TO improve sales at Café Coffee Day PROJECT REPORT

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TO improve sales at Café Coffee Day PROJECT REPORT Powered By Docstoc
					                                                          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 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                                      1-10
              Industry overview
2      Section –II                                     11-40
                Company Profile
3      Section-III                                     42-44
                Project Details
4      Section-IV
              Analyses & interpretation               44-71
              Findings                                71
              Recommendation & Suggestion             73
              Conclusion                              75
              Limitation
5      Section V
          Annexure
           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.




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Hotel Cafés:

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

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.




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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

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.




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                                      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
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.




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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.

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,
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.




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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

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.




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   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.

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.




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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.

 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 cafes
                                                 Puna – 20 cafes

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Café Stores




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        ORGNIZATIONAL CHART AND A CAREER GROWTH




                    HEAD - OPERATIONS



                   REDGIONAL MANAGER



                ASSISTANT REGIONAL MANAGER



                      CITY MANAGER



                      AREA MANAGER



            CAFÉ MANAGER        REGIONAL TRAINER



            ASSISTANT MANAGER      CITY TRAINER



                      CAFÉ INCHARGE



                      TEAM MEMBERS




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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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ProductRange:Coff         Teas                           Banana         Chocolate

ees & Teas                Assam Tea                      Mousse

Hot Coffee                Masala Chai                    Banana Caramel pie

Espresso                  Lemon ‘n Ice Tea               Chocolate Doughnut

Espresso Americano        Kashmiri Qahwah                Cookies

Macchiato                 Apple n Cranberry ice          Marble Cake

Cappuccino                tea                            Pineapple Getaux

Café Latte                Refreshing                     Chocolate Cake

Chococinno                Alternatives                   Ice-Creams
Café Mocha                Granitas                       Vanilla

Irish Coffee              Blood Orange                   Chocolate

International Coffee      Cool Blue                      Seasons Best

Colombian          Juan   Pineapple Crush                Quick Bites
Valdez                    Emerald Ice                    Samosa

Ethiopian Qahwah          Ruby Surprise                  Puff

Kenyan Safari             Smoothies                      Pizza

Cold Coffee               Mango Colada                   Croissant

Sweet Mint                Strawberry Colada              French Fries

Cold Sparkle              Cremosas                       Kathi Roll

Brandied Banana           Litchi                         Wraps

Tropical Iceberg          Ginger Spice                   Biryani

Iced Eskimo               Pina Colada                    Sandwiches

Coffee Add-ons            Cool Refreshers                Burger

Honey                     Fruit Juices

Flavoured Syrups          Mineral Water

Red Eye                   Eatables
Whipped Cream             Melting Moments
Scoop pf Ice cream        Banana      n’   Walnut

Chocolate Sauce           Cake
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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

S.No                           Particulars
1          Funky Caps @ Rs 60 onwards

2          Cool T-Shirts @ Rs 229 onwards

3          Bags @ Rs 225 onwards

4          Coffee Filters @ Rs 120

5          Coffee Filters @ Rs 120
6          Coffee Filters @ Rs 120
Coffee Powder

1          Arabicaah @ Rs 65

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:
BABASAB PATIL                                                                       31
                                                         A lot can happen over coffee

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.




BABASAB PATIL                                                                      32
                A lot can happen over coffee




BABASAB PATIL                            33
                                                         A lot can happen over coffee

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

BABASAB PATIL                                                                        34
                                                             A lot can happen over coffee

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.




BABASAB PATIL                                                                         35
                                                           A lot can happen over coffee

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.



BABASAB PATIL                                                                          36
                                                          A lot can happen over coffee

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
BABASAB PATIL                                                                       37
                                                         A lot can happen over coffee

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.

                                       Chikmagalur



             Bangalore (South                               New Delhi (North
                 India)                                          India)
            (Head Distributor)                              (Head Distributor)
            Local Warehouse                                Local Warehouse




    Outlets                                                                      Outlets
                               Outlets               Outlets

                Outlets                                               Outlets




BABASAB PATIL                                                                      38
                                                          A lot can happen over coffee

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.




BABASAB PATIL                                                                          39
                                                                A lot can happen over coffee

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.




BABASAB PATIL                                                                            40
                                                             A lot can happen over coffee

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.


