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Starbucks entered India in October 2012 through its 50:50 joint venture with Tata Consumer Products Ltd. with just 12 stores, saw steady growth, with the store count doubling by 2014 and reaching 43. The following years saw Starbucks maintain a consistent pace of expansion, adding new stores year after year.
Starbucks opened it 100th store in 2017 to mark its 5th year of selling coffee in India.
As of January 2024, the Seattle-based company operates approximately 390 stores across 54 cities in India, demonstrating its commitment to expanding its presence in the country's thriving retail market.
The coffee giant plans to more than double its store count to 1,000 outlets across India by 2028 - an aggressive pace of opening one new store every three days.
To achieve its bold target of 1,000 stores in the next five years, fueled by rising coffee consumption in India, Starbucks will:
- Double its workforce to approximately 8,600 employees
- Expand its reach beyond metro cities, targeting Tier-II and Tier-III cities to tap into a wider customer base.
- Recognise customer convenience, Starbucks will focus on opening drive-thrus and expanding its footprint of 24-hour stores.
- Plans to open a second Reserve Store this year, offering a premium coffee experience. The first Reserve Store was opened in 2022 in Mumbai
The coffee chain is also elevating the premium experience by opening its second Starbucks Reserve store and introducing an exclusive Indian Arabica coffee called Monsooned Malabar later this year.
Financials
In the financial year ending March 2023, Starbucks reported revenue of Rs 1,086.89 crore (around $133 million), a 70% increase compared to the previous year.
However, profitability remains elusive due to the high costs associated with initial ramp-up and real estate expenses. The company reported a net loss of Rs 25 crore ($3 million) in FY23.
