November 2013 by CoffeeTalk Magazine

November 2013

www.CoffeeTalk.com Vol. XXVI No. 11

Connect. Grow. Prosper!

L Listen A Advise S Solve The View T Thank Appreciation Part 2 page 8

See NAMA Listings page 24

Appreciation Makes the World Go 'Round

A Growing Sales Trend? …Estate Auctions

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Take the Initiative and Start Recycling

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Contents

The View Appreciation Part 2

Take the Initiative and Start Recycling

Appreciation Makes the World Go 'Round

A Growing Sales Trend?

Designing the Customer and Staff Experience

10 Take the Initiative and Start Recycling

…Estate Auctions

Tip 9 - Operations:

New National 'Lead Free' Requirements Effective in January

Direct Trade: A Honduran Success Story

So You've Opened a Coffee Shop. Now What?

How to Reconcile 3rd Wave Coffee and Pumpkin Spice Lattes

A Toadally Awesome Day for Coffee

NAMA Listings

News Bites

12 Appreciation Makes the World Go 'Round

14 A Growing Sales Trend?…Estate Auctions

Who We are

Phone: 206.686.7378, see extensions below

Owners

Publisher/Advertising/Owner Kerri Goodman-Small, ext 1 | 877.426.6410 | 206.795.4471 kerri@coffeetalk.com Editor in Chief/Owner Miles Small, ext 2 | 206.795.2835 miles@coffeetalk.com

Editor/Feature Writer Jessica Tanski, ext 7 jessica@coffeetalk.com

Advertisers Index

International Development

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Administrative

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Feature

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Mailing Info

The View Appreciation Part 2 4

Mail: HNCT, LLC, 25525 77th Ave SW Vashon, WA 98070 Fax: 866.373.0392 Web: www.coffeetalk.com

Disclaimer

CoffeeTalk does not assume the responsibility for validity of claims made for advertised products and services. We reserve the right to reject any advertising. Although we support copyrights and trademarks, we generally do not include copyright and trademark symbols in our news stories and columns. Postmaster: Send address changes to HNCT, LLC, 25525 77th Ave SW, Vashon, WA 98070 Subscription: The cost of a subscription in the U.S. is $47.50 per year; in Canada, the cost is $72.00. Free to qualified industry professionals. Non-qualified requests may be rejected. Publisher reserves the right to limit the number of free subscriptions. For subscription inquiries, please call 206.686.7378 x1 or subscribe online at www.CoffeeTalk.com. Copyright © 2013, HNCT, LLC, All Rights Reserved

November 2013

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Kerri Goodman-Small & Miles Small

The View Appreciation Part 2

learly last month’s column has struck a nerve in our industry. In fact, the first indication was when the number of Facebook “Likes” on this editorial outnumbered the number of current SCAA Members before the issue was even distributed in print. Then the comments, calls, and emails started to pour in. Here are just a few…

•

Bravo for taking the stand with SCAA to let them know how under appreciated we, the firms that have consistently paid dues and been trade show supporters are. We have exhibited consistently, without missing a show since 1988. We’ve always taken 2-4 booths. I can’t remember anyone from the organization stopping by to even feign interest. I have spoken in many sessions a featured speaker and served on panels, yet the pattern of the organization’s supporters getting benign neglect is consistent.

It’s a shame - it’s an insider’s club, and if they don’t want you in it, then forget about it (to your point of being ‘invited’) I used to hear all about the call for committee members - and yes, the board nominees are basically future board members - all groomed to walk the walk and talk the insider SCAA talk. •

I want to applaud you on the article that you wrote about the SCAA. I have to concur with you 100%. Being a long time member and exhibitor for that matter, I feel that I have the credibility to commend you on a well-written “rant.”

•

As I was reading the letter to the SCAA I went between thinking it was I who was writing it and becoming incensed. With some slight differences in details my experience over the last year plus has been the same: over 12 years serving on a subcommittee and not having the common courtesy, manners, professionalism nor appreciation to tell me there is no more need nor want of my volunteer time. Over 12 years of time, money, effort and an evening before each class I was to teach of worry that the class I am giving will go off well. A PAID class!! My volunteer, unpaid time-- all for the benefit of the SCAA! I wondered if I was the only one. I wondered if I was being petty. I wondered if I should show more professionalism. Well, there are many others like me. I will truly reconsider where I spend my company’s dollars. Next year will the beginning of making the conference a lower priority. Many other areas I can put those limited dollars if it is not as needed nor appreciated by the SCAA.

I had to thank you for your October 2013 The View regarding the SCAA. Over the years I have been a supporter of the SCAA but I too feel that it has been off of the rails for a few years. I have been a volunteer presenter several times and have volunteered in other ways. Two or three years ago I attempted to have a conversation with the management of SCAA regarding two specific things, the joke that is called elections and the chaos that is the volunteer support within the SCAA. After being blown off and spoken down to I gave up. It seems that the only options are to support other coffee and related business groups or create a new one. I hear those sentiments all too often. I, too, would love to get involved in a committee again, but no one from SCAA will even acknowledge me. Even when I helped with the first two Symposium’s there was no thank you for the work - or follow up, or anything - Just a pompous attitude of we don’t need your help any longer (although they never said those words, their actions spoke for them).

•

There are a few gems on the staff and volunteer base of the SCAA that would listen to me and agree. But NO ONE from a higher level of the SCAA staff or volunteer base ever reached out.

•

It is about time they get a wake up call as to what they stand for and what is their responsibility to US, their membership.

•

Thank you for being the brave pioneers to put this out there. I know for a fact that there are many more that feel the way we do.

•

I am an old timer around SCAA and I agree with many of your points, including the benefits and certain individuals of SCAA. My experience and perception is the SCAA has an elitist attitude that includes a lot of exclusion. If you don’t look the look and talk the talk you are dismissed. The whole milieu smacks of an intellectual and cultural hubris, as opposed to humble and helpful service. I have made my perceptions clear at a few SCAA: they lose good hard working specialty coffee companies all over the country because of this attitude. I hear it all the time from our customers. Nonetheless, we continue to participate in the hope we can create some change, but it ain’t easy.

•

I suppose I’d be hoping too much that someone from the SCAA actually said “Hey, you said some poignant things, let’s talk about it.” ?

This last statement is a great question! In response I have sent emails with the hopes of starting a dialog directly to SCAA:

“My goal is truly to help the SCAA become a better and more responsive organization that supports its members. We have had so much response to the editorial that it is very clear the issue should be discussed. Would you like to talk?”

No word as of yet. However, the hope is still there! So here is one final quote from another member… •

It’s never too late SCAA!!

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November 2-3

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January 13-17

November 3-6

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Boot Coffee Lab - Coffee Course at Origin: Panama Boquete Valley

November 6-9

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January 19-21

Winter Fancy Food Show

November 9-13

International Hotel, Motel, and Restaurant Show

January 20-22

Boot Coffee Lab - Roast Profiling & Cupping

November 12-14

NAMA Coffee, Tea, & Water

January 23-25

Boot Coffee Lab - Advanced Roasting

November 14-17

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Boot Coffee Lab - Q-Grader Training

November 21-24

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Take the Initiative and Start Recycling by Jessica Tanski

’m sure all of you have heard that recycling that paper cup after you have consumed your double tall nonfat caramel latte will help save the planet. Recycling, however, even more than that, is one of the best ways that you can make an impact on the planet on which we live. Utilizing and promoting the use of sustainable products also aids in the life of our planet and the coffee industry. According to ecocycle.org, “Nearly 90 percent of what we throw away could potentially be recovered through reuse, recycling, or composting.” So with that being said, I now ask those within the coffee community, what can we do to recycle and sustain resources that are important to the success and function of our industry?

Did you know that 70 percent of coffee consumption is routine? It is when this routine becomes a more responsible routine with the incorporation of recycling and the utilization of sustainable products, where we will start to see lasting impacts on the environment. Post says, “Improving sustainability in the coffee industry will help reduce the environmental impact of the industry and continue to influence consumer awareness and ultimately behavior change in a positive way.” Darch explains his experience with becoming sustainable, “It is rewarding to engage in sustainable practices. To be able to produce a product that is high quality, but also produced through ethically responsible steps will not only make you feel good - it will make your customers feel good about what they are drinking.”

