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Home News Bakery and Cafes

Third Wave Coffee Expands 165 Cafes Across 12 Indian Cities

From Niche to National: How a Coffee-First Brand is Redefining India's Cafe Landscape

Swaminathan Balasubramanian by Swaminathan Balasubramanian
July 4, 2025
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Third Wave Coffee Expands 165 Cafes Across 12 Indian Cities

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-KH News Desk

The aroma of freshly brewed, meticulously crafted coffee is spreading rapidly across India, thanks to the remarkable expansion of Third Wave Coffee. This prominent coffee-first QSR (Quick Service Restaurant) brand has recently announced a significant widening of its national footprint, marking a pivotal moment in India’s burgeoning coffee culture. With the launch of 11 new cafes on a single day across key cities like Delhi, Hyderabad, Chennai, Mumbai, and Mysuru, Third Wave Coffee has now reached an impressive total of 165 cafes spread across 12 cities. This achievement not only surpasses their ambitious FY25 milestone of 150 stores but also solidifies their position as one of the fastest-growing café chains in the country.

The “third wave” of coffee represents a profound shift in how coffee is perceived and consumed. Moving beyond the mass-produced, often generic brews of the first wave (think instant coffee) and the widespread cafe culture of the second wave (like large international chains), third-wave coffee focuses on quality, traceability, and the artistry of coffee making. It emphasizes single-origin beans, precise brewing methods, and a deep appreciation for the bean’s journey from farm to cup. This philosophy resonates deeply with a growing segment of Indian consumers who are increasingly discerning about their food and beverage choices, seeking authentic experiences and superior quality.

India, traditionally a tea-drinking nation, has witnessed a remarkable transformation in its coffee consumption habits over the past decade. A young, urban, and globally-aware demographic is driving this change, embracing coffee not just as a beverage, but as a lifestyle. The rise of co-working spaces, the demand for premium experiences, and a growing appreciation for diverse culinary offerings have all contributed to the flourishing cafe scene. Third Wave Coffee has strategically positioned itself at the forefront of this revolution, offering an experience that goes beyond just a caffeine fix—it’s about community, craftsmanship, and a commitment to the bean.

The strategic placement of Third Wave Coffee’s new outlets underscores their astute understanding of urban consumer behavior. By targeting high-footfall urban areas and key transit zones, including their pioneering mobility-led location on the Delhi–Mumbai Expressway, the brand is ensuring maximum accessibility and visibility. This expansion not only deepens their presence in well-established markets like Bengaluru, Delhi, Mumbai, and Hyderabad, where they have already built a strong customer base, but also significantly strengthens their foothold in emerging hubs such as Chennai and Mysuru, cities where they made their debut just last year. This dual approach of consolidating existing markets while aggressively entering new ones is a testament to their robust growth strategy.

Rajat Luthra, CEO of Third Wave Coffee, highlighted the brand’s unwavering commitment to sustainable scaling. In an industry often characterized by rapid, sometimes unsustainable, expansion, Luthra’s emphasis on “store-level profitability, operational efficiency, and capital discipline” is a refreshing and pragmatic approach. This focus ensures that growth is not merely about increasing numbers but about building a resilient and financially sound business model. Each new cafe is envisioned not just as an addition to the chain, but as a profitable unit that contributes positively to the overall health of the brand.

To support this ambitious growth trajectory, Third Wave Coffee has also made significant investments in its infrastructure. The commissioning of a new roastery with an impressive 8x automation capability is a game-changer. This advanced facility substantially enhances their capacity, allowing them to support a network of up to 700 stores. This foresight in scaling their roasting operations in parallel with their retail expansion is crucial for maintaining consistent quality and meeting the increasing demand for their specialty coffee beans. It also provides a strong competitive advantage, allowing them greater control over their supply chain and product quality.

Since its inception in 2015, Third Wave Coffee has distinguished itself through its relentless pursuit of quality, a spirit of innovation, and a genuine community-first approach. They don’t just sell coffee; they foster a culture around it, educating consumers about different roasts, brewing methods, and the nuances of flavor profiles. This dedication has earned them a loyal customer base and positioned them as a leader in India’s specialty coffee segment. The current expansion is an integral part of their broader FY26 plan, which aims to open over 100 new cafes. The core principles guiding this future growth remain profitability, strong unit economics, and an unwavering commitment to delivering an exceptional customer experience. As India’s coffee landscape continues to evolve, Third Wave Coffee is clearly brewing up a future where quality coffee is accessible to an ever-wider audience, one meticulously crafted cup at a time.

Tags: cafe chaincafe growthChennaicoffee culture Indiacoffee QSRcoffee roasteryDelhiF&B IndiaHyderabadIndia coffee expansionmumbaiMysuruRajat Luthraspecialty coffee IndiaThird Wave Coffee
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