Tata Starbucks has unveiled ambitious plans to expand its footprint in India, targeting the establishment of 1,000 stores by the year 2028, a substantial increase from its current count of 390 outlets. The company, a joint venture between the Tata Group and global coffee giant Starbucks, aims to achieve this goal by opening a new store every three days and venturing into tier-2 and tier-3 cities across the country, as detailed in an official statement.
Highlighting India's potential as the third-largest global economy by 2030, Starbucks is strategically focusing on the nation's rapidly growing market. In pursuit of this expansion, Tata Starbucks intends to double its workforce, reaching 8,600 employees. The joint venture envisions entering untapped markets in tier-2 and tier-3 cities, expanding its presence in drive-thru setups, airports, and 24-hour store formats, according to the official statement. The decision to bolster its presence comes in the wake of Starbucks CEO Laxman Narasimhan's recent visit to the country.
Laxman Narasimhan expressed pride in contributing to the evolving coffee culture in India, emphasizing the country's growing middle class. With an 11-year presence in India, the company is positioned to leverage the "limitless opportunities" presented by the market. In the fiscal year 2023, Tata Starbucks reported a notable 71% growth in sales, reaching Rs 1,087 crore, according to media reports.
Sunil D'Souza, Chief Executive and Managing Director at Tata Consumer Products asserted that as the company enters the next phase of growth, it remains committed to deepening connections with customers and introducing unique Indian offerings to the global stage.
The expansion plan also incorporates a commitment to empowering women in India, with Tata Starbucks set to provide vocational skills training for under-served young women seeking careers in the food and beverage retail industries. Sushant Dash, Chief Executive of Tata Starbucks, emphasized the pivotal role of partners in the organization's success, pledging meaningful investments for a better future for all involved.