Gabe Post, Director of Innovation and lead for the SUSTAIN project for Pacific Market International, LLC talks about the importance of recycling. Post says, “The Earth’s resources are finite. It is important for consumers to recognize their role in the product consumption cycle, and to recycle items appropriately at their end-oflife. It is the manufacturer’s responsibility to design products that are easily recyclable.” Post expresses the idea that it is a team effort to make a difference in the world when recycling. He says, “Together, we can build product cycles that conserve energy and reduce carbon footprint and environmental impact.” Excessive packaging has made its way to the coffee industry. When you go to a coffee shop you usually get a one-time disposable cup - which would be okay if the consumer properly recycled their cup when finished. But the reality of it is, along with that cup, you get a cup sleeve to protect your hand, a wooden stick to stir in your sugar, and the paper waste that stems from the sugar packets. Post says, “Despite the industry going through great lengths to source sustainable coffee, almost all of it is still being served in single-use disposable cups. In America last year alone, we landfilled 16 billion paper coffee cups.” All of these items can be replaced with a more efficient product that is environmentally friendly. Instead of sugar packets, you could use a sugar jar. Instead of the wooden sticks, you can use metal spoons that can be washed at the end of the day. Companies today offer decomposable cup sleeves and reusable cups. John A. Darch, President and CEO of Doi Chaang Coffee says, “Any effort we can make - whether it's a company, a family, or an individual - towards improving our environment and the world we live in, is crucial. We can't discard everything we use into one spot anymore; the world just can't handle those kinds of actions.” He says, “Whether it's recycling, composting or conserving water - every little bit helps. It's a way of showing respect to the world we live in.” While these may seem like relatively small changes, you have to start somewhere. However, it is important to look at the bigger picture here. How can companies and businesses within the coffee industry start to make a difference and increase their sustainability efforts? Post says, “Sustainability efforts succeed most commonly when they are baked into the NDA of the company. It should be a part of who you are, not just what you do. Sustainability should be a part of the business strategy along with other key growth initiatives.” When you can set goals and are able to track them, you know that you are doing something right. People feel a sense of pride and accomplishment when they see that the goals the company is setting are being accomplished with a little bit of their effort.

Pacific Market International, LLC is just one of the many companies striving to make a difference. They have developed a system whereby their reusable cups are recycled at the end of their life and then collected and reentered into their material supply. The idea is to someday have their cups be made out of old cups. Beyond their SUSTAIN effort, Pacific Market International, LLC (PMI) has made sustainability a part of their corporate strategy, including Environmental Stewardship as one of five business strategy pillars. Since 2005, year-on-year improvement has been achieved via concerted efforts to improve the sustainability of both manufacturing processes and products. In 2012, the PMI Joinease factory that currently manufactures SUSTAIN cups reduced their perunit greenhouse gas emissions by 25 percent while increasing production by 37 percent. Doi Chaang Coffee Company is also pushing efforts to be more sustainable. With the Keurig being a popular and convenient machine to brew coffee, it is inevitable that kcup consumption, which is in the billions, has a negative environmental impact. Doi Chaang Coffee has “just developed the first ever "Beyond Fair TradeTM" sustainable 90 percent biodegradable single serve aroma cup. The cups are Keurig compatible and will break down in any landfill or dumpster,” according to Darch. StalkMarket is a company that is talking compostable products to a new level. Their core line of products is made from a sugarcane fiber-based paperboard called bagasse. The material is made from upcycled sugarcane waste recovered from sugar refineries. The crushed stalks are taken to a processing plant where they are converted into paperboard in much the same way as wood pulp is used for cardboard. All of StalkMarket’s products are 100 percent compostable. Their products are available to consumers at major grocery chains, office supply stores, organic and natural food retailers and online. These products would be a great asset to a café that is looking to become more green. As a coffee loving individual, who is constantly grabbing and consuming coffee on the go, I will make sure that I will properly recycle my latte cup every time I consume my favorite cup of coffee. Or, better yet, I will purchase a reusable cup and eliminate the waste all together. What are you going to do? If there are more individuals on the consuming end and more businesses on the supplying end that can come together to increase recycling and sustainability efforts, the coffee industry would flourish in environmental means. Revisit your company’s business strategies, think about if you properly deposit your to-go cup in the recycling bin, and imagine an industry working together to make a difference on the environment. Make your next customer relationship with the environment.

November 2013

Appreciation Makes the World Go ‘Round by Jessica Tanski

ith last month’s view touching upon the topic of appreciation, we wanted to continue our discussion. Customers are what make this industry spin. Without the three-cupa-day coffee drinker, without the “mom and pop” shops, without the suppliers, and even without the local Starbucks, the coffee industry would not be what it is today.

When the staff can educate their customers in a way that is not snobbish, the customer feels special. Not to mention, they know where their coffee came from, they know what thought was put into the product, and they know the thought process behind the service. Make their experience memorable.

All of these coffee shops and suppliers need one special thing to thrive as a business- customer loyalty. However, you cannot create a great customer loyalty base if the customer does not feel appreciated. So, my friends, this article is all about creating customer loyalty though customer appreciation.

Take the time to learn their names, not just memorize their order. Ask them how their day is or how their child’s birthday party was. Know and understand that your customers are not just a written name upon a cup. They will continue to drink coffee, whether it is at your shop or the one across the street. You need to make them to want to come back. It is a good feeling, as a coffee drinker, when I can walk into a shop and they not only know my order, but they know my name.

After picking the brains of many coffee professions, three common themes surfaced to build customer loyalty- Respect, service, and be personal. There are also many rewards programs and companies working with organizations and shops to build customer loyalty. RESPECT Aretha Franklin says it best, “R-E-S-P-E-C-T, find out what it means to me!” And for everyone else as well for that matter! Kevin Sinnott, creator of Coffeecon, makes respect the core of the event’s values. He says, “We treat event goers with respect, even if it's just to accept them for drinking coffee the way they like it- cream and sugar or black.” Everyone walking the face of this planet is different. That means that everyone enjoys his or her coffee different than the next person in line. Shop owners and baristas need to understand that. If you want that customer to come back again you must respect the fact that they are different from you and and you must accomodate their needs and desires. The customer is always right, remember? Don’t demean them for their taste buds - accept it and welcome them back for another cup. Dave Stewart, owner of Vista Clara Coffee, talks about customer appreciation, “Customer appreciation is showing and letting the customer know that you care for them and appreciate what they do for you!” If you are a supplier, you must also remember that your customer needs you just as much as you need them. Chances are, you are not the only supplier able to provide the product they are looking for. You want to make sure that your customers are not only provided with the correct products and services, but check up on them post transaction. Make sure they were satisfied with your service. If not, ask them what was wrong and what you can do to make it better. Respect that they were not satisfied; do not argue with them about it. Make the improvements and make their next purchase superior than the last to create customer loyalty. Joe Behm, President of Behmor Incorporated says, “If your customers have loyalty, they become the best form of advertising that no money can buy.” FRIENDLY SERVICE “Consumers have choices, you have to set yourself apart, to give them a reason to go out of their way to see you. If you are a retail store, serving great coffee, that is not enough, they can find exceptional coffee, but what makes you different,” says Mark McKee, Owner of Passionate Harvest Coffee. With that being said, customers are not going to go to a coffee shop where the barista is not friendly and welcoming. They will pass your shop and go to the next one right down the street that welcomes their business. You need to stress the fact that your customers mean something to you, and not just a paycheck. Customers feel appreciated when they can walk into a coffee shop and be welcomed by the staff. If the staff is unhappy and/or rude, it rubs off onto those who walk through the door. Even a friendly smile and a simple “come back again,” can make the world of difference.

McKee says, “The advice I would give is simple, you are embarking an exciting journey, to become part of people's lives, it will be hard, difficult, you will need to invest your time and resources but without it, you will simply be one of the generic coffee companies, never a place that stands out.” “Loyalty to a brand can’t be bought. It’s earned. Once you have loyal customers, it’s absolutely necessary to express your thanks in ways others don’t by, for example, including a follow-up note when they take time to say thanks for the support,” says Behm. REWARD YOUR CUSTOMERS POS systems, like Coffee Shop Manager are a vital element to get information about your customers. Coffee Shop Manager can give key information on whom and who are not your best customers are your café. You can reward your best customers and give the ones trailing behind incentives to come in and indulge into a great cup of coffee. Also, Perka software can be used to create customer loyalty. It is simple to use and a great tool to utilize with your café. Rob Bethge, Chief Marketing Officer at Perka Inc. says, “Perka creates loyalty by making it easy and fun for merchants to get to know their regular customers better. Our smartphone lets the customer accumulate points for their visits and purchases that they can redeem from a menu of perks. And the coffee shop can send offer to the customers that encourage profitable behavior.” Perka benefits operators by giving them a enterprise class customer relationship management system disguised as a simple mobile punchcard. Bethge says, “Cafes should have a marketing plan. And a meaningful part of a marketing plan has got to focus on customer experience, loyalty, and engagement. Mobile technology and smartphones in particular have become nearly ubiquitous, so now is really the time to consider taking advantage of these emerging mobile marketing tools.” All of the individuals quoted above and the companies that they are representing, we feel as if they are shining examples of companies who exude exceptional customer appreciation and customer service. In return, these companies have a great customer loyalty base with awesome customers who keep coming back for more. If you would like more information, please visit their company websites. Customers, whether you are a coffee shop, a supplier, or an organization, are the basic foundation to the fundamental functions of your company. Creating a good customer loyal base will keep your company growing and establish security within the economy. It is important to stress that customer appreciation is critical at all levels of the industry- suppliers, organizations, and coffee shops. Without adequate customer appreciation at all levels the supply chain will become disrupted. Remember that your customers and organization members are vital to the survival to your company - treat them the way that they deserve to be treated.

Selling to Coffee People or Selling Coffee to People?

“In business, your customers are everything – without them you have no business, so everything you do in the business has to not only be functional, but also build loyalty,” says Adam Pesce, Director of Coffee and Tea at Reunion Island Coffee. “Some loyalty comes more naturally, but providing a great product, and proving your convictions through real action and not just talk, are crucial.”

by Mike McKim, Cuvee Coffee

MAKE THEIR TRIP PERSONAL Kris Heinemann from Loring says, “In this partnership with our customers, we believe they are entitled to our full attention in addressing their questions, concerns, and any service needs. We build for them and we will continue to listen and respond in every way we can for as long as they are roasting on a Loring.”

