Archive for October, 2008

Time Management Lessons From Starbucks

October 12th, 2008 davidguide

It’s amazing what you can learn from being in line at the coffee shop. I was in the city early the other day and I stopped at Starbucks to get my coffee. It was particularly busy and there were about 10 people lined up. Most were fidgeting and impatient.

I took the opportunity to just observe and here is my perception of what was happening for some of the people in line. I have given them names to make it easy to write.

“I don’t have time for this right now,” Tracy thought as the very polite Starbucks assistant was explaining all the different coffee options to the person at the counter. And she went on and on. This is crazy Tracy thought – how many choices are there?. She was fidgeting, moving from side to side, sighing and rolling her eyes. She kept looking at her watch.

Tracy wasn’t the only one becoming frustrated. Betty, at the counter, was clearly becoming more and more confused. (more…)

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All You Need to Know About Coffee Percolator Types

October 11th, 2008 davidguide

The word “coffee percolator” was derived from the word “percolate,” which means “to cause a solvent to pass through.” The percolator is often used in camping and many outdoor activities.

A coffee percolator works by keeping the boiling water up through a tube, then poured on coffee grounds. This process is repeated until the desired result is achieved.

First put water in the carafe and follow it with coarsely ground coffee beans in the basket. The basket should be covered before heating the coffee. The basket is then used in order to keep the coffee dry, from being deposited inside the container. The glass top determines the amount of coffee done. Once the process is completed, you can discard the coffee grounds.

Percolators have three versions, namely electric, stovetop and microwave percolators.
• Electric Coffee Percolator is the most common type using electricity. It gives out a more consistent brew by stopping it automatically when the coffee is done. It then switches to a warming mode when completed. An electric percolator has a built-in heating element that can be cordlessly used. (more…)

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7 Tips to Maintaining Profits and Keeping Your Coffee Shop Customers

October 11th, 2008 davidguide

With rising prices, and talk of the “credit crunch” wherever you go, what advice can I give coffee shop owners with regard to maintaining your profit margins without losing customers?

1. First, it is essential that you pass on the price rises to your customers. Your suppliers are passing on their higher costs to you; if they tried to absorb the increases and keep their prices to you stable, they would go bankrupt. So, you have no alternative but to pass on the increased costs to your customers. You should bear in mind that your customers are already aware of the rising cost of food, and any increases you make to your beverages or snacks will come as no surprise to them. Remember, also, that whilst restaurants may suffer as customers give nights out a miss, a quick visit to the local coffee shop will not seem so expensive in comparison.
2. Treat the current economic environment as a challenge, a chance to beat your competition by focussing on great customer service and introducing promotions, such as one coffee for the price of two for a limited time, or by introducing new items.
3. Try and reduce wastage. This could simply be by reducing electricity bills – ensure lights are switched off in staff areas when rooms are not in use, such as stock rooms. Review settings for your air conditioning. See if you can reduce the hours worked by your staff – there may be certain times of the day or week when you do not need so many employees on the shop floor. (more…)

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How to Market Your Coffee Shop Before and After Your Opening Day

October 11th, 2008 davidguide

So, you have done all the hard work preparing to open your coffee shop. You chosen your suppliers, fitted out your shop and hired your staff. So that’s everything taken care of, and now you can begin to relax. Well, almost! There’s the small matter of advertising to take into account.

For your coffee shop opening to be a success, make no mistake about it: you will need to advertise.

One of the best, most effective ways to advertise your business is to seek some free publicity.

1. Really make an event of your launch and invite a local celebrity to come along. Create a news story, then issue a press release and send it to your local media. Local media love local stories, so be creative! Come up with something that the journalists at your local media outlets will love.

2. It’s also a good idea to try advertising on your local radio stations. As a general rule, set aside 1% of your budget for advertising if you can. (more…)

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Starting a Coffee Shop Franchise

October 11th, 2008 davidguide

So… you want to have your own coffee shop franchise, huh? Well there iss a lot to consider when starting one, and your to-do list is going to take up quite some space on this particular little venture.

First, you need to be aware that certain conditions apply if you are purchasing your franchising equipment from a pre-existing coffee shop franchise. The franchise you will be buying into has done almost all of the work required to get you up and running. It will take your money, and some real estate savvy to fulfill your end of the bargain.

The down side is that the franchise you will be buying into has a pre-set, definitive method and structure of operation in place. You will have little wiggle room for your own creativity or expression, and the standards to which you will be held in upholding the image of the particular company you’re franchising from, will be high indeed.

The value of your dollar amount invested is roughly equivalent to what the coffee shop franchise owners had to invest to get where you want to be. (more…)

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How to Set Up a Simple WiFi Hotspot System in Your Coffee Shop

October 11th, 2008 davidguide

What is a WiFi Hotspot?

A WiFi Hotspot is an area that has WiFi access to the Internet. The term Hotspot is now used interchangeably for the both the area where the signal is available and the device (WiFi Router or WiFi Access Point) that is broadcasting the signal. Likewise the terms “WiFi Router” and “WiFi Access Point” (AP) are often used interchangeably.

