HomeGetting Started7 Easy Steps To Open A Coffee Shop In India

7 Easy Steps To Open A Coffee Shop In India

The global coffee market was valued at USD 102.02 billion in 2020, and it is projected to reach a CAGR of 4.28% during the forecast period of 2021-2026 as per Mordor Intelligence.


Coffee shops can be a brilliant gateway into the food and beverage industry for any aspiring restaurateur.

As a cafe owner, your aim should be to build a place where people visit to blow off some steam, get their work done, and have memorable experiences. However, for pursuing this, you need to have detailed knowledge about both coffee and business.

If you are someone who is passionate about your coffee and wants to serve it to the world by opening a coffee shop then here’s your guide.


How To Open A Coffee Shop In India

1. Make a Business plan

Most of the time people think that making a business plan is just a formality but it’s an important step. The process of making a business plan will not just give you better clarity of your coffee shop, it will also give you a clear understanding of the market and industry as well. 

You can create goals for your business for short and long term. It will help you set the processes right for structuring, running, and growing your business. 

An ideal business plan should include:

  • SWOT analysis
  • Local market analysis
  • Cash flow projections
  • Initial Financial planning
  • Marketing plan
  • Expected years for ROI

This analysis can take a little more time than expected. But don’t rush the process as addressing these issues now would be better than a year down the line.


2. Choose a Location

The location of your coffee shop can be a game-changer for you. The overall success of your business can highly depend on it. Make sure to consider the following points before deciding on the location:

  • A larger footfall
  • Adequate Parking space
  • Residential or corporate area
  • Less cafes/coffee shops serving the same menu
  • Visitors consisting of working professionals and students
  • Moderate traffic area

Your target audience will only be able to discover you if you’re in their areas of interest. You must understand that your customers are going to spend a lot of time here so you have to make your cafe attractive to them in all aspects.


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3. Build your Menu


An average customer spends less than 2 mins reading your menu


Menus are the personality of your coffee shop. Make sure to design an informative yet aesthetic menu.

While building your menu not only do you have to list all the items that you serve but you have to list them in such a way that the menu items that provide you the highest profit and are industry popular items get a clear focus.

It is psychologically believed that the color red is an action color that is used to persuade users.
You can experiment with such techniques and highlight your best-sellers accordingly.

Furthermore, make sure that your menu is not overpriced considering your target audience. Study your competitor’s pricing and see what the industry trends are before finalizing your menu.

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4. Design your cafe

The ambiance and interior of your coffee shop is the reason your target audience will be enticed to visit again. Before designing your cafe make sure to choose the perfect aesthetic style and theme, something your target audience will also be appeased by.
Retro? modern? chic? sophisticated? casual? whatever you like!

Make sure to design your coffee shop’s layout from the customer and your staff’s perspective. Furniture, lighting, seating, the display should look aesthetically pleasing and match your theme. You can add art pieces and a television set up for entertainment purposes.

Do remember that you are not here to impress everyone only your target audience. Hiring a professional can be expensive but worth it in the long term. If you are planning to open a coffee shop soon you can hire an interior designer to pull all of this together efficiently.


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5. Apply for Licenses

Coffee shops don’t have to apply for all kinds of licenses like a dine-in restaurant. However, there are a few licenses that they need to mandatorily apply for.


6. Hire Right People & Technology

As a business owner, you need to learn a very important skill – Delegation. Don’t try to do everything on your own you will burn out. Hire the right staff members who understand your passion and brand. Interviewing candidates can be a long time but it’s an important investment so don’t try to rush it.

Invest in a fast billing mechanism, a coherent inventory management process, efficient reports to study your sales, and a single screen to manage all your online orders, these are some of the key technologies that can help your coffee shop business to grow more.
You can further invest in a Coffee Shop POS that can handle all your operational hassles while you create magic in your french press.

Moreover, finding the best suppliers is essential to the business. Your suppliers need to be industry-competitive, reliable, and genuine to continue growing your business. Take to time to find the best suppliers as this one-time investment to the future long trades. Make sure to use good quality machines and raw materials to give your coffee that authentic premium taste you desire.


7. Marketing your Coffee Shop

Digital marketing has made marketing for any business so smooth and cost-effective. You no longer need thousands of followers to go viral anymore. Having an Instagram page for your coffee shop can be a great start. Choose your aesthetic style, flaunt your interiors, and consistently post about your business on your socials. Update your followers and viewers about your menu, special dishes, offers and discounts, back-end coffee preparation satisfying videos, etc. Get great reviews on Google business review and other third-party platforms.

You will gain your viewer’s attention and trust once they see your genuine posts and videos this will help you increase your brand awareness and sales as well as followers on your socials.


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Now that you’re all set to launch your coffee shop make sure to do it the right way. Focus more on customer satisfaction and it will yield you great results in the longer run.

Hope this helps! Follow us on Instagram for more restaurant updates.

Fatema Rasiwala
Fatema Rasiwala
Content writer at Petpooja

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