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  • Nah, coffee shops don't suffer so much from the problem, IMO, as their business is mostly takeout.

    Issue for coffee shops is that the market is saturated with chain shops who have a good profile (ie. enough marketing $$ to create one) and comparatively lower costs due to economies of scale in buying everything from beans to milk to cups.

    So as a newbie coffee shop, you have to stomach (a) high rents of a good location, (b) strong competition from established players in terms of price and customer loyalty. Your best bet to make a profit (or even break even) would be to do a "Mr Coffee" and sell it off the back of a moped to cut the shop rent bill. Coffee shops ain't making money from the dudes who buy a cappuccino and spend 3hrs drinking it...

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