BABASAB PATIL                                                                           41
                                                          A lot can happen over coffee

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.




BABASAB PATIL                                                                       42
                                                           A lot can happen over coffee

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
employment opportunities with Café Coffee Day.

BABASAB PATIL                                                                        43
                A lot can happen over coffee




        Section-III



BABASAB PATIL                            44
                A lot can happen over coffee




Project Details



BABASAB PATIL                            45
                                                            A lot can happen over coffee

                                    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

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




BABASAB PATIL                                                                           46
                                                        A lot can happen over coffee

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.

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.



BABASAB PATIL                                                                       47
                A lot can happen over coffee




       Analysis
          &
    Interpretation
.




BABASAB PATIL                            48
                                                                                    A lot can happen over coffee

            Occupation:

                                      Occupation of Re s ponde nt

                                                                                     Cumulativ e
                                     Frequenc y          Percent    Valid Percent     Percent
              Valid      Student            58               58.0            58.0          58.0
                         Working            33               33.0            33.0          91.0
                         Business            9                9.0             9.0         100.0
                         Total             100              100.0          100.0




                70



                60
                             58

                50



                40



                30                      33



                20
Frequency




                10
                                                     9

                   0
                           Student    Working     Business




            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.




            BABASAB PATIL                                                                                    49
                                                                                 A lot can happen over coffee




            Gender:

            GG

                                                      Gender

                                                                                 Cumulativ e
                                    Frequenc y        Percent    Valid Percent    Percent
              Valid     Male               56             56.0            56.0         56.0
                        Female             44             44.0            44.0        100.0
                        Total             100            100.0          100.0




                 60

                             56

                 50



                                                 44
                 40




                 30




                 20
Frequency




                 10



                 0
                             Male            Female




            Interpretation:
                     56% of the respondents are Male.

            BABASAB PATIL                                                                                 50
                                                               A lot can happen over coffee

          44% of the respondents are Female.




Age of the respondent

                            Age of Res ponde nt

                                                              Cumulativ e
                     Frequenc y   Percent    V alid Percent    Percent
  V alid     15-20          15        15.0             15.0         15.0
             20-25          57        57.0             57.0         72.0
             25-30          21        21.0             21.0         93.0
             30-35           6         6.0              6.0         99.0
             35-40           1         1.0              1.0        100.0
             Total         100       100.0           100.0




BABASAB PATIL                                                                           51
                                                                                A lot can happen over coffee

                   70



                   60

                                     57

                   50



                   40



                   30



                   20                        21
Frequency




                             15
                   10

                                                      6
                   0
                            15-20   20-25   25-30    30-35    35-40




            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 vis it CCD

                                                                                        Cumulativ e
                                              Frequenc y     Percent    Valid Percent    Percent
              Valid       Ev ery Day                  5           5.0             5.0           5.0
                          Onc e in Week              39          39.0            39.0         44.0
                          Onc e in f ortnight        19          19.0            19.0         63.0
                          Onc e in Month             37          37.0            37.0        100.0
                          Total                     100         100.0          100.0




            BABASAB PATIL                                                                                52
                                                                                    A lot can happen over coffee




                 50




                 40
                                          39
                                                                         37


                 30




                 20
                                                         19



                 10
Frequency




                             5
                  0
                         Every Day   Once in Week Once in fortnight Once in Month



            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




            BABASAB PATIL                                                                                    53
                                                                                     A lot can happen over coffee

                                      How long you have be en vis iting CCD

                                                                                          Cumulativ e
                                           Frequenc y        Percent     V alid Percent    Percent
              V alid     From Start               30             30.0              30.0         30.0
                         From 2 y ears            28             28.0              28.0         58.0
                         From a y ear             29             29.0              29.0         87.0
                         Recently                 13             13.0              13.0        100.0
                         Total                   100            100.0            100.0




                   40




                   30
                                 30
                                                              29
                                                28




                   20




                                                                          13
                   10
Frequency




                   0
                             From Start    From 2 years   From a year   Recently



            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.




