June 30th, 2010
Crimson Cup began producing posters featuring special drinks several years ago. Our point of purchase (POP) program has given us many coffee shop marketing ideas and we are continually improving it based on our experiences running a coffee shop. As coffee house operators we want our customers to know what they want when they step up to the counter. This reduces the amount of time customers behind them have to wait and makes for a better experience.
Even better, POP marketing materials can increase sales. Sounds obvious, right? Of course marketing materials increase sales; that’s what they are for isn’t it? Used solely at the point of purchase, marketing materials are valuable in converting a drip coffee customer to a specialty drink. This minor switch does increase the average ticket but it doesn’t bring new customers in the door. In order to achieve small business marketing success it’s important to introduce new customers to your store. Here’s how we are using our POP materials to generate new business:
1. To capture our existing customers we place a drink promotion poster in our poster stand and on the wall next to the menu. We also have table tents on the tables and 8 1/2 X 11 versions of the poster on the counter and in the drive-thru window.
2. To capture customers who drive by we have an A-frame with the name of the drink promotion in easy to read lettering and a yard sign is out by the drive-thru menu.
3. To reach the potential customers in the surrounding community our coffee shop marketing team often hands out $1.00 off coupons at local community events.
4. To capture additional potential customers we use a jpeg image of the drink promotion on our Facebook page, website and blog. We also tweet out the image to our Twitter followers.
By implementing these coffee shop marketing ideas into our coffee house business plan our coffee shop has enjoyed great successes. This success didn’t come easy; there has been a marketing plan for growth in place since day one. We have learned from our successes and failures and our plan has evolved. One key to small business marketing success is diligently implementing the plan. By continually implementing a marketing plan you will begin to realizing your full sales potential.
By Chris Lamb, Retail Development Manager
Tags: coffee house business plan, coffee shop marketing ideas, running a coffee shop, small business marketing success
Posted in News from CrimsonCup Worldwide Headquarters, Owning a Coffee Shop | 1 Comment »
June 28th, 2010
Coffee is a great product to build a business around. The drink – along with all of its sweet and cream varieties – is becoming increasingly popular with consumers. In fact, after oil, coffee is the most traded commodity in the world. But starting a business without a plan is never a good idea. That’s why you should develop a coffee shop business plan before getting started.
There are a few different business plans to choose from when deciding to open a coffee shop. The first key is to decide what kind of coffee business you want to operate. Each of the following business plans has its own unique advantages and disadvantages.
The first option for your coffee shop business plan is to purchase a franchise, which allows you to own and operate a chain of an existing coffee shop. This is a good business plan because opening a franchise of an existing coffee shop chain guarantees consumer familiarity with your product. You will also benefit from corporate branding and marketing, which is often executed at a national level.
You can also choose to open an independent coffee shop. This is a great business plan for people who are looking for a little more flexibility when it comes to store location, operating hours and product. Entrepreneurs who open independent coffee shops can offer a wide selection of coffee beans from different growers.
A lesser known coffee shop business plan lies somewhere in the middle. There are some coffee producers who will allow you to sell their coffee – including secret latte recipes and more! This allows the entrepreneur to own his or her own coffee shop that is not tied to the strict guidelines and regulations of operating a corporate franchise while still benefiting from brand name recognition. This coffee shop business plan provides an excellent combination of flexibility and security.
Find coffee shops that will let you sell their coffee in your store.
Tags: business plan for a coffee shop, coffee house business plan, coffee shop business plan
Posted in CrimsonCup vs. Coffee Franchise, Owning a Coffee Shop | No Comments »
June 23rd, 2010
Owning a coffee shop business can give you a sense of pride, financial reward, and the independence you have always wanted. Once you own a coffee shop you will have a the gathering place for the community that everyone talks about. People will visit your coffeehouse if they want the best tasting specialty drinks in town. Best of all, it’s YOUR coffee shop!
To achieve success in small business, like owning a coffee shop, you will need to be prepared to work long hours, deal with hiring and firing staff, handle customer complaints, and much more. Best of all, you get to go home every night smelling like coffee! Owning a coffee shop takes a lot more work than one might think; Is this really better than what you were doing prior to running a coffee shop?
For those of us that LOVE coffee and are ENERGIZED by making people feel energized, owning a coffee shop can be a great business decision. However, a love for coffee can’t be the only thing that slingshots you into business success. If you are truly interested in owning a coffee shop the first step is to make your decision based on facts.
