Cold Brew Subscription Box: How to Start Your Own Business

Nick Mirev
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    The subscription box business model has been around for decades. However, in the past few years, it has been going through a renaissance. The growth of this niche has led to numerous new businesses. There are subscription boxes for toys, beauty products, meat subscriptions, and various other items. Some businesses assist this model such as subscription billing solutions and subscription management platforms. In this article, we’ll talk about cold brew subscription boxes. How you can start it as a business and how other businesses can benefit from this opportunity.

    What Are Coffee Subscription Boxes

    Coffee subscription boxes are ideal for fans of the beloved caffeine drink. The most popular option is a monthly coffee subscription box. However, there are businesses that offer bimonthly or trimonthly plans as well.

    The boxes include coffee beans or pre-ground coffee from international or local roasters. The content of the box can be customized to suit the needs of the client. For example, some coffee lovers might opt to go for a luxurious subscription plan that includes specialty coffee. Others might be fairly new to the coffee brewing art and might require educational materials in their boxes.

    Coffee subscription boxes might include dessert pairings too. In fact, this is a good opportunity to increase the value and respectively your profit margin. It’s recommended to use a wholesale coffee beans supplier in order to benefit from lower prices and good varieties of coffee products. Wholesale vendors usually offer other products as well. You can include a small complimentary gift like ground chocolate and cocoa. Or exotic desserts from the original destination of the coffee beans. 

    Key takeaway: Cold brew subscription boxes can be in the form of ready-to-drink coffee or coffee beans and equipment for cold brewing. They can be offered by coffee subscription businesses, roasters, or restaurants.

    What Are Cold Brew Coffee Subscription Boxes

    Cold brew coffee is one of the hot coffee trends. It is a beverage made with the cold brew technique. This method makes the drink less acidic, smoother, and tastier. Cold brew coffee is also suitable for summer cocktails and mixes such as iced coffee with whipped cream and sprinkles on top.

    Cold brew subscription boxes usually include ready-to-drink coffee. Coffee enthusiasts enjoy experiencing different flavors. That is why, it can be beneficial for cold brew subscription boxes to include a variety of blends and flavors. Furthermore, the box can also include coffee beans or ground coffee in packs. The quantity depends on the subscription package.

    In terms of mixes, cold brew coffee goes really well with chocolate syrup, salted caramel, vanilla, or hazelnut notes. Therefore, adding some of these additional flavors can be used as a marketing technique.

    An important thing to remember is that, with cold brew subscription boxes, the value is more important than the price. People who are looking for a cheap option will buy coffee from their local grocery store. Most coffee enthusiasts will opt for a subscription box. Additionally, it is a great gift option for someone who enjoys their caffeinated drink cold and smooth.

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    How to Start a Cold Brew Subscription Box Business?

    If you’re passionate about coffee, you might turn your hobby into a profitable business. One of the main benefits of doing what you love is that it doesn’t feel like work. Another advantage is that you probably know all the latest trends in the field and can implement them and grow your business. 

    Create a Business Plan

    Consider this as a roadmap for the future of your business. A well-written business plan will help guide you through the process of starting and maintaining your business. The main assets of the business plan are goals, competition, marketing channels, financial estimations, and markets. 

    Find High-Quality Coffee

    As we mentioned before, if you want to offer the best coffee subscription service, you need to aim for value. This includes finding the right coffee distribution partners on the market. It’s recommended to shop wholesale in order to make a profit from bulk purchasing. These wholesale coffee distributors can offer both single-origin coffee brands and blends from all over the world. Your cold brew subscription customers may not be able to visit Ethiopia, Japan, or Indonesia, but you can provide them with coffee experience from these countries. 

    Marketing and Branding

    Picking the right target audience and marketing channels is crucial. Social media is perhaps the most important one for this type of business. You can also list your subscription boxes on eCommerce marketplaces and gift websites. A growing number of businesses partner with influencers too. Popular YouTubers do unboxing videos of boxes or can advertise your products for a percentage of each sale.

    The packaging and branding are very important too. Remember, people want not just coffee, they want the experience! That is why you need a strong brand identity that will help you not only attract customers but also retain them.

    Website and eCommerce

    An eCommerce website is essential for this business. Make sure to choose the right platform and ordering system. The website should be fast, user-friendly, and with an eye-catching design. 

    Business Partnerships

    A cold brew subscription company can partner with other businesses in order to achieve mutual benefits. For example, you can establish a partnership with specialty coffee roasters and offer their products in your cold brew boxes. Coffee equipment manufacturers are another potential niche to cooperate with.

    Food bloggers and recipe creators are becoming more popular online. You can create a discount code for them to share with their audience. This way they increase the value for their readers and viewers and you get a targeted marketing channel.

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    Restaurants Offering Coffee Subscription Boxes

    The role of tea and coffee in restaurants has changed. Restaurants are not just places that serve food and espresso drinks. Nowadays, venues are adapting to the market by offering a variety of loyalty programs, special products for club members, and other perks. A cold brew subscription box can be a great idea to extend your consumer-brand relationship while also adding an additional revenue stream.

    In addition to offering cold brew subscription boxes, restaurants can create a full-scale coffee experience for their clients. This can be in the form of coffee brewing classes, coffee tasting events, or brunches with exotic and specialty coffee brands.

    Restaurant managers often look for innovative restaurant marketing ideas. Offering subscriptions can be one. Your venue probably already has a website, social media presence, branding, processes, and systems for online ordering for restaurants. So, the foundations are there. You just need to choose the right products and start selling them. 

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    Frequently Asked Questions about Cold Brew Subscription

    Whether you are considering starting a cold brew subscription business or plan to offer such boxes in your venue, allow us to answer some of your questions.

    Are Coffee Subscription Boxes Different from Coffee Delivery Service?

    Yes, these terms can be used interchangeably. When people say coffee delivery service, they most likely mean the same coffee delivered every month. On the other hand, subscription boxes often have different brands in order to offer a diversity of coffee tastes to the client.

    How Profitable Are Subscription Boxes?

    The standard profit margin of the subscription box business model is around 50%. However, this can be increased by a variety of factors. For example, you can buy bulk from wholesalers when the prices are lower. You can also offer mystery coffee boxes in order to liquidate some old items in your inventory. You can increase the value and the price by adding additional things in the box. Those can be coffee brewing equipment tools, desserts, educational materials, and other drinks such as tea varieties

    How Profitable Will This Business Niche Be in the Future?

    Subscription boxes are a massive trend now and they will not go down anytime soon. In a fast-paced world, people want to spend less time on things like buying coffee. Therefore, this niche will be profitable for at least a few decades. According to coffee statistics, 83% of Americans drink coffee with 64% of them drinking a cup every day. These numbers are not changing soon. Keep in mind that every business needs to adapt. You might offer matcha tea boxes in the future or tea pairings with desserts.

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