Tata-owned Starbucks is now the largest organised café operator in India. They added 19 new outlets in five cities in Q2 FY25. India now has 457 stores across 70 cities through the Tata-Starbucks joint venture, Tata Consumers said in a Friday, October 18 exchange filing.
Starbucks aims to operate 1000 cafes by 2028
According to Economic Times, earlier this year, Starbucks announced it would open a new store every third day in India, aiming to run 1,000 cafés by 2028. “Tata Starbucks reached the milestone of being the largest café operator by store count, with 457 stores across 70 cities,” said Sunil D’Souza, Managing Director & CEO of Tata Consumer Products.
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Famous for its premium coffee house experience, Starbucks is in all major metropolitan cities like Mumbai, New Delhi, Bengaluru, Chennai, Kolkata, and more. The India branch remains part of Starbucks’ global plans, as D’Souza said, due to its strong relationship with the coffee-maker.
Coffee consumption in India stays low at 25%
However, the coffee consumption in India is still low at about 25%. D’Souza said this is because India is mainly a tea-drinking nation. In the beginning, people preferred blended drinks like frappuccino over espresso in August, reported ET.
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Additionally, Tata Consumers saw a 7% growth in international market revenue, driven by better performance in the UK, according to their Friday exchange filing. “We delivered strong performance in the International Business along with significant margin expansion led by strong revenue growth in the UK and earlier structural interventions,” D’Souza added.
Further, Tata Consumer Products reported an 8% increase in net profit for the quarter ending September 2024, reaching Rs 364 crore, compared to Rs 338 crore the previous year with profit after tax (PAT) of Rs 314 crore.
Revenue of fmcg major for the quarter was Rs 4,214 crore, a 13% increase from Rs 3,734 crore in the same quarter last year.
