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Coffee lovers in India have a new reason to rejoice with the arrival of abCoffee, a Mumbai-based coffee chain founded in June 2022. AbCoffee is set to change the game with its innovative approach to the Quick Service Restaurant (QSR) model with tech-enabled coffee outlets known as "coffee decks," offering speciality coffees that can be traced back to a single farm or plantation.
Abhijeet Anand, the founder of abCoffee, is an entrepreneur from IIT Dhanbad. He has come up with an innovative approach to offering speciality coffee at affordable prices.
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The speciality coffee industry in India is booming, with a worth of $0.9 billion in 2022, expected to grow to $2.30 billion by 2030, with a Compound Annual Growth Rate (CAGR) of 12.5%.
What makes abCoffee unique?
The coffee chain focuses solely on speciality-grade coffee, maintaining wastage at less than 1% and offering coffee at one-third of the price of other speciality coffee chains in the country.
The cup score of abCoffee's coffee is above 80 points out of 100, making it some of the highest-quality coffee available in the country.
AbCoffee employs an advanced grab-and-go system that utilizes technology to facilitate orders. Customers can effortlessly place their orders by walking into the QSR setup and utilizing the NFC touchpoint or scanning the QR code.
Furthermore, the startup provides a tech stack that enables customers to order their preferred coffee while on the move. The coffee chain offers classics such as espresso, flat white, mocha, and cappuccino and cold beverages such as iced Americano, frappuccino, iced latte, and Irish cold coffee.
The Numbers - Revenue and funding
With five coffee decks in Mumbai and plans to open five more in the city, abCoffee has served 28,000 cups of coffee in a span of eight months, with a customer retention rate of 69%.
According to Your Story, the startup’s annualized revenue run rate is Rupees 1.8 crore, and 80% of revenue comes from takeaways and deliveries.
The success of abCoffee has not gone unnoticed by investors, with the startup raising $300K from various angel investors and venture capitalists in Dec 2022.
The road ahead
The startup has ambitious plans for expansion, with aims to set up over 100 decks across the country this year in Mumbai, Bengaluru, Delhi, Hyderabad, Gurugram, Pune, Prayagraj, Leh, Ahmedabad, and more.
AbCoffee's innovative approach to offering speciality-grade coffee at affordable prices has been well-received by customers, leading to its success in the Indian coffee industry.
The startup's use of technology to facilitate orders and reduce wastage has made it a favourite among coffee lovers in Mumbai, and its expansion plans are set to bring high-quality coffee to customers across the country. If you are a coffee lover in India, abCoffee is definitely a coffee chain to watch out for!