A Success Story: Tripling A Coffee Shops Revenue

One of our catchphrases you’ll hear us say is “We build brands that work as hard as you do.” The stars who make us look really good are the incredible entrepreneurs and business owners who are hustling in their business. One such client is Usri.

Usri owns Kedai Coffee House and Roaster and was getting ready for his next big move in business. Before taking the next steps he contacted us for help regarding the visual identity and overall strategy for his business. We outlined strategies and created visuals in the project but we wanted to share some of the strategies implemented for his success.

1) Deciding to Stay Rather Than Seek Somewhere New

All of us, especially young guns, love new things rather than fixing the old. Usri was needing to move because the owners of his commercial building were wanting to sell. He was offered another two year lease if he needed it but he thought he’d rather move on and start building a new place sooner than later.

We talked through numbers and costs for the next couple years and took a close look at his customers. He had a healthy customer base and would be better positioned to grow his roasting business if he stayed. It became evident, staying put was better than moving at this point. We might have to move in the future and experience some drop-off then but it was better for the business to ride this healthy wave than to start building something new at this stage.

 

2) Invest in What is Already Working

The Product

The coffee Usri was roasting was good and it was getting better. Through relationships he had been establishing with coffee farmers he was able to provide a better quality coffee.

With the money he saved by deferring the move he was able to afford his new coffee roaster sooner than later. This meant he’d experience gains in quality and also quantity as his previous roaster wasn’t big enough. This better product played its part in adding more to his customer base.

The Place

Talking through target customer personas , we were able to see trends in his local coffee shop which he wasn’t yet implementing. Usri has two distinct customer bases. One centered around the youthful atmosphere who likes to hang out while the other was primarily a third-wave-coffee conscious consumer. We decided to have a few murals painted in the shop with an aesthetic that would connect with his youthful audience.

We also knocked out a wall to create more seating space.

Then, in a corner of the shop, we made a specialty coffee tasting counter, complete with an assortment of manual brewing tools and SCAA flavor wheel on refurbished wood boards to better serve the third wave coffee segment of his audience.

In the coming weeks, the number of customers steadily grew.

3) Finding a hole in the market

Talking through customer personas and isolating their needs, desires and values got Usri’s creative mind flowing. After our talk he went through his numbers again to see what else he could do for his business. He asked himself “How much more would it cost in staff and utilities if I operated 24 hours a day?” His customers had nowhere to go for late night coffee and he saw there was a demand in the market that he was ready to fill.

Taking a business 24 hours has a bunch of implications which would not fit many business owners. We were able to talk through all the issues one by one and he had a good answer for each one. A few weeks later he was operating 24/7.

 

4) Looking at the Numbers Now

It’s been a few months since these changes and I’m happy to say his business is humming! He went from using about 3 kg of coffee a day to 9 kg of coffee. Aside from being a whole lot of coffee, that equates to 3x’s the gross profit. He is now in a financial position where he plans to buy the commercial property from the owners at the end of his two year lease so he wont have to move! Way to go Usri!!

Success will look different for everyone and much of his success was due to the work he had been putting into the shop for the last 3 years. But biggest takeaway is that we all do well in looking through our customer base and seeing where the overlap of customer, product, and brand experience meet. That’s where innovation and growth take place.

What brand strategies have you implemented which has meant success for your business? Share Below.

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