Search Results for: business difficulties
Heytea stores' difficulty in giving cash change sparks debate: employees cite coin shortages, consumers question payment rights
Recently, a consumer reported on social media that when they went to a Heytea store with 50 yuan in cash to buy a drink, a staff member told them they could not make change and suggested switching to online ordering. This experience quickly sparked widespread discussion, and many tea beverage industry practitioners chimed in, saying that insufficient small change reserves at stores are indeed a common phenomenon, especially during peak customer flow at mall locations, where staff often have no time to go out and exchange for small bills. However, some voices pointed out that the difficulty of making change should not be shifted onto customers, and merchants should ensure that all legitimate payment methods remain accessible. This is not the first time Heytea has been criticized over cash payment issues, and this incident has once again pushed the cash management problems of chain tea beverage brands into the spotlight. [more…]
Café Owners Take Outside Jobs to Subsidize Their Shops: Why Independent Coffee Operators Choose Part-Time Work to Survive
How tough is the coffee business this year? Many independent café owners have found that store revenue alone is no longer enough to support themselves, let alone get rich from coffee. To keep the small shops they poured their hearts into, some have pivoted to food service, some have thrown themselves into social media marketing, some have launched membership top-up schemes to lock in regulars, and some owners have simply chosen to take outside jobs, using their wages to subsidize the café's daily expenses. How do these "re-employed baristas" juggle their main business and side gigs? And are employers willing to hire someone who is themselves a fellow café owner? This article takes you inside the real circumstances of these coffee operators who persist out of love. [more…]
Starbucks curbside pickup service tested: National Day promotion prize shortages and ordering difficulties spark user complaints
Since its launch in March this year, the "curbside pickup" service jointly introduced by Starbucks and Amap has aimed to provide a convenient coffee-buying experience for drivers and passengers during rush hour and on busy roads. However, a special promotion during the National Day holiday sparked considerable controversy. Due to limited stock, many customers were unable to get the cute pet tote bag offered as a gift in the campaign; at the same time, the ordering system had problems such as inaccurate route matching and closed stores still being able to accept orders, greatly reducing the user experience. In addition, the extra 3 yuan service fee also made some users feel it was unreasonable. Although Starbucks hoped to use this service to expand into new scenarios, the various inconveniences in actual operation led many netizens to question whether it was adequately prepared. This article will sort out the highlights of the campaign and user feedback in detail, and explore room for improvement in the curbside pickup service. [more…]
Crowdfunding a Coffee Shop: Becoming a Shareholder for 2,500 Yuan—Can It Really Make Your Entrepreneurial Dream Come True?
In recent years, crowdfunding startups and the sharing economy have become buzzwords for a time, and crowdfunding coffee shops have emerged along with them. Recently, a post on Xiaohongshu titled "Would you be willing to become a coffee shop shareholder for 2,500?" sparked discussion. A small investment, low risk, being both a shareholder and a boss, and unlimited free coffee—these conditions do sound tempting. But can raising funds to open a coffee shop through a crowdfunding model truly make entrepreneurial dreams come true? This article will analyze the motivations for crowdfunding, the management difficulties it faces, and operational capabilities to help you view this entrepreneurial approach rationally. [more…]
Starbucks and Chayan Yuese successively exit Nanjing 1912 District, the curtain falls on a 20-year-old store, sparking nostalgia and reflection.
