I’m sitting in Panera’s Bakery and Coffee Shop enjoying a hot cup of decaf coffee and a buttered toasted French muffin, thinking about how I would promote a coffee shop.
I’d have to assume the obvious pitfalls have been overcome: my parking lot is big enough, my coffee has a decent aroma, and my food is at least somewhat digestible. Also, I have some comfortable tables and chairs, so I’m not just a takeout place.
I’m a direct mailer and will cover direct marketing shortly, but there are a couple of ways to promote your store without a mailer. I will cover these ideas first.
There are dozens of businesses within walking distance of each coffee shop, and most businesses have 5-10 employees. Create a special discount card and give it to all employees at all nearby businesses. Offer 10% or 20% or whatever you can to attract these people. While not a 100% captive audience (they have other options nearby), now everyone will belong to a special “club” and everyone needs to drink or eat at some point during their work shift. If you can, offer a delivery service to these faithful so they don’t lose time from work. Business owners will appreciate this cost-saving service and also easily promote their coffee shop to their customers.
If billboard advertising is available near your store and affordable (billboards are among the lowest advertising costs), take the spot. Anyone passing by will see your ad and (hopefully) start salivating for a cup of coffee and a sandwich.
If billboards aren’t around, consider advertising on the back of pews, billboards on top of the parking meter, cross street hanging banners (a banner extends overhead from one sidewalk to the other, usually attached to existing poles), or even a rented sandwich sign (sometimes called an A-frame mount) to place on the sidewalk of a main street. Drivers will see this sign and respond positively.
Direct mail works with all businesses, and a coffee shop is no exception. You must target your market to nearby prospects. Otherwise you are hitting people who will not travel to your place. Let’s face it: A coffee shop is a convenient stopover, but it’s generally not a destination for long-distance travel. That’s why there is a Starbucks every two or three blocks in some major cities.
Using your store as a central point, select a consumer list of all residences within a six-block or half-mile radius (these lists are available from any listing agent). Send out a flyer promoting your shop for early-morning coffee, early-after-work dinners, and late-night comfort food (if you’re open late). Offer a discount coupon if you wish, but this is usually not necessary. It’s close enough and so convenient that customers will stop by. If you have a lot of competition nearby, discounting may be necessary to compete, but that’s a store-by-store decision. Don’t promote delivery unless you can justify the cost. You want people to visit and feel comfortable with your store so that they make it a regular stop in their daily or weekly routine.
The cost of mailing 500 cards or flyers, including printing, mailing list, postage, and mail shop costs, should be about $200 or less. This is much less than the cost of most newspaper ads. The advantage here (besides the cost) is that 100% of your target customers will at least see your name on the flyer. A newspaper ad can, if you’re lucky, reach 10% of your target audience.
The second part of your direct marketing approach is to reach nearby businesses. Mail a copy of your menu (outlined on one sheet, if possible) to every business within a mile of your location. Include other restaurants, too: Many restaurant employees are tired of their own food and eat out regularly. All of these companies have employees who commute to work, eat lunch, take coffee breaks, and leave at the end of their shifts. Salespeople meet customers and need a comfortable and convenient place to greet customers and get away from the office. be that place Again, offer a discount if you’d like, but that’s usually not necessary. Simply bringing your menu to these businesses will attract employees.
The cost of mailing to 500 businesses will cost between $200 and $300 per mailing.
If your budget is tight, rent or compile a list of nearby businesses and send out 20-30 flyers or menus per day. You will be able to control your costs to an amount that you can afford without a large investment. And hopefully sending 20-30 banner ads at a time will drive more foot traffic to increase your overall business.
Sending 30 flyers per day will cost you just $15 per day in postage and printing. Generate just one new repeat customer who buys a $2 cup of coffee once a week and you will have generated $100 a year on your investment. Good worth it!