Specialty Coffee Retailer

Specialty Coffee Retailer February 2013

Specialty Coffee Retailer is a publication for owners, managers and employees of retail outlets that sell specialty coffee. Its scope includes best sales practices, supplies, business trends and anything else to assist the small coffee retailer.

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DUNN BROS. COFFEE Twin Cities area, Minn. BY M AURA KELLER F or years, Minnesota brothers Ed and Dan Dunn were this quality standard as our 'Bold Standard,' as no other chain fanatical about the freshness and quality of coffee. The and in fact most independents have been unable to duplicate brothers became inspired by the legendary coffeehouses this level of quality in their model." Of course, most specially coffee retailers recognize that a of Eugene, Ore., and decided to start a business that offered great cup of coffee is made even better by mouth-watering quality, craft-roasted beans. So in 1987, the pair bought a 12-kilo Probat roaster and opened baked goods. That's why Dunn Bros. recently created the a Dunn Bros. Coffee shop on Grand Avenue in St. Paul, Minn. Provisions Bakery Café concept. "We wanted to elevate the food experience to mirror Four years later they opened a second store in Minneapolis, and in 1994, business partners Chris Eilers and Skip Fay worked with what customers know on the coffee side," Plahn says. "The Ed and Dan to open the first Dunn Bros. Coffee franchise store. coffeehouse industry's Achilles' heel has always been food, and Eilers and Fay eventually bought the franchise from the Dunn we saw an untapped market for specialty coffee coupled with fresh high-quality food. Unlike most coffeehouse chains, food brothers, and it grew in Minnesota and beyond. "Our scale is what makes us stand out from the crowd: at Provisions Bakery Café is baked in the store and handmade, we have over 50 locations in the greater Twin Cities area, but right in front of the customer." Dunn Bros.' intent is to honor culinary traditions and unlike the larger chains, we remain focused on delivering a more independent and authentic coffeehouse experience," says offer "coffeehouse food" different from their competitors'. The Kim Plahn, president and CFO of Dunn Bros. Coffee. "And Provisions menu includes breads and pastries that are baked fresh daily in the store, as well as hand-crafted sandwiches, we've been doing it for 25 years." Unlike larger coffee chains in the Twin Cities, the majority salads and pizzas. "Our strategy is that Provisions will enable current and of Dunn Bros.' Twin Cities stores are locally owned, and each store reflects the individuals who own them and the future franchisees to expand their operations and increase communities they serve. No two Dunn Bros. stores look the revenues," Plahn says. "Rather than rely on new locations to same, and this "non-cookie cutter" approach appeals to many bring this concept to life, we designed Provisions so stores can integrate a compact, economical kitchen and café into their of their most dedicated fans. "Our devotion to authenticity also sets us apart," Plahn says. existing space. Now our customers can get real, fresh food "We source and serve top quality single-origin coffees. We feel from the same place they turn to for a quality cup of coffee." They tested the Provisions concept in four stores, with the first that there is no better way to prepare and serve these coffees than micro-roasting them in our stores and then serving them Provisions Bakery Café opening in Minneapolis in August 2011 and three more locations debuting before the end of 2011. Food to our customers at the peak of freshness and flavor." Dunn Bros.' signature espresso blend is carefully crafted sales at those stores more than doubled, now accounting for 25 to 30 percent of total sales. and also roasted in their stores. As Plahn "We now have 12 Provisions in several explains, each espresso shot is hand-drawn, states, and a long list of store owners wanting and their standard latte comes with a double OWNERS: to retrofit their stores," Plahn says. "Judging shot of espresso. Chris Eilers and Skip Fay from the interest of owners and customers "Coffee fans appreciate our attention to alike, we expect to see a lot more Provisions detail and the fact that our products are not PRESIDENT/CFO: at Dunn Bros. stores in 2013." SCR all milk and sugar," Plahn says. "We refer to Kim Plahn 38

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