Business Model Canvas of A Coffee Shop

10/19/22, 8:05 PM Business model canvas of a Coffee shop
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Small Business & Entrepreneurship
A business model canvas of a coffee shop which was an assignment for Strategic management course of BRAC university which directed by Dr. Sebastian
Groh. Coffeeholic house is a new coffee shop chain in Dhaka. Our main target is young coffee lover people for unique taste of coffee.
Read more
Fozle Rabbi
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Self employed consultant
A business model canvas of a coffee shop which was an assignment for Strategic management course of BRAC university which directed by Dr. Sebastian
Groh. Coffeeholic house is a new coffee shop chain in Dhaka. Our main target is young coffee lover people for unique taste of coffee.
Read more
Small Business & Entrepreneurship
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1. 1.
Topic:
Business Model Canvas of Coffeeholic house
Submitted to
Dr. Sebastian Groh
Associate Professor
Director- Marketing and Entrepreneurship
BRAC Business School
BRAC University
Submitted by
Name Student ID
Abdullah Mumin Chowdhury Rayhan 16264002
A S M Fozle Rabbi
16264074
Moinul Islam Talukder 17164030
Arafat Chowdhury 17164043
Rifayat Rahman 17264070
Date: 03.07.2019
2. 2.
Company Profile:
Coffeeholic house is a new coffee shop chain in Dhaka. Our main target is young coffee lover
people for unique taste of coffee.
Boiler plate:
We have chosen to do a startup coffee shop business because of the growing demand of coffee
and tea demand in all age’s people. As it has
a potential market share and growth rate in the
coffee industry we can do well.
3. 3.
The Business Model Canvas
Key Partners
Partners:
 North End Coffee Roster
 The Coffee End Beans
Suppliers :
 Nestle
 Coffee of kuddus

The Coffee End Beans
 North End Coffee Roster
 Ispahani Tea Limited
Media support:
 Rafsan the Choto Vai
 Foodies
Key Activities

Quality control
 Trained employee
 Maintaining Relationship with
supplier and partners
 Monthly survey
 Site business
 Hygiene
 PR
activity and marketing
Value Propositions
 Location
 Better quality and cheaper price
 Environment
 Arrangement
 Various selection
Logic

Targeted customer
 Provide better quality
 Cheaper rate
 Structural menu
 Culture oriented
Customer
Relationships
 Quality Product
 Testing
day
 Survey
 Wi-Fi access
 Phone payment
 Business cards
 Providing fast service
 Discount to Customers
 Customer care website
Customer Segments
 Casual coffee drinkers
 Students
 Freelancer
 Corporate people
Key Resources
 Automated machine
 Location

Professional baristas
 Eco friendly
 Online payment
 Online delivery
 Competitive advantage:
-Local suppliers
Channels
 Primary Channel:
-
Mobile application
- Online website
 Secondary Channel:
-Social media
-Universities
-Food Magazine
-Coffee shop
Cost Structure
 Goods cost