- Do your research! Make sure you read as much information as you can about the coffee industry; Read industry magazines, newspapers and as many blogs, like this one, as you can.
- Visit coffee shops in your area and around your state.
- Ask yourself, Do I have a “can’t lose” business plan? Do I have the right location? Is this something I can afford? Do I know where I’m going to purchase my products and how I will get training?
As you begin to research, the questions will keep coming so make sure you answer them before you move forward. One great way to answer many questions about opening a coffee shop and running a coffee shop is to read the book Seven Steps to Success. After you’ve completed all the research and have all your questions answered you should know if owning a coffee shop is right for you.
Tags: coffee shop business plan, coffee shop franchise, how to start a coffee shop, opening a coffee shop
Posted in Owning a Coffee Shop | No Comments »
June 21st, 2010
Starting a coffee shop business can be a fun and exciting venture. If you are properly prepared, it also can be a relatively stress-free experience. Assuming that you have already taken care of the preliminary steps (including securing funding and location) the next major step is purchasing coffee shop equipment for your business.
The following is a list of the essential equipment you will need to start your coffee shop. Of course, there are additional items you may want to purchase: ovens/grills if you plan on serving food, furniture if you don’t want your customers to sit on the floor, a phone, etc. This is simply a list of the bare essentials needed for making delicious hot and cold beverages in your coffee shop.
Essential Coffee Shop Equipment:
- Espresso machines – After securing quality coffee beans from a trusted coffee roaster, an espresso machine is your most important investment. People don’t typically come to coffee shops for plain, black coffee (although there are some). They want lattes, cappuccinos and mochas. These fancier coffee drinks are what will drive your revenues – and all of them require a quality espresso machine. Most coffee shops can get by with one espresso machine, although you may need to purchase a second one down the road.
- Espresso coffee grinders – Of course, your espresso machine won’t be good for much without the proper grind of quality coffee beans. Espresso grinders differ from commercial or bulk grinders in that they can produce that ultra-fine grind required for espresso machines to work their magic.
- Bulk / commercial coffee grinders – Yeah, espresso and latte drinkers will drive your coffee business in terms of revenue, but you’ve got to show some love for the regular Joes who like their coffee plain and black. Purchase a large capacity grinder because you’ll want to make large batches of the regular stuff.
- Drip coffee makers – The same goes for your drip coffee makers: buy the biggest ones you can find. Some come with a self-contained thermos; otherwise, you’ll need a couple of those too.
- Ice machine – Any bar or restaurant can tell you that skimping on your ice machine is a bad idea. You’d be surprised how much something as simple as frozen water can drive you crazy when it’s not available. Not planning on including an ice machine in your coffee shop equipment shopping list? Think again. People love frozen coffee drinks, especially in the summertime.
- Blenders – Blenders are necessary to grind ice, coffee and cream into tasty concoctions. You’ll want to buy a few of these so you don’t have to rinse out your blender immediately after each order.
- Dishwasher – Your dishwashing solution is a critical piece of equipment for your coffee shop, whether it’s a commercial automatic dishwasher or a 15 year old kid named Josh with a three compartment sink. Sure, paper cups are great for to-go orders. But people enjoy drinking their café lattes out of real coffee mugs. You’ll also need to wash the rest of your coffee shop equipment throughout the day.
- Credit card machine – This one’s pretty simple – not everyone carries cash anymore.
- POS (point of sale) cash register – A point of sale (POS) cash register is imperative if you want to complete transactions for your customers while their coffee is still hot. Most POS cash registers feature easy to navigate touch-screen interfaces and can be updated frequently with new menu items and daily specials. Most of your staff will be able to use them efficiently after just a few days of training.
Where to Buy Coffee Shop Equipment:
Restaurant supply stores are the first place you should look to purchase your coffee shop equipment. Not only will you find all of your equipment in one stop, you’ll likely save some money too.
Selling Coffee Shop Equipment:
Maybe you are upgrading to newer equipment, or maybe overestimated the amount of business your coffee shop would be doing. Either way, there might come a time when you need to sell some of your coffee shop equipment. Contact your local restaurant supply store or check out online options, like eBay or Craig’s List.
Get more information and tips about starting a coffee shop business.
Tags: coffee shop equipment, coffee shop supplies, commercial espresso coffee machines, how to open a coffee shop, how to start a coffee shop
Posted in Owning a Coffee Shop | 1 Comment »
