Restaurant India News: Barista Coffee Targets 800-900 stores by 2030, Eyes Tier-II & III Towns for Growth
Restaurant India News: Barista Coffee Targets 800-900 stores by 2030, Eyes Tier-II & III Towns for Growth

India’s largest homegrown coffee chain, Barista Coffee, plans to expand its network to 800–900 outlets by 2030, with a strong focus on tier II and III cities.

The company recently opened its 500th café in Patna, Bihar, and is seeing strong demand driven by growing coffee culture among young consumers, especially in smaller towns where aspirations and disposable incomes are rising.

Barista also plans to scale up its coffee vending machine business, a segment it entered two years ago. Currently, the company has installed 500 machines and expects to grow this network tenfold to around 5,000 machines over the next five years. The vending business is a key focus area, with encouraging response from institutional customers.

“Over the past 3–4 years, Barista has increasingly focused on tier II and III markets, where lower rentals and operating costs have led to better profitability compared to metros,” Rajat Agrawal, CEO, Barista Coffee.

As part of its expansion strategy, the company will add 50–60 outlets annually through a mix of company-owned and franchise-operated stores. Barista is confident of reaching 800–900 outlets within the next four to five years while maintaining a profitable growth approach.

In metro cities, Barista has a strong presence, with over 80 stores in Delhi-NCR and a large footprint in Mumbai. It operates 7–8 stores in Bengaluru and 5–6 in Kolkata and has presence across all major metros. However, the brand’s strongest growth momentum is coming from non-metro markets.

Agrawal said the Indian café industry is currently valued at around ₹6,000 crore and is growing at a compounded annual rate of 10–12%, driven by increasing coffee consumption. At the network level, including franchise operations, Barista expects sales of ₹400 crore in FY26.

 

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