Is it impossible for coffee shops to sell only coffee now?

It doesn't seem to be a good choice to start a coffee shop. There are plenty of single-handed coffee shops in this Red Sea market, not to mention coffee vending machines in coffee chains such as Starbucks and convenience stores.

In Taiwan, the success rate of opening coffee shops is also very low, with only about 2 to 3 out of every 10 cafes making money. However, Taiwan's well-known Internet user Frog Da (real name Yang Minghuang) chose to open a coffee shop "Frog Coffee" in an inconspicuous alley in 2007, but he was able to make a profit in the third month. Start a business for the first time, and still choose the most competitive industry at present, but can succeed in one fell swoop, what is his outstanding ability?

Open a shop with "personal Brand"

Frog's original idea was not to open a coffee shop, but an exhibition space. Six years ago, Frog was the department head of Acer Drama Valley, with 80 employees in charge. He worked during the day, ran his own photography blog at night, and published his works of climbing mountains and taking photos on the Internet, accumulating a lot of fans.

In 2007, he published the book "running away from the Island" after he left his job and went around the island. Because of the large number of photos taken along the road, Frog's original idea was to create a 10-15-square-meter display space equipped with LCD televisions, projectors and free use only for freelance creators.

However, he didn't know where to get his income, so he turned to open a coffee shop, where he could at least sell coffee, and the area of the store had grown from 15 square meters to 50 square meters.

To have a storefront of 50 square meters and the rent could not be high, he began to look for an alley near the business district, but only on condition that he could not walk in more than a minute from the main road. Later, he found a storefront in the alley on Songjiang Road with a monthly rent of 60,000 yuan (NT $, the same below). He designed the storefront with bicycles as the theme, and the whole store invested nearly 3 million yuan.

In the view of Chiu Chung-Wei, director of the Entrepreneurship and Development Department of the Taiwan Youth Chuang Association, the investment of a single store is as high as NT $3 million. With a 10-year operating life, it is necessary to amortize 300000 of the depreciation expense every year. Judging from the monthly turnover of NT $300000, the investment cost is on the high side.

However, because Frog University already has considerable popularity on the Internet, after netizens' efforts to spread it and moderate media exposure, Frog Coffee did not spend a dime on publicity, but its popularity quickly opened up, coupled with a bicycle craze. It has made a small profit since the third month, with a monthly revenue of about 300000 yuan, deducting rent, personnel, food and other expenses, a monthly profit of about 50, 000 yuan.

Rent by time, one student and two.

After half a year of operation, Frog found that there were many people coming to the store to party, and many people wanted to charter the venue. This demand opened up his idea of renting the venue. He began to rent the frog coffee in different periods and grabbed the market at a low price. The rent of 1800 yuan per hour also includes 1000 yuan of catering, only 20% of the five-star hotel market, and the demand for dinner or press conference is quite cost-effective. As a result, I grabbed a lot of business. "I can earn two days' income by doing a charter, which is much more efficient." Frog big said.

Because of the differentiated mode of operation, Frog Coffee can support the expenses of a store on farm income, while Frog University has also opened a wall in the store to sell the surrounding goods extended by his personal photography and provide small counters for other design brands.

After tasting the sweetness, Frog University took a fancy to Bali again in the second year, and chose a local spot to open a second frog coffee. Similarly, although it is a coffee shop, the selling point is not coffee, but the unique local demand-cycling fever. He provides bicycle rental, maintenance and free showers in this store, and his reputation is publicized through the Internet, and even attracts tourists from Malaysia, Singapore and other countries.

Even if the bicycle fever starts to go down, the operation of Frog Coffee Bali has not been affected in the slightest. "that's just a decrease in sales, because people who should buy a car have already bought it, and the number of people using it has not decreased." Frog big said.

Frog stressed that each store is not profitable, but at least it can support itself and build brand awareness at the same time. In the future, he hopes that the brand benefits of Frog Coffee can be extended to his works, creating another income line.