Costa Coffee and Alghanim Industries to expand in Saudi, Qatar, and Oman

Costa Coffee and Alghanim Industries to expand in Saudi, Qatar, and Oman

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Kutayba Y. Alghanim, Executive Chairman, Alghanim Industries, Dominic Paul, CEO, Costa Coffee, and Omar K. Alghanim, Group CEO, Alghanim Industries, celebrate the expansion of the companies’ successful partnership.

Costa Coffee, the UK-based coffeeshop company and Alghanim Industries, announced the expansion of their partnership. Costa Coffee’s network involves nearly 4,000 locations in more than 32 global markets. Alghanim Industries is one of the largest privately-owned companies in the Gulf region.

The partnership will expand Alghanim Industries development rights to Costa Coffee. It will develop the franchise also in Saudi Arabia, Oman, and Qatar. This will make Alghanim the largest franchisee by territory.

The Costa Coffee-Alghanim partnership has flourished since its 2013 formation, growing to more than 75 stores today. 35 of these shops opened in less than a year, including in top-tier locations such as Al Hamra Tower and Kuwait International Airport.

The companies’ shared commitments to delivering handcrafted coffee, healthy menu choices, and exceptional customer service is driving growth. 

Together both companies have recently introduced a number of sustainability initiatives, switching from plastic to paper straws and offering discounts to those customers who bring a reusable cup into the store. In addition, they established a barista training center, arranged pastry collaborations with celebrity chefs, upgraded store design and interiors, and opened a concept store at Al Hamra Tower, where customers can enjoy specialty coffees and an expanded food offering. Put together, these forward-looking strategies will power Costa-Alghanim’s expansion efforts in Saudi Arabia, Oman, and Qatar.

“Three traits are critical to success in the food and beverage sector,” said Kutayba Y. Alghanim, executive chairman, Alghanim Industries. “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.”

“Coffee is a Middle Eastern creation. As far as historians can tell, drinking coffee traces back to the 15th century in our region,” said Omar K. Alghanim, Group CEO, Alghanim Industries. “It comes as no surprise that most people in this region have a deep appreciation for good coffee. And that’s why we’re thrilled to grow with Costa Coffee, and to build on our success in Kuwait. We’re ready to hit the ground running in Saudi Arabia, Oman, and Qatar, bringing world-class hand crafted coffee to some of the most sophisticated consumers in the world.”

“Today marks another exciting new chapter for Costa Coffee in the Middle East,” said Dominic Paul, CEO of Costa Coffee. “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.”

Alongside Costa Coffee, Alghanim Industries has forged successful partnerships with American quick-service restaurant brands Wendy’s (2015) and Slim Chickens (2017). Alghanim Industries expects to open its first store outside Kuwait in Saudi Arabia by the fourth quarter of 2019.

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