One of the main reasons to start a business is to make money. And when someone wants to start the business, using coffee at its core, what good would it be but a coffee shop! The coffee business is growing across the world in large numbers and it won’t be wrong to say, it is one of the most lucrative businesses in the world, and has been, since a long time. And if one wants to bathe in the entrepreneurial spirit, there’s no better time to start a coffee shop than now.
To start a coffee shop the following things need to be taken care of:
1) Location: This is the most important factor for the success of the coffee shop. One may have the best coffee shop in the world, but if the prospective customers don’t see it, the chances of success for the shop will be slim.
The locations of the coffee shop for a higher probability of success should be:
- On a commercial walking street
- Next to a college or a university
- Downtown business district
- In a large office space
- Tourist areas experiencing high footfalls
- Airports and Railway platforms
- Shopping malls
2) Design: Not only should the coffee shop have an attractive interior design, it should also be designed in such a way that it allows the service to be provided in an efficient and a fast manner, minimizing the wait time per customer. Slow and sloppy services definitely impact the sales along with upsetting the customers who may want to grab their cup real quick.
3) Use of loyalty cards: Nothing drives sales better in a coffee shop, than the loyalty cards. The cards should be designed in such a way that they look good in the wallet of the customer and there is little wear and tear even after a year of use. And nothing delights the customer more than a free cup of coffee after his/her ninth cup.
4) Promote multiple sales – A coffee shop can never make good profit if it continues serving just coffee. Coffee should be the prime driver to visit the shop for the customers, but to make the shop successful, coffee should not contribute to more than 40 % of the total weekly sales. The traditional coffee accompaniments like muffins, cookies, cakes should be close to the point of sale along with items such as sandwiches, and hot drinks to ensure multiple sales and better profitability.
5) Taste: If the menu served in the coffee shop is meaningless, the customer will end up buying a coffee house, rather than a cappuccino or a latte. And the difference in price between these coffees is pure profit. And to make this profit, the drink served, must really taste good. If the customer was not served the right coffee, the customer won’t enjoy that excitement, disappointing him/her to the extent that he/she might never return to the shop. Besides, just the sales of regular coffee, might also result in lower revenues and lower customer satisfaction, thus failing to provide the customer with a compelling reason to return to the shop on a daily basis.
These are some of the important tricks to ensure that the coffee chain runs not only successfully, but continues to prosper in terms of profitability. Agreed, that starting a coffee shop is hard work, but for an entrepreneur, it is equivalent to living a dream and with the right ingredients as mentioned up there, there is no reason why a business can’t be made successful around coffee.
Behind every successful person is a substantial amount of coffee