Thursday, September 25, 2014

CREATING A PROFITABLE IN-STORE COFFEE PROGRAM


I'm no coffee addict, but it is absolutely essential to my participation in the human race that I have at least 16 oz. of delicious, full bodied, hot coffee each morning.  I prefer to brew my own coffee at home, however, when I travel I choose to purchase coffee "on the way".  I find there is nothing more disappointing than stopping in and purchasing coffee at a local C-store only to have it taste old, burnt, bitter, weak, etc, etc.  You've been there.  I know you know what I'm saying.

So, how does one create a well-run and profitable in-store coffee program that satisfies even the most finicky coffee connoisseur and keep them coming back for more?

Doing it right means starting with top-quality products, having all the condiments and flavor options consumers demand, pricing it right, carefully maintaining the station, making the beverages convenient for shoppers to select and pay for and offering attractive promotions.


Product Quality and Taste

Coffee is a sensory item and involves a number of senses creating a memorable customer experience. Coffee may be the first and last impression you make on a customer. Some of the features combined to create the customer experience:

  • A Great Roast. Whether you do your own roast or get something that comes from a supplier, you must start with a great roast. There are many quality branded coffee programs out there as well as companies that will create a "private label" just for your store(s).  Do your research and find a great roast!
  • Water. The water to be used must be right or the coffee will be wrong. Bad water makes bad coffee. Water that has been "softened" should also be avoided. Municipal water is usually not good enough for high quality coffee, unless you are using a good filtration system.
  • Temperature. The brewing temperature of the water used is very important. It should be between 195 F and 205 F. The closer to 205 F the better. Boiling water (212 F) should never be used, as it will burn the coffee. Water that is less than 195 F will not extract properly.
  • Aroma. Customers walking in to the store will be enticed by the aroma of fresh brewed coffee. Conversely, the aroma of stale coffee immediately creates a adverse reaction to coffee and, more importantly, ALL food-service items in the store. The recommended holding time to serve fresh coffee is 20 to 30 minutes. Many stores discard coffee after 30 minutes.
  • Sanitary and clean serving equipment. Clean servers or coffee bowls enhance the appearance of the service area and create a favorable customer impression for all items purchased in the store.
  • Appropriate coffee pack weights. I recommend no less than 2.0 ounces of ground coffee per 64 ounces of brewed coffee for that full bodied cup-o-Joe. Lower pack weights strain the ground coffee against providing enough flavor, and also compromises customer loyalty. An ideal weight is 2.5 ounces of ground coffee.
  • Condiment Variety. Following coffee house expectations successful in-store coffee programs will have a variety of milks, creamers, sweeteners, flavor shots and toppings such as whipped cream, cinnamon and hazelnut featured at the coffee bar.


The Coffee Brewing Area and Service Counter

The placement of brewed coffee will determine the possibilities for success and ability to build repeat sales. Behind the counter or deli will create a barrier to consumer demand, reduce turnover and sales. Ideally located, brewed coffee will be immediately visible to the customer when walking through the door.

Here are some qualities of an effective coffee service counter presentation:
  • Lighting and Merchandising. A well lit, bright coffee area with clean, clear signage including product pricing and brand imaging so the area looks and feels like coffee will engage customers.  
  • Aesthetics. Remember that you are competing with nationally branded coffee houses.  Creating a "coffee house" look and feel to your coffee area will increase consumer confidence in your product.  Simple laminate and color selections can make a world of difference.
  • Organization. The service counter should flow from the easiest and quickest sale to the condiment area where customers may spend more time to fix coffee, or experiment with the condiments.
  • Space and speed. Accommodating the customers who are quickly picking up coffee en route; or the customers savoring their coffee experience. A common problem issue is that retailers don’t build the coffee area for volume. Coffee is a very time-intense business. It all happens in relatively short period of time. Too little attention to how customers use the area can have them crossing each other during the purchase process, which will turn some off, create confusion and slow checkout.  

