Chai Kings Chief Executive Officer Jahabar Sadique (left) and Chief Operating Officer S. Balaji need to create orderliness in the unorganised tea-shop enterprise with their distinctive choices.
| Photo Credit: N. Anand
(*80*)
City-based Chai Kings is planning to elevate $2 million as a part of its growth plans to open 80 outlets in 18-20 months, mentioned its CEO Jahabar Sadique.(*80*)
“We have initiated talks with venture capitalists to raise the much-needed funds [the lack of which] that derailed our expansion plans. We need it during FY25/26 to foray aggressively into neighbouring States,” he advised The Hindu.(*80*)
Currently, Chai Kings has 56 outlets of which 50 are in Chennai. As per the unique plan, the B2C agency was to open extra outlets in Chennai, Hyderabad and Bengaluru. But the plan couldn’t take off on account of the pandemic.(*80*)
“Before the pandemic, we were selling 25,000 cups per day. We have crossed the pre-COVID level and are selling around 30,000 cups. Our aim is to sell one lakh cups per day in 20 months,” he mentioned.(*80*)
“Aided by angel investors, we raised ₹9.65 crore in the pre-series funding. The series A funding of ₹16 crore will help us to move into Bengaluru, Hyderabad and Tier-II cities of Tamil Nadu,” mentioned Chief Operating Officer S. Balaji.(*80*)
Stating they weren’t in favour of a franchise mannequin, Mr. Balaji mentioned plans have been afoot to open 23 extra outlets in Chennai, 24 in Hyderabad, 25 in Bengaluru and eight in Coimbatore.(*80*)
“Though we struggled to establish our business in 2016, it became a hit as the existing tea shops lacked cleanliness, offered only one type of tea with takeaways were either in a flask or plastic covers. Besides, it was a meeting place for youngsters either to hang around or read newspapers,” he mentioned.(*80*)
Mr. Balaji mentioned that they fastidiously studied the lacking hyperlink and went on to present uniforms for employees, provided completely different sorts of tea and occasional in fast time, created an setting for ladies to go to their retailers and had correct branding in place, amongst others.(*80*)
“Soon, Chai Kings became famous. All are our branches are profitable. Today, we can see replicas of our tea shops in different parts of the city and this tells our success story,” he mentioned.(*80*)
Chai Kings is probably going to finish FY24 with a income of ₹45 crore and searching to triple it by FY26 with the completion of growth plans.(*80*)
