Fresh Cup Magazine, providing specialty coffee and tea professionals with unique insight into the trends, ideas, products and people that shape their world.
Issue link: http://freshcup.epubxp.com/i/246997
ROASTERS REALM by Jake Leonti CY NTH IA M EA DOR S Expanding within your reach M ost roasters start out with humble beginnings, whether they're roasting in their garage, their parents' basement or another locale. Many roasting companies start out with limited means but high hopes, and few imagine expanding outside of their own town or city. But what happens when your wildest dreams come true and you're a stunning success? Suddenly, interested parties from across the country are making wholesale inquiries to get your coffee on their counter. Now you've got problems. How on earth can you support wholesale customers on the other side of the country and expect to keep them for more than three months? Local roasters will inevitably see your bag in the window and know you're not around to provide the service they can. Whatever you do, do not panic, as this is a great problem to have: You're growing and getting real traction if you're in this position. You should strive to make an athletic effort to nurture this healthy growth. However, this does not mean you should take every account that knocks on your door. Here are the basic steps and considerations to make when evaluating whether to enter a market: First, consider where the customer is located. If you are roasting in San Francisco and are getting inquiries from Fargo, you may want to pause. You can always just provide coffee and offer no service or training, but an unsupported account will only last so long. Instead, you may want to invest in markets that will show continuous return. 56 Fresh Cup Magazine | freshcup.com To identify those markets, look for these factors: POPULATION DENSITY. People create the demand for coffee. Cities where thousands of people live in each vertical building drive consumption. Starbucks' best-performing store in the United States is at Astor Place in downtown New York City. NICHE PLACEMENT. There are all kinds of people, so there must be all kinds of coffee. There is plenty of room for more roasters—you just have to find your audience. Explore a market where you might stand out. GROWTH OPPORTUNITY. Don't chase small towns or declining cities. Investigate cities on the rise with new construction, growth in employment and an expanding cultural scene. New York City is one of the fastest-growing markets for specialty coffee in the Unites States. With a huge population and endless restaurants and cafés opening and expanding, there is tremendous opportunity there for many roasters. It also means there is a tremendous amount of competition. New York is the market I call home, and I have developed and nurtured relationships here for years. New roasters are planting a stake in this city every day. With companies like Stumptown, Blue Bottle and Toby's Estate setting up local roasting operations to support their New York clients, how can you remain competitive and offer something more? Some roasters say taste is the main differentiator, but I think it's clear that wholesale customers are shopping for much more than taste. They need a proper core-value proposition. They need barista training, technical service solutions, equipment resources,