Consumer Behaviour Project

CONSUMER BEHAVIOUR PROJECT
• The energizing effect of the coffee bean

plant was first recognized in Yemen in Arabia
and the north east of Ethiopia.
• The cultivation of coffee first expanded in
the Arab world.
• The earliest credible evidence of coffee
drinking appears in the middle of the
fifteenth century, in the Sufi monasteries of
Yemen in southern Arabia.
• From the Muslim world, coffee spread to
Italy, then to the rest of Europe, to
Indonesia, and to the Americas.
COFFEE
PRODUCTION
• An important export commodity, coffee
was the top agricultural export for twelve
countries in 2004.
• World's seventh-largest legal agricultural
export by value in 2005.
• Of the two main species grown;
Arabica coffee plant Arabica coffee &
Robusta coffee.
• The Indian contest of coffee started with an Indian Muslim saint, Baba
Budan in 1670.
• In 1942, Indian government decided to regulate the export of coffee
under the COFFEE BOARD OF INDIA.
• Story of Coffee so far
The drink now

Previously, only a Places to lawyers
Confined to Rich has became a
South Indian and educated
Brahmin class more of a
Drink class
concept
• CCD was founded 26 years ago in
1993 by V. G. SIDDHARTH.
• Headquarters in Bangalore
KARNATAKA.
• Brought Coffee culture to India.
• Café Coffee Day Global Limited
Company is a Chikkamagaluru-based
business which grows coffee in its
own estates of 20,000 acres.
• It is the largest producer of arabica
beans in Asia, exporting to various
countries including the U.S., Europe,
and Japan
Core product
• Experience
Supplementary services
• Wide range
• Merchandising
• Ambience
Delivery
• Hospitality
• Price of the product
Total Operating Revenues
140.31
122.32
150 96.46
100
50
0
Mar 19 Mar-18 Mar-17
Net Profit
0
Mar 19 Mar-18 Mar-17
-50
-67.71 -61.49
-79.58
-100
Particulars Mar-19 Mar-18 Mar-17
Total Operating Revenues 122.32 140.31 96.46
Analytical Review of FY 17-18
The increase in turnover was on account of:-
☛Projected future growth
☛Foreign Tourist Arrivals (FTAs) in India increased 8.4 per cent year-on-year to 1.06 million and the
number of FTAs on e-tourist visa increased 58.5 per cent to 2.40 lakh foreign tourist as per Ministry
of Tourism, Government of India which is directly affecting the company sales.
Analytical Review of FY 18-19

The decrease in turnover was on account of:-
☛The Company has shut down between 25 to 30 stores in FY19 which were non- profitable thus the
overall revenue of the company has fallen. The shut of the smaller stores of around 500 to 600 sq ft,
as we are focusing on opening bigger stores of around 1,200 to 1,400 sq. ft.
☛Competition-The Company is facing competition from leading coffee chains like Barista, Costa
Coffee, Tata Starbucks which is effecting their overall revenue and profitability.
There is a definite skew towards
singles: 66% singles, 27% married
& 7% others.
• Established during the year 1971. • Established in 2000 and has over 225
and on 19 October 2012, Starbucks Barista Coffee Espresso Café.
opened its first store in India.
• The Barista Café chain of espresso bars
• The main products of the company delivers a truly Italian coffee experience
are coffee, tea, smoothies, baked in warm, friendly and relaxed
foods, and sandwiches. environment.
• The main strength of the company • It provides a comfortable place for

is the loyal customers who prefer people to unwind over interesting
Starbucks coffee for its taste and conversations and a hot cup of coffee.
quality.
• Revenue - $2471 crore • Revenue - $95 million
• Net Income - $451 crore • Net loss - $2.84 crore
• Debt – $9.02 billion
H:\Consumer behavior Live project\CCD Vs. STARBUCKS.mp4

• After death of founder VG Siddhartha,
CCD share fall by 59.67%.
• Share price drop from 154.05 to 77.20 on

