Alghanim to operate Costa Coffee outlets in three Gulf countries

3rd July 2019 (Last Updated July 3rd, 2019 11:56)

British coffee chain Costa Coffee has expanded its partnership with Alghanim Industries by offering development rights to its brand in Saudi Arabia, Oman, and Qatar.

Alghanim to operate Costa Coffee outlets in three Gulf countries
Costa Coffee extends partnership with Alghanim Industries to operate its outlets in Saudi Arabia, Oman, and Qatar. Credit: PRNewsfoto/Alghanim Industries.

British coffee chain Costa Coffee has expanded its partnership with Alghanim Industries by offering development rights to its brand in Saudi Arabia, Oman, and Qatar.

The companies entered a partnership in 2013 and currently Alghanim operates more than 75 Costa Coffee locations in Kuwait. The latest deal makes the company as largest franchisee by territory.

Alghanim Industries executive chairman Kutayba Y. Alghanim said: “Three traits are critical to success in the food and beverage sector. You must have a patient, long-term outlook, you must act decisively when opportunity arises, and above all, you must put the customer at the heart of your business.

“We share these values with Costa Coffee, a world-class brand, which will grow even stronger following its acquisition by Coca-Cola. These shared values are the foundation of our work together, and the reason we look forward to an enduring, prosperous partnership.”

Costa Coffee CEO Dominic Paul said: “Today marks another exciting new chapter for Costa Coffee in the Middle East. Our vision is to inspire the world to love great coffee and in Alghanim Industries we have an innovative and exciting partner who will help us unlock the next phase of growth in the Middle East, bringing further investment and job creation across a number of countries where demand for Costa Coffee is growing.”

In Kuwait, Costa Coffee and Alghanim revamped the menu featuring local tastes and preferences such as sweet and rich Spanish Latte, cardamom-infused Turkish latte, and a Middle-Eastern twist on a classic drink.

Both companies also worked together on various sustainability initiatives including switching from plastic to paper straws, and providing discounts to customers who bring a reusable cup into the store.

They also established a barista training centre, arranged pastry collaborations with celebrity chefs, upgraded store design and interiors, and opened a concept store at Al Hamra Tower.

The first store in Saudi Arabia is expected to open by the fourth quarter of this year.

Alghanim currently employs more than 15,000 people in 30 businesses across 40 countries globally. The company also established partnerships with major quick-service restaurant brands such as Wendy’s and Slim Chickens.

In January this year, soft drinks giant Coca-Cola completed the acquisition of London-based coffeehouse chain Costa Coffee from its parent company Whitbread for $4.9bn.