10 Steps on How to Start Drive Through Coffee
Drive-thru coffee shops are gaining popularity, but are they easy to start up?
Drive-thru coffee shops are gaining popularity, but are they easy to start up?
Opening a drive-thru coffee stand is an exciting way to get into the coffee business, but it can also be challenging. The process can save entrepreneurs money in terms of startup costs, and if the shop is run well, it can create just as much profit as a traditional café. However, there are multiple factors to consider for entrepreneurs with coffee on their minds. Finding the correct location for the shop is one of the most vital factors, and a savvy marketing plan is also essential to keep sales high. Affordable rent, a comprehensive business plan, and above all, excellent coffee are the other factors that entrepreneurs should pay monitor.
When placed in a dynamic location, a drive-thru coffee shop can be the ideal answer for entrepreneurs who do not have or do not want to spend the money for a traditional shop.
Since careful planning is important when opening any business, we have prepared a list of steps for entrepreneurs interested in the coffee industry. So brew up a cup and prepare to be informed about how to start a drive-thru coffee shop.
An excellent business plan is the cornerstone of every startup. As entrepreneurs begin to work on their new idea, the business plan guides them through the various tasks and outlines valuable strategies. In addition to helping entrepreneurs choose location, staff, and equipment, business plans often identify funding opportunities.
Business plans should be written out carefully and include the significant aspects of the business. But an entrepreneur’s plan should also be flexible, and they should be willing to change and revise elements of the plan as the business is created.
Business plans in any market generally include an executive summary, a company summary, an analysis of the existing market, an explanation of the management team and personnel, and sales and revenue projections for the company.
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When an entrepreneur is confident of who the target market for their coffee business is, they can plan accordingly. This knowledge is vital and will inspire many of the business’s choices, from what to sell to what hours to stay open. Helpful questions such as these can clarify the intended market for the drive-thru:
When starting a drive-thru, space is a concern. There will probably be a shortage of room based on the shop’s size, which means that cooking or baking will be done in another place. Many shops bake their goods off-site and then bring them to work each day.
Before planning this out, decide on a starting menu. The menu will dictate many of the culinary choices the entrepreneur will need to make.
Identifying the target market goes hand in hand with creating a menu for the drive-thru coffee shop. Some coffee shops focus on fantastic brews and offer light snacks such as scones or muffins. Other drive-thru shops offer bagel sandwiches and even eggs. Whatever the new business owner decides, it makes sense to focus on the taste of the coffee since that will be the driving force behind the business. Will the baristas serve drip coffee, fancy espresso drinks, or both? With all items baked the day before, what types of baked goods will be at the top of the list?
If thinking in terms of time, evening and afternoon crowds prefer tea, smoothies, and juices without caffeine. Make sure to have decaf on hand as well.
The area and market should dictate all menu choices, and new coffee business owners should remember that their menu choices are not set in stone. Instead, for a new business, it makes sense to see what sells well and recalibrate as time goes on. It also makes sense to remember that just because the entrepreneur loves spinach bagels with lox, this does not mean it will be a bestseller.
A savvy entrepreneur in any industry studies the competition. For example, what coffee shops already exist in the chosen location? Do drive-thru options already exist, and if so:
For example, if a small drive-thru coffee spot serves only drip coffee, then a new business owner can set their shop apart by serving donuts and cappuccino.
What are the more traditional brick-and-mortar coffee shops focusing on, and how is business? Do they allow mobile orders? If not, why not choose an app and make the drive-thru a quick pick-up spot for busy people on the go? For many coffee customers, speed of service is critical since they are stopping on their way to work.
What about timing? It is vital to study what competitors serve and when consumers flock to their stores. Awareness of the peak times of demand helps new business owners figure out how many employees they need to start, how to market the business, and how early or late to stay open.
Location is in one word: everything. Drive-thru coffee shops depend on traffic, and while a prime location brings in more business than you can keep up with, the opposite is true with a poor spot. Two of the high points of opening a drive-thru coffee shop for entrepreneurs are saving money in terms of operating costs and the cost of starting up. However, these advantages do not matter if no one can reach the store.
Customers value convenience and pick-up speed. People are busy and constantly moving and want their coffee served quickly and inexpensively. In addition, many individuals stop at the coffee shop on their way to work or school, and an easy stop (and tasty coffee) can make all the difference. Asking these questions can help:
In terms of specifics, an empty parking lot can work for a drive-thru coffee shop since it will be difficult for entrepreneurs to buy an existing drive-thru. Another option is a shopping plaza that already gets much traffic. New business owners may be able to build their coffee shops there and target the pedestrians that already shop there.
While there is no one particular location that will work for every drive-thru coffee shop, entrepreneurs should be sure to get in touch with local government officials and tell them about the plan once decided. Compliance with local regulations is critical, and nothing should derail the business once it has been started.
Building the stand is a money-saving option for handy entrepreneurs with the correct equipment. If this isn’t an option, a local contractor may be able to help as long as they have the time and the business owner has the vision.
For entrepreneurs who want to skip that step, there are usually coffee stands for sale, and some can even be delivered. In addition, entrepreneurs with unique visions have converted old vans, RVs, and food trucks into coffee stands, allowing the stand to be uniquely portable.
