the respondents are highly satisfied about promotional activity

16% of the respondents are satisfied about promotional activity

69% of the respondents feel promotional activities are neutrl

5% of the respondents are not satisfied about promotional activity

This shows promotional activities are not effective.

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Do event conducted by CCD influence you to visit CCD

Do event conducted by CCD influence you to visit CCD

66 66.0 66.0 66.0

34 34.0 34.0 100.0

100 100.0 100.0

Yes

No

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

66% of the respondents said events conducted by CCD influences them to visit

CCD.

34% of the respondents said events conducted by CCD not influence them to

visit CCD.

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Which of the following Activity would influence you visit CCD

Which of the following Activity woulf influence you to visit CCD

26 26.0 26.0 26.0

34 34.0 34.0 60.0

35 35.0 35.0 95.0

5 5.0 5.0 100.0

100 100.0 100.0

Birthday Party

DJ Show

Promotional Activity

Foos Fest

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

For 26% respondents Birthday parties influences.

For 34% respondents DJ show influences.

For 35% respondents Promotional activity influences.

For 5% respondent Food Fest influences.

This shows promotional activity and DJ shows are more effective.

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Opinion about the Staff:

Opinion about the staff

62 62.0 62.0 62.0

11 11.0 11.0 73.0

18 18.0 18.0 91.0

9 9.0 9.0 100.0

100 100.0 100.0

Friendly

Very Friendly

Rigid

Blank(No Reaction)

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

62% of the respondents feel staff of CCD is friendly

11% of the respondents feel staff of CCD is very friendly

18% of the respondents feel staff of CCD is Rigid

9% of the respondents feel staff of CCD is Blank.

This shows staff of café is good.

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Cross Tabs

Age of Respondent * How often you visit CCD Crosstabulation

Count

7 2 6 15

2 20 7 28 57

3 10 6 2 21

1 4 1 6

1 1

5 39 19 37 100

15-20

20-25

25-30

30-35

35-40

Age ofRespondent

Total

Every Day Once in WeekOnce infortnight Once in Month

How often you visit CCD

Total

Interpretation:

From above cross tabs, it can be interpretated that different age group people visit

cafe Coffee Day more in once in week, once in fortnight, once in month. The major

percentage of the customer who visit Café Coffee Day are in the age group ranging

from 20-25. Major part of the customer visit Café Coffee Day once in Week and once BABASAB PATIL 71

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in Month. This may not workout for the company. Therefore company has to take

customer relation management initiative to retain the old customer and also acquiring

new customers.

How often you visit CCD * What factors influences you to come CCD Crosstabulation

Count

1 1 1 2 5

4 21 1 13 39

2 3 6 1 7 19

4 21 1 11 37

7 8 49 1 2 33 100

Every Day

Once in Week

Once in fortnight

Once in Month

How oftenyou visitCCD

Total

Music ServiceCoffee &Snack

Price &Promo Hospitality Environment

What factors influences you to come CCD

Total

Interpretation :

According to above cross table 21 % of the respondent visit monthly & 21% of the

respondent visit once in week for the purpose of coffee and Snacks.

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Occupation of Respondent * Are you aware of promotionalActivity conducted by CCD Crosstabulation

Count

26 32 58

9 24 33

2 7 9

37 63 100

Student

Working

Business

Occupation ofRespondent

Total

Yes No

Are you aware ofpromotional Activityconducted by CCD

Total

Interpretation

According to above cross table awareness in each segment (student, working,

business) is less. Percentage of aware respondent is less compare to the not aware

respondents. To give awareness café has to give some advertisements ( in café). CCD

can maintain customer data base so that they can send message or they can give call to

the customer.

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Age of Respondent * Which of the following Activity woulf influence you to visit CCDCrosstabulation

Count

3 8 4 15

15 16 22 4 57

6 6 8 1 21

2 3 1 6

1 1

26 34 35 5 100

15-20

20-25

25-30

30-35

35-40

Age ofRespondent

Total

Birthday Party DJ ShowPromotional

Activity Foos Fest

Which of the following Activity woulf influence you to visitCCD

Total

Interpretation:

22% of the respondent between age group 20-25 said promotional activity

influence them to visit Café Coffee Day

8% of the respondent between age group 15-20 said DJ show influence them to

visit Café Coffee Day.

