Coffee Beanery strives for the perfect roast

At The Coffee Beanery headquarters in Flushing, the scent of richly flavored coffee permeates the entire building.

That’s no surprise, because the company’s 54 varieties of specialty coffee are roasted and flavored right on the premises.

“We’re always looking for the very best coffee and tweaking our roast to have the coffee roasted to its perfection,” said JoAnne Shaw, president of Coffee Beanery, who founded the business 26 years ago with her husband, Julius.

The roasting process is adjusted depending on the type of coffee beans, the country from which they originate and the time of year they were harvested. Specially trained employees test the aroma, taste and color of the coffee at various stages using a procedure known as “cupping,” which is similar to wine tasting. Coffee Beanery has its own cupping room and works with an outside quality-control lab to ensure that each batch is just right.

“The goal is to satisfy the customer in a very consistent way,” said Shaw.

With 180 locations in 28 states, two in Guam and one in Seoul, South Korea, consistency is essential.

“Customers’ expectations today are very, very high,” said Shaw. “We need to meet them always and exceed them if possible. If customers go into a store in New York, the coffee needs to be the same as if they went into a store in Texas.”

Customer service also must be top-notch at every Coffee Beanery street-front cafe, mall store and kiosk, says Shaw.

“Coffee is a very people-oriented business - as is any retail business,” she said. “Coffee’s such a warm, friendly beverage. It sets the stage for being treated well. We need to carry that atmosphere through in the stores.”

Consistency of product and service is especially challenging because most Coffee Beanery stores are locally owned franchises. But Shaw says franchising was essential for expanding the company nationwide and offers many benefits for both the central office and the franchisees.

“I find franchising very satisfying,” she said. “We really like to help people get in business and become successful.”

Franchisees can take advantage of the Coffee Beanery brand and the tools and expertise offered by the staff at headquarters. Company management, meanwhile, profits from front-line feedback on products, logistics and marketing.

“Franchisees have a lot of customer contact. It is really helpful to keep us on track,” said Shaw. “We can be a facilitator to share that information throughout the system.”

Coffee Beanery is the largest privately owned coffee franchise in the country, selling nearly 2 million pounds of coffee beans each year. Annual sales exceeded $51 million in 2000. In fact, Coffee Beanery sells a cup of coffee somewhere in the world approximately once every 1.3 seconds.

However, Shaw has no intentions of stopping with this level of success. Plans are in the works for opening more international stores in Korea, China and Qatar, as well as increasing the number of U.S. franchises.

Shaw says the gourmet coffee market is still in its infancy, especially when compared with such ubiquitous foods as hamburgers and pizza.

“There is a tremendous possibility for growth,” she said. “Our customer base is expanding. Once people become coffee drinkers, they typically stay coffee drinkers for life.”

The market has already come a long way since the Shaws opened their first store in Fairlane Center in Dearborn. In 1976, says Shaw, “specialty coffee stores didn’t exist” in the Midwest, and the more exotic coffees that are popular today were foreign to most people’s tastes.

“The first store had an espresso machine, but nobody wanted espresso or cappuccino,” recalled Shaw. “We would give people samples so they could try it out, and they would say, ‘It’s too strong.’”

Tastes have changed, though, Shaw observes, creating an opportunity for retailers of gourmet foods.

“People have developed more sophisticated palates,” she said, citing consumers’ growing willingness to patronize sushi bars and purchase $20 cigars and $90 bottles of wine. “The quest for quality has really expanded. We need to lead the way to fulfill those needs.”

One of Shaw’s favorite aspects of the business is the opportunity to work with her husband, who manages the financial end of the business, and their two sons, Kevin and Kurt, who work on recruiting new franchisees. The family also operates Ye Olde Coffee Service, delivering Coffee Beanery’s signature blends and other coffee products to some 2,000 business customers in the Flint area.

“It’s wonderful to be able to work with my family,” Shaw said. “My husband has always been so supportive and open to stretching and expanding, even sometimes when we didn’t think we could do it.”

The different skills of the family members have helped with mastering the many facets of Coffee Beanery’s operations.

“We have to be great at retail, great at coffee and great at franchising,” said Shaw. “It’s challenging.”

Shaw also takes great satisfaction in hearing from pleased customers.

“I just love it when customers say, ‘Oh, you have the best coffee!’” she said. “Or when they write a letter saying, ‘I just got the best service in your store.’”

Shaw enjoys spending time with her grandchildren, playing golf and walking to stay in shape. She and Julius also enjoy visiting coffee-growing countries such as Honduras, Guatemala and Jamaica. She has served as chair of the International Franchise Association and president of the Specialty Coffee Association of America.

Though she’s no longer working 68-hour weeks without taking a paycheck, as she did in the early days of Coffee Beanery, Shaw remains very involved in the day-to-day operations of the company.

“It’s very unusual to be in a business 26 years and have it still be fun, exciting and new,” she said. “I feel really blessed.”

This article was written by Michigan Retailer staff writer Rachel Whitaker

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