Unique Licensing Opportunity by Moxie Java Allows Easy Entree into Specialty Coffee Business
Lack of franchise fees, increased flexibility and extensive company support allows licensees to quickly establish and grow their retail espresso business. Boise, Idaho-based Moxie Java International, the largest licenser of coffee shops in the United States, now extends a unique licensing opportunity for entrepreneurs wishing to enter the high-margin business of selling freshly brewed specialty coffees.
By avoiding complicated and costly franchising contracts, Moxie Java’s program allows prospective businessmen and women to own their own espresso cart, kiosk or cafe with minimal investment. Such licensing agreements provide national brand recognition, support and product consistency, yet owners enjoy extensive leeway to customize their store to meet local marketing tastes.
Founded in 1988, and now comprising 65 shops throughout the United States and three in Japan, Moxie Java has quickly established itself as one of the fastest growing specialty coffee retail vendors – fueled in part by its innovative licensing arrangement and its well known quality coffee products. “Given today’s softening tech market, many recently retired or laid-off professionals are now considering opening their own businesses,” notes Rick Dean, president of Moxie Java International. “What has held back many of these individuals, along with the traditional small-business operator, is that they are universally reluctant to entangle their personal assets in a complicated and expensive franchise agreement which includes a royalty fee that slices into their gross sales figures every year. Whereas our licensing program allows easy start up into the popular business of selling specialty coffee.”
Operating a coffee house taps into a lucrative and fun business-opportunity trend. According to the Specialty Coffee Association, this market (which encompasses unblended, blended, dark roast, organically grown, flavored and decaffeinated coffees) is growing at double-digit rates. Further, espresso cafes average $300,000 in sales per year. The fact that a great cup of coffee is viewed as an up-scale, yet affordable, luxury accounts for part of this success in the face of a slowing economy. Other factors include an extremely broad demographic appeal; a wide variety of choices ranging from lattes to cappuccinos; and unlimited channels of distribution that include college campuses, hospitals, fast food outlets, bookstores, gas stations, malls, strip shopping centers, convention centers, industrial parks, office buildings and recreational facilities.
Besides facilitating a choice of store locations and types, Moxie Java’s creative licensing arrangement allows operators a wide allowance for customized store attributes. “The brand license agreement allows us much greater flexibility in serving the needs of our local area,” says Sonny Tan, manager of the Moxie Java cafe in Canoga Park, California. “Our establishment doesn’t look like any other Moxie Java store that I’ve ever seen. We have, like a living room in our customer area – leather couches and a nice big table. People have even come in and held impromptu business meetings. We also offer high-end pastries such as croissants and fat-free muffins to go with their coffee.”
By offering management flexibility along with a nationally recognized brand marketing and strong support, Moxie Java licensees can, in a sense, have their biscotti and eat it too. Moxie Java International offers consistency by supplying only Moxie Java coffee and offering identical blend recipes, product names, and serving guidelines. “As a store operator I value the fact that the menu is strong and the recipes so consistent,” notes Tan. “I’ve spoken with several customers that have been to a Moxie Java in Idaho or Oregon, and the consistency of the product was one of the things they were most happy with. Our customers definitely like our coffee better than Starbucks. We like to say that our coffee is better, not bitter.”
Moxie Java achieves this product differentiation by selecting the highest-grade Arabica beans and then carefully roasting them in-house to achieve the maximum flavor. Every store gets fitted with high-quality espresso machines from Italy. Unlike other major chains that utilize automated systems, each cup of Moxie Java coffee is ground, pressed, and brewed to order – resulting in a fresher presentation of the coffee. Besides ensuring consistent quality of product, Moxie Java International takes equal pains to ensure the success of its licensees.
Each store operator receives the benefit of a complete support package that includes: turn-key store packages, training programs, operations manuals, marketing support, design consultation, promotional support, new product and merchandise development, toll free purchasing, and continuing education. Brand support includes national promotional programs, frequent customer incentives, and branded merchandise such as T-shirts, multiple-design traveler mugs, ceramic logo mugs, gift boxes, and a variety of clothing. Moxie Java offers three separate, turnkey packages of products, equipment and merchandise to fit the specific financial commitment level of any entrepreneurial-spirited individual wishing to enter the world of retail specialty coffee.
A Moxie Java Espresso Cart represents the most flexible and mobile of all systems, as it allows an operator to locate wherever the most customers are. The Moxie Java Kiosk is a modular, self-contained espresso system that utilizes a flexible three-sided counter, built-in back wall and merchandise display wall to accommodate unusual and tight space requirements. The Moxie Java cafe reflects the atmosphere of a European coffee house, complete with counter displays, tables and unique setting decor. By obtaining a Moxie Java license, a prospective proprietor receivesthe rights to use the Moxie Java trademark, logo, and to sell its products.
Besides its own coffees, Moxie Java also supplies all necessary espresso machines, grinders, chairs, tables, a variety of supplies – providing licensees with the convenience of one-stop shopping to equip their stores for success. “Sales are picking up consistently,” says Tan. “I’m constantly seeing new faces every day, and they all leave happy.”
URL: www.moxiejava.comEmail: info@moxiejava.com
Tel: 208/322-7773; 800/659-6963Fax: 208/321-0279
Company: Moxie JavaAddress: P.O. Box 2526City: BoiseState: IDZip: 83701
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