India’s organised coffee retail market continues to witness rapid growth as changing consumer habits, rising urban demand, and digital-first consumption patterns reshape the country’s café ecosystem. In the latest funding development within the sector, abcoffee has raised ₹61 crore in a Pre-Series B funding round led by Kliff Ventures, the newly launched consumer retail fund established by K Hospitality Corp.
The round also saw participation from Hero Enterprise Partner Ventures, Merisis Venture Fund, and Stride Ventures.
According to the company, the fresh capital will be used to accelerate its cluster-led expansion strategy across existing and new markets. The startup plans to deepen its presence across Mumbai, Delhi-NCR, and Bengaluru while expanding into office-centric, residential, and transit-led micro-markets where affordable premium coffee remains underserved.
A substantial portion of the funding will also be allocated toward strengthening technology infrastructure, customer engagement initiatives, subscription-based offerings, backend operations, supply chain systems, product innovation, and operational efficiency.
Founded in 2022 by Abhijeet Anand, the startup currently operates more than 90 outlets across major Indian cities through compact, high-efficiency store formats designed for daily coffee consumption. The brand positions itself around accessible premium coffee, offering beverages brewed using single-origin coffee beans alongside matcha and protein-based drink offerings.
The company stated that it recorded strong growth momentum during FY26, with revenue doubling year-on-year and store-level EBITDA increasing by 193.2% compared to the previous year. According to the startup, customer loyalty has also strengthened significantly, supported by a repeat customer rate of nearly 60%.
Technology continues to play a central role in the company’s operating model. abcoffee revealed that 54% of takeaway orders are currently placed through its mobile application, driven by strong traction across subscriptions, pre-orders, and digital engagement channels. The startup’s subscription ecosystem reportedly accounts for nearly half of all app-based orders and pre-sells more than 40,000 cups of coffee and beverages every month for future consumption.
Abhijeet Anand said, “Coffee in India is moving from an occasional café experience to an everyday habit. abcoffee was built for that shift. Our model is simple: great coffee, served fast, priced accessibly, available wherever the customer needs it. This fundraise is a strong validation of our belief that India needs a new kind of coffee company, one that is smartly designed in format, technology-led in experience, and built for repeat consumption. With this capital and the operating depth of Kliff Ventures and K Hospitality, we are focused on scaling abcoffee into India’s default habit coffee brand.”
Karan Kapur added, “We believe abcoffee has the potential to emerge as the leading brand in India’s rapidly growing coffee category. We are excited to back Abhijeet, who over the past 4 years has scaled and built a differentiated business with strong customer love, disciplined execution and a compelling right to win. Through Kliff Ventures, we look to partner with ambitious founders building scalable and enduring consumer retail brands, and we are excited to join abcoffee in the journey ahead.”
The funding highlights the growing investor confidence in India’s fast-evolving coffee and food retail sector, where changing urban lifestyles, rising digital adoption, subscription-led consumption models, and premium yet affordable offerings are driving the next phase of growth in consumer retail and café culture.
