The coffee world is very, very competitive. It can also be a very lucrative market, when done right. And, lastly, it can be a very rewarding business to be in.
After all, coffee makes people happy so you are in the happy people business when you create your own coffee products.
As competitive as it can be, there is still room for more coffee companies to enter the fray. Coffee consumption is rising every year. With more people drinking coffee, there is an opportunity for you to make a name for yourself.
In this article, I will go over the ways that you can start your own coffee brand and have a shot at being successful.
1 – Have your branding on point
You may think that having the best coffee on the planet is the most crucial thing when it comes to having a successful coffee brand. I wish this were true, but the reality is that it doesn’t matter how good your coffee is if nobody knows that you exist.
Branding and marketing actually are far more important than the quality. Now, when you have both that’s when you have a home run on your hands.
Make sure that you have your branding that is recognizable and speaks to the potential customer. Have your colors consistent across all of your media from social to your website and packaging.
Come up with a catchphrase that captures what your brand is all about. It should be short, catchy and easy to remember. Then, trademark it and protect it. Protecting a trademark is essential to protecting your brand so make sure you take this part seriously.
2 – Have a good product
Yes, I know in the last section I mentioned that quality is not as important as your branding. Don’t interpret that as meaning it isn’t important. Your coffee has to be outstanding.
When your marketing is working and you have generated some interest, you want the customer trying your coffee for the first time to be blown away. Source, good quality beans and use a roasting process to get the most out of them.
Then, make sure that your packaging keeps the coffee fresh so it tastes as good as the day it was processed when your customer opens the bag.
Remember that people are not drinking coffee just for the caffeine jolt. If that were the case, they could take it in pill form. They drink it because it tastes good. Sure, you can still sell plenty of coffee just with good marketing, but you’ll have better success if you deliver an outstanding product.
3 – Have a solid lineup of products
Sourcing, processing and distributing coffee can be very expensive. To compete, you may have to price low and have to live with low profit margins until you have a solid foothold in the market.
This means that you have to have higher profit margin products that are also on offer. Add value to your lineup and then you can stay competitive and make even more money.
An example would be to make a coffee scrub for cosmetic use. If you have any grounds that don’t make the cut to use for drinking, they can be repurposed and sold for a good profit as an exfoliant.
Also, sell branded products like mugs, thermoses and even coffee products like iced coffee.
4 – Price on point
It is very tempting to price very low and try to corner the budget coffee market. This is going to be very difficult and could put you out of business very quickly.
Though it is smart to cut down on costs rather than cut quality and then pass the savings on to the customer, you can’t compete with low budget coffee brands. Instead, go upmarket and create products for discerning palates and price accordingly.
People are willing to pay for quality these days. They want an uplifting coffee experience when they enjoy their morning brew and will gladly pay for a product that they enjoy.
That doesn’t mean overprice and ask too much expecting people will pay more than your competitors. It simply means that you should price to the top of your market. In other words, see where your competitors are in their pricing and go from there.
It’s not going to be easy to break into the coffee market, but if you find your niche and can put the work in, then you will be rewarded with a successful business.