Best Secrets for Coffee Shop Startups Success
15 Best Kept Secrets for Coffee Shop Startups Success
Learn How to Start Your Coffee Shop
Starting a coffee shop is an exciting and worthwhile business venture. Opening a brand new coffee shop startup can deliver wide-ranging benefits to you and your community.
In fact, we believe a successful coffee shop startup can really change your life. And we hope to be a part of your successful planning!
Your primary goals are making healthy profits and creating something special for your community. However, opening a new coffee shop can come with various risks.
The potential loss of your financial investment, time, and effort is a real hurdle that 20% of coffee shop startup owners experience. About 20% of them fail to open a coffee shop successfully.
Determining why coffee shops fail and how we can improve on them really matters to us. Our aim here at Coffee Shop Startups is to give you the knowledge and wisdom you’ll need to succeed.
Below are the best-kept secrets for your coffee shop startup success that we have seen over the years.
Best Kept Secrets for Coffee Shop Startups Success
Understand your coffee shop concept- Write a great business plan
- Ask for help
- Hire the right people
- Network your heart out
- Collaborate with locals
- Honor your paperwork
- Keep a super-duper clean restroom
- Listen to your customers
- Consistently up-sell
- Always adapt
- Know your margins
- Train your baristas monthly
- Always invest in your coffee shop branding
- Deliver amazing customer service – every time.
Let’s spend a little more time on each of these coffee shop startup's secrets. Whether you are starting a low-cost coffee shop business, such as a drive-thru coffee stand, or you want to open a coffee shop bookstore – all of these can apply!
Trending Articles on Coffee Shop Startups:
| Coffee Shop Ideas & Concepts | Coffee Shop Budget and Planning |
|---|---|
| 50 Coffee Shop Ideas & Concepts | 7 Ways to Open a Coffee Shop with No Money |
| Low-Cost Coffee Shop Ideas | Open a Coffee Shop Bookstore |
| How to Open a Drive-Thru Coffee Stand | How Much do Coffee Shop Owners Make? |
Secrets for Coffee Shop Startups Success
1. Understand your coffee shop concept
If you don’t define yourself, others will do it for you.
Your customers and employees will respond positively when you understand your coffee shop concept. A clear and concise concept can boost sales, customer satisfaction, and profits.
If you try to be everything to everyone, your effectiveness decreases, and your branding and customer base get muddy. Most importantly, your focus, investment, and training fractures so much that your customer service and products often suffer.
Instead, develop a strong coffee shop concept and work every day to be the best at that.
2. Start with a great business plan
As the famous saying goes, “Plan your work and then work your plan.”
A well-thought-out business plan can make all the difference in how you start and operate your coffee shop.
Most importantly, your plan will save you money.
Take the time to write out your coffee shop business plan. Get someone to look at it and be open to feedback.
Ultimately, your plan will shake loose half-ideas and fuzzy thoughts that could waste your time and money when opening your coffee shop.
Additionally, having a plan will make you a better negotiator and a more frugal buyer. Read our article, How to Write Your Coffee Shop Business Plan, for more information.
3. Network your heart out
No one really starts a business by themselves. The same is true for coffee shop startups.
To start a successful business, we need help. We all do.
Networking may be part of the answer.
Before starting your coffee business, I’d recommend attending coffee seminars and other coffee events in your area. Chat with other attendees. Reach out to baristas, bakers, and chefs. Start getting referrals for electricians, plumbers, and carpenters.
Additionally, contact coffee bloggers, roasters, and other coffee shop owners. If they have been in business for any length of time, they all have the wisdom to share with you.
Believe it or not, networking is even more important after you start your coffee business.
Sometimes, you’ll want a trustworthy contractor who won't take your money and leave your project half-finished.
You will want to know people who can help fix your espresso machine on a Sunday morning. You’ll want to know a good barista when your barista suddenly doesn’t show up for work.
Networking will prove beneficial to your coffee shop startup – as well as to your sanity.
4. Hire amazing people
Hiring the right people for your coffee shop startup will be among the most important decisions you’ll make as a coffee shop business owner.
Hiring good people – really reliable and honest people is a challenge for most business owners.
A poor hiring choice can lead to theft and sabotage to poor customer service, and a toxic work environment.
Don’t pay someone to destroy your coffee shop startup slowly!
