Starbucks on Thursday announced the launch of its inaugural “experiential store” in Punjabi Bagh, New Delhi. The new store concept designed to celebrate India’s rich and diverse flavour traditions, the company said.
Sushant Dash, CEO of Tata Starbucks, emphasised that the store’s design, offerings and overall experience are deeply inspired by Indian culture. “The entire concept reflects and honours the local community, including its art and heritage. The launch of our first coffee experiential store in New Delhi is a celebration of Indian coffee heritage through a fusion of variety, artistry, and food theatre, complemented by international coffee offerings,” Dash said. He also noted that this is the first of many similar stores set to open across the country.
The store offers a unique range of beverages crafted with ingredients sourced from across India, such as jaggery, chili, shikanji, guava, and tamarind. Some offerings include the Malabar Coconut Cream Latte, inspired by Kerala’s culinary traditions; the Cinnamon Jaggery Latte, made with organic jaggery from Maharashtra; the Cocoa Birds Eye Chilli Latte, a nod to Meghalaya’s flavors; and the Tamarind Red Peroo Shikanji Cold Brew.
In addition to these distinctive beverages, the store offers an extensive selection of coffee products, including five exclusive espresso bean varieties and thirteen whole bean options, ranging from light to dark roasts. These beans are sourced from regions such as India, Kenya, Sumatra and Latin America. A first for Starbucks in India, the store will feature the AeroPress brewing method, allowing customers to experience and customise their coffee to their preferences.
Dash further highlighted that the launch aligns with rising consumer demand for innovative coffee experiences. “There is a growing interest in new coffee formats, and we are proud to celebrate the rich tradition of Indian coffee through this new store,” he said.
The store’s design tells stories from coffee farms around the world, offering an immersive space where customers can explore diverse flavour profiles and brewing techniques, enhancing their overall coffee experience.
The Indian coffee market was valued at $1.8 billion in 2023 and is expected to reach $2.4 billion by 2030, with a compound annual growth rate of 4.3%. Within this market, the coffee retail chain segment accounted for $564.3 million, with the dine-in sector holding a 62.4% market share.
Starbucks currently operates over 421 stores in 61 cities across India. The company opened 95 new stores in FY24, surpassing its previous record of 71 new stores in the prior fiscal year. According to industry sources, it has the largest share of the revenue pie in the Indian coffee retail chain market (at 35-40%). However, despite a 12% growth in revenue from operations, the company’s losses widened to ₹81 crore in FY24, up from ₹23.9 crore the previous year, as reported in TCPL’s annual report.