Customer Loyalty Program

An effective approach in building a profitable and long-term coffee program is through customer loyalty. Here are a few tips to build customer loyalty while providing customer delight:

  • Consistency. This means keep the coffee experience consistent as described above (a clean, fresh, organized product offering) so the customer comes to expect quality each and every time.  This is especially important if you have multiple stores.  Consistency of product and customer experience between stores is essential to build loyalty to your program.
  • Price. Your coffee doesn't need to be really cheap, but it needs to be less expensive than your coffee house competition yet the same in high quality. This creates "value".
  • Rewards. Give your customers multiple reasons to return. This can be accomplished through a a loyalty program featuring loyalty cards at the coffee service counter and checkout area.
  • Value. Offer a refill program including travel mugs. Utilize a lower refill price to communicate with regular customers their business is appreciated and their return is welcomed. Establish a thermos policy. The price of a half pot (32 oz.) or a full pot (64 oz.) can attract repeat customers.

Global Awareness

Most coffee providers to the convenience store channel offer Fair Trade products, meaning their blends are "Fair Trade Certified" and adhere to fair prices for farming families as well as rigid environmental standards. These products are some of the most sustainable on the market and raise the standard of living for millions of people around the world. Studies show that once consumers are aware of Fair Trade coffee, they are more likely to purchase it.


You may never be able to create the experience of a Starbucks. However, by following these tips you certainly can create  a positive customer experience and deliver a rival product for a lower retail and build an ever growing profitable coffee program.  And when you do, you can be sure, if I'm ever traveling through your town I'll stop in for my morning cup of Joe!

At PES Design Group we are specialists in Restaurant, Food Service and C-store design and have a staff of knowledgeable consultants with over 25 years of experience in planning innovative, attractive, efficient and profitable c-store facilities. We will use our years of experience to design innovation and uniqueness into your project helping you to set yourself apart from the rest. We can provide you will a store design that will help you achieve a greater positive customer experience.

Don't take our word for it! Visit our portfolio page at portfolio.pesdesigngroup.com for a list and photos of projects our consultants have done during their 25+ years in the C-store Design Industry as well as testimonials from very satisfied clients.

Call us today for a FREE consultation about your project! 800.850.6638

We are waiting to serve YOU!

PES Design Group
Food Service and C-Store Design Specialists
800.850.6638
www.pesdesigngroup.com







About the Author

Jim Richards is a Principal Design Consultant and C-store Specialist with the PES Design Group, Midwest Office. During his 30 years of experience in the C-store Design Industry, Jim has designed many c-stores that are modern, innovative, efficient and most importantly... PROFITABLE.





Saturday, September 20, 2014

WHY SHOULD YOU HIRE A C-STORE DESIGN CONSULTANT?

First of all, let's define what a C-Store Design Consultant is:

Generally speaking, a C-store design consultant is a professional adviser who, for a defined scope of work and related fee, works as an advocate for their client in achieving their goals through the design and implementation of c-store facilities and/or operations/management systems. 
Consultants provide expertise, knowledge and experience to provide assistance that the client does not posses, or by providing resources not available at the time. As independent professionals their primary focus is the welfare of the client organization that they serve.

They are typically:
  • Very knowledgeable in the convenience retail and food service industries.
  • Provides specific/specialized expertise in c-store and food service equipment, operations and design flow.
  • Knowledgeable in health, fire and building department codes and understand how to work alongside architects, engineers and contractors to assure applicable codes are met and necessary permits can be attained.
  • Brings high degree of industry experience.
  • Advises and educates clients on wide range of topics.
  • Provides independent, objective advice.
  • Facilitates between project team and food service operations professionals.
  • Enhances client's business model.

So, why should you hire a C-store Design Consultant?

The Answer: "Simply because they are experts in what they do."  For example, imagine you need to make an electrical repair in your home.  You may know what wires are. You may have basic knowledge of how electricity works in your home.  However, if want to be assured that the repair is made safely and correctly, have confidence that it meets applicable codes and assurance you will have no fear of future issues, you would hire a professional electrician. More examples could be made about Medical Professionals, Lawyers, etc. but I believe you get the idea.

