Friday, July 28, 2006

News: India's Mocha to open outlets abroad

(BL 28/07/2006) Pune - Coffee and hookah bar chain Mocha is firming up plans to froth up its bottomline and add some spice to the already steaming coffee bar scene across urban India. Coffee lovers in Dubai, the Philippines, Singapore and Sri Lanka will also soon get their coffee with a distinctive Indian flavour with Mocha outlets expected to be opened there early 2007.

Impressario Entertainment & Hospitality, the company that owns the buzzing Mumbai-based coffee bar brand Mocha Coffee and Conversation, plans to take the number of outlets from the current 12 to 65 by end-2009.

Next week, it will open the first of these 65 in Pune's Law College area with plans to open another at the upmarket Koregaon Park area by December.

The company already has a presence in Delhi, Hyderabad, Chennai, Jaipur and Ahmedabad in addition to its flagship outlet in Mumbai's Churchgate.

Not just a coffee bar

"We don't want to be just a coffee bar, we want to develop Mocha into a destination where like-minded people gather to discuss their hobbies and passions," says Riyaaz Amlani, CEO and Managing Director.

The company has already kicked off its strategy towards this end. Over the last two years, Mocha has been the venue for a number of events including a discussion by film maker Nagesh Kukunoor on his film Igbal. It is home to the backpackers travel club, where those bitten by the travel bug come together, discuss their experiences, share tips and take off for a break outside the city.

In Ahmedabad, its outlet is often the place where National Institute of Design students display their sculptures and paintings while its Delhi outlet hosts a weekly Salsa dance club. "Mocha is an extension of people's personalities and our idea is to build communities based on geographies and shared interests," says Amlani.

Meanwhile, the company, which also owns Salt Water Grill, the bayside fine dining restaurant in Mumbai, is now firming up plans to unveil variations of the brand into other cities.

In Delhi, it plans to open The Smoke House Grill, which will offer smoked cheeses and other delicacies, beginning September 15. Hyderabad city will be home to The Still Water Grill, with the company opting for a lakeside location for the brand which will debut there by end 2007.

The company's overseas ambitions will kick off with multiple outlets opening in Dubai by early 2007 after which it will take the brand to Singapore or the Philippines in end-2007. Says Amlani, "By 2008, we plan to be present in at least three countries."

Strategy

"Our strategy is to focus on the kind of products that have made us so popular - good food and beverages, good prices and great ambience. We don't believe that pubs and other hang-outs which are alcohol-centric have longevity," Amlani said.

The company's expansion plans will be funded by a combination of internal accruals and loans and the company is right now in discussion for private placement from people who share its interest in the business model, he added.

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