Marketing cost
 Facilities
 Utilities
Revenue Streams
 Sales of coffee and beverages
 Selling secondary products
 Reservation
 Per day
revenue is 42,550 Tk.
 Coffee = 27750Tk , Cookies = 4800Tk , Bakery Item = 10000Tk
Designed for: Dr. Sebastian Groh
Designed by:
Rayhan,
Rabbi, Moinul, Arafat, Rifayat
Date: 03.07.19 Version:01
4. 4.
Description of Business Model Canvas of Coffeeholic House
Key Partnership:
Beside the relationship with the customers, we have to pay attention to
our network of suppliers
and partners. As our key partners we are teaming up with the “North End Coffee Roster” and
“The Coffee End Beans”.
As for
our suppliers we have talked with “Nestle”, “Coffee of kuddus” (who is a local coffee
producer) “The Coffee End Beans” and “North End Coffee
Roster” for imported coffee blends
Tea supplier we have taken “Ispahani Tea Limited”.
As for our online and Media support we have allied with
YouTube Rafsan the Choto Vai and
“Foodies”.
These partners will help us to build our business from ground up. As we are targeting students we
are
trying to keep our price low and proving a quality full product.
5. 5.
Key Activities:
1. Ensuring better quality product and zero tolerance customer service policy for betterment
of the customers.
2. Providing fast
service to the customer through training the employees and through better
equipment and also fast delivery system.
3. Maintaining a better relationship
with partners and suppliers through weekly meeting so
that the cash flow, better product with in cheap rate can easily be managed.
4. Taking monthly
survey from customers so that, we can improve and maintain our quality
service. Taking rates or suggestion for new innovation or new line of products
that can be
added in the business.
5. Creating our own line of coffee beans and tea leafs for the market so that our regular
customers can enjoy the
product everywhere.
6. Maintaining the stores cleanliness every day for the better Hygiene service.
7. Finally maintaining the PR activity. It means
constantly updating the Facebook page,
providing different kind of promotional offers. Reviewing customer’s comments,
managing different kinds of
complaining programs which will help the brand to get better
expose.
6. 6.
Key Resources:
1. Fully automated express machine in all outlets.
2. We are going to have location in Gulshan, Banani, Uttara, Dhanmondi to have
competitive
advantage.
3. Professional coffee baristas in all outlets so that the quality of the coffee and fast serving
is maintained throughout all the
outlets.
4. Using Eco friendly cups and products which does not harm the environment. Because some
customers may drink coffee while on the go so
that the cups doesn’t harm the environment.
5. Providing online payment service like, Bkash, Nogod so that customers can easily pay for
their drinks.
6.
We are also going to provide online delivery system through hotline or through delivery
providers like Pathao Food, FoodPanda, UberEats.
7. As we are
using our local suppliers for the coffee beans and tea leafs so that we can easily
ensure the quality of the product. It also helps in fair trade with
suppliers which will lead
to the low pricing and better quality product.
7. 7.
Value Proposition:
1. For Coffee shop we have chosen locations which is near to the business hub and also close
to the School, College and
Universities.
2. Providing a better quality in a cheaper price product to the market.
3. The place should Relaxing and spacious for the customers to
enjoy.
4. Setting arrangement should be both for personal space and for group space.
5. Providing various selection of coffee and tea to customers with
keeping in mind their test
and preferences.
6. Menu should be designed in way it should be both International and Bangladeshi culture
oriented.
Logic:
As we have said our main target customer is students than comes the corporate and freelancers,
as we have our own line of suppliers with locally grown
and imported goods we can easily
provide a better quality product in a cheaper rate than our competitors. Our menu is structured
keeping in mind of
Bangladeshi economic culture and test in mind. So we have a good chance
do well in the market.
8. 8.
Customer Relationships:
My value proposition defines my customer relationships. Providing best coffee to the student or
people with minimum price
that’s how we will work to get customers.
1. If my customers understand my product quality is higher than the competitor of this
business, then they
will continue to buy my product.
2. Announcing testing day on social media will help to engage more customers with my
coffee shop.
3. Survey
regarding the taste the customers want.
4. Besides foodies and choto vai Rafsan’s the YouTuber will help to create a good bond with
the customers.
5.
Free Wi-Fi internet access.
6. Pay with smart phone like Bkash, Nogod, and Nexus pay.
7. Feedback will help to make a good bond with customers.
8.
Business card to create good relationship with customers.
9. Providing fast service.
10. Providing discount to customers.
11. Customer care website.
9. 9.
Channels:
In the business model canvas channels describe how businesses communicate with the customers
also what imaginations should be in
customers mind when they think about ‘Coffeeholic house’.
Communication distribution and sales channel will be describe in below. So here there are
two
types of channels-
1. Primary channels
2. Secondary channels
 Primary channels: channels allow customers to use companies’ products and
services.
Channel also support customers with the after sell services. So for primary channels there
are two sides which are describe in below-
 Mobile
Application: Mobile is becoming an essential gadget for every day. People
are always busy with their mobile and also by mobile application they can be
updated with the menu of the coffee shop. Through the mobile application
customers will be updated with the menus and prices of the products and
services.
If café will have any offer customers will get an instant notification through their
mobile application which they just need to install into their
mobile.
 Online website: Coffeeholic house will have a brand new and updated website
where customers form local and abroad can easily see the
menu and the prices of
the service and products. And also can see the review of the other customers
about the quality of the service and products.

