Find Your Niche &

Stand Out

With This Competitive Landscape Analysis

The Power of

Analyzing the Competition

Today is a great time to start a coffee company, or to redefine how your company can better reach your customers.

And in an industry where so many companies are creating & selling similar products, your brand is the best way for you to stand out.

Your brand is more than your colors, your logo, and your website.

Your brand is everything you do. Everything about your company.

Your.

Brand.

Is.

Everything.

How do you create
a brand that stands out?

If you want to stand out, reach more customers, and make more sales...

You have to know
who you're standing out from.

That's why every time I work with a coffee company at Black Sheep Coffee Collab, we start with a Competitive Landscape Analysis.

Competitive Landscape
Analysis Benefits:

  • Give your concept the best chance of success

  • Reach & communicate with your ideal customers

  • Stand out in a crowded marketplace

  • Refine your brand & niche

  • Keep & grow your market share

  • Don't have to compete on price with bigger companies when you know your unique niche

  • Better ROI on your time, money, & effort by identifying higher potential areas for your brand

How to Analyze
the Competitive Landscape

I recently helped Thursday, a new Brooklyn coffee shop, analyze their competition as part of the first step of building their brand.

Check out the video below for what we did:

Step 1:
Industry Research

Look at the coffee industry overall, as well as trends in your segment or your area.

Projected coffee market revenue chart from 2012-2025 showing growth of roast and instant coffee, with forecast reaching $83.6 billion by 2025.
Industry research chart showing percentage penetration of specialty coffee beverages by age and region as of January 2024. Highlights include greater consumption among 25-39 age group, with espresso and cold brew beverages prominently featured. Data from National Coffee Data Trends Report.
Devoción Coffee competitive analysis infographic showing value proposition, key differentiators, strengths, weaknesses, opportunities, and threats. Highlights include fresh Colombian coffee sourcing, quick farm-to-cup timeline, and unique cafe design. Pricing noted as $4 for 12oz drip and $5.50 for 12oz latte. Website link included.
Bar chart titled 'Daily Coffee Consumption, By Generation' showing coffee consumption by Gen Z, Millennials, Gen X, Baby Boomers, and Silent Generation, with categories for no coffee, 1-2 cups, 3-4 cups, 5-6 cups, 7 or more, and don't know. Source: Statista Consumer Market Insights, 2024."
Infographic showing at-home coffee brewing methods and their popularity in percentages: drip coffee maker (65%), single cup brewer (55%), instant coffee (45%), French press/plunger (18%), bean-to-cup brewer (17%), espresso machine (14%), slow drip cold brew coffee maker (13%), and pour over (7%). Source: 2024 National Coffee Data Trends Specialty Coffee Report.
Infographic titled 'Industry Research' detailing trends in specialty coffee consumption. Highlights include the popularity of espresso-based beverages, growth in cold specialty coffee, preference for out-of-home purchases, high consumption by the 25-39 age group, interest in global coffee beverages, use of additives like milk alternatives, and a demand for premium experiences. Source: 2024 National Coffee Data Trends Specialty Coffee Report.

Use industry reports to get an idea of where the biggest opportunities lie.

This will help you focus your efforts on what’s most likely to succeed.

But after you look at the industry-wide data, you want to dig into the specific companies you'll be competing against and learn everything you can about them.

Step 2:
Pick Your Closest Competition

Look at 10 companies that are either in your geographical area, your niche, or both.

Find companies that have a high SEO presence. E.g., search for "Brooklyn Specialty Coffee" or "Scandinavian Bakery"

  • Find companies on Instagram, pay attention to how many followers they have.

  • If you're going after a younger audience, TikTok is a great place to research

  • Visit competitor’s websites, see what they’re highlighting

  • Check out their menus

Infographic analyzing the competitive landscape of Joe Coffee Company. It outlines value proposition, strengths, weaknesses, key differentiators, opportunities, and threats. Highlights include strong NYC brand presence, partnership with Union Square Hospitality, and opportunities for expansion beyond coffee. Weaknesses include limited food options and regional recognition; threats involve competition in South Brooklyn and higher costs. Average pricing is noted for coffee drinks.
Competitive landscape analysis for Hungry Ghost Coffee, detailing value proposition, key differentiators, strengths, weaknesses, opportunities, and threats. Highlights include emphasis on Turkish hospitality and location advantages in Brooklyn with 12 outlets, potential weaknesses like dependency on single supplier, opportunities in expanding Scandinavian traditions, and threats from customer loyalty and competition.
Competitive landscape table for Ninth Street Espresso, detailing pricing, value proposition, differentiators, strengths, weaknesses, opportunities, and threats. Includes website and Instagram information.

Step 3:
Analyze what the
competition is doing

Check out their website & social media profiles. Determine the following:

  • Value Proposition - What are they doing for the coffee drinker that’s special or unique?

  • Pricing - Look at standard items to benchmark your prices

  • Locations - Especially for retail coffee bars

  • Menu offerings - Other than the standard offerings, what are they bringing to the table?

Step 4:
SWOT Analysis

Use the information you gathered in step to perform a SWOT analysis
on each competing company.

Start by breaking down their strengths & weaknesses:

  • Strengths: What are they doing well?

  • Weaknesses: What could they be doing better?

Next, determine what those strengths & weaknesses mean for your company. You'll be able to outperform them in some areas, while they'll have a clear advantage in others.

  • Opportunities: What could you do that they're not doing?

  • Threats: Where would you have a hard time competing against them?

Step 5:
Key Takeaways

After analyzing 10 of your competitors, trends will start to emerge.

List these out. Areas to look for include

  • Drink preparation

  • Ingredient sourcing

  • “Coffee Plus” concepts

  • Coffee bar design

  • Major areas of whitespace (what nobody else is doing)

  • Where you should follow what others are doing

  • Where you should break away from what others are doing

Step 6:
Your Brand Focus

Look back over your key takeaways, and focus in on the top 3.

Infographic summarizing key focus areas for a Swedish cafe. It includes three sections: Swedish Culinary Excellence, Hygge-Inspired Ambiance, and Innovative Drinks.

These 3 Things Will Form THe Focus of Your Brand

They’re the foundation of everything.

  • The way customers will remember you.

  • The way you’ll design your website.

  • The way you’ll construct your menu.

  • The logo you choose.

  • The ingredients you source.

It’s the foundation for everything. These 3 things can evolve and grow as your brand does, but all the best brands have a core, recognizable brand identity that customers can instantly bring to mind.

So Find Your 3 Things to Focus On. And Build Your Brand.

Silhouette of two overlapping sheep

What’s Next?

As you work on researching the competition & building your coffee brand, there are a few ways I can help:

1. Work With Me 1 on 1

Over the past two decades, I’ve built multiple successful coffee brands in competitive markets. Now, I focus on helping innovative specialty coffee companies create memorable, profitable brands.

Email darleen@blacksheepcollab.coffee, and let’s talk about your brand!

2. Stay Informed

In my email newsletter, I share weekly tips, guides like this one, and stories from the brands I’m helping to build. Sign up here.

Person smiling in front of a stone wall, wearing a striped shirt and sunglasses.