The coffee business in the downstream sector has recently tended to grow and develop in a variety. The downstream coffee industry can be cultivated as a business medium and small, adapted to starting ability. Small scale business enabling budding entrepreneurs to get started pursue this business.
The coffee industry is in the form of a coffee shop lately many were started by later coffee drinkers interested in running this hobby into a business.
Many coffee lovers make drinking as a hobby the coffee becomes an attempt to add income, or even then the main source income.
Several years ago, for the most part people only consume coffee at the stall or a simple coffee shop, but together changing times, coffee shops flourished into a modern coffee shop. The rise of the coffee business shop causes competition to become more and more strict. Each trying to provide better facilities.
3rd wave coffee as consumer coffee business opportunity
Coffee shops or cafes in the world, nowadays have changing the way we drink coffee than just a daily routine at home stairs and entertaining guests, become a thriving modern business.
Drinking coffee is not just became a habit to reduce sleepiness, however become a lifestyle for adults as well young people, both men and women in activities daily.
In the past, coffee shops were synonymous with stalls that were lacking comfortable, unattractive and monotonous atmosphere. Now coffee shop is synonymous with a comfortable place, atmosphere cozy, complete facilities such as lounge, bar, air conditioning, Wi-Fi, even cafes with unique and interior designs previously unrelated combination of functions, for example a library or reading room. Not strange when the community feels comfortable to spend a lot of time with relatives on coffee shop or cafes.
To enjoy a delicious cup of coffee high requires quite a few processes length and efforts to maintain coffee quality starting from the harvesting process in the garden and continue the post-harvest process until produced dry coffee beans (green bean).
Broadly speaking, the coffee processing process subsequent efforts to defend coffee quality remains excellent, starting from the roasting (roasting), milling (grinding), up to into a ready-to-packaged coffee powder product on sale.
Start your coffee business plan with passion
To start a coffee processing business, the first thing that must be fulfilled is having a passion (passion) to run the business.
That meant here passion is an energy keeps you motivated to do something with pleasure, without even coercion volunteering to do it without expect the slightest reward. Usually things it appears, because you really are love his business or job.
Start with learn the coffee business plan, process and model
Business processes to describe development of a coffee downstream business based on marketing, production and financial functions, in a manner more detail can be described into a business model as a tool for checking a business plan will be done whether already considering various most important aspects in full or not yet.
A good business model is required for avoid the basic mistakes that are not uncommon happens to business actors (entrepreneurs) who just started (start-up). A business model describes the rationale for the means organizations create, deliver, and capturing value (Osterwalder and Pigneur, 2012).
The business model consists of nine canvas blocks
In general, these nine blocks can returned to the three main business functions, that is:
- Marketing (includes a value proposition, customer segments, customer relationships, and channels),
- Production (key resources, key partners, key activities that lead to value proposition), and
- Finance based on a value proposition raises the cost structure and generates revenue streams, as well (which are not included
by them) quality of profits.
Based on the canvas business model grouped in these three functions, several Examples of processed coffee business can be presented in the following subsections.
First business opportunity category, processing business model.
Coffee processing can be carried out include the process of buying materials in green form bean, processed through roasting stages until into coffee powder, then sold. This venture can be done as an individual business with using their own equipment or machines.
1. Roasting a green beans and selling as ground coffee
Coffee business with a model like this, although you can run as an individual business, however requires relatively large investment costs. Equipment and machines and personnel who are competent, trained and master every stage of coffee processing, requires a hefty investment for beginners.
Advantages of processing business model
In the individual business model, players can intensively and sustainably control each process and maintain coffee quality which remains good, with a distinctive taste and aroma contained in processed coffee.
Another advantage of this business model is that it can directly control the quality of the coffee beans by partnering with farmers or suppliers can be trusted. The activity can be started with obtain green beans from farmers with optimal ripe quality during the process harvesting in his garden.
Selection of optimal ripe coffee (color red) and separates from the still green ones can cause damage to the quality of processed coffee,
can be avoided if the main activity can be controlled by establishing good partnerships with farmers and green bean suppliers or with
own garden ownership so as to maintain the quality of green beans. After the green bean collected, roasted (roasting) using their own machine. Step roasting is one stage most important for maintaining seed quality coffee.
This process is an inner stage the formation of a distinctive aroma and taste from within the seeds heat treated coffee.
Tips for roasting green beans
For roasting purposes, it is now available various automatic roasting machines with using electric power accompanied by various advantages, both in terms of appearance, speed in roasting and widely sold on the market. Roasted coffee, recommended not in direct contact with hands. Processes should be carried out using tools, such as a spoon. It’s for avoid bacterial contamination of ones hands can result in a decrease in the quality of the resulting coffee roasted (roasted beans).
The next stage is the milling process or grinding. This process will produce coffee grounds ready to pack and next marketed to consumers. Is simple, right?
2. Coffee business without roaster
The roaster is the biggest cost in investment in coffee powder processing. For beginners, this can be overcome with the machine rental model, when the location is available. Roasting skills is also a determinant of success produce high grade powder.
