A Rising Star

Aug 10, 2012

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In:Uncategorized

The consumer demand for gourmet coffee shows no signs of slowing, as the big boys look further afield for new opportunity and stellar sales targets

In a recent blog we spoke of the focus Starbucks is giving to the Chinese market…Now at an internationally accepted tipping point of 1 m bags of green coffee pa, this is certainly a market to watch, however, it is also interesting to hear of the growing cafe bar culture in Egypt!

Clearly, Australia’s largest coffee bar chain ’The Coffee Club’ founded 23 years ago in Brisbane, consider that the opportunity in Egypt outweighs the risks of the recent revolution and the uncertainty surrounding Mohammed Mursi’s fledgling democratic government.

This may not be such a short sited move, as traditional Egyptian culture is for friends and family to congregate around coffee rather than alcohol as would be preferred here in Western Europe…..

‘The Coffee Club’ was recently part purchased by Thai hospitality group ‘Minor International’…In the intervening 18 months, the chain has spread its ‘global wings’ and has opened new franchises in China (of course!) New Caledonia, Thailand and now Egypt

The group has a simple growth target ‘to open a new store every fortnight for the next five years’ and with sales growing 14.2% to $344m this seems to be on track!

Conversely, we hear that Costa Coffee’s plans in India have been put on a go slow….. as prohibitively high rental rates choke off an emerging market still to fully embrace cafe culture and the associated high price tag for enjoying the gourmet coffee lifestyle

Costa entered India in 2005 and has around 100 units vs the No 2 player ‘Barista Lavazza’ with 160 outlets and the No 1 player ‘Cafe Coffee Day’  with a whopping 1300 stores

Costa plans for 50 units to be opened pa in the biggest Indian cities… a tall order me thinks…..as the first signs of a market ‘not ready’ for western style cafe culture become apparent – Good Luck!

Meantime take my advice and lean back and relax with authentic perfetto espresso from the ESE experts at Aromo…’Monkey service please!’

Guru ( Andy Grelak) writes for Aromo Coffee – They are coffee experts focussed on providing convenient and tasty ways for the caffeine addict to take their medicine. Aromo supplies excellent ESE Coffee pods and superlative Senseo pods,  both of which offer the espresso and filter connoisseur  a no mess, no fuss,  super fresh and environmentally conscious method to make stunning coffee… the guys at Aromo also have a range of Dualit branded capsules which make a brilliant and economic alternative to nespresso capsules