The Indian coffee store business has the following dominant players
apart from Tata Starbucks:
Though Cafe Coffee Day and Barista are not direct competitors since the
others are premium chains, the fact of the matter remains that they do grab a
considerable chunk of the coffee pie. Costa Coffee is on an expansion spree
with more than 200 new stores in the offing by 2015.
On the world map, Starbucks has a tougher competition in the premium
breakfast segment from the following:
All these
brands are involved in a fierce show of strength, which is usually accompanied
by tongue-in-cheek promotional campaigns. Starbucks, on its part, keeps its
distance from offensive advertising and continues to maintain its fair share of
the market by projecting itself as the "third place" after home and
work.
Competition
from in-house products
Speaking
of the Java Chip Frappuccino in particular, it becomes imperative to account
for the competition that its faces from other items on the Starbucks menu.
Seasonal specials encourage loyal customers to veer away from regular
consumption habits and try newer blended beverages. In spite of minor shifts in
consumption patterns that are observed on a seasonal basis, the Java Chip
Frappuccino continues to be a favourite. It would be safe to expect continued
growth in loyalty so long as Tata Starbucks' cash registers are ringing.
