Several branded coffee chains are currently seeking to scale their presence in India, with Costa Coffee, Tim Hortons and abCoffee also recently announcing outlet growth
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Barista’s outlet growth last month included new stores across six Indian states | Photo credit: Barista
Indian coffee chain Barista opened nine new outlets in August 2023 and said it is on track to reach 500 outlets by 2025.
After reaching it's 350-store milestone with a new outlet in Udaipur in April 2023, CEO Rajat Agrawal said Barista would expand its footprint across India in a ‘strategic manner’.
In June 2023, the Haryana-based coffee chain announced it would invest Rs 100 Cr ($12.1m) to fund its outlet expansion, with Agrawal outlining a short-term goal of operating 400 stores by the end of this year.
Barista’s outlet growth last month included new stores across six Indian states – Punjab, Haryana, Madhya Pradesh, Himachal Pradesh, Delhi and Mumbai. The coffee chain now operates more than 380 sites.
“We are thrilled with our continuous expansion and the opportunity to introduce meticulously crafted coffee to new communities. Our goal is to provide a welcoming atmosphere and a consistently exceptional F&B experience to our patrons at numerous locations,” said Agrawal.
Barista is the second largest branded coffee chain in India, behind Bengaluru-based Café Coffee Day, which operates more than 450 stores, and ahead of Starbucks, which opened 16 net new stores in its first quarter to reach 348 outlets.
As demand for premium coffee and café experiences continues to rise among Indian consumers, several domestic and international operators are investing in outlet growth.
Blue Tokai raised $30m in January 2023 and plans to open 200 more stores across India over the next three years. The Indian specialty coffee roaster and café chain currently operates 80 outlets.
Costa Coffee announced that it had opened 14 new stores in India in the space of 10 days in August 2023. The UK-based coffee chain, operated in India by local franchisee Devyani International Limited, has opened 22 stores in its second quarter so far to reach 145 sites.
Tim Hortons, which opened its first store in India in August 2022, now operates 22 outlets in the country. The Canadian coffee chain opened two stores in Bengaluru this month, marking the brand’s first foray to India’s southern cities. Tim Hortons is investing $37m to facilitate its goal of reaching 120 stores in India by 2026.
Additionally, Mumbai-based start-up abCoffee has set a goal of opening 100 sites within the next 12 months. Founded in 2022 and backed by an initial $300,000 investment, abCoffee promotes itself as India's first tech-enabled specialty coffee chain. The start-up has opened 10 stores across India this year, primarily catering to on-the-go trade.