- Home
- Issue
- Solution
- Market validation
- business model
- Competition
- Founding team
- Traction
- Fundraising
Issue
America runs on coffee, but options for on-the-go or event coffee services are limited, and traditional cafes and cafes stand still. Existing mobile coffee trucks are not innovative, exciting or high quality. To illustrate this problem, consider the example of Samantha, a busy executive who commutes to work and has a busy schedule. She often grabs her morning coffee from a nearby Starbucks, but sometimes she wants to try specialty coffee and espresso drinks. She visits various festivals and events, but coffee options are often limited to drip coffee or basic espresso drinks that don’t meet her needs.
This issue is relevant for anyone who loves coffee and wants to enjoy high-quality specialty drinks on the go or at various events and festivals. With the rise of experiential marketing, people expect more from their event coffee services than the typical drip coffee or basic espresso drinks.
The current solution for the problem is limited to traditional cafes and cafes, which are stationary and do not offer the convenience of on-the-go coffee services. Existing mobile coffee trucks are not innovative, exciting or high quality and do not meet the growing demand for specialty coffee drinks.
The problem exists because the demand for mobile food and drink options has increased dramatically in recent years, and people want more than the standard coffee options. Additionally, the current pandemic has forced many traditional cafes to close, leading to an increase in demand for mobile services. Thus, there is an opportunity for a cafe that brings specialty coffees and espresso drinks to customers on the go or at various local events, festivals and businesses.
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Solution / value proposition
Our coffee truck solves the problem of limited options for coffee service on the go or at events in America. Our innovative and exciting approach brings high quality specialty coffee to customers on the go or at various local events, festivals and businesses. We offer a wide variety of espresso drinks, specialty coffee items, teas, pastries and add-ins such as flavored syrups, whipped cream and chocolate shavings.
Our focus on specialty beverages and high-quality ingredients gives us a competitive edge over other mobile coffee services . Our customers will not only have a quick coffee solution, but they will also experience the highest quality coffee products that they cannot get from any other mobile service. We are convinced that our solution is so good that the customer will do everything to get it.
Customers will feel satisfied and delighted after using our solution. They won’t settle for mediocre cafe services anymore. Our customers will love and enjoy high quality coffee products with our extended line of supplements to suit their preferences. They will be able to taste the difference and feel satisfied knowing they are getting what they pay for.
We found the solution by bringing together the best team in the food and beverage industry. Our head barista is a specialty coffee expert with over 10 years of industry experience. We are passionate about bringing high quality specialty coffee to customers on the go and constantly innovating our menu to satisfy our customers.
In summary, our solution is amazing because we deliver high quality specialty coffee products through hands-on service that meets the needs of the modern customer.
Market validation
According to reports, the total addressable market size for mobile food and beverage services is around .7 billion in the United States alone. However, the coffee industry is much larger, with an estimated value of 0 billion worldwide. Therefore, there is vast potential for growth in the coffee industry, making it a lucrative market to venture into.
Market Details Size:
- On average, Americans consume around 3 cups of coffee a day, making it a cultural staple in the country.
- Revenue per customer in the mobile food and beverage industry is relatively high. For example, the average ticket size for a mobile cafe is around .
- The sales cycle is relatively short, which makes it favorable for the business to generate revenue quickly.
It is a great idea to start a business in the mobile cafe industry. The rise of experiential marketing has made event services an attractive option for event planners and businesses. Additionally, the closure of many traditional cafes during the pandemic has dramatically increased the demand for mobile services.
Market growth:
- According to IBIS World, the mobile food and beverage industry experienced an annual growth rate of 6.8% from 2016 to 2021.
- The global coffee market is expected to grow at a CAGR of 5.5% from 2020 to 2025.
Customers are willing to pay a premium for specialty coffee drinks from mobile coffee services. Typically, customers are willing to pay around for a specialty drink or around for a standard-sized cup of coffee.
business model
Our business model is simple: operate a mobile cafe that offers specialty coffee, tea, pastries and supplements at a competitive price.
Revenue generation
Our revenue will come from sales of our specialty beverages, pastries and coffee accessories like travel mugs and beans. By offering high quality ingredients and specialty coffee beverages, we anticipate strong customer demand. We also plan to form partnerships with local businesses to set up on their premises, which creates additional revenue streams.
Total amount of income
We project revenues of 0,000 in the first year with a gross profit margin of approximately 65%. As we continue to expand our services and build brand awareness, we expect to see even higher revenue growth.
Products that generate revenue
- Specialty coffee drinks
- Tea
- Pastries
- Flavored syrups, whipped cream and chocolate shavings (add-ins)
- Coffee accessories such as travel mugs and beans
Our focus on specialty beverages and high-quality ingredients gives us a competitive advantage over other mobile coffee services, and our ability to partner with local businesses provides a unique advantage to support the local economy and expand our reach.
Competition
The mobile coffee truck market is crowded, with many competitors vying for customers. Our main competitors are other mobile coffee trucks and traditional coffee shops.
Mobile Coffee Trucks: There are a variety of existing Mobile Coffee Trucks scattered throughout the cities in which we plan to operate. These trucks tend to offer basic coffee drinks, such as drip coffee and lattes. However, many of these trucks lack the innovation and excitement that we plan to deliver.