Recently, news came from Nanjing 1912 Block: the Starbucks Reserve store, which has been in business for twenty years, is about to close, and Chayan Yuese, which only moved in last year, has already been the first to withdraw due to the expiration of its lease. The successive departure of these two adjacent stores has left many citizens and tourists feeling regretful. As Nanjing's first Starbucks Reserve store, this Republic of China-style coffee shop was once a popular check-in spot in travel guides, but now it is about to come to an end. Issues such as the expiration and recovery of property rights in the old block, the rise of emerging commercial districts, and parking difficulties have all become focuses of discussion. In any case, this coffee memory that has accompanied people for twenty years is worth savoring in detail. [more…]
Under the double blow of plunging temperatures and rain and snow, the business struggles of independent coffee shops and their path to a takeout breakthrough
Frequent shifts to extreme weather are making life miserable for independent coffee shops that rely mainly on dine-in service. When temperatures plunge, takeout can barely keep things going, but once rain or snow hits, delivery breaks down, customers stay home, and shop owners even have to deliver orders themselves. This article examines the real operating conditions of coffee shops under different weather conditions, explores how to strike a balance between takeout and dine-in, and reveals the helplessness and hopes of industry workers who depend on the weather to make a living. [more…]
Howard Schultz Returns Twice: Can Starbucks Emerge from Its Business Slump Again?
Starbucks has recently fallen into operational difficulties once again. After Howard Schultz returned in April this year, he implemented a series of bold measures, sparking widespread discussion about the brand's prospects. In fact, this is not the first time Schultz has saved Starbucks in a similar manner—during the 2008 financial crisis, he also led the company out of its trough by closing stores, laying off employees, and reshaping corporate culture. This article reviews how Starbucks restored growth back then through consumer lifestyle research, the "My Starbucks Idea" campaign, rebuilding partner relationships, and direct sourcing, and analyzes the new challenges that unionization efforts under the current pandemic background bring to the brand, as well as the relationship-rebuilding plan Schultz has launched for store partners after his return this time. [more…]
Luckin Coffee outlet at Tsinghua's Qingfen Garden suddenly withdrawn—why does campus coffee business leave without warning?
University campuses have always been a potential market coveted by coffee brands, where steady foot traffic and relatively low rents tempt many chains to try their luck. Yet even a brand with as broad a customer base as Luckin, after opening in Tsinghua University's Qingfen Garden, once saw queues so long it was hard to get a seat—only to suddenly find the place emptied out. From posting a notice of temporary closure to hauling away all the equipment, what exactly happened to this store that students had held such high hopes for? Behind the operation of campus coffee shops, what little-known risks and challenges lurk? This article will take you through the sequence of events and explore the practical difficulties coffee brands must face when entering universities. [more…]
A Qingdao seaside cafe caught up in an online harassment storm; the shop clarifies it did not eject customers or insult anyone, Front Street Coffee interprets the boundaries of the service industry
Recently, a clarification post about a café at a scenic spot in Qingdao sparked widespread discussion on social media, with comments quickly climbing to thousands. The incident began when a tourist claiming to be a university student posted about an unpleasant experience at the café, saying they were indirectly driven out by staff for not making a purchase, and later claimed to have been insulted. However, as the business came forward to recount what actually happened, the situation took a turn, and the original poster eventually apologized voluntarily. This controversy not only reflects the differing perceptions between consumers and service venues regarding occupying seats, spending, and service, but also prompts a reexamination of the operational difficulties faced by cafés at tourist attractions during holidays. Today, Front Street Coffee walks you through the full story. [more…]
Kenya's New Coffee Policy Shakes the Industry: Global Green Bean Giant NKG Forced to Close Plants and Withdraw
Neumann Kaffee Gruppe (NKG), the number one player in the global green coffee trade, recently announced the termination of its factory operations in Kenya, directly due to its failure to obtain an operating license from the government. This incident occurred after Kenya implemented the 2019 Coffee Regulations and the 2020 Capital Markets (Coffee Exchange) Regulations, both aimed at enhancing transparency in coffee trading, introducing digital management, and reshaping the regulatory framework. However, delays in license issuance during the implementation of these reforms have already led several companies into operational difficulties—local producer Eaagads saw its sales revenue plummet by 99% within half a year, with a net loss of 33.1 million shillings. Industry insiders worry that if the licensing issues continue to escalate, more traders will choose to exit because they cannot conduct business normally. [more…]
