Newsletter, August - 2009

Harvest Roasting

August, 2009 Newsletter

By Don Eckles, President

 

 

 

We’ve always believed that there are three things above all else in the specialty coffee business, which determine your success or failure.  They are, #1 great customer service, #2 great drinks, #3 fast service!  That’s assuming that other things, like a good location and a clean, well lit store, are givens. 

 

We’ve discussed the first two at great length in previous newsletters.  But number 3, speed of service, is almost as important as numbers 1 and 2.  It’s so important that Starbucks has actually hired a “Vice President of Lean Thinking”.    If you visit the following website, you can read the article.  http://online.wsj.com/article_email/SB124933474023402611-lMyQjAxMDI5NDA5NDMwMzQ0Wj.html

 

In the article, they talk about finding efficiencies that will save them seconds per action.  Add those seconds up, and it translates into more customers served at the end of the day. 

 

Now, we all know that what applies to Starbucks doesn’t always apply to the rest of us.  For example, having time to serve a few more customers each day only matters if you’re so busy that you are somehow not getting as many people through your store as you otherwise could.  But…in this case, and maybe for different reasons, this is something to take very seriously.

 

I have a favorite pizza place (don’t we all?).  Yesterday at 12:30 p.m., I waited in line for a good 15 minutes before I even got to the order window.  It was very frustrating.  I almost called my order in while I was standing in line, so that they would get started on it before I got to the window.  I didn’t do that because I was worried that the other customers would jump me (hee hee).

 

Seriously though, I wondered to myself how many of my customers think the same thing when they’re in line at one of our stores.  I’ll bet the number is higher than I think it is.  Customers may or may not be in a hurry, but I can promise you that standing in line, or captured behind others in the drive-thru, is not an experience that people enjoy.

 

I have always felt that part of great customer service is getting to know the customers, and chatting with them, a bit.  But when you’re busy, it’s time to turn on the after-burners.  Most customers are on their way to somewhere…and it probably isn’t your shop.

 

A good rule of thumb is 1 minute per customer.  Find ways to do several things (multi-task) at one time.  1 minute may not seem like much time, and it isn’t, but put yourself in the place of the person who is 5th in line.  If it’s taking you 2 or 3 minutes per customer, that guy is going to wait 10 to 15 minutes to get to the counter.  He’s thinking “is there a Starbucks around here”.

 

New topic…

 

How are your costs?  We recently had our milk prices lowered .25 cents per gallon.  Also, last month I told you that we had switched to Maui Smoothie products.  That resulted in a savings of close to 30%.  This could be a good time to revisit supplier costs.

 

Things are tight for everyone.  Some of your suppliers are willing to sharpen their pencil a bit.  It may also be a good time to talk with some of their competitors.  If you can save .25 cents a gallon on milk…that adds up.

 

A couple of months ago, we discussed coming up with some new drinks, which are lower in cost of goods.  Now may be the time to look at creating whole new categories.  Re-look at your pasties.  Re-look at your drink menu. 

Try some new products.

 

If you are not offering smoothies in a big way, you’re missing a huge opportunity.  And no…it’s not too late in the year.  In our stores, we sell smoothies year round.  11% of our winter sales are smoothies…

either fruit or espresso based.  In the summer, it’s 17%.

 

If we could get you to switch to Maui smoothies, available at harvestroasting.com, Maui will provide you with the point of sales materials you will need to promote the products.  They are all natural, and they are very good.

 

Here are a couple of great recipes for espresso based smoothies:

 

20 oz. Blended Mocha…

1 ounce of Monin or Mont Blanc chocolate sauce.     (Harvest Roasting)

2 ounces of freshly pulled espresso                                  (Harvest Roasting)                             

2 tablespoons of vanilla crème powder                          (Harvest Roasting)

5 liquid ounces of low-fat vanilla soft serve                  (milk supplier)

20 ounce cup filled with ice                                               (your ice machine)

 

Put the chocolate, espresso, vanilla crème powder, and the low-fat soft serve into the pitcher.  Add the ice, blend for at least 20 seconds.  The drink should pour easily out of the pitcher without using a spoon.  Add whipped cream if you choose, and watch your customers smile.

 

Don’t use pre-pulled espresso shots, or some sort of espresso powder.  What makes this drink so good is the fresh espresso and the high quality chocolate.

 

You can do the same thing with caramel sauce instead of chocolate.  If you want a blended espresso drink without the chocolate or caramel, use 6 ounces of the low-fat soft serve and 3 ounces of espresso. 

 

The cost of goods on these drinks is in the low 20% range.  And, they are better than anything your competitors are selling.  Make sure that they are pouring out of the pitcher like silk.  Smoothies need to be, well, smooth.  No ice chunks.

 

Another product that seems like a good bet, long term, is Mate’ (pronounced  maa-tay).  It’s great hot, iced or blended.  We carry Pixie mate’.  Also, if you’re not carrying Chai, you should be.  Chai is a great winter drink (and very popular), but it’s also great blended or iced.

 

Whatever else you’re doing, do it well, and with a big smile.  And…don’t forget to pick up the speed.  It matters.

 

As always, if we can help you with anything, call Barb Miller.  Barb’s number is 402-670-9755.  We’d love to be your supplier.  Don’t forget that we ship your entire order free, with the purchase of 75 lbs. of our fresh roasted, specialty grade coffee beans.

 

Have a great month.  Thanks for reading this.

 

Sincerely,

 

Don Eckles

Harvest Roasting

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