The New Coffee Brand: Bili Hu and its Growth Trajectory

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Abstract

Bili Hu, a premium coffee brand, was founded by Bharat Singhal in 2016. Born out of passion for premium coffee and the accompanying coffee experience, Bili Hu targeted elite customers, without losing sight of Gen Z customers, who wanted an experiential tryst with coffee. In a crowded market of multiple players serving artisanal and specialty coffee, Singhal began operations with a vision of making Bili Hu, a national premium coffee brand. He started with an asset light model serving coffee in five-star hotels, different cafes and restaurants (HoReCas), selling roasted beans online and via some premium retail stores. However, the growth of Bili had been slow over the last 7-8 years. As of March 2024, the turnover of the company was approximately INR 2 crores (USD 2,37,188). Singhal had three growth options: a) maintain status quo—continue to use the existing asset-light model in which the café was owned and operated by a partner, and sell coffee beans or ground coffee to five-star hotels, at premium retail stores and through Bili Hu’s website; b) make Bili Hu coffee available at all online and offline large retail and grocery stores and supermarkets in India, and set up vending machines for corporates; c) set up Bili Hu’s own cafés (company-owned and company-operated). Each option had its own set of promises and challenges.

Additional Information

Product Type Case
Reference No. STR0487
Title The New Coffee Brand: Bili Hu and its Growth Trajectory
Pages 24
Published on Dec 30, 2024
Year of Event 2024
Authors Kaul, Asha; Singla, Chitra; Chaudhri, Vidhi ;
Area Strategy (STR)
Discipline Innovation and Entrepreneurship
Learning Objective 1. Assess the business model of a start-up 2. Comprehend inconsistencies in the approach to business, if any, that stagger the growth of a company 3. Understand issues with regard to finding the right product–market fit 4. Evaluate growth options and the corresponding trade-offs
Keywords Strategy; Cafe; Hotels; Coffee; Indian
Country India
State Delhi
Organization Bili Hu
Access For All

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