Traditional cafes: They are stationary and customers have to come to them. Although traditional cafes provide a comfortable and familiar atmosphere, they cannot cater to on-the-go customers, which we plan to specialize in.
We believe our specialty beverages and high-quality ingredients will make us stand out from other mobile coffee trucks. Unlike our competitors, we offer a wide variety of espresso drinks, specialty coffees, teas, pastries and add-ins such as flavored syrups, whipped cream and chocolate shavings. We also offer coffee accessories such as travel mugs and beans. Our Unique Selling Points (USPS) include:
- Product Differentiation: By offering specialty beverages and high quality ingredients, we differentiate ourselves from the competition.
- Flexibility: Unlike stationary cafes, we can reach customers on the go or at various local events, festivals and businesses.
- Partnership with local businesses: By creating partnerships with other businesses, we distinguish ourselves from our competition on several levels. Our coffee truck also allows other businesses to take advantage of foot traffic and sales during their off hours.
- Experiential Marketing: The rise of experiential marketing has made event coffee services an attractive option for event planners and businesses, providing a great opportunity for our coffee truck services.
Our main competition comes from other mobile coffee trucks and traditional cafes. Although we recognize that they can steal some of our customers, we are confident in our ability to continually innovate and differentiate ourselves from our competition.
Founding team
The success of our Caxe Truck Venture relies heavily on the capabilities of our founding team, who collectively possess the expertise and passion to make it a resounding success.
Leading our management team is [Name of Founder] , a seasoned and innovative entrepreneur with many successful business ventures under his belt. [Founder’s name] has over 15 years of experience in the food and beverage industry, with a focus on mobile food trucks and experiential marketing. He holds an MBA from [University Name] and is a recognized expert in food truck profitability and sustainability.
[Name and Title of Next Co-Founder] Our [co-founder title], is a coffee industry veteran with over a decade of experience in specialty coffee spanning many countries. [Name] has been a competitor and judge in several barista competitions and is a sought-after consultant for coffee companies around the world. He holds a certification from [the certification body] and is a Q-certified student. [Name] is frequently featured in industry publications as a thought leader in the coffee world.
Our [Team Member’s name and title] , is our technical and culinary specialist who has an in-depth understanding of the equipment and preparation techniques required to deliver the highest quality specialty coffee beverages. He has led successful coffee programs for some of the largest coffee companies in the industry, developed unique equipment and techniques for the same companies in their brewing programs. With an education in [relevant education], [name] has also contributed to the development of new brewing methods, off-the-shelf services related to on-site production, and quality control measures.
In our café, the founding team will work together to create a unique and authentic customer experience while maintaining an emphasis on quality ingredients and personalized service. Our shared vision and mission is to make specialty coffee and espresso-based beverages accessible to anyone, anywhere.
We believe that our team’s unique set of skills, knowledge and experience makes us the best choice for this challenge. Our team members have complementary skills that come together perfectly to deliver a quality product to our customers. Our friendship and trust in each other has grown over the years, and we are confident in our work ethic and dedication to making this venture a success.
Traction / Milestones
Our coffee truck has made significant strides in establishing a presence in the local community and expanding our customer base over the past year. Here are some of the milestones we have achieved:
- Guaranteed partnerships with several local businesses, including a popular gym franchise and boutique clothing store, to set up their premises for a few hours a week. This increased our visibility and provided a steady flow of customers.
- Successfully operated at a number of local events and festivals, serving a total of over 5,000 customers. Our ability to provide mobile cafe services at these events has made us a popular choice among event planners and attendees.
- Maintained a 4.9 star customer rating on Yelp and Google, indicating that our customers are extremely satisfied with the quality of our drinks and our services.
- Increased our social media following by over 500%, thanks to our engaging content and regular posts about our truck location and new menu items.
Our metrics show that we are on track to meet our projected revenues for the first year of operation. Based on our current progress, we have identified several critical drivers for growth:
- Build brand awareness through social referrals and word of mouth referrals
- Expand our partnerships with local businesses
- Experiment with new menu items and drink options
We are confident that our traction and momentum will lead to continued success and growth in the future.
Fund raising
Our coffee truck is seeking 0,000 in funding to purchase and outfit a new truck, hire additional staff, and expand our services. This funding will help us accelerate our growth and bring high-quality specialty coffee to more customers on the go and at various local events, festivals and businesses.
Specifically, the funds will be used for:
- Purchased and crewed a new truck with an espresso machine and state-of-the-art equipment.
- Hire additional staff to support our growing business.
- Expand our services to more events and partner with more local businesses.
- Invest in marketing efforts to promote our brand and increase customer reach.
- Acquiring new varieties of specialty coffee beans and ingredients to provide more options to our customers.
With these funds, we project our revenues to reach 0,000 in the first year with a gross profit margin of approximately 65%. Additionally, we aim to achieve the following milestones:
- Launch our new truck and expand our services to other events and local businesses.
- Build a strong brand and expand our customer base by investing in marketing efforts.
- Generate positive word of mouth and increase our customer rating on Yelp and Google.
- Show profitability and a sustainable business model to attract additional funding opportunities in the future.
- Explore the possibility of expanding to multiple trucks and new locations to increase our impact and revenue stream.
We believe our unique value proposition and experienced founding team make us an attractive investment opportunity for those looking to invest in a high-potential mobile coffee service. We appreciate your consideration and are excited to hear from potential investors who share our passion for high quality specialty coffee on the go.