I often find myself over complicating things. I mean let's face it, the coffee industry has a lot of layers and so many people are involved in the journey from seed to cup. I used to think that if I could just teach my customers everything that I have learned over the years, that it would keep them coming back. Then I realized that the average coffee consumer doesn't want or need all that detail. What they are looking for is an experience.

Educate your customers. Educate them on the coffee they are drinking, educate them on the history of the building, educate them about where the coffee came from. A customer feels special when you take the time to tell them about what they are drinking.

It is really that simple. I think in general people just want to feel special and I am not sure if telling them you do not offer sugar or an alternative to milk makes them feel special. Now I am not knocking that business model and I understand the philosophy behind it. And if you are selling to coffee people, it makes sense.

I recently went out to dinner with someone who has celiac disease. That means they must consume an entirely gluten-free diet. The owner of the restaurant took the time and sat down with us to educate us about how he makes all of his dishes gluten-free, from the ingredients down to the preparation in the kitchen. After dinner, we both had said that we would go back in a heartbeat and not just because the food was excellent, but also because we felt like we mattered to the owner. We weren’t just another check at table five to him.

What is it that keeps a customer coming back? The most common answers are: quality of the product, the design of the cafe, and/or our location. Then, the other things start to come out, like how we steam our milk, or pull our shots, or the microlot on the menu.

No matter how big we think our industry is, I am constantly reminded that it really is pretty small. And there are way more people who are not coffee professionals out there. So what about them? Sometimes I am left wondering if spending less time selling to coffee people and more time selling coffee to people is all it takes to build a loyal following.

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A Growing Sales Trend? …Estate Auctions

by Linda Smithers

he first Internet coffee auction was held in 1999. It was called the Gourmet Project and offered specialty coffees from Brazil. Ten year later, Price Peterson, Hacienda la Esmeralda in Boquete, Panama engaged Mr. Malcolm Stone, Stoneworks Coffee Auction Platform to conduct the Esmeralda Estate Special auction. A total of 46 lots were sold for a value of $441,010.00 at an average price of $31.21 per lb. It wasn’t until 2011, that Finca El Injerto and Santa Felisa Estate, decided to join Hacienda la Esmeralda and sell their coffee via auction. They also decided to work with Stoneworks and, like Price Peterson, found an exciting new venue for selling coffee. Estate

2009

2010

2011

2012

2013

Esmeralda Estate Price per lb. High/Low Average price

46 lots $11750/20 $31.21

78 lots $3650/20 $27.66

80 lots $5150/1350 $27.03

67 lots $6650/29 $40.11

100 lots $7650/15 $24.73

Finca El Injerto Price per lb. High/Low Average price

39 lots $211/950 $13.59

63 lots $50050/6 $11.75

38 lots $21050/1150 $22.74

Santa Felisa Estate Price per lb. High/Low Average price

22 lots $5-370 $4.91

21 lots $2620-6 $11.16

18 lots 2830/1045 $13.98

Most notable are the average sale prices of auction coffees compared the spot “C” average price. At first glance, the reader might be thinking, “this is a no brainer, every estate should have an auction”. The reality of the situation is there is more to the estate auction business than selecting some coffees and hiring a platform and saying “start the bidding.” The following Q&A with Mr. Stone helps us understand what is required to build and execute a successful Estate auction. What makes an Estate a candidate for an Estate Auction? • Coffee must score +85 percent using SCAA cupping guidelines • Well known branded farms have a higher chance for success • Farm with an unique factor —Certified …Organic, Rainforest, Fair Trade, etc. • Traceability from tree to export • Micro lots • Packaging —Vacuum sealed in a box less than 70# per box —Good art, logo and labeling • Back office to support billing and logistic • Ability to ship samples in a timely manner • Proficient in English and management skills • A committed and engaged staff What are the keys to success? • Great coffees • Excellent packaging, promotional materials and website • Don’t offer too much coffee …less is more and quality is king • Good coffee descriptions…accurate, documentable coffee information • Keep lots small…same lot of coffee can be divided into small lots What are the primary producer benefits? • Ability to sell small lots of coffee at a premium price • The price of the coffee is determined by the buyer not a commodity market • Enhanced recognition of the brand and reputation of the farm What do you charge to conduct an Estate auction? The cost to hire Stoneworks Auction Platform to manage and conduct an auction is a flat allinclusive price for up to 100 lots. What do the producers get for their investment? • Instruction and coaching with auction organization and promotion materials • Pre-auction promotion on Stoneworks website • Pre and post information management and tracking • Buyer registration • Sample order taking at time of bid registration…$250.00 per set • Active database of global buyers • Data input of auction coffee and promotional information • Run the auction • Post auction report • Recommendation for starting price and incremental pricing What are the producer responsibilities • Selection of coffees and lots • Shipment of samples to bidders • Development of coffee descriptions and cup profiles • Development of marketing materials to accompany samples • Promotion of their auction through their network • Billing and arranging for shipment of purchased coffees How long does the auction last? Most auctions last 5-6 hours

What are the buyer's responsibilities? • Register to bid and purchase samples • Cup samples • Develop a bidding strategy • Bid and purchase • Pay and arrange for shipping Understanding the mechanics of the auction is interesting and helpful if you are a potential seller or buyer. But there is more…what motivated these Trend Setting Producers to attempt marketing via auction. I was able to interview Arturo Aguirre S., Finca El Injerto, and Antonio Meneses, Santa Felisa Organic Estate. Thank you to both for their time and openness in answering my many questions. Why did you decide to auction some of your coffee? Arturo and Antonio knew there were roasters interested in unique coffees but had no way to reach them. The auction system provided a non-traditional way to build their customer base. Additionally, Arturo wanted to sell some new varietals and small lots that they had found on the farm. He had no idea how to price them. The auction is a great tool for determining price. What percentage of your production do you present for auction? Arturo …3 percent and Antonio…5 percent How do you decide which coffees will be auctioned? Both producers begin with cuppings on the farm to select the coffees they will send to either an independent professional cupper and/or to ANACAFE for evaluation. This year Antonio invited Joe Hsu, from Taiwan, to participate in the final cupping panel. Arturo “selects only lot that cup 89+”. Income aside...what are the additional benefits you receive from the auction? Arturo…”First of all, it’s a great satisfaction for our family and our people that this was a successful project, since past generations we have worked hard to differentiate ourselves. This has motivated our team to continue to work hard because they know we are making a difference.” Farm recognition and access to new markets has been fantastic. Antonia said that in three short years they have doubled the number of visitor they see on the farm. What are your primary challenges of an Estate auction? • The need for traceability requires documenting every aspect of the coffee from the seedling to the exporter. • Working directly with the buyers, beginning with sampling and ultimately shipping the coffee, is a logistic challenge. • Must offer something unique and interesting and meet the wants and needs of the roasters. Making these selections can be risky business. Do you feel that auctions are a viable marketing tool for Estate coffee? Both producers answered “Yes!” But, caution fellow producers to only participate if you have proven exceptional quality. It is helpful to be active in the industry. It is important to be willing to spend money and time to utilize the auction for marketing. Also, to understand that payment for the coffee doesn’t come until long after the coffee has been harvested. Do you watch the auction? Arturo…Of course, all the family meet and we have breakfast watching it! Antonio…For sure, we get nervous and don’t sleep the night before. There is a new organization in Estate auctions… Alliance for Coffee Excellence, ACE, the organization behind Cup of Excellence has entered the Estate auction arena. On April 25, 2013, ACE conducted their first Estate auction in conjunction with Fincas Mierisch. Fifteen coffees were featured, separated into thirty-nine small lots, in a selection named Los Favorites. The lots sold from $4.90 – 100.90 per pound. Are Estate auctions a trend or here to stay? If you ask Price, Arturo, and Antonio then the answer is yes! They will continue to seek those unique wonderful gems from their farm and take the risk of selling them at auction. In November, 2013, Daterra Coffee of Cerrado, Brazil will be added to the list of Estate Auction participants.

Reference websites… If you want to learn more about Estate coffee auction contact Hacienda la Esmeralda www.haciendalaesmeralda Finca el Injerto www.fincaelinjerto.com Santa Felisa Estate www.santafelisacoffee.com Stoneworks Coffee Platform www.auction.stoneworks.com ACE www.allianceforcoffeeexcellence.org

November 2013

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staff is your goal so hire for attitude and you will have a winning recipe for customer service. Now that your staff and manager are trained, let’s engage the customer with your new brand. Similar to your staff, getting to know your customers on a personal level is important in building customer and brand loyalty. You are in the customer service business; therefore always make your customers feel welcomed and valued.

rom Tip 1 – We created your Brand Experience From Tip 2 – We learned about your Customers From Tip 3 – We explored your Identity From Tip 4 – We created your Space From Tip 5 – We created your Physical Space From Tip 6 – We created your Business Plan From Tip 7 – We analyzed your Location and Customers From Tip 8 - We prevented Nasty Permitting Surprises

Having a strong training program is worth money in the bank. Having fun and engaging staff will keep customers coming back. The cost of turnover can be high, therefore creating a sound program that includes a firm understanding of your brand, the menu, the customer demographic, and on the job training will go a long way in retaining great staff and customers!

