How To Find a Good Location for a Coffee Shop

One of the most common reasons why coffee shops, or any establishment for that matter, fail to launch is the wrong choice of location. A poor choice in location can potentially kill the business within a few weeks after opening. It is important to find a good location that can sustain your coffee shop business well enough to expand it in the future. In finding a good location for a coffee shop, there are a few things you must consider:

  • First consider your target market. Who are the people you will be considering as your regular patrons? It is important to research the demographics and the characteristics of your target market. This will help you determine the ideal locations for your coffee shop. If your coffee shop caters to businessmen, you would want to be located in the city, near office establishments. If you’re looking for a mix of patrons to your coffee shop, it is best to locate in an area where residential and commercial areas meet.
  • Once you’ve determined who your target market is, contact a commercial real estate agent to visit available spaces. Location should be aligned to the concept of your coffee shop. Check the neighborhood. Make sure that the area is zoned for the type of business you want to open. Consider the surroundings of the location. It is best to set-up shop near establishments that cater to the same clientele. This will allow you to draw from their customer base.
  • Consider your operational requirements and always keep in mind your budget. Will you be required to pay part of property tax or building insurance? Are you required to pay maintenance? Extra payments will have an effect on the prices of your products. More costs on your part will to translate to higher prices for your customers.
  • Keep in mind any special requirements that you might need to start your coffee shop. Do you need kitchen facilities, parking spaces or high-energy consumption capabilities? Unless your target market is in a major metropolitan area, ask your real estate agent if parking is included on the lease. If there is no parking on site, try visiting a nearby parking facility to inquire on parking fees, especially short-term parking.
  • Most importantly, keep note of customer favorability to convenience. A good location for a coffee shop should be situated at a reasonable proximity to your target market. Ideally, a good location for a coffee shop is accessible on their way to work, near their offices, or in a mall where they shop. You should also consider the population density and foot traffic of your area. It should be enough to sustain your sales needs. Aside from your target market, it is also important that your suppliers find it convenient to make deliveries to your coffee shop. Make your coffee shop visible.

You must remember that finding a good location requires a significant amount of effort, perseverance, and, most especially, patience. The right location is worth waiting for, even if it takes time. Finding a good location for a coffee shop can increase customer traffic, attract employees, and gain credibility.


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