Here are the top 6 current concerns of specialty coffee industry CEOs we advise:
1. Cash Flow
SOS Advice: “Add more sales channels to increase cash flow. For example, along with normal or higher margin items, consider higher volume, lower margin B2B channels such as private label working with distributor/retail partners. Rebrand these higher volume items if necessary to avoid sales channel conflicts, which are normal in a multichannel sales ecosystem. Insisting on ‘full boat’ margins on everything will sink your ship (unless you are Apple Computer – and even they are developing lower cost items)”. Don’t know anybody to partner with? Walk the trade shows. No time or your sales people too busy at the shows or in the field? Hire an industry expert business development expert to do it.
2. Create Growth
SOS Advice: “Stick with your core business and look for your hidden product and service assets that can be applied to new sales channels. These assets may include those that can be rebranded and reformulated. Do not use in-house marketing resources for this, work with an outside industry expert and branding/product specialist to move a project like this along so that it does not get pushed to the ‘back burner’ due to day-to-day pressures”.
3. Stay Competitive
SOS Advice: “Rather than relying only on your sales people and staffers for their opinions, get market research done from an industry expert on your competitors including SWOT analyses. The data will reveal what you will need to do next”. Continue reading