The market for coffee shops is huge and most malls have several coffee shops with most of their seats usually already taken. Coffee shops now are no longer just serving coffee. They have expanded their menu to include pastries, juices, and even complete meals.
Besides the expansion of the menu, coffee shops have added other services. It is now expected that a decent coffee shop must have free Wi-Fi connection. With the decrease in the prices of laptops and smart phones you can now see both professionals and students hanging out in coffee shops to take advantage of the free internet.
If you are interested in starting a coffee shop, here are some tips:
• Invest time and money looking for the best location for a coffee shop. If the market is just enough to make one coffee shop profitable then you have a poor chance when you are up against a well-known chain. On the other hand, if the customers are overflowing, then you only have to consider if you can afford the rental. Usually malls are too expensive for independent coffee shops and many malls would not even consider accepting a start-up coffee shop for a tenant. Nevertheless, there are still plenty of options. Do not rely on guess work, count the potential market.
• Buy equipment with the right capacity. Cheap equipment usually does not last as long as expensive equipment, but they may be just one third the price and so you must analyse if it is worth the difference. You must test to know actual performance of the machine. Check the actual operating capacity. Service quality will be severely affected if it will take you too long to serve a customer. Consider too the output of the ice crusher. You will notice that the crushed ice in high-end coffee shops is so fine that almost nothing remains after you have drunk your coffee.
• Buy quality coffee beans and supplies. You may not be able to tell the difference between instant coffee and civet coffee but the opinion leaders certainly do and what they say is what establishes your reputation.
• Invest in the appropriate ambiance for your target market. For most people the difference in price can be justified by the ambiance of the place. A place that looks like a carinderia could not charge Starbucks’ prices.
• Have motivated and well-trained staff. It is not enough that you have enthusiastic staff; they must also know what to do especially when they receive customized requests. Bear in mind that skilful baristas are in high demand and so be prepared to pay the stiff going rate to retain their services.
• Have free Wi-Fi. Unless you are only planning to set up a coffee cart then it is a must to have free Wi-Fi.
• Never stop product innovation and promotion. Have a budget for new offerings and marketing. Time will come when people will tire of the usual stuff and so you must have something that may interest them. Also, never stop promoting your coffee shop.
• Establish a good control system from the start. Get the help of an accountant with experience in control systems for stores similar to yours. Install a POS (point of sale system) and CCTV’s. Do this at the start so that you will encounter less resistance from your employees.
The coffee shop business has a very promising future because of the strong and steady growth in demand. However, nowadays there is more competition and so you must strive to learn all you can before investing your hard earned capital. BusinessCoach, Inc., a leading business seminar provider, conducts seminars on Starting a Coffee Shop Business. You may contact them at 727-5628/727-8860/0915-205-0133, email firstname.lastname@example.org, or visit their website www.businesscoachphil.com for details.