Europe's leading drip coffee brand with a growing presence in the hospitality and retail sector. Easy to run and scale with recurring business. Profitable!
A leading European coffee brand specializes in innovative coffee drip bags, offering a convenient alternative to traditional brewing methods. These drip bags serve as a teabag-like solution for fresh coffee, gaining popularity across numerous hotels in Europe which account for 95% of the brand's revenue. These hotels, ranging from boutique to large properties, offer this product in their rooms as a preferable option over instant coffee or other capsule systems. Significant partnerships have been established with major hotel chains, with regular shipments directly fulfilling their needs. The brand also engages with outdoor retailers and select high-end stores.
Despite limited attention, the e-commerce platform holds significant growth potential by supplying to various European and non-European countries. Financially, the brand experienced a 55% revenue increase from 2022 to 2023, recovering from prior declines. Growth slowed to an average of 21% from 2023 to 2024. Production is outsourced to a third party, maintaining asset light operations while posing risks from supply cost variations. Owned by a major specialty coffee subscription company, the brand operates as a subsidiary with shared costs but maintains separate financial management.
The potential buyer could benefit from integrating existing coffee roasting capabilities to reduce production costs or enhance revenue through private label offerings. The founder seeks to sell the brand, having met personal objectives, intending to pursue other interests. Once a niche product, the brand has undergone redesigns to become mass-friendly, lining the shelves of renowned stores and increasing its hotel clientele base, ensuring stable revenue.
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