Café Coffee Day Marketing Strategy & Marketing Mix (4Ps)
Published by MBA Skool Team, Last Updated: February 21, 2017
Marketing Strategy of Café Coffee Day analyses the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like product innovation, pricing approach, promotion planning etc. These business strategies, based on Café Coffee Day marketing mix, help the brand succeed.
Café Coffee Day marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Café Coffee Day Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
Café Coffee Day Product Strategy:
The product strategy and mix in Café Coffee Day marketing strategy can be explained as follows:
Café Coffee Day is one of the leading coffee chains in India. Café Coffee Day operates through different divisions based on the kind of service it delivers. Fresh ‘n’ Ground sells coffee bean and powder in retail outlets across the country. Coffee Day Square and Lounge are premium coffee bars that serve a variety food and beverages: Desserts, snacks and even heavy food items like biryani. Beverages include different types of coffees, shakes and lemonades. The Café Coffee Day outlets also sell apparels, cups, accessories, gift cards and other items. CCD is also into business to business services like, catering services and corporate orders. It also sells vending machines to colleges and corporate offices. The basic product that they are selling here is Experience. Experience that the target audience wants through its foods, beverages, ambience and other products like merchandise. This gives an overview of the marketing mix product strategy of Café Coffee Day.
Image: company website
Café Coffee Day Price/Pricing Strategy:
Below is the pricing strategy in Café Coffee Day marketing strategy:
Café Coffee Day prices according to its divisions, square and lounge are premium priced and Café is priced by competitive pricing.
Café Coffee Day also follows value based pricing in its marketing mix by offering the items in different quantities like small, medium and large. Also by adding extra ingredients like chocolate sauce or extra cream CCD prices beverages at premium range. So the pricing strategies are not rigid and through its flexible and varied prices it caters to the customers in different segments like students and corporate employees. CCD sells vending machines to other business clients and advertising space at its outlets for other revenue streams.
Following is the distribution strategy in the Café Coffee Day marketing mix:
Café Coffee Day operates in nearly 1530 retail outlets in all the states of India. Also through its acquisitions it also operates in countries like Czech Republic, Austria and Malaysia. Café Coffee Day opens its outlets in strategic locations where there are high foot falls like shopping malls and busy streets. It maintains three kinds of outlets like Café coffee day stores, CCD lounge and CCD Square. CCD stores are for majority segments where they can enjoy coffee, food and spend time with friends and family. Lounges are for niche segments. These are premium outlets aimed at the coffee connoisseurs who love to pay premium for a great cup of coffee. Square outlets sell variety of single origin coffee from the countries that produce them. It also has wide menu of food items of different cuisines.
These Café Coffee Day stores have Wi-Fi, presentation screens and valet parking services attracting business class customers.
Café Coffee Day Promotion & Advertising Strategy:
The promotional and advertising strategy in the Café Coffee Day marketing strategy is as follows:
Café Coffee Day does promotions in wide variety of ways both ATL and BTL. But proportion of mass media campaigns are less comparatively. Café Coffee Day does promotional activities in spaces where its target audience are available. CCD uses television commercials and advertisements in print media, co-branding in movies and television series. It also does sales promotions like happy hours, combo deals and coupons. Café Coffee Day ties up with brands and provide them space on the walls of its outlets to advertise. It conducts contests and uses tent cards in its restaurants for effective promotions.
Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Café Coffee Day.
Café Coffee Day employees sport a uniform designed for them and are very gentle while talking to the customers whether it is taking the orders, serving or taking the bill. Employees greet the customers when they enter and leave the premises with a warm smile. They are trained to improve people skills and communication skills. Most of the employees speak English language along with the regional language of that region the operate. CCD gives a great importance to customer engagement. This tell about people strategy in the marketing mix of Café Coffee Day.
Café Coffee Day has several processes in place as it is a leading service brand. Once a customer enters the premise of the restaurant every process from taking the order to checkout by paying money is done in a very orderly fashion. CCD makes sure the response time is as minimum as possible for the customer satisfaction. Café Coffee Day also provides some additional process like customers being assisted by a brew master at premium lounges and valet parking services. Every process like this is separately designed and integrated for great user experience. Few places like corporate offices have a self-service counter.
Café Coffee Day creates a very appealing and beautiful ambience at its restaurants and uses different combinations at different places. CCD stores uses violet colour while the premium stores like Lounges uses sea green colour in its interiors. Its logo is a dialogue box with Café Coffee Day written inside the box. It conveys its positioning as a place to sit and have a conversation with loved ones. It also sells mugs and cups with its name written on it and also have its merchandise. The employees at Café Coffee Day also wear a uniform with a cap. Hence, this covers the marketing mix of Café Coffee Day.
Café Coffee Day
Coffee Day Global limited founded by V. G. Siddhartha owns Café Coffee Day, popularly known as CCD. CDGL is Asia’s largest producer of Arabica beans from their 12 thousand acres of plantations at Chikmagalur, Karnataka. CDGL exports the coffee beans to various countries in Europe, USA and Japan. CCD is a retail restaurant owned by CDGL which started its operations in 1996 in Bangalore. They pioneered the Coffee Bar concept in India positioning the restaurant as a cool and fun place to hang out with friends. Café Coffee Day is considered as a good place to meet people, celebrate any occasions and even business meetings. CCD is known for its effective management from giving the best experience to the customers to the efficient cost management by vertically integrating many entities in its value chain.
Café Coffee Day own the plantations, grow and export the beans, own the restaurant chain that serve coffee. They even manufacture the coffee vending machines that they own and also the furniture in their outlets.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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