8% of the respondent between age group 25-30 said promotional activity

influence them to visit Café Coffee Day.

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About PromoAfter analyzing the survey, it was very much clear that the customers were seemed to

be more influenced by promotional activities. According to the survey 35% of the

respondents feel promotional activity influence them visit t Café Coffee Day.

Therefore accordance to customer’s response, it was decided to implement a promo

for 2 days that is on Saturday and Sunday and to check out whether sales will

increase, for the customer satisfaction regarding Promo.

For this promo a local Heartbeat gallery has sponsored gifts

The promo was like make a bill of Rs 299 and Get exciting gifts. I prepared

advertisement, which was put on Café door before two days.

Details of the promo:

Implemented for two days

The promo was promoted to customer two days before implementation and

some people were informed through SMS.

With every menu card one advertisement of promo was given.

Around 30 bills were more than Rs 299

Utmost customer Satisfaction.

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What is purpose of visit to Café Coffee Day

What is purpose of visit to Cafe Coffee Day

7 25.0 25.0 25.0

7 25.0 25.0 50.0

14 50.0 50.0 100.0

28 100.0 100.0

Just a casual visit

I visit on every weekend

Promowas the purpose

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

From the above graph it can be interpreted that the majority (14) of the respondent

agreed that Promo was the purpose of their visit to Café Coffee Day. This is good sign

for promo. This clearly indicates that given an opportunity, consumer are willing to

visit Café Coffee Day. This evidently proves that well designed promo can attract the

customer and also increase the sales

Thus Café Coffee Day must take an initiatives to organize such more promos to

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attract and to retain the customer..

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How could you rate the Promo

How could you rate the promo

10 35.7 35.7 35.7

15 53.6 53.6 89.3

3 10.7 10.7 100.0

28 100.0 100.0

Excellent

Good

Average

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation

The major pert of the respondents (15) said that promo was good. And to some

extent customer (10) said that it was excellent. There were very few people who felt

promo was good but rater as average. This shows promo had given positive impact on

customer

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Would you expect Café Coffee Day to organize such more promotion

in future?

Would you expect Cafe Coffee Day to organize such more Promos infuture

25 89.3 89.3 89.3

3 10.7 10.7 100.0

28 100.0 100.0

Yes

No

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

25 of the respondent said that promotional activity inspires them to visit

Café Coffee Day. When its crystal clear that promotional activity inspire people to

visit café coffee day, CCD must take opportunity to attract the customer through

promos which can build trust and good Customer Relation.

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Are you satisfied with this promo?

Are you Satisfied with tis promo

27 96.4 96.4 96.4

1 3.6 3.6 100.0

28 100.0 100.0

Yes

No

Total

ValidFrequency Percent Valid Percent

CumulativePercent

Interpretation:

27 of the respondent were satisfied about promo that they were a part of promo.

Several consumers even suggested conducting more promos in future. This positive

outcome shows that consumer were highly satisfied.

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Findings:

Students visit Café Coffee Day more

Age group between “20-25” visits Café Coffee Day more. They are the

potential customers.

39% of the respondents visit Café Coffee Day once in week and 37% of the

respondent visit café Coffee Day once in month.

57% of the respondent visit CCD refreshment Purpose

49% of the respondent feel coffee and Snacks influence them to visit CCD

63% of the respondent were not aware of the promotional activity Conducted

by CCD

76.8% of the respondent would like to know about promotional activity.

77% of the respondent would like to be part of any future event in CCD

78% of the respondent Satisfied about service

66% of the respondent feel event conducted by CCD influence them to visit

CCD

73% of the respondent feel Staff of CCD is friendly

36% of the respondent said promotional activity influences them, 34% said DJ

shows influences them.