So, when it comes to opening or remodeling a new convenience store facility hiring a consultant can make the difference between success and failure.  A well experienced C-store Design Consultant can take your concepts, ideas and dreams and turn them into an attractive, functional and profitable reality.  They will provide you with the peace of mind that the design is efficient, meets your budget, accommodates your staff and meets all applicable codes.  That peace of mind includes making sure the design is fully integrated with architectural plans to avoid conflicts or issues during the construction phase...issues that could cost you thousands of dollars!  

The cost of hiring a c-store design consultant will certainly pay for itself in short time through reliable equipment selections, efficient work flow systems that help your employees be more productive, profitable merchandising solutions,and by avoiding costly mistakes and oversights.


How to select a C-Store Design Consultant?

There are many choices when it comes to choosing which c-store design consultant you will work with.  We recommend the following factors in choosing the right one:
  • Are they well experienced in the c-store design industry?
  • Are they well experienced in the food service business?
  • Do they have experience working IN the c-store industry? In other words, have they experienced the business from the operator's side or only the consultant's side?
  • Do they have a thorough portfolio and references?
  • Do they come highly recommended?
  • When you interviewed them, did you get the sense that they understood your concepts and ideas?  This is an important factor is choosing a consultant.  Although you want a consultant who will honestly advise you and act in your best interest, you don't want one that will steamroll your ideas.  After all, they are YOUR ideas and YOUR business.
  • Are their service fees within your budget and does their fee cover all the services you require?
  • Are they able to work easily with your Architect and/or Contractor?
Overall, you should choose a consultant who is highly recommended and well experienced in your specific type convenience retail business.  You should feel comfortable with them and confident that they will take your ideas and make them work operationally and meet all applicable codes. Their fee should fit your budget and their portfolio and references should tell you that they are fully capable of providing you with a design and equipment selections that lay the framework of a profitable c-store operation.  After all, the bottom line really IS the bottom line, isn't it?

At PES Design Group our mission is: "Designing functionally innovative, attractive and profitable c-store and food service facilities on time and on budget".  Our promise to you is, that whatever your project may be, we will approach it as unique. We will use our years of proven experience to provide you with the design and equipment selections that will serve you reliably for years and enable you to be successful and profitable.

Don't take our word for it! Visit our portfolio page at portfolio.pesdesigngroup.com for a list and photos of projects our consultants have done during their 25+ years in the C-store Design Industry as well as testimonials from very satisfied clients.

Call us today for a FREE consultation about your project! 800.850.6638
We are waiting to serve YOU!

PES Design Group
Food Service and C-Store Design Specialists
800.850.6638
www.pesdesigngroup.com


    

About our Consultants

Jim Richards (Jr) is the Managing Member of Cademan Enterprises, LLC and Principal Design Consultant with the PES Design Group's Southeast Office.

Jim Richards (Sr) is a Principal Design Consultant with the PES Design Group's Midwest Office.

Together they represent over 25 years of experience in the C-store Design Industry and have hundreds of successful projects and satisfied clients.

Read their bios here: The Team

WHY SHOULD YOU HIRE A FOOD SERVICE CONSULTANT?

First of all, let's define what a Food Service Consultant is:


Generally speaking, a food service consultant is a professional adviser who, for a defined scope of work and related fee, works as an advocate for their client in achieving their goals through the design and implementation of food service facilities and/or operations/management systems. 
Consultants provide expertise, knowledge and experience to provide assistance that the client does not posses, or by providing resources not available at the time. As independent professionals their primary focus is the welfare of the client organization that they serve.

They are typically:
  • Very knowledgeable in the food service and hospitality industries.
  • Provides specific/specialized expertise in food service equipment, operations and design flow.
  • Knowledgeable in health, fire and building department codes and understand how to work alongside architects, engineers and contractors to assure applicable codes are met and necessary permits can be attained.
  • Brings high degree of industry experience.
  • Advises and educates clients on wide range of topics.
  • Provides independent, objective advice.
  • Facilitates between project team and food service operations professionals.
  • Acts as an advocate for food service operations.
  • Enhances client's business.


So, why should you hire a Food Service Consultant?

The Answer: "Simply because they are experts in what they do."  For example, imagine you need to make an electrical repair in your home.  You may know what wires are. You may have basic knowledge of how electricity works in your home.  However, if want to be assured that the repair is made safely and correctly, have confidence that it meets applicable codes and assurance you will have no fear of future issues, you would hire a professional electrician. More examples could be made about Medical Professionals, Lawyers, etc. but I believe you get the idea.