Home café launches nationally free-shipping freshly extracted espresso; short-shelf-life cold chain model sparks heated debate and compliance questions
Coffee consumption continues to heat up, and the market keeps penetrating into broader demographics. Recently, home cafés and independent shops have launched a freshly ground and freshly extracted espresso liquid that offers nationwide free shipping. It uses plastic sealing plus ice packs and cold-chain delivery, keeps for about 7 days refrigerated and up to half a month frozen, and has drawn attention because its aroma and crema performance are better than assembly-line instant products. While consumers ask on social platforms how to buy it, some also question whether it can still count as "freshly extracted" after long-distance transport, whether home workshops can meet food-safety requirements, and whether such products fall into the "three no's" category. This article sorts out the selling points, controversies, and potential risks of this new business format, and highlights the difficulties merchants need to face in quality control, marketing, and compliance. [more…]
A Deep Review of Café Management Through Three Real Cases: Positioning Choices, Cost Control, and Risk Avoidance
Many people harbor a dream of opening a coffee shop, but few actually manage to keep one running. Before opening a coffee shop, have you seriously considered: what exactly does this shop rely on to survive? Who are its target customers? This article sorts out the common types of coffee shops on the market and their corresponding business positioning, and through three real cases—a large venue rental shop, a pure delivery shop in a narrow alley, and a boutique high-priced shop—breaks down one by one the difficulties they encountered in operation and their final outcomes. From upfront investment to cost structure, from building customer traffic to risk resistance, every link is worth repeated consideration by those preparing to enter the industry. [more…]
Ethiopia's foreign exchange crisis deepens, coffee industry squeezed by both transport and exchange rate pressures
Since Ethiopia launched its foreign exchange system reform in July, the gap between the official exchange rate and the parallel market (black market) narrowed for a time, but signs of slowing have recently reappeared. As of mid-October 2024, the official exchange rate was 116.97 birr per US dollar, while the black market rate was as high as 140 birr, forcing businesses to take desperate risks amid the foreign exchange shortage. Costs are climbing for import-dependent enterprises, and inflationary pressure is transmitting to the coffee industry, driving up cultivation costs and pushing the minimum selling price across the board up by 2%. At the same time, the government is accelerating the opening of the logistics industry, attempting to ease transport bottlenecks by bringing in foreign investment, but port access and regional security remain uncertain factors. This article will sort out the chain reaction among exchange rates, logistics, and coffee exports. [more…]
A coffee shop staffed by the hearing-impaired posted a plea for help during the pandemic. After reopening, with zero foot traffic, how did they save themselves through original drip coffee bags?
A silent coffee shop in Shanghai, staffed mainly by hearing-impaired baristas, published an article titled "Please rest assured, we are still alive. But..." on June 14, quickly gaining over 80,000 views. Under the impact of the pandemic, dine-in service was suspended, delivery communication was hindered, and masks obscured lip-reading, plunging the shop into a situation of zero revenue and zero foot traffic. The baristas hand-drew 12 touching moments from those months into illustrations and launched an original themed drip-bag coffee set as a self-rescue effort. The article reviewed the real difficulties this special coffee shop faced, its self-rescue methods, and business adjustment ideas that coffee shops could draw on during the pandemic, including joining delivery platforms, ensuring product quality, designing offline discounts to bring customers back, and developing peripheral products such as drip bags and coffee beans to meet consumers' shifting demand from "going to the shop" to "having it at home." [more…]
Coffee giant Mercon files for bankruptcy protection with $363 million in debt, Nicaragua operations hit hardest
The global coffee trade landscape is once again in turmoil. Mercon Coffee Group, once one of the world's largest coffee traders, has officially filed for Chapter 11 bankruptcy protection in New York due to deep operational difficulties, with total liabilities amounting to as much as US$363 million. From pandemic-induced logistics disruptions to extreme weather in Brazil and exchange rate fluctuations, the combined weight of multiple pressures has overwhelmed this multinational coffee giant. Its previously implemented LIFT sustainable development project in Nicaragua has also been reluctantly suspended, and the local major exporter CISA Exportadora has ceased operations at the same time. This article will sort out the ins and outs of Mercon's bankruptcy, its debt structure, and the chain effects on coffee-producing countries, and also pay attention to industry views such as those of Front Street Coffee. [more…]