            BABASAB PATIL                                                                                     54
                                                                                          A lot can happen over coffee

For what purpose did you visit Café Coffee Day
                               For w hat purpos e did you vis it CCD

                                                                                                 Cumulativ e
                                        Frequenc y          Percent        V alid Percent         Percent
  V alid         Ref res hment                 57               57.0                 57.0              57.0
                 Light Snac ks                 20               20.0                 20.0              77.0
                 Parties                       12               12.0                 12.0              89.0
                 Business meeting               5                5.0                  5.0              94.0
                 Other                          6                6.0                  6.0             100.0
                 Total                        100              100.0               100.0




                            For what purpose did you visit CCD
                       70


                       60
                                   57
                       50


                       40


                       30


                       20
   Frequency




                                                 20

                       10                                     12

                        0                                                    5            6

                               Refreshment                  Parties                      Other
                                             Light Snacks             Business meeting


                            For what purpose did you visit CCD


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

BABASAB PATIL                                                                                                      55
                                                                                                            A lot can happen over coffee

                                       What factors influe nces you to com e CCD

                                                                                                          Cumulativ e
                                              Frequenc y           Percent         Valid Percent           Percent
                Valid        Mus ic                   7                 7.0                  7.0                  7.0
                             Service                  8                 8.0                  8.0                15.0
                             Cof f ee & Snack        49                49.0                 49.0                64.0
                             Price & Promo            1                 1.0                  1.0                65.0
                             Hospitality              2                 2.0                  2.0                67.0
                             Environment             33                33.0                 33.0               100.0
                             Total                  100               100.0               100.0




                             What factors influences you to come CCD
                        60



                        50
                                                            49


                        40



                        30                                                                           33



                        20
Frequency




                        10

                                   7           8

                        0
                                 Music                Cof f ee & Snack             Hospitality
                                            Service                Price & Promo                 Environment




            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



            BABASAB PATIL                                                                                                            56
                                                                              A lot can happen over coffee

                   Are you aw are of prom otional Activity conducte d by CCD

                                                                            Cumulativ e
                                   Frequenc y   Percent     Valid Percent    Percent
              Valid        Yes            37        37.0             37.0         37.0
                           No             63        63.0             63.0        100.0
                           Total         100       100.0           100.0




                   70



                   60                                  63



                   50



                   40

                                     37

                   30



                   20
Frequency




                   10


                   0
                                    Yes                No




            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.




            BABASAB PATIL                                                                              57
                                                                                 A lot can happen over coffee

                                             Would you lik r to know

                                                                                  Cumulativ e
                                        Frequenc y    Percent    Valid Percent     Percent
                  Valid       Yes              53         53.0            76.8          76.8
                              No               16         16.0            23.2         100.0
                              Total            69         69.0          100.0
                  Mis sing    System           31         31.0
                  Total                       100        100.0




                     60



                                       53
                     50




                     40




                     30




                     20

                                                           16
Frequency




                     10



                      0
                                       Yes                No



                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.




                BABASAB PATIL                                                                             58
                                                                                     A lot can happen over coffee

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

                   Would you lik e to cele brate your s pecial m om ents at CCD

                                                                                   Cumulativ e
                                     Frequenc y   Percent         V alid Percent    Percent
                V alid       Y es           84        84.0                  84.0         84.0
                             No             16        16.0                  16.0        100.0
                             Total         100       100.0                100.0




                    100




                     80                 84




                     60




                     40




                     20
Frequency




                                                             16


                         0
                                        Yes                  No




            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.




            BABASAB PATIL                                                                                     59
                                                                                A lot can happen over coffee

            Would you like to be a part of any CCD event conducted in future?
                Would you lik e to be a part of any CCD e ve nt conducte d in future

                                                                              Cumulativ e
                                     Frequenc y   Percent    V alid Percent    Percent
                V alid       Y es           77        77.0             77.0         77.0
                             No             23        23.0             23.0        100.0
                             Total         100       100.0           100.0



                    100




                     80
                                         77



                     60




                     40




                     20                                      23
Frequency




                         0
                                         Yes                 No




            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.