BSE
• The market capitalization has reduced to

Rs 1630.86 crore from Rs 4067.65 crore.
Provides an
emotional
identity for a
Sincerity Competence
brand and
encourage
customers to
respond with
feeling and
emotions towards
the brand.
Excitement Sophistication
“Process
that leads
people to
behave as
they do”
Marketers do not create needs but can make consumers aware of

needs.
Psycho-
genic Affiliation
Needs Needs
Social Needs Exhibition

Need
Marketers offer bundle of several benefits together to resolve this
conflict
Food
Snacks Burgers Sandwiches Deserts Cakes
Beverages
Tea Coffee Smoothies Shakes Other Beverages

Many marketers realize the longstanding learning connections between
product and life are potential way to build loyalty.
“Permanent
change in
behavior that
experience
causes.”
H:\Consumer behavior Live project\Shreya

instagram.mp4
Café Coffee Day associate with Relaxation, socializing, Hangout space, for
meetings and lots more…..
Perception
Customer perception is
what your customers and
potential customers think
of your organization. This
perception directly impacts
the attraction of new
customers and the capacity
to maintain good
relationships with current
customers .
• Distinguishing yourself in a market is challenging enough. When that
Why market is competitive, it becomes even more of an issue. For brands
looking to find an edge, having positive brand perception is key to being
Perception remarkable to the space.
Is
Important?
• We live in an era where the perception of a brand is no longer reliant on the
quality of a product. Instead, a brand’s reputation is reliant on the perceived
value to its customers and expands much further than whether or not the
product works.
•Perception
Sounds, images, smells, and even tastes can
all affect the way that your target audience
thinks about you. By coming to terms with
the science of sensory marketing,
businesses can begin to experiment with
the alchemy of brand loyalty and discover
the concepts that truly convince customers
to buy.
• https://www.youtube.com/watch?ti
me_continue=142&v=kmrc8ZJld8A
• CEO, Cafe Coffee Day said, "At Cafe Coffee Day, our
first priority is to understand the cafe goers and take
care of their food and beverage preferences.
• The concept of ‘great value offering’ is a key youth

criterion and one of the key pillars at Café Coffee
Day to differentiate and effect people’s perception.
• Cafe Coffee Day, aims to have a network of around 2,500 stores in the
next 7-8 years as part of its expansion plans around 100 stores every
year.
• Besides and also look to tap the opportunities coming out from the
tier II and tier III places.
• Deals Buzz: VG Siddhartha seeks 8000-10000 crore valuation for CCD
• Current Interim chairman: SV Ranganath
• Chief operating officer: Nitin Bagmane
Why is Coca-Cola eager to buy Café Coffee Day?
https://www.businesstoday.in/videos/news-reel/late-
vg-siddhartha-founder-of-cafe-coffee-day-shared-
future-plans-in-earlier-interview/370098.html
Revenue in the Coffee segment amounts to US$928m in 2019. The market is expected to grow annually by
6.7% (CAGR 2019-2023).
A lot more can happen
over coffee…
Thank You..!!
Presented By-
Shelly Saraogi
Mayank
Khandelwal
Shreya Yadav
Prerna Mangla
Prachi Kapil
Nitin Singh

Consumer Behaviour Project

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CONSUMER BEHAVIOUR PROJECT

• The energizing effect of the coffee bean

The drink now

Analytical Review of FY 18-19

• The main strength of the company • It provides a comfortable place for

• Net Income - $451 crore • Net loss - $2.84 crore

• Debt – $9.02 billion

H:\Consumer behavior Live project\CCD Vs. STARBUCKS.mp4

• Share price drop from 154.05 to 77.20 on

• The market capitalization has reduced to

Marketers do not create needs but can make consumers aware of

Social Needs Exhibition

Tea Coffee Smoothies Shakes Other Beverages

H:\Consumer behavior Live project\Shreya

• The concept of ‘great value offering’ is a key youth

Why is Coca-Cola eager to buy Café Coffee Day?

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