With the launch of South India’s first Starbucks Reserve store in Hyderabad, Tata Starbucks is betting on the city’s growing appetite for premium coffee experiences. In an interaction with Deccan Chronicle, Tata Starbucks CEO Sushant Dash spoke about Hyderabad’s evolving cafe culture, changing consumer preferences, expansion plans and the future of India’s coffee market.
Excerpts:
Why Hyderabad
Hyderabad has emerged as one of India’s fastest-growing markets with a young, globally exposed consumer base. Over the past two to three years, we’ve also seen the city’s cafe culture, particularly the specialty coffee segment, evolve significantly. We felt consumers here were ready for the Reserve. We’ll first see how this store performs. If customer response and business conditions support it, we’ll certainly evaluate more Reserve stores in the city. The availability of suitable retail space will also be an important factor.
Reserve offers
Reserve stores offer our most elevated coffee experience. At present, we have coffee from Coorg. These are limited lots, so you’ll have coffee from one particular estate or farm in India, Colombia, or Brazil today, and next year it could come from somewhere entirely different. It all depends on the quality and standards of that particular harvest. They will also have brewing methods such as siphon, Chemex and pour-over.
Filter coffee devout
We don’t see ourselves replacing traditional coffee. South India has always appreciated good coffee and new experiences. We co-exist with the existing coffee culture and even serve filter coffee and masala chai. We also introduce regional food offerings to make the brand more relevant to local consumers.
Preferences
The coffee category is expanding across consumer segments. While many people are entering cafes for the first time, more experienced coffee drinkers are looking for specialty coffees, single-origin beans and different brewing methods. We’re also seeing growing demand for healthier choices, including protein coffee, alternative milk options and beverages with lower or no sugar.
Young consumers
One of the biggest trends is the rapid growth of cold beverages. India has traditionally been a hot beverage market, but younger consumers are increasingly choosing cold brew and refreshers. We expect that trend to continue.
Indian cafe segment
The cafe industry is growing at around 20 per cent annually, and India remains one of Starbucks’ fastest-growing markets globally. Coffee penetration in India is still around 22–23 per cent, so there is opportunity to bring new consumers into the category while also serving those looking for more premium coffee experiences.
Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: deccanchronicle.com
