- Xeddy Suggestions
- Posts
- Xeddy Tip Of The Week #12
Xeddy Tip Of The Week #12
This week's tips come from the founder of Blue Bottle Coffee. He spoke on CNBC's "Make It" YouTube Channel and shared key insights to his success. Check out our read below.
Basil Udo
February 19, 2024
TIPS TO GROW YOUR FOOD BUSINESS
Xeddy Suggestions
Facilitated by Basil Udo · Feb 19, 2024 · 2 min read
Hi, this is the fourth post of the year! Thanks for your interest in receiving tips. This push is meant to share knowledge among business owners like yourself.
Tips Of The Week
I look at competitors as inspiration, rather than seeing them as competitors.
Those things that made it slightly harder and more labor intensive, those were actually the differences that attracted people.
- James Freeman, Blue Bottle Coffee
About Blue Bottle + Tips Context
Credit: Amy Y. Li for The Harvard Crimson
This past weekend, I explored CNBC's Make It YouTube channel and viewed their video, "How Blue Bottle Went From A Coffee Cart To A $700MM Valuation." The video offers an insightful examination of the founder, James Freeman, and his journey to establishing a business with over 100 locations. Initially a clarinetist facing challenges in his music career, Freeman used his struggles as motivation to venture into the coffee industry, aiming to provide consumers with freshly brewed coffee. He credits his entry into the coffee business during what he identifies as the "third wave" of coffee. This wave is characterized by a preference for lighter roasts, considered more refined and often seen as a novelty among enthusiasts, in contrast to the first wave's canned coffee and the second wave's emphasis on dark roasts popularized by Starbucks and similar brands.
In preparation for his 2001 launch, Freeman invested all his savings and incurred up to $15,000 in debt. After two years of fostering community support through farmers' markets, he witnessed a significant breakthrough in January 2004 when he saw a line of 40 people waiting for his coffee on a Saturday. This momentum led to the opening of his first physical location in San Francisco a year later. At the time the reference video was filmed, Blue Bottle had reached a valuation of $700 million, with more than 80 locations worldwide. Freeman acknowledges Starbucks' indirect contribution to Blue Bottle's growth by setting a precedent for casual coffee consumption, although he does not consider them direct competitors but rather a source of inspiration.
Towards the video's conclusion, James reflects on the advice he received about attracting customers through conventional means. Despite the potential for higher costs and challenges, he chose to follow his instincts, a decision that ultimately proved to be correct.
To check out this episode, click here for the YouTube link.
I look at competitors as inspiration..
