New Report Available: Cafes/Bars in Indonesia

From: Fast Market Research, Inc.
Published: Sun Oct 04 2015


Cafés/bars continues to expand with the opening of more outlets, not only throughout major cities such as Jakarta, Bandung and Surabaya, but also in smaller cities as the companies present in the channel expand their focus. Mitra Adi Perkasa’s Starbucks chain, for example, opened its first outlet in Cirebon during the review period. In addition, Excelso Multirasa's Excelso Café expanded its outlet network to include Jogja City. Outlet volume grew at a faster rate in 2014, reaching a total number of 4,310 outlets. Cafés/bars have gained popularity among various different consumers of all age groups. These types of establishments serve as suitable gathering places for business meetings and for students to do their group assignments as well as for casual gatherings and hanging out, which drove growth in terms of volume and value sales throughout 2014.

Full Report Details at
- http://www.fastmr.com/prod/1056181_cafesbars_indonesia.aspx?afid=301

Competitive Landscape

Mitra Adi Perkasa, the franchisee of strong global brand Starbucks in specialist coffee shops, retained its leadership in value share in chained cafés/bars in 2014 with a value share of 33%. Nevertheless, the company’s value share was down by four percentage points during 2014 due to the competition it faces from new brands such as Caffe Benne, a South Korean franchised specialist coffee shops as well as the mushrooming of independent coffee shops generally. This decline in its value share towards the of the review period came in spite of the fact that the company opened new outlets throughout the review period and consistently invested in maintaining and improving the quality of its products and services. Nevertheless, Starbucks remains by far the leading brand in cafes/bars and there are plans to open an additional 35 new Starbucks outlets in Indonesia during 2015. These are set to include not only outlets located in shopping centres, where most specialist coffee shops are based, but also in less traditional locations such as hospitals, universities and rest areas along highways. Starbucks has also implemented a drive-through system, which is mostly available at its outlets located at highway rest areas, offering consumers convenience when ordering. Starbucks also generates sales from its merchandise, including tumblers, mugs and coffee presses. 50% discounts are also offered on the 22nd day of every month to customers who bring their own Starbucks tumbler when buying a hot drink.

Industry Prospects

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