Babystep 2: Strategy Questions

We are firm believers that clarity is the missing ingredient in the lives of many coffee shop owners. If a coffee shop owner can gain clarity on the core of their business they will be more successful, their quality of life will increase and they will have happier and healthier employees. Once you are clear about your core (culture, strategy, and tactics) everything after that will flow more cohesively and almost effortlessly.

Here are questions four to seven to help you gain that clarity. These next four questions have to do with the strategy of your coffee shop.

If you haven’t already answered questions one to three about the culture of your coffee shop, be sure to go back and do that first.

Remember: the more clear you are on each of these questions, the more powerful it will be for you.

You must know who, in specific, you will be serving. You need to know this customer: How do they think? What do they value? Why do they go to coffee shops? How do they view the world? Do they think like me or not? Don’t make the mistake of assuming your customer thinks like you or wants what you want.

Here are some additional questions to help you understand your customers:

Demographics

1. How would you define them?

2. Mostly male/female, or an equal mix?

3. What’s the age group?

Psychographics

1. What do they like?

2. What do they do?

3. What are their biggest challenges or fears?

4. What brands do they like and why?

5. How do they see the world?

6. How concerned are they about the environment?

7. How concerned are they about social issues?

Understand that you can’t solve every problem for your customer so focus on what you perceive as their greatest need and then name up to three smaller needs your coffee shop will satisfy.

For example: If your customer’s three needs are: cheap coffee, high-quality products and a store that is conscientious of its environmental impact—it will be impossible for you to match all three. So perhaps you decide to meet their needs with high-quality products and an eco-friendly store.

Name one to three aspects of your café that are different from other cafés and keep in mind how they’re answering the needs of your specific customers.

In a highly competitive market, the most dangerous play you can make is to be safe. Also, recognize that you are likely to think that your cafe is unique but it’s more important for your customer to notice that it is unique.

The idea is that you want to collect customers that are loyal to you; customers who will go out of their way to receive what you have.

This is about deciding what you will measure and how you will measure it in order to define whether or not you are on the route to success.

Some examples of aspects you can measure are:

• Average Daily Tickets

• Average Ticket Value

• Number of New Customers

• Number of New Customers That Have Visited 5x

• Customer Frequency

• Customer Satisfaction

Also be sure to measure (in whichever way you decide) what you’re doing to satisfy the needs of your customers along with the aspects of your coffee shop that make it unique. For example: If your coffee shop is unique because it makes the best cheesecakes in your region, measure how many cheesecakes you’re selling.

Once you’ve found that special thing that people love, you should protect and fortify it.

Stay tuned for the last three clarifying questions on your coffee shop’s tactics.