Café Coffee Day (CCD) is one of India’s most recognised coffee brands with a long history of serving coffee lovers across the country. While CCD traditionally operates mainly through company-owned outlets, business models exist where partners, space owners, or investors can enter into revenue-sharing/operational partnerships that closely resemble franchise arrangements. This guide explains what such a partnership involves — including investment costs, fees, profit & ROI, space and manpower needs, franchisor support, pros & cons, eligibility criteria, application steps, risks, and FAQs — in clear, practical terms.

☕ CCD & Its Opportunity in India

Cafe Coffee Day

Café Coffee Day has been a major player in India’s coffee culture since the 1990s, operating thousands of cafés nationwide. Today, the brand seeks partners who own or control commercial space — particularly high-footfall locations — to set up or convert outlets under the CCD banner. The partnership is often revenue-sharing rather than a classic franchise model, but from an investor’s point of view it functions similarly.

💰 Investment Cost (INR)

The total investment to start a CCD outlet partnership varies greatly depending on format, space, and city.

Cost Component Typical Range (INR) Details
Franchise / Brand Fee ₹0.5 – ₹10 L One-time fee depending on model and negotiation
Interior & Setup ₹20 – ₹50 L Décor, furniture, coffee machines
Kitchen & Equipment ₹10 – ₹25 L Espresso/coffee machines & display units
Working Capital ₹8 – ₹15 L Salaries, inventory buffer
Security Deposit ₹3 – ₹8 L Often required for revenue-sharing agreements
Estimated Total Investment ₹40 – ₹80 L+ Depends on space & format
Space Required ~1,000 – 1,500 sq.ft Best on ground floor with visibility

📌 In metro cities, investment tends to be higher due to rent, construction, and interior costs. Tier-2 cities may require relatively less.

💼 Franchise Fee & Royalty / Revenue Share

Franchise / Brand Fee

CCD generally charges a one-time brand fee ranging roughly from ₹50,000 to ₹10 Lakh depending on the outlet type and agreement terms.

Royalty / Revenue Share

Rather than a fixed royalty, many CCD partnerships involve a revenue share where the brand takes a percentage of sales or a fixed income share and the partner retains the rest. Estimates suggest the franchisor retains about 5 % of sales while the partner retains ~95 % under revenue share models, though exact terms vary contract-to-contract.

👉 CCD may also require a marketing contribution (often 2 % – 3 % of gross sales) for national/local promotions.

📊 Profit Margin & ROI

Profit Expectations

Metric Typical Range / Estimate
Gross Profit Margin 60 % – 70 % on beverages; 40 % – 50 % on food
Net Profit Margin 15 % – 25 % (after expenses)
Monthly Turnover (Metro) ₹8 – ₹15 L (est.)
Monthly Turnover (Tier-2) ₹5 – ₹10 L (est.)
ROI / Break-Even ~2 – 3 years (typical)

📌 CCD outlets can deliver healthy margins on coffee and snacks due to brand pricing and product mix, but actual earnings depend on location, rent, and cost control.

🏢 Space & Manpower Needs

Space Requirements

Outlet Format Space Needed
Full Café ~1,000 – 1,500 sq.ft (ground floor)
Express / Compact ~500 – 800 sq.ft (takeaway/stand)

High Footfall Areas: near offices, malls, campuses, transit hubs.

Manpower Requirements

  • Staff: 4 – 8 employees (baristas, service staff, cashier).
  • Manager: Recommended for larger outlets for daily operations.

🤝 Franchisor Support

CCD, or its partnering frameworks, typically provide:

Site evaluation & outlet planning support
Branding, décor, and interiors guidance
Training for staff and operators
Menu standardisation & supply chain assistance
POS systems & operational SOPs
Marketing & promotional assistance (national campaigns + local support)

Such structured support helps partners maintain quality and service consistency.

👍 Pros & 👎 Cons

✅ Pros

Strong brand recognition across India.
High customer trust and repeat business.
Wide menu appeal (coffee + snacks).
Structured operational support from CCD.

❌ Cons

Higher investment than small kiosk brands.
Operational complexity (staff, inventory, quality control).
Location dependence: footfall heavily affects sales.
Competition: starbucks, barista, chai cafés, and local outlets.

📋 Eligibility Criteria

To partner with Café Coffee Day:

Commercial space owner or long lease rights for required area.
Financial readiness: liquid capital ₹25 L+; net worth ₹50 L+ often preferred.
Agree to revenue-sharing model or negotiated terms.
Willingness to maintain brand SOPs and quality.
Basic business and staff management skills (experience helps).

✍️ Application Process

Here’s how to apply for a CCD partnership:

  1. Initial Enquiry: Contact CCD’s business development team (email: bd@cafecoffeeday.com).
  2. Submit Space Details: Provide area, frontage, photos, and demographics.
  3. Evaluation: Brand evaluates location viability and footfall.
  4. Agreement Signing: Finalise revenue-share/terms and sign contract.
  5. Setup & Training: Complete setup, staff training, and launch support.

⚠️ Risks to Consider

  • Real Estate Costs: Rent deposits and monthly leases can significantly affect profitability.
  • Staff Training: Service quality and consistency matter in hospitality.
  • Operational Costs: Utilities, raw materials, and wages add up in larger outlets.
  • Market Competition: Intense with global and domestic café chains.

❓ FAQs (Frequently Asked Questions)

Q1. How much is a Café Coffee Day franchise cost in India?
A: Typical total cost ranges ₹40 – ₹80 L+ including brand/partner fees, interiors, equipment, working capital, and deposit.

Q2. What space is needed for a CCD outlet?
A: Generally 1,000 – 1,500 sq.ft ground-floor space with good visibility.

Q3. How long until break-even?
A: Many outlets aim for 2–3 years break-even with strong operations.

Q4. Is prior café experience required?
A: Not mandatory, but helpful for operations and staff management.

Q5. Does CCD charge royalties?
A: CCD partnerships often involve revenue sharing (~5 %) instead of fixed royalties.

🏁 Conclusion

A Café Coffee Day partnership offers a chance to operate under one of India’s best-known coffee brands with structured support and wide customer appeal. The investment is significant and location-dependent, requiring strong financial planning and operational skill. With the right commercial space, management focus, and brand compliance, a CCD outlet can deliver steady sales and competitive profitability over time. Always verify specific terms directly with CCD before committing.

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