So, when it comes to opening or remodeling a new restaurant or food service facility hiring a consultant can make the difference between success and failure.  A well experienced Food Service Consultant can take your concepts, ideas and dreams and turn them into an attractive, functional and profitable reality.  They will provide you with the peace of mind that the design is efficient, meets your budget, accommodates your staff and menu and meets all applicable codes.  That peace of mind includes making sure the design is fully integrated with architectural plans to avoid conflicts or issues during the construction phase...issues that could cost you thousands of dollars!  

The cost of hiring a food service consultant will certainly pay for itself in short time through reliable equipment selections, efficient work flow systems that help your employees be more productive, and by avoiding costly mistakes and oversights.


How to select a Food Service Consultant?

There are many choices when it comes to choosing which food service consultant you will work with.  We recommend the following factors in choosing the right one:
  • Are they well experienced in the food service Industry?
  • Are they well experienced in your specific food service business (restaurant, bakery, bar, buffet, etc)
  • Do they have experience working IN the food service industry? In other words, have they experienced the business from the operator's side or only the consultant's side?
  • Do they have a thorough portfolio and references?
  • Do they come highly recommended?
  • When you interviewed them, did you get the sense that they understood your concepts and ideas?  This is an important factor is choosing a consultant.  Although you want a consultant who will honestly advise you and act in your best interest, you don't want one that will steamroll your ideas.  After all, they are YOUR ideas and YOUR business.
  • Are their service fees within your budget and does their fee cover all the services you require?
  • Are they able to work easily with your Architect and/or Contractor?
Overall, you should choose a consultant who is highly recommended and well experienced in your specific type of food service business.  You should feel comfortable with them and confident that they will take your ideas and make them work operationally and meet all applicable codes. Their fee should fit your budget and their portfolio and references should tell you that they are fully capable of providing you with a design and equipment selections that lay the framework of a profitable food service operation.  After all, the bottom line really IS the bottom line, isn't it?

At PES Design Group our mission is: "Designing functionally innovative, attractive and profitable c-store and food service facilities on time and on budget".  Our promise to you is, that whatever your project may be, we will approach it as unique. We will use our years of proven experience to provide you with the design and equipment selections that will serve you reliably for years and enable you to be successful and profitable.

Don't take our word for it! Visit our portfolio page at portfolio.pesdesigngroup.com for a list and photos of projects our consultants have done during their 40+ years in the Food Service Design Industry as well as testimonials from very satisfied clients.

Call us today for a FREE consultation about your project! 800.850.6638
We are waiting to serve YOU!

PES Design Group
Food Service and C-Store Design Specialists
800.850.6638
www.pesdesigngroup.com


    

About our Consultants

Jim Richards (Jr) is the Managing Member of Cademan Enterprises, LLC and Principal Design Consultant with the PES Design Group's Southeast Office.

Jim Richards (Sr) is a Principal Design Consultant with the PES Design Group's Midwest Office.

Together they represent over 40 years of experience in the Food Service Design Industry and have hundreds of successful projects and satisfied clients.

Read their bios here: The Team

Tuesday, September 16, 2014

WHAT REALLY DRIVES REPEAT BUSINESS TO YOUR C-STORE

The health, success and longevity of any business is dependent on two major things: First, bringing in new business and second, and perhaps most important, maintaining a loyal customer base.  As a former mentor of mine used to say, "It's much easier to maintain a customer than to gain a customer".  So the question for C-store owners and managers is..."What REALLY drive new and repeat business to MY C-store?"

Convenience Store Decisions recently published an online article about a Market Force Study* that uncovered which convenience stores consumers prefer and why.  I will discuss a few of these discoveries in this article along with some photos from one of our most recent C-store designs that I believe demonstrates what the CSD article suggests.