Promo:

53.6% of the customer rated prom was good and 35.7% rated promo was

excellent.

89% of them expect more events in future.

96.4% of the respondent satisfied about promo.

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Suggestions &RecommendationBABASAB PATIL 82

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1. Organize at least few promotional activities in

order to build good relation with customer

2. Give advertisement about promotional activity

3. Maintain Customer data base.

4. Wish the regular customer for New Year or for

any festivals through greeting card or SMS or

through gift. This will increase the loyalty of the

customers.

5. Increase number of couches and place

6. Play the good music

7. Quick Service

8. To increase sales Café Coffee Day can also have

corporate tie ups within the city.

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Conclusion

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The study helped me gain valuable insight in understanding how Customer Relation

Management can help in increase sales .The project “Customer Relationship

Management initiatives to increase sales at Café Coffee Day” has been a knowledge

gaining experience. I have been able to understand that designing of promotional

activity is an art and it help the company to increase the sales.

Awareness about promotional activity is less .Though it has not been advertised at a

large on television , still has long way to go before it can catch up with its

competitors. I hope my work becomes useful for company.

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Limitation:

1. A study is restricted only for Hubli CCD

2. Time duration is only 60 days

3. The respondents may give biased opinion.

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Questionnaire

Personal Details:

Name:

Address:

Occupation:

a) Student b) Working

c) Business d) Housewife

Age:

Contact No:

1) How often you visit café coffee day?

a) Every day b) Once in fortnight

c) Once in fortnight d) Once in Month

2) From how long you have been visiting Café Coffee Day?

a) From initiation b) From two years

c) From year d) from recently

3) For what purpose did you to visit café?

a) Refreshment b) Light snacks

c) Parties d) Business meeting

e) Other (Specify)-----------------------

4) What factor influences you to come to CCD?

a) Music b) Service

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c) Coffee & Snack d) Price & Promo

e) Hospitality f) Environment

5) Are you aware of promotional activity conducted by CCD?

a) Yes b) No

If No,

Would you like to know?

a) Yes b) No

6) Give your opinion about following factor:

Factors Highly

Satisfied

Satisfied Neutral Highly not

Satisfied

Not

Satisfied

a) Service

b) Hospitality

c) Music

d) Price

e)

Promotional

activity

Give your Suggestions to improve the not satisfied factor.

_____________________________________________________________________

_____________________________________________________________________

7) Would you like to celebrate your special moments in cafe?

a) Yes b) No

8) Would you like to be a part of any CCD event conducted in future?

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a) Yes b) No

9) Do event conducted by CCD influence you to visit Café

a) Yes b) No

10) Which of the following activities would influence you to visit CCD?

a) Birthday party

b) DJ show

c) Promotional Activities

d) Food Fest

e) Any other

11) What aspect of Café Coffee Day Need to be improve?

___________________________________________________________________

___________________________________________________________________

12) What is your opinion about the staff of Café Coffee Day?

a) Friendly b) very friendly

c) Rigid c) Blank

Also give your suggestion how you would like the team to treat you?

13) Would you like to be part of Pastry festival, if conducted by Café Coffee Day

in near future?

a) Yes b) No

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Feedback form

Name__________________

Age___________________

Occupation______________1. How often do you visit café coffee day?

More than once in week

Once in a week

Once in a fortnight

Once in a month

Occasionally

2. What is purpose of visit to café coffee day?

Just a casual Visit

I visit on every Sunday

“Promo” was the purpose

Any other Specify

3. How could you rate this promo?

Excellent

Good

Average

Bad

Very bad

4. Would you expect Café coffee Day to organize such more Promos in the future?

Yes No

5. Are you satisfied with this promotion?

Yes No

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Thank You

Bibliography

Reference Books:

o Marketing Management : Philip Kotler

o Service Marketing: Valarie Zeithaml

o Customer Relationship Management :A sagadevan

Website:

www.cafecoffeeday.com

www.google.com

www.coffeeindustry.com

www.wikipedia.com

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