The coffee retail industry has grown in the past five years. The industry currently boasts about $28 billion dollars in annual revenue, and consists of nearly 200,000 different businesses.
For those looking to break into this industry, starting a business from scratch can be tough, thanks to competition from large coffee chains. But the industry leader, Starbucks, doesn’t offer franchise opportunities in the U.S.
Luckily though, there are plenty of other coffee chains out there that offer franchise opportunities. Below is a list of ten top retail coffee franchises offering Starbucks potential competition.
Currently located in 10 states with about 120 stores, Scooter’s Coffee offers a few different franchise options. For those who want to break into the coffee industry with a smaller investment, the company offers drive-thru coffee kiosks. But more experienced or dedicated franchisers might opt for drive-thru CoffeeHouses instead.
The company has been around since 1998 and franchising since 2001. S,o there’s also some name recognition in the states and communities where Scooter’s Coffee franchises are already located.
Dunkin’ Donuts is one of the most recognizable names in the coffee industry. The company offers a variety of opportunities in different markets around the country. There’s even the opportunity to open combo franchises, which include both Dunkin’ Donuts and Baskin Robbins.
If you’re interested in adding a bit of a tropical feel to your coffee franchise, Maui Wowi might be the choice for you. The coffee chain also specializes in smoothies. And the business prides itself on creating an “Ohana” or family, among its franchisees. So franchisees are encouraged to provide help and support to one another throughout the process.
Biggby is a younger company, but that means there are plenty of opportunities available all over the country. The coffee chain currently has over 100 franchises throughout the U.S. So it’s one of the fastest growing coffee franchises in the industry.
Biggby also prides itself on its company culture. So if you want to open a coffee shop with a fun environment and some innovative products, this one could be worth your consideration.
Dunn Brothers Coffee
This coffee chain prides itself on providing specialty coffee products. Each shop actually roasts coffee in front of its customers. And they also provide some pastries and baked goods for purchase. Dunn Brothers Coffee offers full coffee shop franchises as well as express shops.
And the company has been in business since 1987. So the company has built up a support staff to help franchisees with everything from product development and construction to finance and marketing.
The Coffee Beanery
The first Coffee Beanery stores opened in the U.S. in 1976. And the company has built up a fair amount of brand recognition over the years. Currently, The Coffee Beanery offers franchise opportunities in the U.S. and abroad. It also offers the option of opening multiple stores in a given area, along with one-store franchise options.
Gloria Jean’s Coffee
With more than 900 franchise locations worldwide, Gloria Jean’s is one of the largest coffee chains in the industry. The company puts a big emphasis on location. So if you’re interested in starting a coffee shop in a street-front neighborhood center or the entrance of a mall or college campus, this opportunity could be of interest.
The Human Bean
The main thing that sets The Human Bean’s franchise opportunities apart from others in the industry is that the company does not charge any percentage-of-sales royalty or marketing fees. Franchisees simply order their coffee and other supplies from the company, which is how it makes its money. The company also works with franchisees to come up with the best layout, location, and business plan for each store.
If you’re looking to dip your toe into the coffee industry without making a sizable investment, Cafe2u offers a mobile coffee shop option that’s fairly inexpensive up front. The Australian-based company now has hundreds of franchisees worldwide. Its coffee shops are run out of vans so franchisees can sell coffee at colleges, fairs and other events.
The largest coffee chain in South Korea, Caffebene now has over 1,600 stores globally. The company provides training and support for coffee enthusiasts who are looking to become part of the growing, global brand.