Now that we have created your brand, your physical and virtual experience, and your permit process is well underway, let’s design the staff and customer experience! Having a formalized and ongoing training and engagement program is important in retaining great employees. This includes a written manual for all operational processes, menu communication, human resource policies, and any items that your staff or management needs to refer to easily. The majority of your staff will be the millennial generation (those born between 1983-2000). This group appreciates being engaged more than previous generations. Getting to know their hobbies, family, friends, and interests will gain their respect and loyalty. Having a happy and engaged

Melanie Corey-Ferrini is the founder of Dynamikspace (www. dynamikspace.com). She has created the “10 Tips to Jumpstart your Café” workbooks and speaks at industry conferences on how to create a successful café. Be sure to visit our expanded version of this article on our website: http://magazine.coffeetalk.com/november13-branding-tip/

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November 2013

New National “Lead Free” Requirements Effective in January by Eric Dell, Senior Vice President, Government Affairs NAMA

any plumbing product manufacturers in the coffee, tea, and water industry have participated in the federal regulatory process surrounding the new “lead free” definition included in the Reduction of Lead in Drinking Water Act of 2011 (“the act”), effective January 4, 2014. However, this new definition may be unknown to others in the industry, specifically distributors and office coffee service (OCS) operators and suppliers. The Safe Drinking Water Act of 1974 fundamentally regulated drinking water at the federal level. Since that time, the presence of lead levels in drinking water has received much attention at the federal, state, and local levels. In 2006, California passed lead free standards that were stricter than the federal requirements in place at that time. Vermont and Maryland both followed California and have standards similar to California’s and the new federal standards. The limits in California and Vermont became effective in 2010 while the Maryland limits were applicable in 2012.1 The Reduction of Lead in Drinking Water Act of 2011 passed the U.S. Senate and House with bipartisan support and was signed by the President on January 2011. It amends the Safe Drinking Water Act definition of “lead free” as it relates to certain plumbing parts and components that provide potable water, more specifically water for human consumption. Effective January 4, 2014, the act prohibits the use and introduction into commerce of any pipe, pipe or plumbing fixture, solder, or flux, in the installation or repair of any plumbing in a residential or nonresidential facility providing water for human consumption that does not meet the act’s definition of lead free. The act redefines the definition of “lead free” as it relates to the introduction into commerce of lead when used with respect to the wetted surfaces of pipes, pipe fittings, and fixtures by reducing the acceptable lead content from the current 8 percent to a weighted average of not more than 0.25 percent. Further, when used with respect to solder and flux, the lead content cannot be more than 0.2 percent. The act also established a statutory formula for calculating the weighted average lead content of a pipe, or pipe or plumbing fitting, or fixture. Exemptions, which provide no limits on lead content, are included for these items only when used exclusively for non-potable water services. The coffee industry should be mindful that parts inventory, covered by the act, that does not meet the new 0.25 percent lead free definition cannot be sold or installed after January 3, 2014. However, it is important to note that the new lead free requirements do not necessarily

necessitate replacement of non-compliant, existing, installed equipment. For example, on January 4, 2014, if a pipefitting is being repaired on a non-compliant coffee brewer, which was installed before January 4th, a non-compliant pipefitting from another brewer in a warehouse could not be used for the repair. But if a compliant replacement part is used, the brewer may be returned to service at the same location. The Environment Protection Agency (EPA) has issued Draft Answers to Frequently Asked Questions implying that when a repair is made the same brewer may be returned to the same location. If not returned to the same location, it may be considered a new installation, which would require that all parts of the brewer, covered by the act, meet the new lead free definition. It is vital to remember that these are draft answers and may or may not be updated or revised before EPA issues their final answers in the near future. Therefore, reliance on them could not be a defense to a legal claim.2 There is no requirement for labeling of products that meet the new lead free standard. However, you may begin to see labeling from some manufacturers as a means of educating consumers. The act stipulates that enforcement begins on January 4, 2014 and is delegated to the individual states to perform through state or local plumbing codes, or other such means of enforcement as the state may determine to be appropriate. Therefore, the EPA will be focused on compliance assistance and not enforcement and the states will manage enforcement. This enforcement mechanism highlights the need for the industry to be aware and remain educated on their state and local restrictions and codes that may be more restrictive than the federal regulations. Questions and concerns regarding compliance with the requirements of the act can be answered through the EPA’s Office of Water at the federal government level and inquiries concerning enforcement should be addressed with your state or local plumbing code regulators. ________________________ Westerling, Kevin. “Are You Ready For 'Lead Free' 2014?” Are You Ready For Lead Free 2014. Water Online, 15 Feb. 2013. Web. 11 Oct. 2013. 2 http://water.epa.gov/drink/info/lead/upload/epa815p13xxx.pdf

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So You’ve Opened a Coffee Shop. Now What? by Greg Ubert – Crimson Cup Coffee

lot of coffee house owners begin with the impression that the hardest work is behind them once they open their doors. Like Ray Kinsella, Kevin Costner’s character in the movie “Field of Dreams,” they believe customers, like Ray’s ballplayers, will appear as if by magic now that they’ve built their coffee shop. The truth is, your most intense activity will come in the months after you open. Coffee businesses are built incrementally. You need to attract customers and keep them coming back, all while becoming an expert at other aspects of running your business. Here are some solid strategies to put you on the path to success. Ease into Operating Hours. It is best not to set formal operating hours when you open your doors. During the first several weeks, you will not know the exact traffic patterns of your location. Therefore, plan to open the doors around 7 a.m. and stay open until you consistently see a long break in customers, which may be in the late afternoon or early evening. If you want to expand your business hours, do so in stages. If for example, there is a line of customers waiting when you open, try opening an hour earlier. Remember that once you post your operating hours, you have made a commitment to your customers and must not fail to open on time or close early. Practice to Perfection. Specialty coffee customers will walk past ten competing coffee shops to get the best espresso. How do you become the best? Source the highest quality beans, syrups, dairy, and other ingredients that you can find. And then practice, practice, practice. You will usually have some periods of slow customer traffic during your first months of operation. Use this time to perfect your drink preparation skills. Remember, customers hate to wait, so you must craft a perfectly prepared drink in a matter of minutes. Get the Word Out. You’ve already invested in your success with a great location and prominent signage, but this is just the ante in the game. You need to tell everyone in your community – family, friends, area residents, and businesses, about your coffee shop. Leverage the power of social media to connect with friends and fans through Facebook, Twitter, YouTube, Google+, and the like. Try out some of the grassroots marketing techniques I discussed in my April 2013 column. One of the simplest yet most effective is to hand out promotional cards offering any espresso drink for $1 (about the cost of the drink). Every time one of these cards is redeemed, you have

a chance to acquire a customer at no cost to you. Savvy marketers consider this a win-win proposition. Track Customers and Sales. The more you know about your customers, the better you can satisfy their needs and keep them coming back. So track their habits and collect feedback. When do they come in? How much time elapses between customers during busy periods? What are the most popular drinks? How many $1 espresso cards have been redeemed? How much is your average sale? What is your ratio of espresso drink to drip coffee sales? What are customers saying about your drinks? (If they’re not raving about the quality, find out why!). Collecting this type of information allows you to tailor your hours of operation, menu, and staffing patterns to enhance profitability. Set Up Systems. Operational systems establish order and help staff members understand and master their responsibilities. You should put systems and checklists in place for everything from drink recipes to opening and closing the shop to ordering and storing supplies and maintaining equipment. You will want to keep individual recipes and checklists where they are easily accessible and assemble everything in an operational manual. Refine and update systems as you identify better ways to do things. Get Backup. It’s lonely at the top with everyone depending on you. It’s a good idea to create a support system of people who can help you through the rough spots. You can set up a formal advisory board or make time to connect informally with mentors, business peers, and bankers. Your business, and your spouse, will thank you. If you follow these strategies, your coffee shop should begin to fill up with a regular cast of returning customers. Greg Ubert, founder and president of Crimson Cup Coffee & Tea, has been roasting coffee in small batches since 1991 and has taught hundreds of business owners how to run successful independent coffee houses. The author of Seven Steps to Success in the Specialty Coffee Industry can be reached at greg@ crimsoncup.com.

Direct Trade: a Honduran Success Story by Dave Eldridge – Crimson Cup Coffee

side from sourcing awesome coffee, one of the thrills of direct trade is connecting with the farmers who grow the crop. At Crimson Cup, we’ve been fortunate to build a relationship with David Lopez, one of the driving forces behind the transformation underway in the remote Honduran village of El Socorro de la Penita. Working with David and other local farmers since 2011, we’re seeing significant impact in the community school and improvement in the quality of coffee. Growing up in the village, David attended its one-room Jose Cecilio del Valle elementary school through the sixth grade. Formal education ends there for 95 percent of the community’s children. David however, was determined to keep learning. He left to attend junior high and then high school in larger communities. After graduating high school, David took a job at one of the area’s larger coffee mills. There, he received a grounding in the coffee trade. Among other lessons, he learned the importance of quality in determining coffee price. He witnessed the power of coops in negotiating prices. And he experienced the enhanced quality of life that came about as a result. A deep commitment to his heritage drew David home in 1999. Upon his return, his father gave him 18 acres of land that were being used for cattle pasture. He began the process of creating a coffee farm, planting shade trees, and high-quality coffee trees. He did not see a yield until 2003, when he harvested six bags of coffee. Ten years later, he owns 40 acres, with 15 dedicated to coffee. Through David’s focus on proper cultivation, yields have grown steadily so that, this year he harvested 11 tons of coffee. He projects a 13-ton crop in 2014. As in many small communities, the 21 coffee farmers in El Socorro had been at the mercy of coffee coyotes when selling their crop. They earned barely enough to cover the costs of cultivation. David decided to change that. He helped organize his neighbors into Coop Cultivadores del Reino, allowing them to negotiate higher prices by selling as a group. He also built a wet mill to process their coffee locally, improving its quality and consistency.

