Who Are Your Cafés Competitors?

When opening a cafe one of the first things you'll need to know in order to increase business to your cafe or coffee shop is what your competitors are doing for their customers and what services they are providing. This information will serve as ammunition to keep you ahead of the game.

What kind of cafe are you opening? 

Clearly defining what you offer will help you determine who your competitors are. This is the first step toward having a successful business with something unique to offer. Figuring out who your competition is and what it is they offer their customers will help you thrive in this industry.

One thing that you'll soon realize is that your competition may not be just other coffee shops are cafes. When starting a cafe there are many different businesses that may offer services similar to yours, whether they be grocery stores, restaurants, bakeries, convenience stores, or other businesses that offer coffee or baked goods. 

Make sure you acknowledge that these businesses may also be a source of competition. This will help you cast a wider net when it comes to trying to compete for business.

Keep in mind that different businesses may serve different customers who have unique or specialized needs. A university coffee shop, for example, may offer a quiet refuge for study and social interaction, while also serving coffee. Knowing the needs and wants of your prospective customers will really help to get your cafe off the ground.

There are many things you should think about when evaluating the needs of your prospective customers.

Cleanliness

This is a very important aspect of the restaurant or cafe industry, which is why it's listed first. A shoddy and unclean environment will make your customers wonder about the state of your kitchen, cooking facilities, and cafe equipment. Thus, it's important to keep things clean and neat. Don't clutter your establishment with too many decorations, as it creates a messy look rather than a streamlined, minimalist appearance, which is what you should aim for. You can still express yourself, but try to do it within reason. Customers will be more attracted to a neat and clean look. But make sure not to go overboard! A relaxed and informal atmosphere can still exist without all the dust.

Be Consistent

The coffee, baked goods, and other items that you offer at your cafe should be consistent. They should have the same taste and texture every time to ensure repeat customers. There is nothing worse than finding something you really like, only to come back later and find it has completely changed. Customers value consistency, so make sure that your recipes do not vary too much from batch to batch, and that your service and your products are consistent.

When you look at your competitors for ideas, see what they are doing for consistency. Are their flavours and services relatively stable over time, or do they change so much that you never know what you are getting? You can get clues from your competitors on what you can do to be consistent and create loyal customers.

Value

Of course, customers are going to look for the best value for their money. Even if you make the best coffee in the world, you're not going to get very far if you're charging $50 a cup.

When running a cafe you need to find out what your competitors charge, and be prepared to adjust your pricing based on the market value of what you offer.

For a customer, the value that they perceive isn't just about the taste of the coffee. Customers also factor in convenience, speed of service, comfort, and customer service when it comes to determining the value of their experience.

You have to decide how to give your customers the best value for what they are paying for. Some people prefer inexpensive items and a great cost, and others don't mind paying a bit more for premium coffee. Do your research to find out what people want, and then give it to them!

Convenience

For coffee shops and cafes, convenience is very important. Some customers will want to relax in your cafe for hours, working or writing while sipping coffee. Many people will want to grab their coffee to-go before heading off to another hectic day at the office. 

Your job is to figure out how to offer fast service with a convenient location. And don't forget about your store hours! If your store hours are not convenient, customers may well decide to go elsewhere.  

To stay ahead in the coffee game, find out how to offer cleanliness, consistency, value, and convenience to your customers. Also, look to your competition and see what they are offering. This will help you to fill gaps that may be lacking in your community