Iterating in business is an art form. It’s how we grow and find a path to establish the features that matter. It’s not about more, it’s about finding what works, which means that as we morph and change, certain features must be sacrificed, left or or purposely cut off. Nature exemplifies this. Nature takes time to roll out new features, and is well prepared to sacrifice old ones which no longer pay their way. Nature takes years to develop the perfect mix, but is in a constant state of evolution.
The coffee market has been one of the most interesting category evolutions we’ve seen in the past decade or so. Especially given the drink has been around thousands of years. What’s most interesting is that it was a commodity market at brand and retail level for the largest part of the past 60 years. Granules in a tin which one mixes with boiling hot water. Large brands then competed on price with occasional soapie style advertising.
Enter coffee culture and in 15 short years everything has changed. Coffee isn’t coffee anymore. Coffee is latte, coffee is short machiato, coffee is espresso, coffee is arabica versus robusta. But it evolved slowly, and the latest trend in coffee drenched Melbourne is cold dripped coffee. The point for startups is simple: we can’t go from Nescafe blend 43 straight to cold drip coffee. We have to take people on a journey with us, chapter by chapter. Shown below is another photo essay of a coffee haunt on little Collins Street Melbourne called Sensory Lab.
The question for entrepreneurs is what industry can we invent a journey to take people on?
I had this discussion yesterday. I walked past a hole in the wall cafe. (Tiny cafe which serves take away and stand up coffee in inner city area)
Friend: Wasn’t Joey going to open a business like that?
Me: Yeh, I remember him talking about it before I had even seen one of these in the city.
Friend: What happened to it?
Me: I don’t know, I guess he just didn’t get around to it in the end. Got distracted.
Friend: That’s a shame, looks like a good little business model. What’s he doing now?
Me: He’s in the same job.
Friend: Oh. Ok.
We keep walking …
Don’t be Joey. It at least try and fail. The old job will be waiting for you if you have to return.