Caltex, a Bangkok-based petrol station operator and a subsidiary of Chevron Corporation, has unveiled its ambitious plan to increase its partnership with the Thai coffee chain Chao Doi. The move is part of a strategy to enhance competition within Thailand’s thriving petrol station retail market, particularly against established players such as Café Amazon, Inthanin, and PunThai.
Currently, Caltex operates 38 Chao Doi coffee shops across its network of 530 petrol stations. The company aims to expand this partnership significantly, targeting a total of 200 Chao Doi outlets within the next five years. This initiative aligns with Caltex’s broader objective to diversify and grow its non-fuel business operations.
“We have recently elevated our partnership to expand the number of Chao Doi coffee shops at Caltex service stations and are also planning future co-promotion campaigns. This expansion creates an opportunity to broaden our existing customer base and enhance Caltex’s non-oil retail networks. Coffee shops at service stations are in high demand and have significant growth potential,” stated Sompratana Chermsirivatana, Vice President of Retail Business Development at Caltex.
Chao Doi, launched in 2003 by the Aroma Group, is now the sixth-largest branded coffee chain in Thailand, boasting approximately 300 outlets across the country. The Thai coffee market is dominated by three major players: Café Amazon, Inthanin, and PunThai, all owned by local petrol station operators. Notably, over half of Café Amazon’s 4,500+ stores are situated within PTT OR-operated petrol stations.
Kijja Wongvaree, Executive Director of Aroma Group, emphasized the significance of the partnership, stating, “Collaborating with Caltex is a major step for the Chao Doi brand to create more business opportunities. Despite facing intense competition, the service station coffee shop sector continues to gain popularity.”
According to research from World Coffee Portal, the total number of branded coffee shops in Thailand has surpassed 8,400 outlets. The Project Café East Asia 2024 report predicts that this figure will increase to 9,500 by the end of 2028.
Aroma Group, which has been in operation for over 70 years, began by producing and distributing Sing Sam Dow, a traditional Thai coffee brand. Today, it stands as one of the leading wholesalers of roasted and ground coffee in Thailand. In April 2023, Aroma Group expanded its reach by launching Chao Doi in Cambodia, where it currently operates two franchised stores.
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