Coffee Shop in Germany Business Plan

Paper Type:  Business plan
Pages:  7
Wordcount:  1897 Words
Date:  2022-05-15


The coffee shop's primary goal is to be an essential need for the German's who love good coffee. It will be a coffee place that the Germans have dreamt of because it will help to escape the stresses of life. With increased claims for quality coffee, it will capitalize on nearness to Technische Universitat Munchen to create constant customers. It will offer the clients the best-made coffee that can be found in Germany which is to be accompanied by pastries which its patrons will read to enjoy the visit. The coffee shop will run a 3000 square foot house which will be a walking distance from Munchen. Its kitchen will have a commercial stove, microwave, freezer and a dishwasher. The other expenses needed for the startup will be on rent deposit, furniture, marketing and food inventory.

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The coffee shop will offer a unique point of view. The menu will regularly change, services will be of quality, and the pastries will also be the best. The washrooms will be clean. Davila and Molina (2017) say that the three critical success factors that will influence the accomplishment of the cafe's goals include; keeping the prices and expenses low as possible and creating high market visibility. In the context of a business transaction, the cafe will purposely choose to be unique and distinctive in the customer experience. The comment cards will be placed at each table at later on collected. Suggestions for new meals will be sorted as well as the feedback on the dining experience. Its objectives include:

  • To be nominated as the most exquisite serving coffee yard in the region by the locals
  • To make profits
  • To maintain a high gross margin

Means to Success

They will entail:

  • Interior decoration and designs that will be eye-catching and also efficient for operations.
  • Provision of staff training to maintain quality coffee preparations.
  • Progressive marketing strategies that will aim at building the loyalty of customers and maximizing the sales.


The coffee shop will put its best efforts to come up with a relaxing environment for the customers where they can socialize comfortably as they enjoy the best coffee and pastries I Germany. The coffee shop will invest the profits to increase employee satisfaction as it also provides stable returns to the shareholders.

Company Ownership

The coffee shop will be registered as a limited company in Hamburg, Germany. Megan owns 40% of the company. I own 60% of the company's shares.

Start-up summary

They include:

  • The legal expenses for acquiring business permits and licenses
  • Marketing expenses and flyer printing.
  • Consultation fees to assist in setting up the coffee shop
  • Insurance
  • Rent expenses for three months.
  • Premise renovation
  • Other costs like phone and utility deposits

Company Facilities and location

The coffee shop is to be located on the ground floor of Technische Universitat Munchen in Germany. It will secure six months lease of the premise that was occupied before by a restaurant. A lease contract provides options for renewing the contract of which the coffee shop will execute that is reliant on its financial capacity. The floor plan is 2000 square feet. The coffee shop's clean interior design will display the quality of pastries and coffee. The window displays will enable the passersby to see the customers as they enjoy their beverages while on the outside there will be electric signs whose aim will be to capture the attention of passersby.


The coffee shop will offer customers the best regarding taste and quality in that entire region. It will be accomplished by making use of quality ingredients. The layout of the store, listings of the menu and marketing will focus on maximizing sales. Espresso drinks and tea will also be availed in the coffee shop. The coffee place will provide its customers with sandwiches.


The Coffee shop's menu will be based on cappuccinos, lattes, and mochas and each of them shall be served with either soy or whole milk. They are prepared by an espresso machine which forces hot water over the coffee by exerting pressure. The shots are mixed inside cocoa, milk or caramel to come up with espresso beverages. Skilled preparation procedures are essential for these drinks because minor mistakes made in the coffee quantity, milk temperature, and the coffee particles sizes can have a negative impact on the outcome of the coffee.

Critical problems

There are risks attached to any business. However, the coffee business has its unique risks. The most basic is the client's change in taste, then the fluctuations affecting the economy. Coffee parlors strongly rely on attending to clients with expendable income. When there is a downturn in the economy, people change the way they were spending, in fact, taking coffee becomes a luxury. Then they make few trips to the coffee places. The other challenge in coffee business is getting the dependable help that will stick with the company. Most coffee shop staff are young and so will not be permanent in the job because they will always have the urge to shift to other careers. When they complete their schooling or find other jobs of their preference, they move on.

In most cases the staff who will fill their positions are not professionals, they are either single mothers or illiterate people. They come with their challenges which are always attended to by the management. Single mothers ever experience problems with child care, while bus people have difficulties with reading. Proper management should learn to handle the challenges in a way that the business and the employee.

Literature of sales

Fifteen hundred flyers will be supplied in the university, malls and the offices in the building that will be done within three weeks before the launch of the coffee shop. Subsequently, there will also be free postcards which will be printed to facilitate the increase of visibility.

