Established in 1910 in Marrakech and revived in 2019 by the Singapore-based premium gourmet retailer V3 Gourmet, Bacha Coffee has steadily grown into a global force, captivating coffee lovers with lavish store interiors and an extensive range of coffee products and accompaniments.
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The brand opened its first overseas location in Singapore’s ION Orchard mall in 2019, following the reopening of its original Bacha Coffee boutique in Marrakech’s historic Dar Bacha Palace. Its Asian expansion has since been swift, with 11 locations now embedded in Singapore, alongside new destinations for the brand across the region, including in Hong Kong, Kuala Lumpur, and Taipei.
The company is capitalising on Asian consumers’ heightened demand for premium F&B offerings: in 2023, sales for specialty coffee and tea shops in Southeast Asia accounted for USD4.4 billion, set to grow further by an 8 percent CAGR between 2023 and 2028, according to Euromonitor research.
By the end of 2024, Bacha Coffee envisions a network of 50 touch points spanning across 12 cities, including locations such as Tokyo, Seoul, Jakarta, and Dubai.
Retail in Asia speaks with Maranda Barnes, co-founder of V3 Gourmet and the source of other high-end brands such as TWG Tea, to delve into the origins of the Bacha Coffee, reaping the benefits of actively expanding during the pandemic, and the brand’s future in Asia.
Retail in Asia: Please walk us through your recent expansion efforts into the Asian market.
Maranda Barnes: We revived Bacha Coffee in 2019, when our original location in Marrakech reopened and our first international outpost in Singapore launched to the world. In 2020, when Covid-19 broke out, we paused to ask ourselves: How can we turn this into an opportunity for the company and the business? The initial lull period was a rare chance for us to focus our attention to work towards long-term growth, and over the next couple of years, we planted the seeds of the expansion efforts that you are currently witnessing.
At that time, we were one of the only brands to be investing in and renovating locations during the most difficult months of the crisis. For example, we committed to opening The Arch, our largest and most exceptional travel retail location to date at Singapore Changi Airport, when the airport was literally empty, and travelled to Hong Kong to secure locations there as well when air travel had all but stopped. We renovated so many locations which we then just locked up during that period.
This proactive approach positioned Bacha Coffee well for the resurgence of customer activity as travel and business activities began to recover in 2023. By then, we had strengthened our back end and prepared ourselves so that when customers started to go out again, Bacha Coffee was ready to take on the world.
Retail in Asia: Which markets have been key to this expansion, and how do you approach selecting your locations within markets?
Barnes: Each city that Bacha Coffee is currently, and soon to be present in, represents a strategic decision in Bacha Coffee’s overall growth plan.
Even within the cities, the locations and malls that each boutique resides in has to meet the grandeur and positioning that aligns with the brand. These cities are known for its strong affinity with luxury and coffee, and are a necessary expansion checkpoint for all global brands. Hong Kong was clearly an important market for Bacha Coffee from the start. The launch of our e-commerce touchpoint on Tmall in November 2021 has recorded exponential year on year growth in sales, and we launched our own e-commerce platform in Hong Kong in 2023 to tremendous success. As the entry point to the Greater Bay Area, Bacha Coffee then launched its inaugural store at IFC Mall last August, with plans to expand further into the Greater Bay Area by 2024.
Today, Bacha Coffee has charted global growth beyond just the Asian market, with mesmerising locations in Paris, Kuwait City, Doha, Hong Kong, and Kuala Lumpur – each boutique uniquely designed to be a destination in itself. Bacha Coffee has its sights set on 50 touch points across 12 cities by the end 2024, including locations in Tokyo, Seoul, Jakarta, Dubai and Taipei, as well as through our e-commerce platform and very select, premium online marketplaces.
Retail in Asia: How do you leverage different retail channels to communicate the positioning of Bacha Coffee?
Barnes: Each retail channel has its purpose and strength, and the full Bacha Coffee experience will not be complete without the other. We utilise both offline and online channels to leverage our brand visibility, consumer engagement, and market expansion, thereby strengthening our position in this competitive industry.
As a coffee brand, our Coffee Rooms and boutiques, and other retail concepts such as bars and takeaway [stores], are always a key for customers to experience the magic of our coffees and the wonders of Bacha Coffee’s heritage. In any of our locations, you may find the complete repertoire of over 200 varieties of 100 percent Arabica coffee beans from 35 well-reputed coffee producing regions like Africa, the Arabian Peninsula, the Americas, the Caribbean, and Asia, paired perfectly with our signature croissants and a collection of fine coffee accessories, all with the masterful guidance and preparation of any Coffee Master at your service.
Meanwhile, our online boutique and marketplaces are integral touchpoints for the brand to reach a wider audience, connecting coffee purists, connoisseurs and your regular coffee drinkers alike with convenience and accessibility to the same collection of over 200 varieties of coffees, the full range of accessories and delectable accompaniments.
The final slice of the pie is the travel retail segment, which highlights the revolutionary notion, incorporated by Bacha Coffee, of gifting coffee as a gift itself, and availing quality coffees to travellers from all over the world. As simple as that sounds, the travel retail scene has been a key driver for Bacha Coffee both in terms of branding and sales.
Retail in Asia: Being an international brand, how do you resonate with Asian customers?
Barnes: As with any market, a deep understanding of the region’s cultural nuances is necessary, be it celebrations of local holidays on the marketing front or linguistic adaptations to resonate better with the population. This transcends to design elements in the digital sphere and even at our retail locations – for example, in cities that celebrate Chinese New Year, you will find displays of traditional orange trees in our Boutiques and Coffee Rooms to lend that local flavour while seamlessly blending with the rest of the decor and retaining the brand’s authentic and immersive experience for our customers.
In recent years, the appreciation for specialty coffee has risen in Asia, with the quality of coffee being a discerning requirement amongst regular coffee drinkers. This interest has fuelled home consumption with sophisticated brewing methods and equipment beyond your typical coffee machine, as well as single origin coffees, which are coffees in its purest form with unique notes and profiles of the different cultivation regions and terroirs akin to that of fine wine – all of which are aspects of Bacha Coffee that truly shine.
At the same time, there is also the population of consumers who see coffee as a caffeine fix, most likely because they never had the chance to explore beyond that. This presents us with an opportunity to introduce to them the distinguished aromas, taste notes and flavour profiles of quality coffees enjoyed in an unadulterated manner. There is so much more to coffee than just caffeine.
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Retail in Asia: Can you tell us about some offerings that have become most popular with customers in Asia?
Barnes: With over 200 varieties of 100 percent Arabica coffee beans, including single origin, fine flavoured, fine blended, and naturally decaffeinated, our diverse selection allows customers to explore and discover their coffee profile no matter their preference. Rather than recommending a popular flavour, we suggest thinking of a preferred flavour note, like the refreshing aroma of strawberries and cream from our 1910 Coffee or bananas and cracked cocoa unique to the newly launched King of Africa Coffee, for example.
When enjoyed in the Coffee Room or via takeaway, customers usually pair their coffees with our signature filled croissants or pastries and desserts.
Our coffee bag gift boxes are popular not only for gifting but also for its convenience in preparation, while loyal Bacha Coffee fans tend to prefer purchasing their favourite coffees in loose beans by weight, ground to specific sizes according to their personal brewing equipment at home. Bacha Coffee does not have a singular hero product, but an ecosystem of all-things-coffee that fulfils every desire imaginable.