Too hot to handle

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: That apart, food items bring variety and contribute significantly to the overall revenue. About 70% of the revenue at Barista’s Espresso bars, for instance, comes from beverages and the balance from food. At crème bars in comparison, food contributes 40% to the sales.

Rival CCD is not far behind in terms of its expansion plans. On the face of it, the strategy of the two brands may seem identical; the difference, however, lies in the implementation. While CCD has different menus at separate locations—and hosts food festivals too—Barista provides offers games, live music, reading, and photographic exhibitions as product plus.

All the good news, however, won’t take away from the challenges ahead. First, real estate prices are skyrocketing. High-street presence in Delhi and Mumbai are said to be in line with some of the most expensive cities of the world. Second, manpower is a nagging problem just like in other high-growth industries. So getting the right people, retaining them, and managing and instituionalising high levels of training will continue to be a big issue. Third, ensuring the same quality across outlets across locations is a major task as consumers become more discerning and demanding.