Therefore, depending on your coffee business, you’ll want to cultivate relationships with baristas everywhere to find the best fit.
I strongly recommend that you hire your baristas for personality, reliability, and honesty. If they have a good attitude, are reliable, and have good customer service skills, you’ll most likely be able to train your baristas to pull great espresso shots!
5. Be frugal but not cheap
As you start and run your new coffee business, this will probably impact your wallet the most. I'll be honest with you: when you start a coffee shop, there are many ways to spend money.
A million ways!
When starting your coffee shop startup, you are essentially on a year-long buying spree. It could either bankrupt you, overwhelm you with debt, or decrease your ability to pay for payroll, inventory, and emergencies.
You’ll have the opportunity to spend or save money at every turn. (This is why having a coffee shop business plan written before you start is so important.)
Make every dollar count.
When you buy or make an investment, ask yourself:
- Do you really need it?
- Is it a quality product that will last?
Being frugal – but not being cheap – will help keep more of your money for when you need it most.
6. Collaborate with locals
Local leaders, community organizers, teachers, and business owners are not just your potential customers – they could also be your biggest marketers!
Even before you open your coffee shop, you’ll want to get to know people in your community and start forming professional relationships.
Be willing to collaborate on any number of ideas, whether showcasing local artists, musicians, students, or bakers. Or whether you decide to host various group meetings – such as a local knitting group, college study groups, etc.
You might decide to offer fundraising opportunities for local charities or non-profit organizations or special discounts to community members. All these can provide an opportunity for you to generate greater sales.
Collaborate as often as you can – make sure that when you do collaborate, you are:
- Making money (or certainly not losing money)
- Expanding your customer base
- Developing your coffee brand
Your Coffee Shop Success
7. Honor your paperwork
If you are one of those who love paperwork, congratulations! You are going to do fine as a business owner.
But for the rest of us, we need to force ourselves to really stay on top of much of the paperwork that comes with owning a coffee shop.
Give yourself the time to review paperwork – bills, invoices, accounting, inventory, and sales data, and your cost of goods sold.
At a minimum, you’ll want to give yourself time – every week to weed through your papers, organize them, and address them.
While not the sexiest thing, staying on top of your paperwork is critical to your coffee shop startup's success!
8. Keep a super-duper clean restroom
Clean restrooms are vital. Go above and beyond any health department minimums (which is just usually having hot running water).
Having super-duper clean restrooms for their customers was one of many things Starbucks did to differentiate themselves – and it worked!
In the 1990s, having a clean and well-designed restroom made customers feel better about their visit – and better about the Starbucks brand.
Keeping your well-designed coffee shop restrooms clean and orderly always leaves a positive impression on customers.
Believe it or not, it drives customer referrals, positive online reviews, and repeat business and sales.
9. Listen to your customers
Your customers can be your biggest supporters and most powerful critics.
They will also offer you their advice and suggestions to coffee shop startup owners.
While it may be tough to hear, consider their recommendations, ideas, and criticism. Additionally, take to heart any compliment – and keep doing it right!
Try hard to meet their suggestions. If they want something else on the menu, figure out if it would work for you. If customers complain to you about your coffee or service or a specific barista, determine how you could best address their concerns.
Most customers are forgiving if they see you working hard to make changes. The more you listen, the better off you’ll be.
10. Consistently upsell
You’re in business to sell. Your coffee shop startup's success depends on sales. You need to make a profit.
Every sale is a potential opportunity to sell your customers something else and generate greater sales.
Your customers want to spend and enjoy the space you’ve created – so gently recommend new items on the menu – or your classic go-to menu items.
Train your employees to up-sell your products without being too “salesman-like.” This takes some practice, but your daily sales and profits should go up once you get it down.
Trending Articles on Coffee Shop Startups:
| Coffee Shop Ideas & Concepts | Coffee Shop Budget and Planning |
|---|---|
| 50 Coffee Shop Ideas & Concepts | 7 Ways to Open a Coffee Shop with No Money |
| Low-Cost Coffee Shop Ideas | Open a Coffee Shop Bookstore |
| How to Open a Drive-Thru Coffee Stand | How Much do Coffee Shop Owners Make? |
11. Always adapt
Life happens fast. What was good years ago – is no longer relevant today (MySpace, Kmart, Blockbuster Sears, and most recently, the Soup Plantation are just some examples.)
