Coffee Bean enters Arab, haredi sectors
Café chain in process of opening branch in northern Arab city of Tamra, plans to launch eight additional branches in Arab sector and create glatt kosher product basket for ultra-Orthodox public
The café chain's first four branches in the Arab sector are expected to open within several months in Tamra, Nazareth, Umm al-Fahm and Sakhnin, at a total investment of NIS 4 million (about $1 million).
The chain's managers said Coffee Bean planned to expand its activities to the ultra-Orthodox sector as well within several months. The chain plans to create a basket of glatt kosher products, focusing on the needs of the haredi public.
The Coffee Bean chain was recently purchased by Dan Werner and Dan Hershkowitz, and is managed by Werner's Mutagei Zahav Group ("golden brands"), which also includes Juiceland, Sbarro, the Morag Group, Same Same and My Yogurt.
The new management has decided to turn some of Coffee Bean's branches into fast food compounds selling the group's other brands, including Juiceland and My Yogurt.
Coffee Bean plans to open some 12 additional branches across the country by the end of 2010. The chain's annual sales turnover is about NIS 35 million ($8.8 million), and it expects to reach a sales turnover of NIS 45 million ($11.3 million) by the end of 2010.
"The Mutagei Zahav company views the Arab sector as a highly potential market segment, which has yet to receive a proper response to its unique needs," said Mutagei Zahav's business development manager, Amir Yatzkan. "Thus, the company is working these days on a new basket of products, which is specifically adapted to the Arab audience's needs."
Coffee Bean entered the Israeli market in the year 2000, and currently operates 14 branches in business and recreation centers across the country.
