| Daily Bread, the Bangalore-based Rs 25 crore premium bakery products retailer in which Britannia has a 50 per cent strategic stake, is aggressively expanding its coffee retailing business. |
| The company recently entered the coffee retailing business under 'Daily Brew' brand and has set up four outlets in Bangalore. |
| According to Arjun Sekri, CEO & MD, Daily Bread Gourmet Foods, they are planning to have around 20 coffee bars across Bangalore, New Delhi and Hyderabad by end of this fiscal. |
| "This is an extension of our offerings and it will help us in up-selling our range of bakery products to customers who come in for coffee," Sekri added. The company is expected to double this count during next fiscal. |
| Daily Brew joins a host of coffee chains in the country led by Café Coffee Day on an aggressive expansion mode. In addition to these two brands, Barista, Mocha, Kaapi Kadai are already into the sector. Global coffee chains too are finding India to be an attractive market. |
| Daily Bread spends around Rs 7 lakh on every coffee shop and has tied up with developers on a revenue share basis. |
| "In addition to independent coffee bars, we will have these outlets as part of our lounges which will have a wide range of bakery products besides a frozen desserts range," he said. Daily Bread, in addition to retail sales, also has substantial institutional sales. |
| The company is also looking at tying up with nationwide supermarket retailing chains such as Spencer's to set up coffee bars in their premises. |
| This will not only help Daily Bread in supplying the bakery range of products to these chains but also enhance the visibility of its coffee bars. |
| "These expansions are helping in taking our brand pan-India and we intend to have a topline of Rs 60 crore next fiscal," Sekri explained. |
| Britannia Industries, during mid-2006, acquired a 50 per cent stake in the firm from Café Coffee Day in an effort to expand its basket to gourmet packaged offerings. |
| According to Britannia, the demand for premium bakery products is growing and yields better margins compared to the volume game. |
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