Cafe Coffee Day
I love cafe
coffee day. They make a nice coffee with lots of designs including hearts and leaves.:) :)
Their store locations are usually spacious and comfortable. I have recently
figured out the fact that those who hate the brand are snobs. As the company
grows, they start falling into different fields and people should appreciate
it.
The above lines were told to me by one
of my fellow colleague, when I had to give him a huge lecture regarding his
limited knowledge and scope of thoughts!!!!
Originally,
CCD was one brand which led to a huge change in the Indian coffee market. It
narrowed down or almost finished the gully
coffee shops (at least for the “DUDE” class
initially) in and out of every
single youth location. In our faded memories, we all have the
image of those
small shops and “tapras” where we
used to get coffee for 5 or 6 Rs.They
used to sell hot,black,cheap,undrinkable,acidic
coffee (in the name of strong coffee!!)It
was fun for us as we used to sip it down speedily. At that moment, we never
thought that
there could be a different place for youngsters, because all that
was offered to our limited
knowledge and all other places were meant for Uncles!! :p
There
were a few places here and there, but they were unable to capture the mass, as regarded boring or not mah type!!! Furthermore these places were hardly
inviting,
comfortable couches with ac and attendants all around, where you can
comfortably read
a book or play a game and carry your laptop around.
CCD
is losing its charm!! Forgetting what has made it popular, the brand evolved to
a
further different platform including lounges and unnecessarily open spaces.
Each month it
seemed store space had been sacrificed to accommodate a new shelf
of junk.
Do people ever purchase
those crème rolls and cheesy chips or for that matter the CCD t-
shirt....alas!)
They
have started with new eat in menus but have forgot to keep the stock
of
cappuccino and Tropic Temptation or Iced Eskimo. Expanding brand requires a lot
of
research & development, keeping in minds the core customer interests.
Many a brands
today are losing the interest of their main customer’s .And now
that CCD is expanding into
all small cities, you can find the store at every
corner and street, which is one way
negative as its losing its diffentiability
and uniqueness. Not only CCD, many service brands
are blindly colliding in the
same race keeping the pursuit that the consumer purchasing
power has increased
in the due course of time, some of them have extended with the same
speed as
that of their extended product lines.
When
it comes to overextending of brands ,older brands are more prone to face danger
because of the related market value and expectations attached to them .Think about the Ponds Toothpaste ,which was
a complete failure ,as people relate ponds to fragrance and cosmetics, and they
were not ready to except the extension.
As
CCD is readily expanding its branches in many states and cities, it needs to
soon focus on the major implications it might face soon, with entry of
competitors like Starbucks, Costa and Barista, CCD might have to face a tough
time soon. Because now “A LOT CAN HAPPEN
OVER COFFEE ANYWHERE”. With its unplanned extensions along with annoying
music or local channels playing at some of the locations, people find it
difficult to differentiate its uniqueness, which was attractive earlier.CCD,
has lost its core customers, and now it is hard for it to persuade them to come
back.
The
greatest Irony for CCD’s success was the absence of other high-end brands in
the same game.CCD is a very small brand; these fatalities are even harming
large brands like Suzuki which miserably failed in its scooty Access 125
because it is difficult to change the relativity of brand with consumer. We all
know the reason of extension is to attract alternate market and consumers, but
it is imperative to keep in mind that retaining the old consumers is any day
easy and efficient than acquiring new ones. At all times, company needs to be
in the shoes of the consumer, to understand the specific wants and the related
utility that the brand is providing to him.
With
this all I certainly not mean that you should stop marketing, advertising and branding,
but yes you can be a little more intelligently focus the Adage of your company
to retain the long term bonds with your old and existing customers and mean
while can choose using alternative approaches to pull the new customer, keeping
in mind your core product. Keeping just to the core doesn’t mean sacrificing
expansions, it’s just what you are known for, or for that matter it is actually
your Name.