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Costa Coffee announces Middle East expansion

Costa Coffee and the Gulf-based Alghanim Industries have announced the expansion of their partnership in the Middle East. Moving forward, Alghanim Industries will have development rights to Costa Coffee not just in Kuwait but also in Saudi Arabia, Oman, and Qatar, making Alghanim Costa Cofffee’s largest franchisee by territory.

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

“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.”

The Costa Coffee-Alghanim partnership formed in 2013, and has grown to more than 75 stores. Thirty-five of these pened in less than a year, including in top-tier locations such as Al Hamra Tower and Kuwait International Airport.

Alghanim Industries says this growth is driven by the companies’ shared commitments to coffee quality, healthy menu choices, and customer service. Costa Coffee and Alghanim Industries revamped the Kuwait menu to reflect local tastes and preferences, such as the cardamom–infused Turkish latte.

The companies also 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 store.

“Three traits are critical to success in the food and beverage sector,” says Kutayba Y Alghanim, Executive Chairman of Alghanim Industries.

“You must have a patient, long-term outlook, act decisively when opportunity arises, and above all, 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.”

Alghanim Industries Group CEO Omar K Alghanim calls coffee a Middle Eastern creation.

“As far as historians can tell, drinking coffee traces back to the 15th century in our region,” Alghanim says.

“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.”

Alghanim Industries expects to open its first Costa Coffee store outside Kuwait in Saudi Arabia by the fourth quarter of 2019.

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