When you think of popular coffee shops, most likely Starbucks or Costa Coffee comes to mind. Indeed, these two coffee brands are very popular worldwide. So does this mean there is limited potential for small coffee shops to develop? What do these shops need to do to effectively differentiate their brands from the big players?

Two coffee shops in two different parts of the world are utilizing a unique brand strategy to capture a niche target market: Raw Canvas in Canada and Language Lounge in Germany.

Raw Canvas, inspired by Hong Kong’s “art jams”, built their brand in a creative way- they not only provide the usual product selection such as organic coffee, tea, wine, beer, and snacks, but they also have turned their space into an art studio. In the coffee shop, customers can experience the joy of painting while they drink their coffee. They must buy the canvas, but all other supplies are provided free of charge. In addition, the customers/ painters receive encouragement and tips from staff members and resident artists. Similarly, Language Lounge from Hamburg combines English study with a coffee shop. They have attempted to provide a friendly environment in which customers can learn English and enjoy their coffee by selling monthly memberships.

As you can see, these creative coffee spaces provide consumers with much more than a refreshing beverage- they provide a unique and fulfilling experience. Their brand image is strikingly different than that of the average coffee shop as they inspire their customers to express themselves in a comfortable environment. Although the coffee industry is competitive and in some areas is dominated by the major players, these innovative business models, combined with effective branding strategies, are sure to be a success with today’s consumers.