Up to date, we`ve discussed broadly what are the benefits of data analytics applied to a small, family-run businesses like coffee shops, restaurants, cake shops, etc. In this particular blog post, we are going to cover the areas where data analytics mathematical modeling can be applied if you are the owner or manager of a coffee shop. Stay with us, this is going to be useful.
The coffee shop industry is making billions dollars a year. Even though opening your own coffee shop looks like a piece of pie and definitely profitable enterprise, it is not exactly like this.
The value of a cup of coffee is around $0.50 and the retail price is between $2 and 3, depending on the market. It sounds like profitable margin. But you have to keep in mind that operational costs for a coffee shop are quite high. On top of this you have to add the fierce competition by well-established chain of coffee shops with strong marketing and huge advertising budgets.