Drive-thru coffee stands must meet the proper regulations, and entrepreneurs should take careful note of these ahead of time. Here are a few tips based on compliance:
Delicious coffee is the number one factor that will keep people returning to the shop, and great coffee relies on one main factor: equipment. In a drive-thru coffee shop, the equipment size is a significant concern.
A quality grinder for the beans and an efficient, high-quality espresso machine are two of the most crucial pieces of equipment. The specific device the entrepreneur chooses depends on the size of the stand, as is the choice of how many heads the machine should have. If the business owner is unsure, they should ask a trusted expert.
Espresso machines are expensive, so when buying a new one, make sure the business can afford it. When in doubt, go with the smaller machine to start—you can always sell it and scale up if needed.
Next comes another critical piece of equipment: coffee grinders. Separate grinders are needed for drip coffee, decaf, and espresso, and fitting the grinders into the small space is crucial. Make sure that whatever models are purchased, there is enough room on the counter for the staff to create drinks, make change, and most importantly, make customers happy by dealing with them quickly and professionally.
We advise spending more on the espresso grinder than the others since espresso is more challenging to pull. However, companies such as Baratza and Bunn offer great equipment, and if the new owner buys quality equipment early on, it will last.
Finally, filtered water is essential when brewing coffee. Drive-thru coffee shops only have room for a certain amount of equipment, but water should be prioritized. Some shops use a different building, too, and some have water delivered. Do what makes sense for your business since fresh, filtered water is the foundation of delicious java.
A unique challenge is coming up with a brand for the new drive-thru coffee shop. Instead of concentrating on the interior of the store, entrepreneurs should envision the exterior. After all, customers will not be spending time inside but instead stopping in quickly for a coffee and a scone, for example. Convenience is more important than aesthetics, and the branding decision should reflect that.
However, the business also should catch peoples’ attention from the outside. Therefore, more attention should be paid to the exterior of the shop. Colors, signs, flags, and intriguing words can help bring in business, as can advertisements for deals such as “free refill Mondays.”
When new business owners create a brand that informs the public about what the company does best, the business succeeds. Consider using words such as “speedy” or “fuel up” or concepts that reflect fast, convenient service. Mix in adjectives about the delicious coffee, and you will have a brand. Then, devise a simple, clean logo that is just eye-catching enough to bring business from busy commuters.
Marketing is crucial for all new startups, including drive-thru coffee shops. Marketing can be divided into two categories. The first is reflective of our times and focuses on the web. The second category is more traditional but still trusted.
The web is a resource unlike any other for new startups. Blogging, using social media platforms such as Facebook, Instagram, and Twitter, and speaking directly with customers are great options. However, suppose entrepreneurs are not familiar with posting stories and videos or do not want to focus on updating their status repeatedly. In that case, having someone else handle the online marketing might make sense.
Every new company now seeks to generate buzz through social media. Answering questions, posting pictures of cups of coffee and the stand, and connecting directly with customers are all ways to get the brand’s news out there. So it might make sense to lead up to the big opening day with a series of posts and coordinate the announcement across all social media channels.
One of the best aspects of social media is the ability for a business to speak directly to its prospective customers. Drumming up business has never been easier, as long as entrepreneurs do not mind spending time on the computer.
After the online outreach is over, why not try more traditional advertising? Signs, lights, banners, and even an opening day celebration or party will make new customers curious about all the commotion. Why not give away bite-sized scones or tiny samples of iced coffee, too?
New drive-thru coffee stand owners should never forget that they are selling speed and convenience and building up a community of local clients. When customers return repeatedly, it will be apparent that the business is clicking on all cylinders.
Drive-thru coffee stands rely on cost and convenience, which is essential to remember. When considering prices, figure out that drive-thru customers generally want to think they are getting a deal. If consumers feel that the new stand’s coffee is overpriced, they will opt for Starbucks or a similar chain next time.
On the other hand, if the coffee tastes terrible, then all the speed and convenience in the world will not save the business. So, what’s the sweet spot in between?
Finding a local coffee bean roaster who agrees to supply beans to the stand is essential. This simple act will cut shipping costs and ensure a fresher product. The business owner can decide on coffee and espresso options based on the roaster. We recommend starting with only a few categories to please most customers—and then slowly expanding. This will also help staff training because instead of learning to make 15 drinks, they will master 5. As a result, consumers will notice that the drinks are well-prepared and quickly served, and the staff will not be overwhelmed.
Most drive-thru coffee stands only use one kind of espresso and rarely use single-origin coffee options. These are solid rules for starting. Also, pulling excellent espresso is based on technique and timing so it will take extra effort and time. It is up to the stand owner what they would like to serve and how they want employees to spend time. These choices will also, in part, be dictated by the preference of the customers.
Entrepreneurs should keep in mind the fundamental goal of the drive-thru coffee business: to serve busy consumers good coffee and do it as quickly as possible. Then, if customer satisfaction is high, it will keep buyers returning.
A drive-thru coffee stand offers a unique opportunity for entrepreneurs who love both coffee and serving the people. With a strong effort, knowledge of the market, and a little luck, perhaps the entrepreneur’s humble coffee stand will become a national franchise.