The coffee chain opened 71 net new stores in India during 2023 to reach a total of 333 in a rapidly developing market for coffee and hospitality brands
A Starbucks store in Mumbai, India | Photo credit: Tata Starbucks
Tata Starbucks has set its sights on further expansion in India’s fast-growing branded coffee shop market after posting strong full-year sales and outlet growth.
Tata Starbucks ended its fiscal year ended March 2023 with 333 stores across 41 cities in India, adding 71 net new stores over the period.
The joint venture formed in 2012 to scale Starbucks across in India also generated revenues of RS 1,087 crore ($132.7m) over the past 12 months.
An investor presentation for parent company Tata Consumer Products (TCP) said Tata Starbucks was now ‘looking to rapidly expand its presence in the coming years’.
Speaking to 5THWAVE
magazine in March 2023, Tata Starbucks CEO Sushant Dash
said the coffee chain serves nearly 400,000 consumers in India every week. 2022 also saw the Seattle-based coffee chain open its first super-premium Reserve outlet in India
with a store in Mumbai.
India has a nascent but rapidly developing branded coffee shop and hospitality market.
International chains, including Costa Coffee
, Tim Hortons
, Pret A Manger
are all seeking to expand in India, now the world’s most populous nation and home to a burgeoning young and increasingly affluent demographic.
Domestic coffee chains have also gained significant ground in India. New Delhi-based Barista is seeking to reach 500 stores
in India by 2025, Telangana-based Chai Bunk is forecasting
it will reach 200 outlets in 2023 and specialty coffee chain Blue Tokai is targeting 200 coffee shops after raising $30m to fuel outlet growth
Tata Consumer Products (TCP), which manages Tata Starbucks alongside Tata Coffee
and a portfolio of tea and food ingredients brands, generated group 11% group revenues growth to RS 13,783 crore ($1.7bn) during its fiscal 2023.
TCP promotes that its products reach 200 million households and distributed to 3.8 million retail outlets in India.