Published: 02 Sep 2021

Flash Coffee was first present in Indonesia in early 2020 with four outlets at that time. Currently, Flash Coffee claims to have opened 90 coffee outlets in the countries where they operate. The company also admits that the majority of outlets have been able to make a profit. They are targeting to open 350 new outlets across Asia before the end of 2022 (id.techinasia.com).

The retail coffee outlet market in Indonesia is very attractive and has great growth room. In addition to the high population, the upper middle class segment is thirsty to try new products. Coffee consumption per capita also continues to increase. However, the share of Flash Coffee in Indonesia is said to be slightly lower than in Singapore and Thailand. This is because Indonesian consumers tend to prefer to enjoy coffee while hanging out at outlets, especially in malls.

Covid-19 pandemic has made coffee sales with a grab-and-go model more relevant to customers across the region. This situation also opens the opportunity for Flash Coffee to significantly improve the customer experience by serving high quality and affordable coffee. One of them has been answered through the launch of the Flash Coffee application last year which is equipped with an order-taking feature.

The current situation also allows the company to increase efficiency by optimizing property land so as to significantly reduce rental costs. In addition, the grab-and-go concept can also increase food and beverage production without the need for many baristas. With these savings, companies can pay decent salaries to baristas and affordable prices to customers (dailysocial.id)

On-demand coffee startup Flash Coffee announced plans to expand into seven new markets namely Taiwan, Hong Kong, Japan, South Korea, Philippines, Malaysia, and Vietnam in 2022. This plan came after Flash Coffee announced the achievement of sales of one million drinks from all of their outlets located in Indonesia, Thailand, and Singapore (id.techinasia.com).

One of the keys to coffee chain growth is the availability of outlets to reach the market. This massive expansion of Flash Coffee will increase new retail competition in the technology-based coffee chain industry in Indonesia. (Ruhmaya Nida Wathoni. Illustration: devianart)