Indian aviation is literally going sky high, despite higher air fares, especially if one is booking within 7 days or lesser. The way airport terminals are being developed, especially privately managed ones such as those at Mumbai, Delhi, Bangalore and Hyderabad as well as those managed by AAI are encouraging retail and F&B brands to set shop.
The latest entrant at the expansive Chatrapathy Shivaji Maharaj Mumbai International Airport is Bangalore-based Thirdwave Coffee.
The start-up, which began its journey in 2018 has debuted at the T2, Mumbai Airport to delight its regular customers as well as those who pass by Mumbai often.
Thirdwave Coffee currently operates 88 cafes across India, with over 20 cafes only in the city of Bangalore.
The company has raised INR 500 Cr (USD 66 Mn) till date over 9 rounds from marquee investors including WestBridge Capital, Redbrook, MMPL Trust, among others.
The company was valued at INR 1,3220 Cr (USD 156 Mn) earlier in 2024 and reported a revenue of INR 155 Cr (USD 18.3 Mn) for FY 2022-23 with an estimated loss of INR 50 Cr (USD 6 Mn).
Editor’s Note
There are an estimated 2,000+ cafes across the country, with Starbucks leading the pack with close to 500 cafes, followed closely by Cafe Coffee Day, Barista and Costa Coffee.
Newer entrants like Thirdwave Coffee have raised significant investment in the crowded cafe space which is extremely hard to make profits. TATA Starbucks is said to have made over INR 1,200 Cr in revenues for FY 23-24 with accumulated losses of over INR 1,000 Cr since it began its journey in India in 2012.
Standalone cafes, mostly operated by independent entrepreneurs have a slim chance to make net profits only of they operate a tight ship, especially due to high rental costs coupled with manpower expenses.