Businesses that fail to adapt will eventually struggle to meet the demands of their customers. This is especially true for coffee shop owners who depend on their customers' fickleness.
Be willing to embrace change. Additionally, embrace learning, re-training, and be open-minded. Always look to either perfect or evolve your coffee shop menu board, customer service, and quality.
Perhaps your coffee shop startup is located in a demographic-changing community. If you want your startup to survive, you must anticipate this change and gauge the new trends.
12. Know your margins
Every item you sell at your coffee shop must have a profit margin embedded into it.
At the very least, every item you sell needs to cover your cost for that item and the overhead costs associated with selling the item.
Understand your margins and always keep an eye on your sales. Change your menu prices to reflect an uptick in wholesale costs and other overhead costs. Your coffee shop startup's success depends on your sales and the margins of those sales.
13. Train your baristas monthly
Training your baristas is a worthy investment. The time and money spent on training can actually come back to reward you substantially. Training your baristas leads to coffee shop success by offering:
- Better customer service
- Less waste
- Higher morale and energy
- Innovative ideas
- Better coffee
- Happy customers
- Better environment to work in
14. Always invest in your branding
Assume you are going to have startup success. That success will entail having a strong coffee business brand.
You don’t ever, ever, ever want to be considered a “no-name brand” coffee shop!
Your coffee shop branding plays a big role in how your customers see your coffee shop.
Your brand will encapsulate a bunch of feelings about your business. It’s up to you to make sure those feelings are positive.
Invest in your logo, your design, and your colors. Additionally, invest in your coffee shop website, business cards, merchandise, etc. – all affirming your branding.
15. Deliver Amazing Customer Service
Understand great customer service – and then go beyond that. In fact, treat each customer as if they walked 20 miles to visit your coffee shop business.
Every customer should be the target of your focus, gratitude, and love. Yes, love! Not a romantic love – but a love for them as a human being who has chosen to spend their earnings with you.
Love them in a customer-retailer way, and they will return every time.
Are You Ready To Get Started?
Unlock Your Dream Coffee Shop Business with Our Exclusive Coffee Shop Startups Kit!
Ready to transform your passion for coffee into a thriving business? Look no further! Our Coffee Shop Startups Kit is your key to brewing success. Here's why you can't miss this opportunity:
35-Lecture Coffee Shop Business Course: Our kit provides a comprehensive A-to-Z lecture series that covers what you should know and how to plan your coffee business. No more guesswork – follow our proven roadmap for success.
Comprehensive Coffee Shop Business Guide: Our kit includes a detailed, step-by-step guide that takes you from creating your concept to your grand opening.
Expert Interviews and Insights: Benefit from insider tips and industry secrets that successful coffee shop owners and experts share during one-on-one interviews. Learn from the best to stay ahead of the competition.
Business Essentials: We provide business plan templates, checklists, and resources to streamline your startup process. From permits to menu planning, we've got you covered.
Cost-effective Solutions: Save time and money with our expert advice and budgeting tips. Maximize your ROI and minimize headaches.
Adaptable to Any Setting: Our kit is designed to suit various locations and customer demographics, whether you're eyeing a trendy urban spot or a cozy corner in a suburban neighborhood.
Includes Exclusive BONUS Material!
👉 Order Now and Begin Your Journey!
Don't let the complexities of starting a coffee shop overwhelm you. Our Coffee Shop Startups Kit is your ticket to entrepreneurial success. Take the first step towards owning a profitable and fulfilling coffee business today.
Join the thousands of successful coffee entrepreneurs who started with a dream and a great plan. Your journey to coffee shop greatness begins right here!
Comprehensive. Proven. Affordable.
The Complete Coffee Shop Startup Kit
(Instantly Delivered To You)
* The information on this page is for educational purposes only. We do not offer legal advice.
Coffee Shop Startups
Based in Seattle, Washington, USA, Coffee Shop Startups is dedicated to providing you with the most relevant information on how to start a coffee shop business successfully. Over the last 11 years, we've helped thousands of aspiring coffee business owners worldwide. We harness the experience, wisdom, and knowledge of many successful coffee shop owners to help you increase your chances of success and profits. We support business owners who want to start a coffee business by providing them with valuable information on starting their coffee business successfully.