            BABASAB PATIL                                                                                60
                                                                                                     A lot can happen over coffee

                Opinion about service

                                                         opinion about s ervice

                                                                                                              Cumulativ e
                                                Frequenc y                  Percent          Valid Percent     Percent
              Valid       Highly Satisf ied            17                       17.0                  17.0          17.0
                          Satis fied                   61                       61.0                  61.0          78.0
                          Nutral                       17                       17.0                  17.0          95.0
                          not s atisf ied               4                        4.0                   4.0          99.0
                          Highly not Satisf ied         1                        1.0                   1.0         100.0
                          Total                       100                      100.0                100.0

                 70



                 60                             61


                 50



                 40



                 30



                 20

                                17                         17
Frequency




                 10


                  0                                                     4
                          Highly Satisfied                Nutral              Highly not Satisfied
                                             Satisfied             not satisfied



            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




            BABASAB PATIL                                                                                                     61
                                                                                      A lot can happen over coffee

               Opinion about Price
                                                    opinion about Price

                                                                                            Cumulativ e
                                                Frequenc y    Percent     Valid Percent      Percent
              Valid       Highly Satisf ied             3          3.0              3.0             3.0
                          Satis fied                   39         39.0             39.0           42.0
                          Nutral                       48         48.0             48.0           90.0
                          not s atisf ied              10         10.0             10.0          100.0
                          Total                       100        100.0           100.0



                   60




                   50
                                                              48


                   40
                                                   39


                   30




                   20
Frequency




                   10
                                                                           10


                      0             3
                             Highly Satisfied   Satisfied    Nutral   not satisfied



            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.




            BABASAB PATIL                                                                                      62
                                                                                             A lot can happen over coffee

            Opinion about promotional Activity
                                            opinion about Prom otional Activity

                                                                                                    Cumulativ e
                                                  Frequenc y      Percent           Valid Percent    Percent
                Valid   Highly Satisf ied                10           10.0                   10.0         10.0
                        Satis fied                       16           16.0                   16.0         26.0
                        Nutral                           69           69.0                   69.0         95.0
                        not s atisf ied                   5            5.0                    5.0        100.0
                        Total                           100          100.0                 100.0



                   80




                                                          69

                   60




                   40




                   20
Frequency




                                                16

                               10

                    0                                                    5

                         Highly Satisfied    Satisfied   Nutral     not satisfied



            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.




            BABASAB PATIL                                                                                             63
                                                                              A lot can happen over coffee



            Do event conducted by CCD influence you to visit CCD

                    Do e ve nt conducted by CCD influe nce you to vis it CCD

                                                                            Cumulativ e
                                  Frequenc y   Percent     V alid Percent    Percent
              V alid      Y es           66        66.0              66.0         66.0
                          No             34        34.0              34.0        100.0
                          Total         100       100.0            100.0



                   70

                                     66
                   60



                   50



                   40


                                                          34
                   30



                   20
Frequency




                   10


                   0
                                     Yes                  No




            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.




            BABASAB PATIL                                                                              64
                                                                                               A lot can happen over coffee

            Which of the following Activity would influence you visit CCD

                        Which of the follow ing Activity w oulf influe nce you to visit CCD

                                                                                                          Cumulativ e
                                               Frequenc y               Percent           Valid Percent    Percent
              Valid      Birthday Party               26                    26.0                   26.0         26.0
                         DJ Show                      34                    34.0                   34.0         60.0
                         Promotional Ac tivity        35                    35.0                   35.0         95.0
                         Foos Fest                     5                     5.0                    5.0        100.0
                         Total                       100                   100.0                 100.0



                   40



                                                               35
                                               34

                   30


                                  26


                   20




                   10
Frequency




                                                                                 5

                   0
                            Birthday Party   DJ Show   Promotional Activity   Foos Fest



            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.




            BABASAB PATIL                                                                                               65
                                                                                           A lot can happen over coffee



            Opinion about the Staff:

                                                      Opinion about the s taff

                                                                                                       Cumulativ e
                                                      Frequenc y          Percent     V alid Percent    Percent
                V alid   Friendly                            62               62.0              62.0         62.0
                         V ery Friendly                      11               11.0              11.0         73.0
                         Rigid                               18               18.0              18.0         91.0
                         Blank(No Reaction)                   9                9.0               9.0        100.0
                         Total                              100              100.0            100.0




                   70



                   60        62



                   50



                   40



                   30



                   20
                                                          18
Frequency




                   10                      11
                                                                         9

                    0
                           Friendly   Very Friendly      Rigid   Blank(No Reaction)




            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.