David’s hard work came to our attention in 2011. Since then, we’ve developed a direct trade relationship with David and other coop members designed around four pillars of impact – price, quality, production, and education. Cash is the fuel of community growth, and the amount of cash circulating in the community depends directly on the price of the coffee crop. Crimson Cup has committed to purchase a large amount of El Socorro coffee at a premium over market price. We’re in the business of supplying the best coffee available and the farmers understand that price depends on quality. The security of knowing that they will be paid for high-quality coffee gives them an incentive for using better processing methods and investing in sustainable cultivation techniques. Having a committed buyer also strengthens the coop and motivates the farmers to maintain consistent production. They are willing to reinvest profits in equipment, nurseries, and rust-fighting protocols to keep production where it needs to be. Moreover, they are looking at putting more land into coffee production instead of moving to other crops. The demand for quality has inspired a renewed focus on education. With David setting the example, community members’ eyes have been opened to what education can achieve. To support educational improvements, Crimson Cup has donated new textbooks, computer desks, and other improvements to the school. We’re getting ready to launch a crowd-funding initiative through Indiegogo to raise funds for an Englishspeaking teacher for the school. In 2013, we sponsored a service learning trip to the village by five students from The Ohio State University College of Food, Agricultural, and Environmental Sciences. Working with David, other community leaders and Stephan Erkelens of Axiom Coffee Ventures, we helped the students craft a thriving coffee enterprise. We will be working with Ohio State students, David and other local leaders to implement the plan. Of course, the students learned as much from the farmers as the farmers did from them. That is the beauty of direct trade – it is a continuing cycle of mutually beneficial relationships. November 2013

How to Reconcile 3rd Wave Coffee and Pumpkin Spice Lattes

Photo by Trish Rothgeb

by Rocky Rhodes

Snob, as defined in Free Dictionary: (sn b)

1. One who tends to patronize, rebuff, or ignore people regarded as social inferiors and imitate, admire, or seek association with people regarded as social superiors. 2. One who affects an offensive air of self-satisfied superiority in matters of taste or intellect. A 3rd wave coffee shop has made a commitment to celebrating the unique flavors in coffee and brings their passion for the product to their customers. So a snobby barista in a 3rd Wave coffee shop that hand-crafts a single serve Chemex for you, and then looks down at you for not being as cool or passionate as them, can drive a person insane. Snoppy business owners will encourage the creativity of its employees and emboldens their egos by giving them a bit of training and convincing them that they are “socially superior” and should be “admired.” The customers, unfamiliar with this new breed of rude baristas, enables the behavior by paying $5 for a brewed cup and assumes that someone so full of themselves MUST know what they are doing. This ends up doing a disservice for the entire industry. An industry built on the idea that people should come together in a coffeehouse to openly share ideas and be social with their neighbors is being undone by snobs in fedoras serving up attitude and treating the patron as inferior. Who would want to hang out there? One can be reminded at times of the Seinfeld episode featuring the “Soup Nazi.” It’s like a Coffee Snob yelling from behind the counter, “NO COFFEE FOR YOU!” Don’t you dare speak to the barista or question what they do! Thank goodness not all, or even most of the good coffee shops do this. But there are enough to tarnish the industry. One of the best experiences you can have is to be treated to a hand crafted coffee and then be engaged by the barista as to why this coffee is special and who grew it and what to look for in a taste profile. There has been a discussion now among coffee folk about whether or not flavorings should be allowed in 3rd wave shops. Some will say they completely ruin the coffee. If the idea is to celebrate coffee why would you want a Coconut ½ caf ½ decaf cappuccino with nutmeg on top? Why indeed? Others argue that if you do not offer this, you are a coffee snob. The irony here is that the same cappuccino drinker could well be a coffee snob as they look down on those that would not serve them what they want when they want it.

A guy walks into a coffee bar and orders a “Double pumpkin-spice Latte.” He is greeted in the following way: 1) The barista says, “Oh I’m sorry. I love Pumpkin Spice lattes around the holidays as well. Our shop, however, has taken a position that the coffee is so delicate in its flavors that if we add flavoring we will stop celebrating the hard work that got it here. Can I get you a regular latte instead?” 2) The customer says, “Oh bummer. I was really looking forward to that. I understand your position so I guess I will have to go somewhere else to get one.” 3) The owner realizing he is losing a customer says, “Hang on a minute! I will make you a deal! Let us make you a latte. Our espresso blend is awesome and we directly sourced the beans from Ethiopia, Honduras, and Brazil. We think it has a great flavor in a latte, and I would love for you to experience that. So please have a latte and take a few sips and see if we did our job okay. If you don’t like it, it is on the house! After that, if you wish, I have a bottle of Pumpkin Spice and would be happy to mix it in. We both win; I want you to experience our creation and you want a pumpkin spice latte.” Welcome to a snob free zone! It would be even a better solution if the owner had stayed with his commitment to quality and developed his own sugary spicy concoction made from organic pumpkins and fair trade spices. He would be setting himself apart from everyone else and enhanced the experience of flavoring in a coffee. So the debate asks the wrong question. Instead of, “Should a 3rd wave coffee shop serve pumpkin spice lattes?” it should be, “How could a 3rd wave coffee shop stretch its passion for celebrating coffee find a complimentary way to add pumpkin spice without compromising its values for quality?” Snobs stand on elitist principles. Good coffee people and smart business owners will find a way to satisfy the needs of their customers without abandoning principles. Use the creativity of your staff to develop products and services the patrons have been asking for. The baristas hear it every day from their customers and they should be involved in the process of finding solutions. By the way, if you are reading this and thinking, “This Rocky guy is full of crap!”… You are probably a snob! Rocky can be reached at rocky@INTLcoffeeConsulting.com as well as RockR@CoffeeLatinAmerica.com

So let’s break this down and use a great holiday favorite in our example: A guy walks into a coffee bar and orders a “Double Pumpkin-Spice Latte.” Let’s find the snobs. 1) The barista says, “We don’t serve that here cause it ruins the coffee!” SNOB or NOT SNOB? 2) The customer says, “It’s the holidays and I always get these. Why are you guys so stuck up that you won’t serve it to me?” SNOB or NOT SNOB? 3) The owner overhears the customer’––s question and answers, “Look, the farmer put a lot of sweat and effort to get us this coffee and we would never alter the flavor of his work with a sugar syrup. Would you put sugar in wine to make it sweeter?” SNOB or NOT SNOB? Answers: SNOB, SNOB, SNOB!

Everyone above has a valid point. Everyone wants what they want for valid reasons. The problem with snobbery is that they only see what they want and don’t stop to consider the other person. Here is another way the above could have transpired:

November 2013

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Retailer / Roaster Profile: A Toadally Awesome Day for Coffee by Maxim Vershinin Toadally Joe Cafe 1120 Royvonne Ave SE Salem, OR 97302 (503) 584-1725 Molly Wilks www.facebook.com/ToadallyJoeCafe toadallyjoecafe@gmail.com

ey everybody! Today we are feeling kind of groovy, so we landed in Salem, OR to chat with Molly Wilkes, the owner of Toadally Joe Coffee. It is a colorful spot that has won the heart of their community not only because of their great coffee, but also their delicious treats. Here she is, to tell us a little bit of her story:

V. Can you tell us how this whole adventure started?

W. I used to serve tables at Olive Garden before this. I have been in fine dining for most of my adult life, but this is my first time as a business owner. My grandmother is a baker and baking is something that has been a part of my family history; so, everything started years ago when I offered her to open up our own place. I always thought that it would be great to not just have baked goodies, but to also have a coffee shop to go with it. And I always wanted a drive through and a cute clean little building. It just happened that I came upon a location and my dream just sort of took off from there. V. What is your style as far as the product and the image you present to your community?

W. I carefully choose the coffee that I carry. I interviewed local roasters and ended up deciding on what I thought was the best choice, which is Pacifica Coffee. It is all organic, so all coffee and espresso that we serve here is organic and fair trade. I really wanted it to be my thing because it matches what my grandma’s cookies are about– all organic. For everything that I try to do, for the most part, I try to stick with a local company. I also have a wall space available for local artists who are welcome to hang their art at no charge. I like to support other people’s entrepreneurship as much as I can with the space that I have. We also hold fundraisers here to help local communities as much as we can. I like to help out in any way that I can. V. How has your experience with coffee been so far?

