Kopi Kenangan announced that it has closed its first round of Series C funding worth $96 million or equivalent to 1,3 trillion Rupiah. With this additional investment fund, the company also announces that it has reached a milestone "unicorn" or valued at more than $1 billion. Kopi Kenangan becomes unicorn first for business new retail.

The Series C funding round was led by Tybourne Capital Management, with the involvement of previous investors Horizons Ventures, Kunlun, and B Capital; and new investor Falcon Edge Capital. This fresh fund will be focused on expansion brand Their new F&B, by opening a presence in various other new cities in Indonesia. In addition, the company is also planning to start exploring the regional market.

"The support from investors is proof and motivates us to continue to focus on increasing store productivity by leveraging technology to deliver the best experience for every customer [...] we are committed to rapidly expanding our reach to thousands of stores in Southeast Asia, while complementing our portfolio us with products that can meet market needs," he said Co-Founder & CEO of Kopi Kenangan Edward Tirtanata.

Overall, according to our records, Kopi Kenangan has raised approximately $240 million from investors with the following details:

Memories Coffee Trip

Apart from Edward, Kopi Kenangan was co-founded by James Prananto (CBDO) and Cynthia Chaerunnisa (CMO) in 2017. They are targeting the gap in the Indonesian market, between expensive coffee served in coffee chain international and cheap instant coffee sold in many warungs.

Kopi Kenangan also leverages technology to improve user experience, as well as increase business agility with strategy online to offline. Customers can easily order coffee via the app, either to be delivered to their home, or to pick up directly at one of the Kopi Kenangan outlets in Indonesia.

Through this business model, Kopi Kenangan has managed to grow rapidly. Over the past 12 months, Kopi Kenangan has served 40 million cups with a target of 5,5 million cups per month in Q1 2022. They now have around 3.000 staff in more than 600 outlets in 45 cities in Indonesia.

During the Covid-19 pandemic, Kopi Kenangan also proved its adaptability to the changing business climate and challenges. This step is taken by implementing new strategies, such as implementing a contactless booking requests which helps increase revenue growth and user base.

Business coffee chain local

Fairly good acceptance from the community towards concept coffee products "grab and go" make this industry a lot of players. According to the data collected DailySocial.id as of November 2021, there are more than 4.500 networks coffee chain scattered throughout Indonesia.

Some of them are now optimizing digital platforms to improve their business and customer experience, including Kopi Kenangan, Fore Coffee, to JIWA Group which recently announced funding.

According to research (MIX, 2020), 40% of coffee customers in Indonesia are starting to switch to outlets grab &go. This demand is supported by the shift away from instant coffee, as consumers want a higher quality drink -- as well as pairing it with complementary snacks.

Concept grab &go itself really depends on the existence of outlets, although not a few are only used as production sites (without having space for dine-in). For that, startups like Kopi Kenangan are indeed asset-heavy, in doing business acceleration significantly they need a big investment

The application is designed to connect consumers with o, brought from online going to offline - or vice versa. This model is quite efficient, because companies can also take advantage of data obtained from consumer habits recorded in the application, so that they can offer products and services that are more in line with their market share. From the consumer side, the convenience and value added make them willing to take advantage of the application.

Business-wise, based on reports compiled by Statista, revenue from the coffee business (roasted coffee) will reach $9,5 billion this year. It is estimated that it will experience a CAGR growth of 9,76% until the period of 2025.