5 Reasons Today’s Hottest Coffee Shop Franchises Have a Good Survival Rate

Interestingly enough the concept of the franchise comes from the middle ages, it has lasted through all these ages and developed into the today’s definition of franchises.

So, do you remember the first franchise you ever discovered? Was it a food franchise or a Vehicle franchise? For most of you, the answer would be a food franchise or a drink franchise.

Food, clothing, and shelter have always been the basic necessities, the rest makes life efficient.

1.  Brand Power:

What is a Brand?

A brand is your reputation, it is your ticket to a good investment, it gets you new customers, and it is building trust with your client base. A brand is an extension of you and your firm, it is not a separate entity.

This is the #1 reason coffee shop franchises have a good survival rate. Brand brings with it the power behind it. When you invest in a franchise you are investing in a brand that has been established and has been running successfully for a long time.

Some of these franchises are so well established they have stopped any marketing attempt, all they have to do is some promotional work a few times a year and that’s enough. While there are some new franchises that take care of the marketing all by themselves, even those are beneficial as you’ll get to earn the profits without any putting efforts in marketing.


2. Low-Risk Investment:

The next on the list of reasons is coffee shop franchise being a low-risk investment. Like we have already seen the marketing, research and development have already been done.

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The risks have been considered and the strategies against them have been implemented, all you have to do is have the basic knowledge of the goings of a coffee shop and the coffee shop franchise price ready to be invested.

And if you don’t have the necessary knowledge you can always be trained for it. Some of the franchises offer training, guidance, and support to the new investors. So, even that is being taken care of.

If we were to compare the investing in a coffee shop franchise to starting a business from the scratch or investing in a startup, coffee shop franchise have a higher chance of surviving than any of the startups you can invest in.


3. Inherited Customer Base:

There are two types of people, ones that prosper without change and then there are others who need change to grow. If you visit a new city would you go out looking for popular haunts and local food or would you troll the internet for the nearest KFC and Pizza Hut?

Sometimes your business meeting or visit takes longer than planned and when the bout of homesickness hits you look for franchises of places that you ate back at home.

There are millions of people out there whose needs are the same as yours. So, with a franchise, you don’t just inherit the brand but the customers as well. That doesn’t mean that you can provide crappy service. It just means that you don’t need to years to cultivate the trust or brand. You are not provided with the raw material here, you have been given an attire/ a dress. You just have to wear it and look great. So, if you build a franchise they will come.

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4. Ever-Growing Demand for Coffee:

Coffee is always in demand and the demand to supply ratio has become disproportionate. The supply has become less, and demand is continuously growing.

So, you’ll never lack customers. It’s true that you’ll inherit the customers but let’s not forget about the new customers that are always interested in trying new food and which holds true for coffee as well. Some of these potential customers come for a drink but the quality of the coffee holds them, converting them into repeat customers.

Another thing you best not forget is the quality, quality is linked to a brand by default. When you utter a brand name you remember the quality they serve, and you review it accordingly. The growing coffee market reduces the risk of investing in a franchise even more. There might be many coffee shops presents on the same street and they are still not enough. People will choose to visit your coffee shops when they recognize the franchise.


5. Massive Profits:

We have seen 4 reasons why coffee shop franchise has a better survival rate compared to other businesses. Each of these factors contributes to this final factor, the profits. The continuous demands for coffee, as well as the other reasons, ensure that your franchise will never lack customers. An already established business model that has seen a lot of success is most likely to work in your favor here. Let's talk about risks.

The low-risk investment will pay off much earlier as compared to the profits earned with a startup. Startups frequently tend to be a hit or miss whereas with franchises their 70-80 percent guarantees of success. It is not just about running a successful franchise, but also getting returns on your investment and earning massive profits in the process.

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There is no reason to fear failure, it’s part of our life. Taking risks might be courageous but don’t make that thought make you reckless, take smart risks that have the maximum chance of profits. And it’s better to go into any situation with all facts in your hands. With franchises, you have the opportunity to learn new things and earn at the same time. Like with any other business profits will take time but once you start earning it, there will be no going back. Success is addictive and many of the hottest coffee shop franchise today offer you just that and it is wrapped in pretty packages too. So, be wise and make an informed decision.

1.  Brand Power

2. Low-Risk Investment

3. Inherited Customer Base

4. Ever-Growing Demand for Coffee

5. Massive Profits

Even food has evolved from being a basic necessity to an art and there are numerous foodies and YouTube channels with enough subscribers that can back this fact.


Guest post courtesy of Amir Atighehchi

Mercy - CBNation Team

This is a post from a CBNation team member. CBNation is a Business to Business (B2B) Brand. We are focused on increasing the success rate. We create content and information focusing on increasing the visibility of and providing resources for CEOs, entrepreneurs and business owners. CBNation consists of blogs(, podcasts, ( and videos ( CBNation is proudly powered by Blue16 Media.

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