W. I have been self-trained, but I feel like I have become a pretty good barista. I can’t decorate a latte yet or do something super fancy, but taste is everything and our coffee is amazing. I feel like I am doing a pretty good job and I also have a super fun menu that I have created myself. We do something that we

call our Toadally Favorites, and there are 33 items on our menu at the time. All of our drinks can be served in any way you like – hot, cold, blended, etc., and we do not charge a different price for it. V. What kind of customers does Toadally cater to?

W. We have a variety of people. Our mascot is a horned toad in a tie-dyed shirt with some glasses. I thought that my mascot and the tie-dye sign would attract mostly younger crowd, but we do have older groups of people that like to come in and have tea. We do everything – iced tea, hot tea, green tea, macha tea. We have the best chai in town and we have a lot of people coming here for my chai. I think our customers really like the coffee and espresso that we carry and the fun menu. They can also create anything they want here with all the high quality ingredients that we have. V. How is the business been going so far?

W. Economy could be better, but it seems like it is picking up. When I started here, I was making a quarter of what I am making now. This was a simple coffee house before, they weren’t doing well and they went under. Once we took over we made many changes. I included the term café in our name because we serve food now, which is another thing that brings more people in the door. We serve breakfast in the morning and lunch with amazing salads and fresh organic sandwiches. Not long ago I started making a salmon burger, which is picking up in popularity. As far as promoting, I am kind of oldfashioned and Facebook is something that I am still trying to figure out. We also do something for the kids. If you are under 12 years old, you can pick anything you want off the drink menu for $1.50 with the purchase of the adult beverage, of course with the child being present. V. What advice could you give to future business owners?

W. Be patient when you start a business because it takes time to be discovered. Never give up and put a lot of thought into the products that you carry. Price isn’t everything. It makes a big difference to your guests if you carry the highest quality of ingredients that sets you apart from your competition. I have made sure to be very accommodating to my guests. When people come through the door and ask for something that I don’t have, I try to incorporate it; so that way the next time they come back it will be here.

22 November 2013

azul

Gentle Conveying

Can you believe that 20 years ago it was inconceivable, that a single origin farm in Brazil, could ever produce high quality?

20th anniversary www.daterracoffee.com.br

(641) 673-8451 www.cablevey.com Cablevey is a registered trademark of Intraco, Inc. 11/2013

NAMA 2013 Show Exhibitors 365 Retail Markets 319 888-365-7382 365retailmarkets.com

Follett Corporation 416 800-523-9361 follettice.com

S&D Coffee Inc 211 800-933-2210 sndcoffee.com

5-hour ENERGY 311 248-960-1700 5hourenergy.com

See our ad on page 30

Seaga featuring Saeco 200 815-297-9500 seagamfg.com

Allstate Insurance Company 227 888-322-3074 allstate.com Apline Coolers 421 888-588-9355 alpinecoolers.com Automated Merchandising Systems Inc. 318 304-725-6921 amsvendors.com Avalon-Whole Bean Single Cup Brewers 127 800-561-6162 avalonbrewer.com Avanti Markets Inc. 206 888-937-2826 avantimarkets.com Baronet Coffee Inc. 220 800-BARONET baronetcoffee.com Bay Valley Foods 426 708-483-1301 bayvalleyfoods.com Best Beverage Equipment Service 522 866-966-5799 BestBeverage.net Betson Enterprises 107 800-675-2506 betson.com

Global Water 521 786-235-2518 Bluline.com

Service Ideas, Inc. 620 800-328-4493 serviceideas.com Since 1946, Service Ideas has been a leader in the foodservice industry offering an extensive line of products for insulated beverage service.

Green Mountain Coffee Roasters, Inc. 408 800-545-2326 greenmountaincoffee.com

See our ad on page 30

Jofemar USA 305 305-468-0302 jofemarusa.com

Shasta/Faygo/LaCroix Vending Sales 223 304-725-2198 shastabeverages.com

John Guest USA, Inc. 427 800-945-4872 johnguest.com

Starbucks Coffee Co* 316 206-447-1575 starbucks.com

Johnson & Johnson/Compass Marketing 722 410-268-0030 x 255 compassmarketinginc.com

Sugar Foods 317 888-634-7515 sugarfoods.com

Klearbar 221 855-GO-KLEAR None Proklearbar.comvided

TEAJA Office 326 778-840-4832 teajaoffice.com

Kraft Foods Group, Inc 300 800-537-9338 tassimopro.com

See our ad on page 27

Lacas Coffee Co 622 856-910-8662 lacascoffee.com

The Automatic Coffee Company 888-369-5369

308 Under Construction

Lightspeed Automation LLC 219 888-400-5744 lightspeedautomation.com

The J.M. Smucker Company/The Folger Coffee Company 304 330-682-3000 folgersofficecoffee.com

Marketing Global Brands 111 None facebook.com/MGBCORP

The Metropolitan Tea Company 625 800-388-0351 metrotea.com

Mars Drinks, North America 322 877-273-5812 myflavia.com

The Profit Experts 119 214-383-0500 profit-experts.com

See our ad on page 27

Massimo Zanetti Beverage USA, Inc 624 757-215-7300 mzb-usa.com

Three Square Market 628 612-267-8277 32Market.com

Brand Awareness Group 123 847-659-9557 brandawarenessgroup.com

MEI 425 610-745-1758 meivending.com

Twinings of London 420 973-405-6980 twiningsusa.com

Brew Tek 301 800-443-4318 hhdonline.com

Multi-Max, Llc 406 800-462-2236 multi-max.com

Two Rivers Single Serve Coffee, LLC 524 973-685-6564 tworiverspack.com

Buendia Coffee LLC 802 212-271-8807 buencafe.com

NAMA Government Affairs 818 571-346-1900 vending.org

Unified Strategies Group, Inc. 529 724-838-8977 usgvend.com

Bunn 528 800-637-8606 bunn.com

National Coffee Service & Vending 222 561-632-9755 ncsv.net

Unilever Food Solutions 307 571-330-1840 unileverfoodsolutions.us

Burke Brands, LLC 424 561-350-6275 cafedonpablo.com

NestlĂŠ Professional 312 813-301-4645 nestleprofessional.com/officecoffee

United Food Group 302 847-622-1803 unitedfoodgroup.net

Coffee Parts Plus 204 866-736-5282 coffeepartsplus.com

New England Coffee Co 621 800-225-3537 newenglandcoffee.com

UpShot 213 800-545-6200 upshotsolution.com

CoffeeTalk Media 103 206-686-7378 coffeetalk.com CoffeeTalk Media has been considered a bible of the industry since 1994. We proudly deliver our readers with the latest industry news, trends, and products through our different products: Coffeetalk Magazine, Daily Dose e-newsletter, and SCAA 2012 Award winner CoffeeTalk Press.

Newco Enterprises, Inc. 325 800-325-7867 newcocoffee.com

See our ad on page 6

BIANCHI VENDING GROUP S.P.A. 623 390354502111 bianchivending.com Bigelow Tea Company 208 203-929-2254 bigelowtea.com Bloomfield Industries 105 314-678-6336 wellsbloomfield.com

Community Coffee Company 627 225-368-3919 communitycoffee.com Crane Merchandising Systems / Crane Streamware 218 803-266-5000 cranems.com De Jong Duke 205 734-403-1711 dejongduke.com Diamond Crystal Brands / Splenda 125 912-651-5012 dcbrands.com Domino Foods, Inc. 225 480-759-1491 dominofoods.com

Franke, Inc 726 615-287-8200 franke.com

OCS Access 973-361-0014 x 111

207 ocsaccess.com

Omnipure Filter Co. 404 208-454-2597 omnipure.com Paramount Coffee Company 216 800-968-1222 paramountcoffee.com Peet's Coffee & Tea 203 510-594-2100 peets.com Pod Pack International, LTD. 101 225-752-1160 podpack.com Pod Pack is the leading manufacturer and distributor of single cup brewing solutions for hotels, offices, and restaurants, with current focus on pods.

US Roasterie 313 515-243-8805 usroasterie.com Validata 520 334-834-2324 validata.com VE Global Solutions, LLC 210 800-321-2511 veglobal.net Vending Market Watch 527 800-547-7377 vendingmarketwatch.com Vending Times, Inc. 121 516-442-1850 vendingtimes.com VendSys OCS CLOUD System 229 512-263-9603 VendSys.com

