Kopi Kenangan Plans to Expand, Targeting Southeast Asian’s Market
Culinary Startup Kopi Kenangan plans to expand overseas this year. One of their targets are countries in Southeast Asia. Kopi Kenangan CEO and Co-founder Edward Tirtanata said Southeast Asia was chosen because it has considerable potential and in accordance with the company’s vision to dominate the Southeast Asian coffee market.
Until now, it continues to look for countries in Southeast Asia that are most suitable for expansion. “Want slowly, local players who become champions in ASEAN,” said Edward in Jakarta on Monday (24/2).
Kopi Kenangan indeed hopes to market its local-made coffee in various countries. Along with the expansion plan, the company also plans to change its name or “rebranding” so that its brand can be more accepted internationally.
For the expansion plan, Edward said he would seek funding. In addition, Kopi Kenangan plans to offer an initial public offering (IPO) in 2022. “This year there may be new funding,” he said.
Investors’ Interest in F & B Startups Increases This Year
Last year, Kopi Kenangan received series A funding of US $ 20 million or equivalent to Rp 280 billion. Funding was led by Sequoia India with several other participating investors including rapper Jay-Z and tennis player Serena Williams.
Singer Beyonce’s husband invested through Arrive, a subsidiary of the Roc Nation venture capital he founded. Meanwhile, Serena Williams paid in capital through Serena Ventures. Caris LeVert and Sweetgreen CEO Jonathan Neman also invested in the funding round that opened in June 2019.
Arrive’s CEO Neil Sirni said the company was also investing because it saw the tenacity, vision and ability of Coffee Memories to run a business. In just two years, they managed to expand their network to 18 cities.
According to Edward, investment trends at startup in the field of food and beverage (f & b) this year are on the rise. It was an opportunity for his company to continue to develop the business. “All investors want to return to make money.
Since f & b is on the rise, not only coffee but f & b, I think this will last this year as well, “Edward said. Currently, Kopi Kenangan already has 250 outlets. It also targets to increase the number of outlets to 650 outlets this year. in 2021, he hopes that Kopi Kenangan can have 1,200 outlets.
Investment in Small and Medium Startups has Increased Since 2019
Previously, Cento Ventures noted that investment in small and medium-sized startups increased last year. This can be seen from the investment agreement under US $ 500 thousand, up from 114 in 2018 to 255 years ago.
Capital injections of around US $ 500 thousand-US $ 2 million rose from 92 to 136 in 2019. Investments valued at US $ 2 million to US $ 5 million also increased from 54 to 89 last year. On the other hand, the funding agreement of more than US $ 50 million actually dropped from 20 to 16 in 2019.
This large value investment targets startups with large valuations such as Gojek, Tokopedia, Traveloka, Bukalapak and OVO. The value of investment coming into Indonesian startups decreased 40.3% from US $ 3.99 billion in 2018 to US $ 2.38 billion or around Rp 32.54 trillion last year.
Even so, the number of deals has increased. Based on Cento Ventures data, the amount of funding rose from 104 in 2018 to 131 agreements last year. That means investment coming into Indonesian startups is smaller in value. Deputy for Capital Access, Kemenparekraf Fadjar Hutomo said that such a trend is positive and shows that the startup ecosystem will be built. This can also encourage equity in the investment.
In the creative economy sector, for example, startups such as Kopi Memangan and Upnormal Warung attract investors. According to him, many investors want startups with fast cash flow, such as Kopi Memories.