CoffeePeople is a distributor of various supplies needed to run cafes.
Founded in 2020, CoffeePeople supplies and distributes all products necessary to run cafes, such as syrups, sauces, powders, cups, lids and holders. When running a cafe, the CoffeePeople founder discovered an opportunity in cafe supplies distribution and started the business in Busan in 2020.
Competition against other established online companies made it difficult for CoffeePeople to gain product exposure. Adding to their concerns, their weekend sales also dropped.
CoffeePeople had originally focused on directB2B sales with offline coffee shops, but starting last year (2023), it began its efforts to go online as well. Being a late starter in online commerce, the company had concerns about competing with sellers who had already secured many customer reviews or ranked high in the e-commerce channels.“We were present indifferent online channels, but most of the times, products with more reviews got top exposure regardless of price. Our products didn’t have a long history and couldn’t compete that way. The higher the awareness was for competing products, the worse off we were.”
While selling products to cafe owners, the founder came across another concern - a drastic decrease in weekend sales. Most cafe owners shared a similar pattern - securing sufficient inventory on weekdays for the coming weekend as they knew that carriers do not operate on weekends.
“We had consistently seen our weekend sales plummet by more than 50% compared to weekdays. We kept thinking about what we can do to solve this problem and took a number of actions, such as offering weekend discounts, but none of them was a surefire solution.”
CoffeePeople chose Rocket Growth, expecting Rocket Growth to help secure weekend sales.
When CoffeePeople learned about Rocket Growth, they realized that it could be the answer to their problem, as Rocket Growth offers same-day/next-day delivery even on weekends and public holidays."Rocket Growth was exactly the business model we were looking for. So we decided to jump aboard right away."
Rocket Growth has turned lackluster weekends into an opportunity for sales and customer acquisition.
After CoffeePeople joined Rocket Growth, weekends were no longer a time for flatlining sales. Their weekends were now an opportunity to broaden the customer base.
“The most satisfying thing is that the weekend sales grew 6times. When cafe owners needed their supplies right away on the weekends but couldn’t find anyone, they found us and chose us over other suppliers thanks to the Rocket Growth delivery. We realized that differentiating ourselves with delivery really makes a difference in sales."
In fact, sales were up across the board, not just on weekends.
"After joining Rocket Growth, we saw a steady average sales growth of 400% in the first 3 months, and our overall online sales doubled."
Boosted by competitive pricing and Rocket Growth's fast delivery, CoffeePeople's products quickly became visible to more customers on Coupang. Product exposure went up 7 times after joining Rocket Growth compared with products offering regular delivery.
“On Coupang, things are more focused on the product than on the seller. We’re happy with that, as our products are very price-competitive but our history as an online seller is not that long." Such sales spikes have led their supplier vendors to seek out CoffeePeople with a proposal. “We got a proposal from a paper cup vendor asking us to carry their products via Rocket Growth after the vendor heard how much we sold plastic ice cups.”CoffeePeople was using another commerce platform mainly, but now, Rocket Growth has been their main channel.
Building on their initial success, CoffeePeople is planning to offer more products via Rocket Growth.
With Coupang Rocket Growth, CoffeePeople plans to further grow their sales online. "Our goal is to list as many of our products on Rocket Growth as possible. The performance of the initially listed products confirmed the potentials of not only Coupang Rocket Growth but also online sales in general." CoffeePeople’s story has shown to B2B distributors working with store owners that RocketGrowth is the perfect partner that helps to drive weekend sales and online sales opportunities.
“Any seller wishing to augment their online presence should definitely try out Rocket Growth. We recommend Rocket Growth because it allows sellers to leverage Rocket Delivery services while giving them the flexibility to run their business as they see fit.”