By ITTeam Starting your own business can be equally an exciting and daunting experience. One cannot deny the allure of autonomy and the potential financial benefit but one need not mention that there are risks and unknowns as well. If you are someone who is considering starting your next business venture, a coffee franchise may offer the most assistance and potential at the moment. India’s changing lifestyle and westernized environment are turning Indians into coffee lovers. Transitions and changing standards of living oftentimes prove to be fruitful for entrepreneurs. So why not take advantage of this transition and make some money from it?
How is it possible that we talk about Coffee and Costa Coffee isn’t mentioned? Our article discusses some important facts about the world’s renowned coffee brand ‘Costa Coffee’. How you can approach the brand for a franchise in India? Is the franchise profitable? Everything is mentioned below.
Costa Coffee Franchise Cost Estimate
The total investment required to open a Costa Coffee franchise in India depends on factors such as location, store size, and format. Here is a detailed breakdown of the costs you can expect in 2025:
1. Franchise Fee: The franchise fee for Costa Coffee in India is estimated to range between ₹30 lakhs and ₹40 lakhs. This fee grants you the rights to use the Costa Coffee brand name and operate under its guidelines.
2. Setup Costs: Setting up a Costa Coffee outlet involves significant expenses. The estimated cost for designing and equipping the café is approximately ₹50 lakhs to ₹70 lakhs. This includes interior design, furniture, fixtures, coffee machines, kitchen equipment, and other essentials to create the signature Costa Coffee ambiance.
3. Rental and Location Costs: A prime location is critical for a coffee shop’s success. Rental costs vary depending on the city and locality. In metro cities like Mumbai, Delhi, or Bengaluru, expect to pay around ₹2 lakhs to ₹5 lakhs per month for rent.
4. Staffing and Training: Hiring and training staff is another essential investment. Costa Coffee ensures all employees receive proper training to maintain the brand’s service standards. This may cost around ₹5 lakhs to ₹8 lakhs initially.
5. Marketing and Promotion: To attract customers, franchisees are required to invest in marketing and promotional activities. An initial marketing budget of ₹3 lakhs to ₹5 lakhs is recommended.
6. Royalty Fees: Costa Coffee charges a royalty fee, typically a percentage of the monthly revenue. In 2025, this is expected to be around 6% to 8% of gross sales.
So the total investment estimate, considering all the above factors, the total investment required to open a Costa Coffee franchise in India in 2025 is estimated to be between ₹1.5 crores and ₹2 crores.
What is so special about Costa Coffee:
The brand ‘Costa Coffee’ has been one of the producers of the highest quality coffee for more than 50 years around the world. Their narrative is as unique as their cup of coffee, starting from their ground-breaking techniques and dedication to top-notch quality to the outstanding accomplishments that have established Costa Coffee as one of the best coffee brands around the globe. Costa Coffee’s brand-new, cutting-edge roastery is among the largest in Europe. Not only is their roastery the largest, but it is also among the world’s most environmentally friendly structures.
How can a Costa Coffee franchise be opened?
- Make sure your capitalization is appropriate. You can find out the minimum personal investment required to open a Costa Coffee franchise from their website. We will provide the link to their official website at the end of this article.
- The expense of the real estate, licenses, other documents and permits, equipment and signage, uniforms, insurance, etc., everything needs to be taken into account.
- You should carefully consider your past entrepreneurial experience before choosing to be a franchise owner of the Costa Coffee café and coffee shop.
- Before submitting your franchising application, you should check the marketplace status for Costa Coffee franchising to see if there are any open markets in your desired location.
- The review team of the Costa Coffee franchise will review your application, and once the process of reviewing is done, and reception of the online application is completed, you will get a confirmation in the form of email. Then you will be asked to provide some additional details to the Costa Coffee.
- Once the background and financial checks are successfully done, you will then receive the approval for the Costa Coffee Franchise. Only those candidates will be given the approval who succeed in meeting all the important needs of the franchise owners.
Working with Costa Coffee gives you access to:
- Unique coffee quality in styles that satisfy the needs of your customers.
- Agile innovation throughout the best coffee experience.
- Reliable company plans with low-risk advertisements.
- From grain to cup, sustainable solutions.
- Unmatched channel and customer analytics for every coffee-drinking event.
- A well-known coffee company supported by The Coca-Cola Company.
It takes a lot of effort and money to create a powerful brand from the ground up. One can easily benefit from an already established company with a devoted following by purchasing a coffee franchise. Other than that, consumers are more inclined to select a well-known brand, which gives you an advantage in the marketplace. Costa Coffee is one such well-established brand name in the world of coffee lovers. Visit the given website for more details about Costa Coffee Franchise in India: customercare@costaconnect.in also, PartnershipsPortalEnquiries@costacoffee.com