What Consumers Like Most

Many c-store operators would say price is the number one factor driving traffic to a location. However, when consumers were asked to rank c-store chains on their most basic experience and explain why, only 26% said that price was a top priority.  Service and cleanliness ranked much higher on the list, with price coming in 7th. The research also showed that a vast majority of c-stores fail when it comes to meeting basic standards of service and cleanliness.  Perhaps you find your own store in this majority.  No worries!  It just means you have a significant opportunity to improve and impact the loyalty of your customers by creating a more service-friendly and clean store.


A Lesson from Our Most Recent Client

See the complete Grove Mart photo gallery at
https://www.flickr.com/photos/127004966@N04/sets/72157647654633051/

I just toured our most recent C-store design build project.  The Grove Mart Shell gas station and c-store on Randall Road in Lake in the Hills, IL is a shining example of a store that exemplifies the meaning of cleanliness and service.  We purposefully designed the store to be open, with wide aisles and plenty of room around the coffee center island and Grab n Go food island.  The owner and staff keep the store impeccably clean and the staff was very service oriented while I was there, working toward a superior customer service experience for me.


See the complete Grove Mart photo gallery at
https://www.flickr.com/photos/127004966@N04/sets/72157647654633051/

These are not "staged" photos.  These are photos taken around 11am on a normal business day.  You'll notice the store is extremely well kept and clean.  Products on the shelves are presented well and pushed forward and there is no unnecessary clutter in the aisles.  We designed the space so that everything has a place.  

Service Attribute Rankings

In Market Force's study, food and beverage items, such as coffee and sandwiches,were important factors in attracting more customers. Food quality and coffee quality were significant factors in high ranking chains.  In our Lake in the Hills store the coffee center is not only kept fresh and tidy by the staff, it was designed to be the center piece as one enters the store.  You will notice that the coffee area is immaculate and well stocked.

See the complete Grove Mart photo gallery at 
https://www.flickr.com/photos/127004966@N04/sets/72157647654633051/


You can also see below that we designed a fresh food area into the Grab n Go area of the store, which is also within direct sight of a customer when entering the store. Again, very well kept and clean.


See the complete Grove Mart photo gallery at 
https://www.flickr.com/photos/127004966@N04/sets/72157647654633051/

Perhaps after reading this you realize that vast improvements on your customers' experiences can be made in your store simply through better employee training and management of your current store, stressing to them the importance of cleanliness and a positive customer experience.  However, maybe you realize that your store needs an "overhaul" or a redesign of your space that will provide you with better merchandising, a neater environment and purposeful design that will create a positive customer experience. 

Keep in mind that the research has shown that customers who have an exceptional shopping experience are not only more loyal customers, but also 2.5 times more likely to recommend the place to friends and family.  

We can help! At the PES Design Group our mission is: "Designing functionally innovative, attractive and profitable c-store and food service facilities on time and on budget".  Our promise to you is, that whatever your project may be, we will approach it as unique. We will use our years of experience to design innovation and uniqueness into your project helping you to set yourself apart from the rest. We can provide you will a store design that will help you achieve a greater positive customer experience.


Call us today for a FREE consultation about your project! 800.850.6638

To view the complete Grove Mart photo gallery please visit us on Flickr at:
https://www.flickr.com/photos/127004966@N04/sets/72157647654633051/


PES Design Group
Food Service and C-Store Design Specialists
800.850.6638
www.pesdesigngroup.com


    



About the Author

Jim Richards is the Managing Member of Cademan Enterprises, LLC and Principal Design Consultant with the PES Design Group, Southeast Office. During his 25 years of experience in the Food Service Design Industry, Jim has encountered countless challenges that he has overcome through experience and innovation.  



*Market Force Information is a worldwide provider of customer intelligence solutions. More than 5,000 consumers were polled for the study, designed to uncover which convenience stores consumers prefer and why.For the rankings, Market Force asked participants to rate their satisfaction with their most recent convenience store experience and their likelihood to refer that store brand to others. The results were averaged to attain a Composite Loyalty Score.  The survey was conducted in August 2014 across the United States and Canada. The pool of 5,095 respondents reflected a broad spectrum of income levels, with nearly 62% reporting household incomes of more than $50,000 a year. Respondents’ ages ranged from 18 to over 65. Approximately 75% were women and 25% were men. Approximately 70% are married, and 40% have children at home.