Secondary channels: there will be other secondary channels from where customers can
get the idea about the products and services of Coffeeholic
house. Such as-
 Social media: Facebook, Instagram, and other social media sites where young people
are more proactive there will be a page of
Coffeeholic house.
 Universities: In the partner university cafeterias the coffee will be sell from
Coffeeholic house.
 Food magazine: popular food
magazines of Bangladesh like foodies buzz and many
more will have advertisement of Coffeeholic house so that potential customers will
know and
recall the name easily.
10. 10.
 Coffee shop: the shop will have a proper menu and the entrance will be attractive
enough so that people can easily notice it from the distance.
Customer Segment:
Young consumers are the main target as consumer segment of Coffeeholic house. Such as-
 Casual coffee drinkers: specially on
the monsoon and winter season there are lots of
casual coffee drinkers visit lots of coffee shops and try new item .As this people visits
a lot of places
they know the taste very well so to attract them permanently may bring
more customers to the shop.
 Students: students are choosing coffee shops for
their regular hanging spot. Attractive
packages will attract more students from school, college and universities.
 Freelancer: freelancers need to work
long time in front of their laptops. So coffee will
be a best partner for them and also special easy carrying foods will be also available
for them. So they
can easily concentrate into their work without worrying about the
hunger.
 Corporate: Corporate meeting and gathering is also a better choice for
segmentation.
The silent atmosphere with a great coffee will accompany the corporate into their
monotonous meetings.
11. 11.
Cost Structure:
Goods cost:
As we are buying goods from coffee beans, North end coffee, Kuddus, we have a cost. That will
depend on how much
we want to produce.
Marketing cost:
Advertising cost, Promotional activity related cost.
Facilities:
Customer care website development
Utilities:
Utility
expenses regarding to run the coffee shop.
12. 12.
Startup Cost:
Items Name Expense (Taka)
Express Machine: (4) 680000
Coffee Grinder: (4) 68000
Coffee Maker: (4) 68000
Dishwasher: (4)
140000
Blander: (4) 30000
Beverage Fridge: (4) 60000
Interior decoration: (For 4 outlets) 4000000
Rent for outlet: (4 outlets for 1
year)
400000
5446000
Trade License: 401000
Total: 5486100
13. 13.
Operating Cost:
Per Outlet
(Monthly)
Per Outlet (Yearly) Total 4 outlets
Utilities 10,000 120000 480000
Salaries of 4
person(15000*4)
60000
720000 2880000
Supply cost for each
outlet(Yearly)
800000
Advertising or
promotional cost
(Yearly)
100000
70000 840000 4260000
14. 14.
Revenue Streams:
Most business need at least one great revenue stream to earn money.
Sales of coffee and beverages:
Revenue will come by selling
coffee and beverages.
Selling secondary products:
Sweet, Donut, Toast etc.
Snacks will also be there like sandwich.
Reservation:
Small fees for
reservation of 10 or more people.
Price and Revenue Streams:
Coffee starts from (150tk to 350tk) according to flavor
Cookies starts from (80tk to
150tk) according to flavor
Bakery item starts from (100tk to 400tk) according to flavor
Coffee:
60 cup (150tk) = 9000
30 cup (250tk) = 7500
20 cup
(300tk) = 6000
15 cup (350tk) = 5250
125 cup = 27750
15. 15.
Cookies:
40 pieces (120tk) =4800tk
Bakery item:
40 pieces (250tk) = 10000tk
Per day revenue = 42550
Government Tax:
Sales tax upon revenue:
(15%)
42550*15% =6383
So, total monthly tax 6383tk.
Monthly Profit:
Monthly cost is 70000tk
So Monthly profit will be 1276500-70000-191475 =
1015025tk
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The Daily Grind marketing plan

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