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Bangkok Post
Bangkok Post
Business

The Coffee Club resumes expansion in Thailand

Mrs Nongchanok stands by a model kangaroo in front of The Coffee Club's Wireless Road branch. The firm's new store decor has adopted a more Australian theme.

The Coffee Club, an Australian restaurant, has resumed its expansion after its business started to see a full recovery from the impact of the Covid-19 outbreaks last year.

According to Nongchanok Stananonth, the company's general manager, the Coffee Club plans to open eight new branches this year, focusing on major cities and tourist destinations.

Two new restaurants were recently opened in Phuket, one in the Old Town and one in Boat Lagoon, and two new "grab & go" branches to better suit the lifestyles of the new generation at Phuket's Jungceylon shopping complex and Bangkok Hospital Phuket.

The third new Coffee Club grab & go branch is scheduled to open in June 2023 at the Park Silom project in Bangkok's Silom neighbourhood.

"The grab & go outlets will open mainly at community malls or department stores on the outskirts of Bangkok, with the aim of reaching more customers," Mrs Nongchanok said.

The investment required for a grab & go branch ranges from 3-5 million baht for a space of 30-70 square metres, while an original The Coffee Club branch costs 8 million baht for a space of 100-300 sq m.

"This year, we are moving forward with our expansion plans after experiencing a full recovery in business since last year. The return of foreign tourists and the resumption of a normal life for Thais have resulted in The Coffee Club's revenue growing by about 97% in the first quarter of 2023 compared to last year. Furthermore, the average number of customers has increased by 81%, with significant growth observed in popular tourist destinations such as Phuket," she said.

Mrs Nongchanok said all-day dining restaurants and cafés have become increasingly popular in Thailand. This is evidenced by the growing number of new establishments of this type. Consumers are no longer simply looking for restaurants that can cater to all their needs in a single location, but are also seeking out food made from sustainable ingredients and production processes.

To remain competitive, in addition to launching a new grab & go branch, the company has revamped the decor of its Wireless Road location in Bangkok to create a more authentic Australian ambience. This unique style of decoration will be rolled out to other branches throughout the year.

Furthermore, The Coffee Club has introduced new signature all-day dining recipes for its breakfast menu and has refreshed its entire menu with new colours and layouts to generate excitement and boost sales. As part of this process, the number of dishes has been reduced from 80 to 50, with a focus on keeping fast-moving items while eliminating those that use high-priced ingredients but have a lower average number of orders per day.

"Having fewer dishes will increase our competitiveness as our staff have more time to concentrate on each fast-moving recipe and maintain a consistent taste,'' Mrs Nongchanok said.

With the Australian-style all-day dining restaurant becoming increasingly popular among consumers in Thailand, The Coffee Club will prioritise the provision of a diverse range of food options to fully meet the needs of its customers. The company plans to launch new food and beverage options every two months and collaborate with partners.

"All of our marketing activities have helped increase awareness of The Coffee Club among Thai customers," Mrs Nongchanok said. "As a result, the proportion of Thai customers at The Coffee Club has increased from 30% to 40% since the first year the company debuted its business in Thailand in 2010."

The company expects its sales to grow by 40% to over 700 million baht this year.

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