            BABASAB PATIL                                                                                            66
                                                                                                  A lot can happen over coffee



    Cross Tabs




                        Age of Res ponde nt * How ofte n you visit CCD Cr os stabulation

        Count
                                                          How of ten y ou v is it CCD
                                                                         Onc e in
                                        Ev ery Day      Onc e in Week   f ortnight    Onc e in Month   Total
        Age of                 15-20                                7              2               6        15
        Respondent             20-25              2                20              7             28         57
                               25-30              3                10              6               2        21
                               30-35                                1              4               1         6
                               35-40                                1                                        1
        Total                                     5                39             19             37       100




            60

                                28

            50



            40



            30
                                 7                               How often you visit

            20                  20                                   Once in Month
                                         6
                         6                                           Once in fortnight
            10                           10
                                                                     Once in Week
Count




                         7
                                                 4
                0                        3                           Every Day
                       15-20   20-25    25-30   30-35    35-40


                    Age of Respondent


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

    BABASAB PATIL                                                                                                          67
                                                                                             A lot can happen over coffee

    customer relation management initiative to retain the old customer and also acquiring
    new customers.

                      How often you visit CCD * What factor s influences you to com e CCD Crosstabulation

         Count
                                                       What factors influences you to come CCD
                                                               Coffee &     Price &
                                        Music       Service     Snack        Promo      Hospitality Environment   Total
         How often Every Day                    1          1            1                                     2        5
         you visit Once in Week                 4                     21                          1          13       39
         CCD       Once in fortnight            2          3            6                         1           7       19
                   Once in Month                           4          21            1                        11       37
         Total                                  7          8          49            1             2          33      100



                 50




                 40
                                       13
                                                                11
                                                                          What factors influen
                 30
                                                                               Environment

                                       21                       21
                                                                               Hospitality
                 20
                                                    7                          Price & Promo

                                                                               Coffee & Snack
                 10                                 6
                                                                               Service
Count




                                                    3
                                       4                        4
                 0                                                             Music
                         Every Day          Once in fortnight
                                  Once in Week           Once in Month


                      How often you visit CCD


    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.




    BABASAB PATIL                                                                                                          68
                                                                                    A lot can happen over coffee

        Occupation of Res ponde nt * Are you aw ar e of prom otional
               Activity conducte d by CCD Cr os stabulation

        Count
                                                Are you aw are of
                                               promotional Ac tivity
                                               conducted by CCD
                                                Yes          No           Total
        Occ upation of          Student             26             32          58
        Respondent              Working               9            24          33
                                Business              2              7          9
        Total                                       37             63        100




            70


            60
                           32

            50


            40


            30                         24

                           26
            20
                                                                Are you aware of pro
            10
                                                                    No
Count




                                        9            7

                0                                                   Yes
                         Student     Working      Business


                    Occupation of Respondent


    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.




    BABASAB PATIL                                                                                            69
                                                                                                 A lot can happen over coffee

        Age of Res ponde nt * Which of the follow ing Activity w oulf influe nce you to visit CCD
                                           Cross tabulation

        Count
                                          Whic h of the f ollow ing Ac tivity w oulf inf luenc e you to v is it
                                                                         CCD
                                                                              Promotional
                                          Birthday Party DJ Show                Activ ity        Foos Fest        Total
        Age of                15-20                     3              8                    4                          15
        Respondent            20-25                   15             16                    22              4           57
                              25-30                     6              6                    8              1           21
                              30-35                     2              3                    1                           6
                              35-40                                    1                                                1
        Total                                         26             34                    35              5         100



                60

                                      4

                50                22




                40



                30
                                  16
                                                                                Which of the followi

                20
                                                  8                                  Foos Fest

                          4       15                                                 Promotional Activity
                10                                6
                          8
                                                                                     DJ Show
Count




                                                  6         3
                0         3                                                          Birthday Party
                        15-20    20-25          25-30     30-35     35-40


                     Age of Respondent


    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.




    BABASAB PATIL                                                                                                           70
                                                           A lot can happen over coffee

                                 About Promo
After 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.