Independent Entrepreneurship or Franchise Chain? Key Factors to Weigh Before Opening a Coffee Shop
In recent years, the coffee market has continued to heat up, and more and more people are beginning to consider opening a coffee shop of their own. But before taking real action, an unavoidable question looms: should you start and run it yourself from scratch, or join a mature major brand as a franchisee? Each path has its pros and cons. Opening your own shop requires an initial investment of about 150,000 to 300,000 yuan, offers greater freedom, but means you must personally handle every last detail; joining a franchise brand requires 300,000 to 600,000 yuan and up, saves you trouble but costs more, and the management standards of franchisors vary widely. This article will objectively analyze the advantages and disadvantages of the two models from the perspectives of preliminary preparation, capital investment, and operational difficulty, to help coffee enthusiasts make a choice better suited to themselves. [more…]
Students sitting for long hours in cafes and occupying seats sparks debate, leaving owners helplessly seeking good ideas for time-limited consumption
In recent years, a growing number of students have been treating coffee shops as study rooms, ordering a single drink and staying for seven or eight hours at a time—a situation that has left many café owners scratching their heads. Faced with the dual pressures of declining table turnover and rising operating costs, owners must both protect their reputation and find effective management strategies. On social media, discussions about how to politely encourage long-staying customers to leave are heating up. Some suggest posting time-limit notices, others choose to adjust the ambiance or require refills, and some shops have borrowed from Hong Kong's practice of implementing a two-hour seating limit. This tug-of-war over café space usage and consumer rights reflects the real dilemmas facing the food and beverage industry today. [more…]
Luckin Coffee Store Cash Payment Blocked Sparks Debate; Official Customer Service Says It Can Be Completed via APP Assistance
Recently, some consumers have reported encountering inconvenience when using cash to pay at Luckin Coffee stores. Staff repeatedly guided them to place orders via mobile phone, and only after a long wait did another employee accept the cash and operate the order on their behalf. Similar situations have been mentioned by netizens before, with one elderly customer left at a loss in front of the counter because they were unfamiliar with mobile ordering. In response to the difficulty of paying with cash, Luckin's official customer service stated that stores can accept cash, and after customers arrive at the store, staff can assist them in placing orders through the app or mini-program, and they can pay in cash after confirming the information. Some analysts believe that Luckin's adoption of a small-store, low-staff operating model, with no dedicated order-taking personnel, is based on efficiency considerations, but there is still room for improvement in terms of service awareness. [more…]
The Deep-Seated Reasons Why Coffee Shops Close Within Six Months: A Comprehensive Review from Positioning to Takeout
Many young people dream of opening a coffee shop, but the reality is that cases of businesses being put up for transfer within six months are all too common. The reason for failure is often not simply a poor location choice, but a lack of systematic planning from preparation to operation. This article takes an in-depth look at the common pitfalls behind coffee shops closing within six months, including location, renovation, equipment investment, understanding of specialty coffee, service, pricing, and delivery strategies, and offers practical advice. Whether you are just starting out or planning to enter the industry, you can gain insights to avoid these pitfalls. [more…]
Starbucks Valentine's Day Rose Latte Art Assessment: Baristas Say the Difficulty Is Off the Charts, Abstract Designs Keep Appearing in Stores
During Valentine's Day, Starbucks launched the Rose 20 series of limited-edition drinks and showcased several exquisite rose latte art pieces on its official WeChat account, sparking anticipation among many customers. However, in reality, the latte art produced by some stores was far from the promotional images, with abstract patterns leaving consumers astonished. Behind this is an internal Starbucks skill assessment called "Rose Certification," which has left many baristas complaining bitterly. From novices to seasoned staff, some diligently practiced and eventually succeeded, while others gave up and sought alternative methods. This article will take you through the entire rose latte art controversy and the genuine reflections of baristas during their practice. [more…]