How to buy and set-up a WiFi Router.

The great thing about setting up a Hotspot System in a Coffee shop is that normally one WiFi router will cover the whole building so it’s not very complex to set-up. Wireless routers can now be bought for around $50 so setting up a Hotspot doesn’t need to be expensive. The only other thing you would need is a DSL or cable connection to your shop, depending on where you live these normally cost around $30/mo.

How to control access. (more…)

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Coffee Franchise Opportunities – Does Starbucks Franchise?… and Other Coffee Business Franchises

October 11th, 2008 davidguide

Does the aroma of brewing coffee transport you to a sensory paradise? Is a steaming latte your idea of comfort food? Do you consider coffee its own separate food group? If you answered “yes” to any of these questions, then a coffee franchise may be for you!

When someone says “coffee shop,” the name that most often comes to mind is Starbucks. So it’s only natural that coffee connoisseurs and entrepreneurs will immediately want to know if this wildly successful java chain offers the opportunity to buy Starbucks franchises.

Despite its seemingly ubiquitous presence the Starbucks brand does not franchise or sub-franchise its operations. Rather, the company operates most North American Starbucks stores. The exception to this is situations in which Starbucks will enter into an agreement with companies that may provide physical locations that might otherwise not be available to Starbucks, such as space in airports, grocery chains, hospitals, and on college and university campuses. In addition, in certain areas, Starbucks may enter into an agreement with a group of individuals or a company in which the company or group is permitted to manage and operate Starbucks outlets within a certain region.

The unavailability of Starbucks franchises, however, should in no way dissuade the coffee lover from pursuing a coffee franchise business opportunity. There are numerous coffee companies that do, indeed, franchise their operations, and many even venture beyond the traditional coffee bean to provide gourmet coffees, food options, and even catering services. (more…)

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Making Sure That Your Coffee Shop Will Be A Success

October 11th, 2008 davidguide

Why do some coffee shops fail? It is often a combination of small things that really add up. No one invests their time and money in such a business to see it fail, but that is the end result too often. The competition that is out there is only one possible reason why many of them don’t survive. You really need to do all you can to avoid problems that can cost you the business.

You will have more flexibility for your coffee shop if you have the money you need up front. However, the reality of it is that most of us will have to approach a lender for some type of loan. They are going to take a close look at your ideas for your coffee shop. Make sure the information that you provide them will imply that you have really looked into all the scenarios of this business. The more bases you can cover the more credible you will become.

It can be scary to move forward with plans for a coffee shop with such grim pieces of information being offered to you. Yet you can use all of this information to your advantage. Too many people have found themselves suffering from poor choices with their coffee shop. The biggest problem was that they didn’t realize they had a lack of knowledge before they moved forward. (more…)

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What Type of Coffee Shop Should I Open?

October 10th, 2008 davidguide

When we think of a coffee shop, most think of a sit down place, maybe with or without a drive through. While that may be true, there is also the coffee kiosk and coffee cart. Here are some points to consider for each:

Sit down (and mix) – most advantageous if you are planning on having entertainment and events. This would be considered, more often than not the full-service coffee shop. Outside of the purist coffee house that serves nothing but coffee in only a few forms, most sit downs serve light foods to full menus, also called cafes. The mix is pretty much adding a drive through window if space allows. A drive through window can add as much as 20% more revenue to your sales because of its convenience.

Drive through (stand alone) – usually a lesser start up cost, you can have your drive thru constructed off-site by a company specializing in such for about $20,000 or less. A lot of times you can get a ground lease from the owner of a parking lot that does not need all that parking space. Be sure to consult with the city planning department to be sure you can do this. It will most likely require a certain square footage of lot space for employee parking and customer vehicle ‘stacking’. This is a fancy way to say how many cars can be in line at your drive through window on your property and still allow easy flow in and out and, to still have enough space for the other tenants in the plaza. Note that if your city and/or health department does not allow portable water and sewage on site, you will be required to install plumbing and sewer. This can get costly but if the location is prime, it will outweigh your upfront costs. (more…)

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Setting Up A Coffee Shop

October 10th, 2008 davidguide

Coffee is one of the most popular beverages in the world.

When you walk past a coffee shop the aroma is very tempting and can lure you inside. Setting up the atmosphere to attract the customers from outside is an important start to the process of getting a successful and rewarding business.

Planning

Having a good business plan will go a long way towards being successful in business. It is not the magic that ensures success, but it can help to ensure that you are on the right track when starting out. Plan properly and get the advice that can help you set up correctly. Without a plan you can easily miss vital stages and this can be heartbreaking when the chips are down and you haven’t done your homework. Competition is another area that you may need to look at seriously. Look around for other sellers of the coffee products especially look at businesses other than coffee shops that may have a little cafe bar selling one particular product.

Suppliers

Get your suppliers right early and ensure that they can deliver to you the right products at the right time. (more…)

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