BABASAB PATIL                                                                       71
                                                                                                         A lot can happen over coffee

            What is purpose of visit to Café Coffee Day
                                          What is purpose of visit to Cafe Coffee Day

                                                                                                                     Cumulativ e
                                                    Frequenc y                            Percent    Valid Percent    Percent
              Valid      Just a c as ual vis it             7                                 25.0            25.0         25.0
                         I v isit on every w eekend         7                                 25.0            25.0         50.0
                         Promow as the purpos e            14                                 50.0            50.0        100.0
                         Total                             28                                100.0          100.0




                       What is purpose of visit to Cafe Coffee Day
                  16

                  14
                                                                                     14

                  12

                  10

                  8

                                      7                      7
                  6
Frequency




                  4

                  2

                  0
                              Just a casual visit                           Promow as the purpose
                                                    I visit on every w ee


                       What is purpose of visit to Cafe Coffee Day


            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
            attract and to retain the customer..




            BABASAB PATIL                                                                                                          72
                                                                                 A lot can happen over coffee

            How could you rate the Promo

                                      How could you rate the pr om o

                                                                                 Cumulativ e
                                      Frequenc y      Percent    Valid Percent    Percent
              Valid     Ex cellent           10           35.7            35.7         35.7
                        Good                 15           53.6            53.6         89.3
                        Average               3           10.7            10.7        100.0
                        Total                28          100.0          100.0




                       How could you rate the promo
                  16

                                                      15
                  14


                  12


                  10
                                     10

                   8


                   6


                   4
Frequency




                                                                    3
                   2

                   0
                                 Excellent         Good          Average


                       How could you rate the promo


            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




            BABASAB PATIL                                                                                 73
                                                                           A lot can happen over coffee

    Would you expect Café Coffee Day to organize such more promotion
    in future?

   Would you expe ct Cafe Coffee Day to organize such m ore Prom os in
                                 future

                                                                         Cumulativ e
                           Frequenc y     Percent      V alid Percent     Percent
        V alid    Y es            25          89.3               89.3          89.3
                  No               3          10.7               10.7         100.0
                  Total           28         100.0             100.0




            30




                                 25


            20




            10
Count




                                                          3
             0
                                Yes                      No


                 Would you expect Cafe Coffee Day to organize such more Promos in future


    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.




    BABASAB PATIL                                                                                   74
                                                                               A lot can happen over coffee

            Are you satisfied with this promo?

                                    Are you Satis fie d w ith tis prom o

                                                                             Cumulativ e
                                   Frequenc y     Percent    Valid Percent    Percent
              Valid       Yes             27          96.4            96.4         96.4
                          No               1           3.6             3.6        100.0
                          Total           28         100.0          100.0




                          Are you Satisfied with tis promo
                  30


                                           27



                  20




                  10
Frequency




                      0
                                           Yes                     No


                          Are you Satisfied with tis promo


            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.




            BABASAB PATIL                                                                               75
                                                        A lot can happen over coffee

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.




BABASAB PATIL                                                                     76
                A lot can happen over coffee




 Suggestions
     &
Recommendation


BABASAB PATIL                            77
                                                  A lot can happen over coffee

                   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.




BABASAB PATIL                                                              78
                A lot can happen over coffee




    Conclusion




BABASAB PATIL                            79
                                                            A lot can happen over coffee

                                  Conclusion

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.




BABASAB PATIL                                                                        80
                                                         A lot can happen over coffee



Limitation:


     1.       A study is restricted only for Hubli CCD
     2.       Time duration is only 60 days
     3.       The respondents may give biased opinion.




BABASAB PATIL                                                                     81
                                                            A lot can happen over coffee

                                    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     
  c) Coffee & Snack                d) Price & Promo 

BABASAB PATIL                                                                        82
                                                              A lot can happen over coffee

     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       Neutral   Highly not Not
                       Satisfied                              Satisfied     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?
      a) Yes                           b) No   


BABASAB PATIL                                                                           83
                                                        A lot can happen over coffee

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 




                                Feedback form
Name__________________
BABASAB PATIL                                                                    84
                                                        A lot can happen over coffee

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


                                            Thank You

                                  Bibliography
BABASAB PATIL                                                                     85
                                                    A lot can happen over coffee




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




BABASAB PATIL                                                                86

				
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