See our ad on page 27

Vertex Water Products 306 800-627-2146 vertexwater.com

Eldorado Coffee Roasters 202 800-635-2566 Eldoradocoffee.com

Prism Visual Software 525 516-944-5920 prismvs.com

Vistar 113 303-662-7100 vistar.com

Ellis Coffee Company 209 215-537-9500 elliscoffee.com

Pure Health Solutions Inc 323 877-594-7873 purehealthsolutions.com

Water Coffee and More 324 678-696-1894 watercoffeeandmore.com

Equipment Innovators 429 800-733-3434 equipmentinnovators.com

PureVia/Whole Earth Sweetener 310 312-840-5355 purevia.com

Waterlogic Commercial Products LLC 422 402-905-2001 waterlogic.us

Estate Coffee Imports, LLC 728 404-921-8687 estatecoffeeimports.com

Resource Connection 418 805-927-4934 resourceconnection.info

Winix America 117 847-551-9900 winixinc.com

Excelso Coffee, LLC 201 770-449-8140 excelso.com

Reunion Island Coffee 217 800-565-5950 ricoffee.com

Wolfgang Puck 212 310-432-1500 wolfgangpuck.com

Revolution Tea 320 888-321-4738 revolutiontea.com

November 2013

NewsBites FULLY RECYCLABLE TO-GO CUP BY BERRY PLASTICS GROUP, INC. Berry Plastics Group, Inc. (NYSE: BERY) proudly introduces VersaliteTM, a revolutionary fully-recyclable thermal management packaging solution. The Company is launching the #5 plastic polypropylene-based Versalite technology in the form of hot and cold to-go cups. As a to-go cup, Versalite delivers excellent performance, a positive consumer experience, and environmental advantages over many competing to-go cups. “The launch of the Versalite cup undoubtedly marks an extremely important day in the history of Berry Plastics; but, more importantly it is a significant milestone for both the plastics industry and the to-go beverage packaging market,” said Jon Rich, Chairman and CEO of Berry Plastics. “The Versalite cup creates the solution consumers have been seeking – a to-go cup that is recyclable and durable, all the while helping to keep their beverage hot or cold for extended periods,” says Rich. Berry Plastics is dedicated to creating real solutions for its customers and the industries it serves. For more information please visit: www.berryplastics.com. COPPER MOON® A NEW BRAND OF HEALTHY Partnering with Ganeden Biotech®, a recognized world leader in the manufacture and marketing of probiotics, Copper Moon® is announcing the launch of its new line of instant coffees that feature GanedenBC30®, a probiotic science breakthrough given its cellular ability to withstand extreme heat characteristics associated with the likes of coffee. “Ganeden BC30 is an exceptional probiotic that has demonstrated an ability to support digestive and immune health,” says Copper Moon® CEO Brad Gutwein. “We’re very excited to add this healthy boost to our great tasting coffee, which is now available to consumers at Walmart and other retail outlets.” Copper Moon® Probiotic Enriched Instant Coffee, which requires no refrigeration, will be available in Colombian and French Vanilla flavors, offered in single-serve sticks for easy, on-the-go convenience. One eightounce cup delivers a full-day supply of Ganeden BC30.For more information please visit CopperMoonCoffee.com.

LMI PACKAGING SOLUTIONSGREEN PROFESSIONAL LMI Packaging Solutions has been recognized as a Green Professional from the Wisconsin Sustainable Business Council. As a Green Professional, LMI Packaging has performed actions in nine sustainability areas and earned more than 200 points. “LMI Packaging’s commitment to the environment has grown over the years with strong buy-in from employees at all levels,” said Randy Troutman, Vice President of Technology and Business Development. “The Green Masters Program has helped us identify and quantify efforts we have made toward sustainability, which supports our Triple Bottom Line (3BL) business approach – People, Planet, and Profitability.” In 2010, LMI Packaging was the first U.S. based heat seal die-cut lidding company to make a commitment to purchase renewable electricity to offset 100 percent of the electricity used for its business operations. The company actively recycles scrap from its manufacturing operations and utilized water based inks. For more information please visit www.lmipackaging.com. KIND INTRODUCES TWO NEW FLAVORS KIND Healthy Snacks (KIND) is kicking it up a notch (make that two notches, to be exact) with the unveiling of its two newest flavors: Dark Chocolate Chili Almond and Maple Glazed Pecan & Sea Salt. These newest additions broaden the KIND Nuts & Spices™ line of bars to now include six varieties containing only 5g of sugar (or less) – and nothing artificial. “The original KIND Nuts & Spices flavors became fast favorites. In fact, two of the flavors quickly earned themselves a spot on our best sellers list and we’ve since had an overwhelming number of requests for more variety” explained Marc de Grandpre, Senior VP of Marketing at KIND. “So, we’re excited to give our KINDAHOLICS what they want by expanding the KIND Nuts & Spices line while staying true to our commitment to using the finest all natural ingredients you can see and pronounce®.” For more information please visit www.kindsnacks.com. CONCLUSION OF COFFEE FEST SEATTLE Coffee Fest has completed production of the 69th Coffee Fest trade show, the 21st annual fall return to Seattle. Although Coffee Fest is well established with more than

21 years under its belt, it remains a top priority and primary objective to keep the programming extremely fresh and innovative. Coffee Fest Seattle marked the return of two professional competitions that debuted a year ago in Seattle; America’s Best Espresso Competition and the DaVinci Gourmet America’s Best Coffeehouse Competition. Coffee Fest Seattle featured the Freshman Class: First Time Attendee Orientation Program, which had more than 150 preregistered. The New Product Showcase received a face-lift and the educational program included 11 brand new classes. Attendees from across the globe came to the Washington State Convention Center to partake in educational offerings, networking events, and the Coffee Fest Latte Art World Championship Open competition and sampled from over 150 exhibition booths. Attendance was just over 2,700. For more information on the events and the winners please visit www.coffeefest.com. Peppermint Stick Flavoring Returns Weldon Flavorings’ Peppermint Stick is now available for your coffee and tea this holiday season. With Thanksgiving and Christmas just around the corner, this creamy mint flavoring is ideal for adding that special Holiday feeling to any occasion. Weldon Coffee Flavorings are sugar free and contain no artificial sweeteners that allow each customer to add their condiments of choice! They are the perfect solution to serving delicious flavored coffee, cappuccino, and lattes without all of the calories, carbohydrates, fats, and sodium. They are also Gluten-free, contain no sodium benzoate, and are non-allergenic. Each bottle comes with a pre-measured pump that allows for quick and accurate flavoring of each cup. It is ideal for office coffee service, coffee shops, drive-thrus, convenience stores, or any place coffee or tea is served. For more information please contact Weldon Flavorings at 502-797-2937 or visit them online at info@WeldonFlavorings.com BOYD’S COFFEE ANNOUNCES PARTNERSHIP WITH BRAZEN Boyd's Coffee announces an exclusive wholesale distribution partnership with Brazen by Behmor, an innovative new home coffee brewer that uses technology previously only available in commercial brewers. For the first time, coffee lovers can brew their morning coffee to bring out the best flavors by using adjustable November 2013

settings for pre-soak, brew time, and temperature. An exciting patentpending feature allows temperature calibrations with altitude correction for greater accuracy enabling coffee drinkers in higher elevations to program their exact altitude during initial set up. The suggested retail price is $199. The Brazen won the "People's Choice Award" for Best New Product at the 2012 Specialty Coffee Association of America (SCAA) trade show. The brewer was also called "maybe the best dripped coffee from a machine" from the national design and technology blog, Gizmodo. For more information about the product and how you can get your own visit www.boyds.com. VISTA CLARA INTRODUCES HARVEST BLEND Their Harvest Blend is presented in a copper bag. The blend will be made of our reserved Costa Rican Taparto and Sumatra. It is rich and chocolaty with a slight earthy finish. This harvest blend will be reminiscent of the great harvest season. Roasted as a medium dark, this coffee will satisfy! Enjoy! Order now by calling 206-954-1452 or by stopping in the store at 1822 Bickford Ave. Snohomish, WA. VITAMIX® BEST IN CLASS AWARDS Vitamix®, the world leader in highperformance blending equipment for home and commercial use, is proud to accept the honor of Best in Class beverage blender company for the fifth consecutive year from Foodservice Equipment & Supplies (FE&S) magazine. The company swept the beverage blender category, being named Best in Class overall, as well as Best in Class by dealers, operators, and consultants. Since 2007, Vitamix® has won eighteen FE&S Best-inClass Awards. The awards recognize industry manufacturers with products or services that provide superior value to their customers. “Earning the FE&S Best in Class awards for five consecutive years is a testament to the unparalleled performance and value customers receive when they purchase a Vitamix®,” said Lisa Klein, vice president, Global Commercial Sales. “Vitamix® provides a better, more consistent blend, quicker serving times, fewer repairs and replacements and unmatched service and support— all of which contribute to a lower total cost of ownership.” For more information, please visit www.vitamix.com.

4 1 New 0 York 2 r nte e C av its March 7-9, 2014 Jacob J

e de ud Inccllu ts In ights hlligh iggh H Hi 200 200 EXHIBITION EXHIBITION BOOTHS BOOTHS 75 75 CLASSES CLASSES & & WORKSHOPS WORKSHOPS

