One of the leading Australian coffee chains Aromas has made an exclusive tie-up with the Ideal Hospitality Pvt. Ltd. (IHPL) to foray into the Indian market by the end of this month. IHPL, which is an auxiliary of Ideal Road Builders Pvt. Ltd., will own the Aromas in India and South-East Asia. According to the CMD of IHPL, Jayant Mhaiskar, Aromas will have a pan-India presence with the opening of at least 99 coffee outlets within a span of 3 years and this expansion will include the investment of Rs. 50-75 crores by IHPL. In India, Aromas will launch two formats – Café and Café Lounge. Out of the 99 coffee outlets, 60 per cent will be raised in the format of Café Lounge and the remaining will be in the format of Café. Under the signed agreement of MoU between Aromas and IHPL, Aromas will hold a 5 per cent stake in IHPL and will get a one-time fee on opening each outlet. However, Aromas will not be expanded through franchise route in India and all the outlets will be IHPL-owned, whereas there is a probability to adopt the franchise model in South-East Asia. According to Mhaiskar, the brand’s USP will be its coffee beans that will primarily be acquired from Aromas` roastery based in Australia and at a later stage from within the country itself. The price ranges of the coffee and tea are kept standard to attract the various classes of customers.