Provision of tools and machines is a constraint for some startup entrepreneurs. But constraints these are pretty much used as
opportunities by companies or individuals who are provide coffee roasting services. With the availability of this service, beginner entrepreneurs can focuses on green direct buying activities bean from the farmer, then by using roasting services to produce the coffee powder.
This method will be more efficient in providing funds investment to start a coffee business, because business actors do not need to buy a toaster machine relatively expensive. Coffee can be roasted when done there is demand from consumers so it can control over processing of coffee, because coffee that has been roasted can only last as long three months.
3. Coffee roasting business with rental machines
Like using a coffee roasting service at above, beginner coffee players who already have coffee roasting skills, can use roasting machine with full lease from the owner machine. This can still reduce investment costs when starting a business. But not all owners roasting machines want to entrust the operation machines that he owns to the other party.
Machine owner’s confidence in ability and responsibility for operating the machine becomes one of the keys to getting the opportunity start a business based on your own expertise however
still use other people’s lease investments.
In this case, grounded trust is required good relationship. Error in operation roasting machines can be fatal, for example cause a fire.
Another option for beginners who have skills at this level is investing in tools or small capacity engine. On the market there are machines roaster with a small capacity, for example 1 kg / batch. This can be an option before the scale of the business just getting bigger.
4. House blend coffee, mix your own roasted coffee and makes brand
Another coffee business model that beginners can choose from is buying coffee that is already in the form of coffee roasted (roasted beans), with the main activity mix the coffee to be packaged ready to brew or made ready-to-drinks in packaging practical (ready to drink). The result is ground coffee ready to be marketed to consumers.
This business model is hassle free with ability to choose good quality green beans, no bothered with purchasing a roasting machine quite expensive and do the roasting process nor is it easy. Perpetrators are only required to choose good quality roasted coffee and sharpening the expertise of making ground coffee produced, so that you get added value from roasted coffee purchased.
5. Cold brew coffee business, bottle
The trend of cold brew or cold brewed coffee is now becoming a new trend of drinking coffee before which was almost always served hot. This opportunity can be exploited by creating your own cold brew brand. For coffee cold brew, you don’t always need a coffee shop or coffee shop big, what is needed is the expertise to sell through effective social media marketing for this business.
The capital needed is only a brewing tool cold ones whose prices start hundred dollar.
There are several tools cold brew or cold drip maker to choose from according to budget and needs. Some even cold brewers use tools brew a manual to mix the coffee.
Apart from having a brewing tool, this effort needs to be supported experience by experimenting with a variety of coffee beans suitable to produce a distinctive taste that matches the cold brew position who will be appointed.
Cold brew sales on basically suitable for consumption individuals, other than for drinking in the community social for togetherness. Therefore, practical, hygienic and attractive packaging is important to be a major consideration in this business development. The packaging bottles are attractive is necessary in order to attract consumers to buy.
6. Coffee corner, stall on street
Coffee corner can be said to be a metamorphosis and modernization of corner stalls. Usually, although simple, it doesn’t mean coffee corner presenting standard quality products as coffee shop. Conversely, the coffee corner is also not it’s all about expensive espresso machines, sofas luxury, and a beautiful place attractive with a thousand hundreds dollar in capital.
With a certain creativity, a coffee corner quality and distinctive can be made with the concept unique although the tools and how to brew it manually. Equipment needed to build a coffee corner is not always expensive and a requirement technology. To produce espresso, for example, tools can be purchased without electricity, aka manual.
In general, a coffee corner is usually needed complete manual brewing tools, such as equipment V60, Chemex, Aeropress and others. Thing this provides entertainment as well as education to visitors how to brew that coffee good and specific and produces a distinctive taste appealing to corner connoisseurs and visitors coffee.
Typically, cafes also sell relatively “heavy” food compared to a coffee shop. But the coffee corner can take a position between them. Coffee corner no need to sell a heavy meal menu because the main focus is indeed coffee, another alternative product which can be sold, for example, several types of products which is close to coffee such as chocolate, vanilla, snacks and its kind.
Apart from selling various types of drinks, coffee corner It also sells coffee in its packaged form can be ground in place (fresh from the oven). Who said build coffee corner is always expensive? Quite profitable also right?
7. Coffee Car (Coffee Mobile)
Coffee shops can also be made mobile using a vehicle serving facilities. In other word this is called a coffee truck or of coffee car, depend on the vehicle thought, that peddles coffee by walking around or “hanging out” on the side the permitted and selected busy roads.
The car that used also does not need a luxury or good, just old car rehab results or second that most people have not interested in using it for transportation personal. Thus, this business can also starting with capital is not too heavy.
To get into the coffee car business,
- step one required is the determination of the location reflects the target or target segment, then adjust the coffee menu whatever will be sold.
- Based on what target group better suited to cold brew or hot coffee, or the combination of the two with food other light If a core business model is defined, new then supporting facilities or business facilities designed, searched and built.
- Second car or price is suitable and possible modification into a unique, searchable and serving place done.
- The design needs to be attractive and look unique, striking from far enough viewing distance.
- Model coffee truck business is expected to still be growing tall with the improvement of urban culture and reference to developed cities in other countries around the world.