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How To Start A Successful Coffee Shop Business

By: Eric Slade


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Starting A Coffee Shop Tip 1 - Learn From Others
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Hi!

Welcome to my first in a series of 7 tips for starting a coffee shop. I hope you find this series helpful.

My first tip is to learn from others. There is no point in reinventing the wheel. See what other franchises have done to achieve their success. You might want to look at places like Dunkin Donuts and Starbucks.

For starters, actually go to your competition. I know this doesn't sound like something you're going to enjoy doing, but consider it research. Go look and see how they have their establishments setup. See what kind of menus they have. A coffee shop is more than just coffee. The more competition you check out, the better an idea you'll have of how to compete.

Next, you want to study their ad campaigns. Everybody advertises differently based on their USP, but they all do have things in common. Look for those similarities. There are some basic things that you're going to want to convey to your target market. The primary things are:

The quality of the coffee and food
The atmosphere of the shop
The price

A lot of people say that there's not a big difference between one coffee and another. Those people are NOT real coffee drinkers. Trust me...there is a difference. If you're looking to cater to the guy driving an 18 wheeler on route 9, he's going to expect a different quality of coffee than the guy who has on a $2,000 suit and doesn't buy anything off the rack. You have to know who your target market is and what kind of coffee they're going to expect.

Same thing with the atmosphere. Some people just want their coffee to go and that's it. Others want to sit down and relax and enjoy their brew and while they're doing it, they don't want to sit in a dump...though some people won't mind as long as the coffee is good.

Finally, there is the price. While we're not talking about a big ticket item like a BMW, some people aren't going to want to spend more than 50 cents for a cup while others will gladly pay $2 or more if the coffee is really exceptional. Again, know who your market is.

By going to other coffee shops, especially ones in your area, you'll get a good feel for who your market is. From there, it's just a matter of catering to it.

See you soon with more.

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Starting A Coffee Shop Tip 2 - Choose The Right Location
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This is the second in our series of coffee shop startup tips.

This issue is going to focus on location.

Location, location, location.

If you watch baseball, have you ever noticed how many times the announcer would say something like, "It's not how hard you throw the baseball but where you throw it."

Truth is, a major league hitter can hit a baseball no matter how hard you throw it. However, if you throw it at just the right spot, he can't touch it.

The same is true for starting a coffee shop. You can put up the fanciest coffee shop in the whole world, but if your location is all wrong, your business is going nowhere.

Okay, so what do you want to look for as far as location goes?

Well, for starters, you want an area that is accessible to some form of transportation. If you're in the middle of a busy intersection with lots of through traffic, this is ideal. But what if you can't get such a location? A next best choice would be an area that is at least walking distance from public transportation, whether it be bus or train.

If you can afford the rent, a great location for a coffee shop, as I am sure you have seen, is inside a crowded mall. Malls not only get the folks that drive in but the ones that take the buses and trains as well.

Another thing to look for is an area where there are a lot of businesses. Why is this important? Because lots of businesses mean lots of people who work and need coffee breaks. If you're near a large office building, this is an ideal location.

But probably the most important thing of all is checking out the location of your nearest competition. If you think you're going to put up a successful coffee shop in an area that already has a Starbucks AND a Dunkin Donuts, you are going to have your work cut out for you...not to mention if there are already diners and other cofffee shops in the area.

So make sure you carefully examine the area where you are thinking of putting your shop.

A bad location can kill your business right from the start.

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