1ST 1ST TIME TIME ATTENDEE ATTENDEE PROGRAM PROGRAM SOURCE SOURCE NEW NEW PRODUCTS PRODUCTS Register To Attend, Compete, Or Exhibit

www.coffeefest.com

Or Call 800-232-0083

Advertisers Index

Company................................................................................................ Phone.........................................................Web...................................................................... Page......................... NAMA Booth# Add a Scoop by Smoothie Essentials Supplement-Boosts..............................(415) 382-6535........................................................... smoothieessentials.com.......................................................29 Adulina Coffee Exporter, PLC............................................................................................251114425938............................................................... adulinacoffee.com....................................................................31 Agtron..............................................................................................................................................(775) 850-4600........................................................ agtron.net.....................................................................................30 Behmor Inc....................................................................................................................................(775) 833-3363.......................................................... behmor.com.................................................................................3 Berry Plastics...............................................................................................................................(877) 662-3779.......................................................... berryplastics.com.....................................................................5 Blendtec..........................................................................................................................................(800) 253-6383......................................................... commercial.blendtec.com...................................................30 Bloomfield Industries..............................................................................................................(314) 678-6336........................................................... wellsbloomfield.com...............................................................27...................................................................... 105 Boston's Best Coffee Roasters..........................................................................................(508) 238-8393......................................................... bostonsbestcoffee.com........................................................28 BriteVision.....................................................................................................................................(415) 374-8119.............................................................. britevision.com...........................................................................13 Cablevey Conveyors................................................................................................................(641) 673-8451............................................................ cablevey.com?pmcv=CT-DD-2013..................................23 Coffee Fest....................................................................................................................................(800) 232-0083........................................................ coffeefest.com...........................................................................27 Coffee Shop Manager.............................................................................................................(800) 750-3947......................................................... coffeeshopmanager.com.....................................................21 CoffeeNetwork.com................................................................................................................(305) 925-4822......................................................... coffeenetwork.com.................................................................29 Costellini's......................................................................................................................................(877) 889-1866........................................................... costellinis.com............................................................................29 Curtis................................................................................................................................................(800) 421-6150........................................................... wilburcurtis.com........................................................................19 Daterra Coffee.............................................................................................................................(330) 941-2555........................................................... daterracoffee.com.br..............................................................23 Diedrich Manufacturing, Inc................................................................................................(208) 263-1276........................................................... diedrichroasters.com..............................................................29 Eagle Web Press........................................................................................................................(800) 800-7980........................................................ eaglewebpress.com................................................................21 Espresso Me Services..............................................................................................................(360) 213-0715............................................................ espressomeservice.com.......................................................30 Flexicon Corporation...............................................................................................................(610) 814-2400........................................................... flexicon.com................................................................................16 Follett Corporation...................................................................................................................(610) 252-7301............................................................ follettice.com...............................................................................30..................................................................... 416 Fres-co System USA, Inc.......................................................................................................(215) 721-4600........................................................... fresco.com....................................................................................21 Global Customized Water....................................................................................................(805) 484-1589.......................................................... globalcustomizedwater.com..............................................30 Grounds for Health...................................................................................................................(802) 241-4146............................................................ groundsforhealth.org.............................................................29, 30 InterContinental Coffee.........................................................................................................(619) 338-8335........................................................... ictcoffee.com..............................................................................29 International Coffee Consulting........................................................................................(818) 347-1378............................................................. intlcoffeeconsulting.com......................................................20 Java Couture................................................................................................................................(206) 795-5414.......................................................... javacouture.com........................................................................30 Java Jacket...................................................................................................................................(800) 208-4128.......................................................... javajacket.com............................................................................25, 30 JavaSuits........................................................................................................................................(714) 240-1314............................................................. javasuits.com...............................................................................30 Knutsen Coffees, Ltd...............................................................................................................(800) 231-7764.......................................................... knutsencoffees.com................................................................30 LMI Packaging Solutions.......................................................................................................(262) 947-3300......................................................... lmipackaging.com....................................................................23 Lotus Bakeries.............................................................................................................................(415) 956-8956........................................................... biscoff.com...................................................................................28 Mother Parkers Tea & Coffee..............................................................................................(800) 387-9398......................................................... realcup.com.................................................................................19 One Eighteen Advertising....................................................................................................(310) 442-0118............................................................ gavina.com...................................................................................21 Orleans Coffee Exchange.....................................................................................................(800) 344-7922......................................................... orleanscoffee.com...................................................................27 Pacific Bag, Inc............................................................................................................................(800) 562-2247......................................................... pacificbag.com..........................................................................25 Pack Plus Converting..............................................................................................................(909) 902-9929........................................................ packplus.com..............................................................................29 Plitek.................................................................................................................................................(847) 827-6680......................................................... plitek.com......................................................................................11 Pod Pack International, LTD................................................................................................(225) 752-1160............................................................. podpack.com..............................................................................27........................................................................101 Scolari Engineering S.p.A./Texpak Inc...........................................................................(856) 988-5533.......................................................... scolarieng.com...........................................................................32 Service Ideas, Inc.......................................................................................................................(800) 328-4493........................................................ serviceideas.com......................................................................30....................................................................620 Shore Measuring Systems....................................................................................................(217) 892-2544........................................................... moisturetesters.com...............................................................29 Stalkmarket Products (Asean Corporation)..............................................................(503) 295-4977.......................................................... stalkmarketproducts.com....................................................30 State Farm.....................................................................................................................................(800) 782-8322......................................................... statefarm.com............................................................................15 TEAJA Office...............................................................................................................................(778) 840-4832......................................................... teajaoffice.com..........................................................................27..................................................................... 326 The Coffee Trust........................................................................................................................(505) 670-9783......................................................... thecoffeetrust.org....................................................................29 The Dynamik Group.................................................................................................................(206) 686-2525......................................................... dynamikspace.com.................................................................29 The Truvia Company LLC.....................................................................................................(855) 855-2362.......................................................... truvia.com/foodservice.........................................................7 Tightpac America inc..............................................................................................................(888) 428-4448......................................................... tightvac.com................................................................................30 Track the Impact........................................................................................................................(619) 889-1997............................................................ tracktheimpact.com................................................................30 UpShot............................................................................................................................................(800) 545-6200........................................................ upshotsolution.com................................................................6.........................................................................213 uVu Lid Company.....................................................................................................................(561) 674-9415............................................................ uvulid.com....................................................................................2 Vessel Drinkware........................................................................................................................(855) 883-7735.......................................................... vesseldrinkware.com..............................................................13 Vita-Mix Corporation...............................................................................................................(800) 437-4654........................................................ vitamix.com..................................................................................9 Weldon Flavorings....................................................................................................................(502) 797-2937.......................................................... weldonflavorings.com...........................................................28 White Coffee Corp...................................................................................................................(800) 221-0140.......................................................... whitecoffee.com.......................................................................30

28 November 2013

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Risk Management Forecasts and Analysis

www.intlfcstone.com www.coffeenetwork.com Commodity trading involves risks and you should fully understand those risks before trading.

AllStar Tools Water treatment

Air Pots

Design / Furnishings

Sleeves

Cups & Lids

Global Customized Water 805.484.1589

JavaSuits 714.240.1314

http://javasuits.com

Java Jacket 800.208.4128

www.javajacket.com

StalkMarket Products 503.295.4977

www.globalcustomizedwater.com

Service Ideas Incorporated 800.328.4493

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98% of your product is water so make sure this essential ingredient is the best it can be. With over 30 years experience Global Customized Water can handle all your customized water needs.

Introducing the SignaAir Airpots: available with Glass or Stainless Vacuum Insulation, NSF Certification and feature snap-on flavor indicator tabs. Available in 1.9, 2.2, 2.5, 3 and 3.7 Liter capacities.

Introducing JavaSuits a patented protective neoprene sleeve for Coffee Air-Pots. Shields new AirPots or conceals old dents, dings & scratches. All for less then half the cost of replacing. www.JavaSuits.com

Java Jacket provides the best insulation of all sleeves on the market. Protects customers from hot or cold to-go beverages, and provides a more grippable surface than other coffee sleeves.

StalkMarket Products, a leading provider of compostable products, offers the world’s first certified compostable Ingeo™ hot cup and lid system from Planet+ that meets the rigorous composting requirements of Biodegradable Products Institute (BPI).

Blender

ESPRESSO MACHINES

Ice MACHINES

Vacuum Container

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Blendtec 1-800-BLENDTEC

Espresso Me Service 877.215.0715 360.213.0715

Follett Corporation 800.523.9361

Tightvac 888.42.TIGHT

Knutsen Coffees, Ltd. 800.231.7764

Espresso Me Service is your one stop for sales and service. We offer service on many types of commercial espresso machines and brewing equipment in Washington and Oregon.

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blendtec.com/commercial

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www.tightvac.com

www.stalkmarketproducts.com

www.knutsencoffees.com

www.espressomeservice.com

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Roasted Coffee

Sustainability Tracking Tools

Non-Profit

Coffee Jewelry

Coffee Analysis

White Coffee Corp. 800.221.0140 718 204 7900

CoffeeCares 619.546.5400

Grounds for Health 802.241.4146

Java Couture 206.795.5414

Coffee Analyzers 775.850.4600 THE TOP ROASTERS WORLDWIDE CHOOSE AGTRON Trust the consistency and quality of your roasted coffee. Made in the USA, simply the most accurate and repeatable Roast Analyzers available. And remember, only an Agtron reads like an Agtron. Support and roasting instruction provided by Carl Staub.

www.tracktheimpact.com

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www.javacouture.com JAVA COUTURE JEWELRY

CoffeeCares…the simple cloud-based tool for charitable giving and reporting.

Grounds for Health works with coffee-growing communities to establish sustainable cervical cancer prevention programs. Together with our coffee cooperative partners, we break down the barriers that stand between women and preventive care.

Real Green Coffee Beans in beautiful, hand-made jewelry makes the perfect corporate gift or give-away. Wide selection of earrings, necklaces, and more. And every sale a percentage of the item is donated to projects at origin!

www.whitecoffee.com

White Coffee creates customized blends and packaging for industry leaders. Wide variety of varietals and flavors available. Exclusive licensee of Kahlua, Entenmann’s & MoonPie flavored coffees, Emeril’s and White Coffee’s Organic Single Serve Coffees. Fair Trade, Organic, Kosher, NSF certified.

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November 2013