By David Schwartz, Sales Growth Specialist, SOS
david@sosbusinessdevelopment.com

In the specialty coffee world, we’re conditioned to hunt for the “perfect” multi-roaster café. But while we’re all fighting over the same five cafes in town, massive high-volume opportunities are being left to commodity coffee brands.

I’m talking about “sleeper” accounts: regional dessert boutiques, specialized QSRs, and—as I recently navigated—a 500+ unit frozen yogurt chain.

The Scale Shift
When you move into the 500+ unit territory, the conversation changes. These businesses aren’t looking for a “coffee supplier”; they are looking for a strategic partner who can help them increase their “Average Transaction Value” (ATV) without adding operational complexity.

The Elephant in the Room: Price
The #1 reason roasters shy away from these deals is the fear of being “out-priced.” You’re worried your $12/lb wholesale price can’t compete with an $8/lb commodity bid.

Here is the Secret: Stop Selling the Bag; Start Selling the Margin.
In a high-volume retail environment (like a yogurt chain), the coffee is an add-on. If I can show a buyer that using a premium specialty roast allows them to charge $4.50 for a pairing instead of $3.00, the “extra” $4.00 per pound they pay you becomes a rounding error compared to their increased profit.

Bridging the Gap Without the Overhead
Scaling to meet the needs of a 500-unit chain sounds terrifying to a small to medium size roaster. How do we handle the prospecting? How do we manage the roll-out?

Winning these accounts requires a sophisticated, end-to-end sales “engine”. It requires prospecting that looks more like business development and less like “cold calling.”

Many specialty roasters lack the internal infrastructure to manage this level of outreach, but they also don’t want the six-figure overhead of a full-time Sales Director. This is where my role as a Sales Growth Specialist creates the most value: I provide the top-tier expertise to hunt and close these “sleeper” accounts on a contract basis.

The volume is there. The question is whether your sales strategy is equipped to capture it. Let me know.

David Schwartz
Specialty Food + Coffee
Sales Growth Specialist
Phone 760.636.4559

Standing out in a crowded email inbox requires much more than tired hard sell subject lines and a rudimentary ability to use email marketing programs such as Mailchimp or Klaviyo. Deep knowledge of the coffee industry along with an intimate knowledge of your customers’ demographics, needs, and preferences will result in meaningful, targeted content that will resonate with your audience resulting in continued increases in revenue from email marketing.

1. Understanding Coffee Trends and Preferences
Coffee enthusiasts are diverse, with varying preferences and trends influencing their choices. A deep understanding of current industry trends—such as the rise of specialty cold brews or sustainable sourcing—allows you to tailor your email content to address these interests directly, aligning with what your audience cares about most.

2. Crafting Relevant and Engaging Content
Knowledge of the coffee industry empowers you to create content that is not only engaging but also relevant. By incorporating industry-specific language and insights, you demonstrate expertise and build trust with your subscribers. For instance, discussing the nuances of different roast profiles or the benefits of various brewing methods can add value to your emails, making them more informative and appealing.

3. Segmenting Your Audience Effectively
The coffee market is not monolithic; it includes everyone from casual drinkers to hardcore aficionados. Understanding these segments and their specific needs allows for more precise audience segmentation. Tailoring your email campaigns to these segments—such as sending detailed brewing guides to aficionados or special promotions to casual drinkers—can significantly enhance engagement and conversion rates.

4. Timing and Relevance
Industry knowledge also helps in timing your campaigns. For example, sending promotional offers during peak coffee-buying seasons or highlighting new arrivals when trends are trending can make your emails more impactful. Understanding the cyclical nature of coffee consumption helps in planning campaigns that align with when your audience is most likely to engage.

5. Building Credibility and Authority Resulting In Increased Conversions
Demonstrating a solid grasp of the coffee industry builds your brand’s credibility and positions you as a trusted source of information. Subscribers are more likely to engage with and act on emails from a brand that shows genuine expertise and insight into their field. This trust translates into higher open rates, better engagement, and increased conversions.

SOS Food+Beverage Marketing has a long history of working with the top specialty coffee industry brands, integrating a deep understanding of the coffee industry and customers into their marketing strategies, leading to more effective and successful email marketing campaigns.

Contact SOS

Educating coffee consumers about specialty coffee has the potential to increase demand, but it is not a guarantee. Here are a few reasons why educating coffee consumers can positively impact demand:

1. Enhanced Awareness: Educating consumers about specialty coffee can create awareness about its unique characteristics, such as flavor profiles, production methods, and ethical sourcing. This knowledge can pique consumers’ interest and curiosity, leading them to seek out specialty coffee options.

2. Appreciation of Quality: Education can help consumers develop a deeper appreciation for the quality and craftsmanship that goes into producing specialty coffee. By understanding the meticulous processes involved in cultivating and roasting specialty beans, consumers may be willing to pay a premium for a superior coffee experience.

3. Differentiation from Mass-Produced Coffee: Many consumers are accustomed to mass-produced, standardized coffee offerings. By educating them about specialty coffee’s distinct qualities, consumers can recognize the stark contrast and seek out specialty options as a way to elevate their coffee enjoyment.

4. Exploration and Curiosity: Educating consumers about specialty coffee can encourage them to explore different varieties, origins, and brewing methods. This exploration fosters a sense of adventure and discovery, driving consumers to actively seek specialty coffee experiences.

However, it’s important to note that changing consumer preferences and behaviors is a complex process influenced by various factors. While education plays a crucial role, other factors such as pricing, accessibility, marketing, and cultural norms can also impact the demand for specialty coffee. A comprehensive approach that considers these factors alongside education is likely to be more effective in increasing demand for specialty coffee.

By David Schwartz, Partner, SOS Specialty Coffee Industry Business Development Marketing. SOS works with all size businesses to help solve sales, marketing, product development, and brand management issues. Our primary industry is Specialty Coffee.