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A-to-Z Intro
Preplanning
 Developing
a Business Plan
Finding Your
Location
Financing
Menu Planning
Design & Build-out
Alternate
Operational
Concepts
Learning About Coffee
What About Decaf?
Anatomy
of American Espresso
Making Tea Work
in a Coffeehouse
Coffee Equipment
Espresso
Equipment
Additional
Equipment
The Role of Accessories
Training
Successful Staff
Scheduling
Operational
Systems
Marketing
Measuring Up
Against
the Chains
Additional
Resources
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Marketing
by Ward Barbee
You've finally made the decision to get into the specialty beverage business. You have all your financing in place, plus a 50-percent cushion. Your business plan has been checked by your banker, your attorney and your accountant. You have researched locations and are deep in negotiations with your new landlord. You have cupped and slurped your way through hundreds of drink choices, both hot and cold. You have demo'd every kind of espresso machine, blender and granita machine. You have started your operations manual, including recipes and labor policies. (You have done all these things, right?)
Now it's time for probably the most critical piece of your new venture—your marketing. No matter how dedicated you are to your product, no matter how much you spend on your build-out, trust me, without marketing you are doomed! The definition of marketing is "... the total activities involved in the transfer of goods from the producer or seller to the customer or buyer, including advertising, shipping, storing, and selling."
For the purposes of this article, I will cover just one aspect of marketing—the transfer of goods from you to your customer, or how to get and keep paying customers. There are many ways to go about your marketing effort. If you're really bucks up, hire a marketing firm to do the heavy lifting. A marketing firm will charge you for every aspect of your efforts, from your grand opening to the press and media materials to the ongoing daily marketing.
You may choose to have an in-house marketing person—another costly luxury—but one that many people prefer. My preference, however—my favorite marketing method—is called guerrilla marketing. This is the behind-the-scenes, down-and-dirty stuff that separates you from the shop down the street.
The idea is not to eliminate or bad-mouth your competition, it's to make everyone remember your product. Remember the sage words of some marketing public relations wonk: "I don't care what you say about me, just spell my name right."
Consider some of these strategies, proven in countless situations by major and minor players in the industry. The best thing about these ideas is they will open your eyes to new and different twists on keeping your name out there.
Your marketing should start well before you open your business. Major chains always start their marketing by sending press releases to the business journals and newspapers in the area.
Then they follow up by putting "Now Hiring" signs in the window of the shop as soon as the lease is signed. Even if they never hire anyone from the sign, the marketing has already started.
Before the opening, they invite the local press—radio, TV, newspapers, and all the politicians—to a sneak preview opening. Local luminaries are invited to "pull a few shots," steam some milk, and, in general, make fools of themselves. The manager talks about all the new jobs they have created in the neighborhood. The mayor, oohing and aahing over a latte, is sure to make the evening news. But the real plus is your staff gets a chance to do a dry run with actual customers.
When the "Opening Soon" sign replaces the "Now Hiring" sign, the second round of marketing begins. All the press is invited back for the grand opening. And because the media is already familiar with the business and how much fun it is, it's a no-brainer that they will return for the story about all the happy people sipping and munching on opening day. So even if these businesses never spend a dime on advertising (which they do), they're on TV twice, in all the local newspapers and on the radio. This is classic guerrilla marketing!
Remember the old adage "think globally and act locally?" Today the guerrilla marketer's adage is "think locally and act locally." It doesn't matter if your store serves the eclectic artiste society from a storefront location or soccer moms at the mall, today everyone knows the global issues and wants to "save the whales." Your customers feel good knowing you are dedicated to buying and serving coffee that is grown and processed in an environmentally responsible manner. But you must advertise this fact locally to make sure your image is as a socially responsible business. You must also look at ways to conserve resources within your own store, and tell your customers about these initiatives as well.
As you know, there are a myriad of ways out there to advertise. Pick and choose what's best for your business. For example, if your shop is on trendy South Street in Philadelphia, it won't do you much good to advertise in the Philadelphia Inquirer, because the message will be diluted. Better to advertise in the local shopper or weekly alternative publications; you'll also save a bundle of money in ad rates.
Local support of little league teams is another no-brainer. Not only do you get your name on each kid's uniform, but when you host after-game parties, you get the parents to come in and try your products—and they return with their friends to show off their kids' picture on the wall. Really savvy guerrilla marketers who cater special events with a portable espresso and smoothie cart will bring their cart to the little league games to sell product and gain more neighborhood visibility.
And speaking of visibility, don't forget to plaster your logo (tastefully, of course) all over your delivery van or station wagon. With most communities now enacting signage regulations, a van with your logo and address is a surefire way to attract attention, wherever you drive or park it. And be sure to park it near your shop when it's not in use; this will alert new drive-by customers that you are open for business and located nearby.
Remember the major chains that sent the press releases announcing they're coming to town? They don't stop there. The business section of your local newspaper is always looking for business public relations items. Not only does this keep them up to date on community news, but this information is vital to the ad department, which will hound you unmercifully for space sales. So keep the press releases rolling (within limits). Managerial changes, second store openings, new, trendy products added to the menu—it's all information that will be sifted through by business editors, and, hopefully, make it to press.
The sky is the limit when it comes to getting your name in front of the public. Hire high school kids to go door to door with door hangers. Partner with other businesses in your area to do cross-marketing. As an example, a dry cleaners could offer a free latte with $20 worth of dry cleaning. A punch card for all the businesses in the mall could include free drinks or at least a discount after being punched so many times. A "bring in your Starbucks cup for a free cuppa on us" campaign is a sure-fire attention getter. An employee dressed in seasonal costumes (Santa at Christmas, a bunny at Easter, a leprechaun on St. Patrick's Day, etc.), passing "25 cents off" coupons in front of your shop will surely attract people.
Be creative. Think "outside the box." Remember, the most important thing is to get potential customers in the door. And if you've done your homework and present people with a great product at a fair price in a pleasant and safe atmosphere, your success is almost guaranteed.
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