The Coffee Club Business Plan

Every human being having to start the morning with a cup of coffee or tea with hot and delicious breakfast, and mid-morning or afternoon. The great hot coffee or tea is sharing with family, friends and co-workers. Some people are like to drink coffees or teas as taste bold to medium and mild with any types of products. In 19th centuries to now, there are so many food businesses open in the market such as coffee stores, food restaurants, retail grocery stores and food industries. There are different country’s coffees or teas with flavors find in the coffee or cafe stores. The coffee businesses are open such as Starbucks coffee, Dunkin Donut, McDonald, Panera, Caribou café etc. All these coffee businesses have the own corporate stores,

Coffee, the bean we love. To many it is known as the magic elixir, brain juice, or nectar of the gods, while others see it as the devil in a cup. America is a country that is obsessed with its coffee, now more than ever before. Although coffee has spanned generations, the craze did not exist like it does today. According to anthropologist William Roseberry of UBC, coffee was on the decline in the 1960’s and hit an all time low in the 90’s with only half the country drinking about a cup a day (D’Costa). However, with coffee being the world’s most commonly traded commodity, second to crude oil, much money is at stake when people stop drinking it. Thus the coffee empire was rebuilt, coffee revamped, and redefined to suit the needs of the “me

In looking at the history of coffee through the book Uncommon Grounds, we have seen coffee move throughout the world. Coffee originated in Ethiopia and grown wildly that was discovered by a goat name Kaldi. It was first eaten as a berry, then boiled, then roasted and finally, grinded to what we now know drink today and have created new ways to drink it as well. Coffee is the second most traded commodity and is grown in the Southern Hemisphere and consumed in the Northern Hemisphere. Here in the United States, it is evident that Americans love their coffee and drink it many times throughout the day. It can be argued that the “world coffee supply would continue to grow, stimulated in large part by the seemingly bottomless American coffee cup.”

The first opportunity is that over 50% of eighteen year olds and older drink 3 or more cups of coffee per day in the United States. This group of coffee drinkers consists predominately of college students and career professionals who adding the morning cup of joe to their study time or work schedule. Currently in the coffee industry, competition is minimal for Starbucks, which has allowed Starbucks to capitalize on one of the biggest industries in the world behind crude oil. This

As for other coffee consumption facts, brewing coffee at home declined from 2006-2011 with 75% of total coffee sales made “away from home” (High Beam Business, 2012). Furthermore, an interesting study revealed the growth in this target market: “another new and large growing target market within the coffee industry is college-age students and post graduate individuals residing in urban areas. These two segments account for the largest portion of coffee drinkers” (Scribd, 2012, Marketing

While there’s constantly growth in the consumption of coffee, the demographics of the drinkers steadily change. Recent studies show that over the last two years, 74 percent of Hispanic-Americans drink coffee daily, that’s more than 12 percent of non-Hispanics. While Hispanic-Americans are drinking more coffee, the younger generation is drinking less. Among ages 18-24, 41 percent said they drank coffee daily, which brings them down from 50 percent in 2012. Despite these changing habits, the consumption of coffee is expected to keep climbing. "We usually flip over new foods, not something that has been around for centuries, But today coffee's got everything going for it, plus a jolt of caffeine that's hard to beat"(Fernau).

Since then it has continued to do well in generating high revenue. Statistics show that over 77% of Americans consume some form of coffee beverage. That overwhelming statistic is indicative of the sales boom of the coffee house sector between 2000 and 2005. During that period the coffee house sector developed larger and faster than any other sector in the restaurant industry, citing a 157% increase in sales. The coffee house sector is only expected to grow. Market analysts suggest another 125% increase over the next five years.

The wide product varieties provide lots of choices for customers no matter they are coffee-lover or tea-lover, and featuring customization of its drink has matched with the changing consumers’ trend in China.

Nowadays, coffee is not only one kind of drinks which can refresh people, but also reflects the high quality of modern life. With the constant improvement in the living standard, as the western style drinks, coffee is accepted by more and more people in China, especially some big cities like Beijing and Shanghai. There are many cafes in many big cities in China and more young people are becoming passionate advocate of coffee. However the prospects of potential market of cafes are very broad. With a population of 5 million in Finland, the annual coffee consumption is 1 million cups, comparing with only 20-400000 cups with a population of 1.3 billion (SPR COFFEE 2013). The number of potential consumers in china is about 250 million, which equal to the current market of United States, the world’s largest coffee consumption market. Japan and the UK have abundant tea cultures and now they have developed into huge coffee market. Similarly as a country that has strong tea culture, China has broad coffee consumption potential and is becoming the biggest market through the world. The coffee consumption in China is increasing at an annual rate of 15 percent, comparing with the world’s consumption at an annual rate of only 2 percent (Olivier 2013). The per-capita coffee consumption in China from 2008 is increasing by 30 percent annually (Olivier 2013). As a conclusion China is expected to become the large market with the highest potential in the following years.

Executive customers are between 31-55 years old. They prefer brewed coffee and iced coffee rather than blend coffee

Global demand for coffee has been on the rise in recent years and there several big consumers such as USA, Brazil, japan among others, in fact the demand may be higher than the supply.

What’s one of the most famous morning stimulant drinks? Coffee. Coffee is in the top ten, but is the number 1 drink on the list of food and beverage items traded all across the world. One year coffee’s trade value was above 15 billion dollars. Brazil, in South America, is the biggest producer and exporter of coffee in the world. Vietnam, Indonesia, and Columbia are after Brazil in coffees’ production and exporting. The biggest importers of coffee are Europe, being the top, and followed by the U.S. and Japan. America gets its coffee from Brazil and Indonesia. We spend 1.2 billion on coffee, tea, and spices from Brazil and 531.9 million on coffee, spices and tea from Indonesia. The biggest consumers of coffee is Europe. The U.S. and Brazil

I would like to propose a marketing plan for opening a coffee shop in the city of Moscow. Over the past two or three years, a coffee shop in Russia managed to grow in a socio-cultural phenomenon: at once there was like a house of cards, the Soviet culture of consumption of coffee.

The consumer market is segmented according to age as well as preferences. People working in offices located close to the coffee bar and on sophisticated teenagers. Younger consumers are often willing to spend more on fancy coffee blends and signature drinks; the health-conscious would be willing to pay extra for “healthier” substitutes such as organic products; My market research shows that these are the customer groups that are most likely to buy coffee products. Since coffee consumption is universal across different income categories and mostly depends on the level of higher education.

In the past 16 years, the local consumption of imported coffee beans, coffee powder and coffee products has been increasing steadily, from 2 537 tonnes in 1991 to 7 214 tonnes in 2006. The average annual growth rate was 7.2% according to the Hong Kong Census and statistics Department.