Market Analysis Summary

Germany's rate of coffee intake has revealed the constant growth of Cafe Milou having the steadiest growth. The lovers of coffee in Hamburg are very demanding. Rittner and Haine (2016) say they prefer well-brewed coffee drinks and excellent service too. The coffee shop will struggle tirelessly to be loyalty to the customers by offering perfect tasting coffee.

Market Segmentation

The coffee shop will concentrate on its marketing activities so that they can capture the university students, faculty and the staff in the offices. The research displays the target groups who mostly purchase the coffee products. Coffee consumption is standard worldwide for various income categories. It depends on high education levels, closeness to the campus will offer to attract the customers.

Target Market Approach

The coffee place will cater for individuals wanting to have a cup of coffee. Such clients will differ in age, even though the location is proximity to the campus most of our customers will be the students and the faculty as well. The research also indicates they are the clients who will gravitate towards a great taste of the coffee. College students find coffee shops convenient for their studies and even a meeting location. Here they can read and mingle with their peers without necessarily paying the cover charges. It will provide a unique chance to build a trustworthy client base.

Estimated market

Based on the age of the customer, their rate of coffee consumption was researched, the following numbers were collected. The report was analyzed by the consultants hired by the coffee shop. To determine the market, share a two-mile radius was applied. Age of the population and the percentage

Age Percentage%
20-25 7.26
26-30 7.97
31-35 8.15
36-40 8.03
41-50 16.67
sum 48.08
Salary Percentage of population
45,500-73,000 20.94
30,500-50,000 20.04
25,500-29,000 14.92
sum 55.90

Strategy and Implementation Summary

The strategy of marketing will focus on acquiring new clients, maintaining the current clients, getting the customers to use more and return often. Building loyalty with the customers is vital since customer core will generate sales and provide welcome referrals.


The coffee place will be positioned to offer a unique environment in which the clients will enjoy a perfect coffee and time spent in the ambient environment. He will also be comfortable seats, dimmed lights and soft music which will help the clients to relax. It will distinguish the coffee place.

Sales Approach

The coffee place will handle all transactions made from the sales. For fast customer service, some employees will attend to the client, as one will be preparing the orders from the clients, and the other will handle the sales transaction. All the data logged sales that have been computerized will be filled for marketing. To create a client base for the coffee shop, it will use fliers and banners and utilize the client referrals. Programs to retain customers will be applied to ensure that the customers will come back. The servers should always enquire from the customers if they need additional items or accompaniments. It will increase the sales and amount of money made by the business and the servers. Majority of clients give tips depending on the percentage on the receipt. It thus means that higher checks attract higher tips from the clients. This way the servers can control their income.

All the tables should have advertisements on them, describing future events of the coffee shop. Menus too will have detailed information about the items offered in the coffee shop.

Sales Prediction

The cost of coffee is presumed to be 20% for beverages and 40% for beans. Nearness to the campus will command a particular amount of sales. Hence revenue is decreasing during school vacation.

Sales 1st year in EUR 2nd year in EUR 3rd year in EUR
Coffee 440,300 485,430 520,780
Beans 77,650 86,320 102,827
Pastries 130,000 140,350 180,560
Total 647,950 712,100 804,167
Direct cost
Coffee 77,650 86,320 102,827
Beans 33,500 38,150 42,998
Pastries 63,250 70,200 77,660
Total 174,400 194,670 223,485

Managing Team

A manager who will work full time will be hired so that he can oversee day to day operations at the coffee shop. The candidate should be one with three years of experience in a similar field in Germany. His responsibility will include ordering inventory, managing the staff, making invoices to supplies, developing marketing strategies and performing the rest of managerial duties. Plans to give bonuses to the chief executive will be put into consideration depending on the second-year financial and management outcomes.

Administration Gaps

In spite of having experience, the managers in addition to the owner will maintain the consultants who assisted in developing the business idea for the coffee shop. Deng, Allard, Chiu, and Bao (2017) say that the role of the consultants will mainly be conducting research and providing input in the assessment of new opportunities.

Product Distribution

Coffee will be distributed inside the coffee shop by the waiters. When the client will enter the coffee shop he or she will be ushered in by a waitress who will immediately provide them with water followed by the menu. The waiter will ask what they wish to have. The order will then be made. The order shall be written by the cashier on a check Afterward, transferred on the register. It will be brought, then the server can ask the client if they need anything. The server will then familiarize the client with the operations of the coffee shop. This will be accomplished by telling the client a number of games available in case they are interested in playing. The server will also allow the client to know about the schedule of the reading room. It will be a requirement for the staff to be presentable, with a chosen uniform and shoes. Voigt Buli...

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Coffee Shop in Germany Business Plan. (2022, May 15). Retrieved from

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