Enters tier 2 and 3 cities, to double workforce, diversify store formats to meet customer preferences
Announces opening of second Starbucks Reserve® store and a new Indian arabica coffee to elevate the Indian coffee experiences
Following Starbucks long-term Triple Shot Reinvention Strategy unveiled in November, Tata Starbucks Private Limited today announced its ambition of operating 1,000 stores in India by 2028 or one new store opening every three days. The strategy focuses on skilling local partners for jobs, opening new stores that serve customers with an elevated experience, and promoting Indian-origin coffee to Starbucks customers around the world.
Already a trillion-dollar economy, India is at an inflection point and projected to become the world’s third-largest by 2030 according to economic forecasts, making it a focus area of growth for Starbucks. India’s strategic importance as one of Starbucks fastest-growing markets globally will see Starbucks doubling-down on its presence in the market.
Through a 50:50 joint-venture between Starbucks Coffee Company and Tata Consumer Products Limited that launched in 2012, Tata Starbucks now operates in over 390 stores across 54 Indian cities, with approximately 4,300 partners (employees) who proudly wear the green apron.
To achieve its target of 1,000 stores by 2028 the company will double its workforce to approximately 8,600 partners as it plans to enter Tier 2 and 3 Indian cities, expand drive-thrus, airports and its 24-hour store footprint to serve customers where they are.
As he visited India this week, Laxman Narasimhan, chief executive officer, Starbucks said, “Over the past 11 years, the India market has grown to become one of Starbucks fastest-growing markets in the world. With a growing middle class, we are proud to help cultivate the evolving coffee culture while honoring its rich heritage. With our trusted business partner, Tata, and our green apron partners, we are well-positioned to capture the limitless opportunities as we open one store every three days in India and further our aspiration to become truly global.”
Elevating India’s Bean-to-Cup Coffee Experiences
Following the success of Starbucks Reserve Fort Mumbai, that opened in 2022, Tata Starbucks will open the second Starbucks Reserve® store this year as part of the long-term commitment to elevate the coffee experience in India. Catering to the growing number of coffee enthusiasts with a penchant for premium coffee experiences, the new Starbucks Reserve® store will create unique moments of connection with customers through the artistry and craft of Starbucks® black apron Coffee Masters.
In line with the mission to elevate high-quality Indian arabica coffee, Starbucks Reserve® whole bean coffee Monsooned Malabar from India will be available both at Starbucks Reserve® Stores in India and the U.S. later this year.
Sunil D'Souza, CEO & managing director at Tata Consumer Products said, “Tata Consumer Products and Starbucks have enjoyed a remarkable journey, elevating India’s coffee culture and craftsmanship rooted in high-quality Indian arabica coffee beans. As we move into the next chapter of growth, we will continue to develop India’s coffee culture to deepen connections with our customers, while innovating to bring our unique Indian offerings to the global stage.”
Uplifting the Partner Experience to Bridge to a Better Future
Starbucks has a history of being a bridge to a better future for its partners and recently through the company’s Starbucks College Achievement Plan (100% tuition coverage) achieved the milestone of more than 12,000 graduates in the U.S. from Arizona State University to date. Over 25,000 Starbucks partners currently participate in the Starbucks College Achievement Plan and Pathway to Admission fully sponsored by the company.
In India as well, Tata Starbucks invests in the well-being of partners with industry-leading benefits by empowering its diverse partners, creating equitable development opportunities, and becoming the first food and beverage company in the market to establish a five-day workweek for its people. The company is proud to report that over a third of current partners have been promoted within the organization.
Supporting vocational skilling
Tata Starbucks will empower women in India by providing vocational skills training for underserved young women seeking careers in the F&B retail industries. In partnership with The Starbucks Foundation, which awarded a grant to Trust for Retailers & Retail Associates of India (TRRAIN) to provide 2,000 young women workforce development training, skills building and mentoring by 2024, Tata Starbucks extended on-the-job learning options for program participants in stores in Bengaluru, Chennai, Delhi, Hyderabad and Mumbai.
As Tata Starbucks grows across India, the company remains committed to expanding through elevated coffee experiences, unique store formats and personalized moments of human connection for sustainable growth.
Sushant Dash, chief executive officer of Tata Starbucks added, “Thanks to the strong foundation we have built in India, we are entering our next chapter of growth, driven by our unwavering commitment to create a uniquely Starbucks Experience that uplifts customers, communities and partners. With partners forming the heartbeat of our organization and shaping our success in India, we will continue to make meaningful investments that bridge a better future for all partners. Coupled with our focus on reimagining the ‘third place’ and extending our coffee leadership, we are poised to catalyze further growth in India.”
*Tier 2 and 3:
- RBI (Reserve Bank of India) divides Indian cities based on population into 6 different categories or tiers. These are Tier I to Tier VI based on the city's population density.
- Tier 1: 100,000 and above; Tier 2: 50,000 to 99,999; Tier 3: 20,000 to 49,999