In an era defined by convenience, coffee shops still need to prioritise hospitality

Convenience has been one of the biggest drivers of growth and innovation in the coffee industry for centuries, dating back to the late 1800s when consumers expected their coffee to be roasted for them. But it’s never been more important than now.

Recent data shows a staggering 97% of customers have abandoned a purchase because they considered it inconvenient. In response, the food and beverage industry – including larger coffee chains – has integrated new infrastructure, technology, and systems to prioritise convenience. Touch screen kiosks and express pick-up stations are a common sight in second wave coffee shops, while mobile ordering has become vastly popular.

Convenience in specialty coffee, however, has moved in a different direction. Alongside more high-quality RTD products and a bigger emphasis on ecommerce, many third wave coffee shops have embraced automation to improve workflow.

But at the same time, the third place concept still rings true, and if café operators want to leave a lasting impression on their customers, they need to strike a balance between efficiency and hospitality.

Roland Horne, founder and CEO of WatchHouse, and Miranda Caldwell, founder of The Coffee MBA, provide their insight.

You may also like our article on why balancing efficiency and customer service is essential when using AI in coffee shops.

Convenience comes in many forms – especially automation

Although convenience has been important to coffee drinkers for centuries (albeit in different forms), consumer demand has arguably never been as high as it is now. One of the most notable examples is ready-to-drink (or RTD) coffee. 

In 2022, the global RTD coffee market was valued at US $26 billion, and is projected to almost double by 2030. To capitalise on this and diversify revenue streams, more and more roasters have launched their own bottled or canned coffee drinks. Some have even found success selling these products in grocery retailers – although quality control while scaling production can be challenging.

Automation has also become prominent across the board in specialty coffee. Roasters are increasingly relying on software to develop roast profiles, while coffee shops invest in automatic tampers, milk foaming solutions, and pour over systems.

This is a far cry from an industry that was historically opposed to automated equipment. But given that inflation rates skyrocketed to over 10% in 2023, many businesses have had no choice but to integrate more convenient systems into their operations.

Miranda Caldwell is the founder of The Coffee MBA, a coffee business consultant with over 20 years of experience. She points out that for many consumers, using automated services like touch screens has its benefits.

“It’s incredibly difficult to operate in hospitality these days. While I love interacting with warm hospitality workers, I actually like to have the choice not to,” she says. “As a neurodivergent introvert, I will often choose an order screen over a cashier (when it’s counter service) because of the pressure of having to make choices. But do I want that at a nice restaurant or coffee shop? Absolutely not. It’s all about having intention with the experience.”

But is automation at odds with the values of specialty coffee?

Specialty coffee has always set itself apart from larger chains by focusing heavily on artisanry and craft. In general, baristas dedicate more time to each customer rather than focusing on speed and convenience. A big part of this has been an emphasis on manual brewing to extract the best characteristics of a particular coffee.

This hands-on approach, however, has drastically changed. More and more World Barista Champions have endorsed super-automatic espresso machines, while companies have launched new automated tools that enhance workflow to levels never seen before.

Roland Horne is the founder and CEO of WatchHouse – a specialty coffee roaster that operates cafés in London and New York City. He emphasises that coffee shops need to be strategic when leveraging automation.  

“Automation has certainly influenced the coffee industry, particularly within larger chains where the focus is on efficiency, numbers, and speed. While these systems can streamline operations, they often result in a more transactional and less personal customer experience,” he says. “The primary way we employ automation in our cafés is an automated milk frother which we use to improve efficiency and workflow without compromising on quality.”

Some may argue that this is at odds with the hand-crafted element of specialty coffee, while others will say it’s a natural progression. Roland points out that the level of automation utilised, however, depends on the experience customers want.

“With our Rarities programme, we hand brew all coffees so baristas can showcase their expertise and have complete control over quality,” he says. “Customers who choose these coffees aren’t just looking for a drink – they want an experience, or even a performance from the barista.”

Hospitality is essential to specialty coffee

Specialty coffee shops and roasters have a financial incentive to invest in automation, but there still needs to be a balance between convenience and hospitality.

Baristas naturally play a key role in this, acting as the face of specialty coffee and bridging the gap between consumers, roasters, and producers. In fact, there’s a belief that automation can help highlight the human aspect of specialty coffee, giving baristas more time to create a welcoming and engaging space for customers.

Roland highlights that table service can be one of the most effective ways to do this.

“Our decision to offer table service is closely tied to our Modern Coffee ethos,” he says. “It provides a more refined and hospitality-driven experience so baristas can engage more deeply with customers, who appreciate having the opportunity to relax and interact with staff in a more intimate setting.”

However, for some businesses, this service may not be realistic. A small coffee shop in a capital city with a high customer turnover is unlikely to reap the benefits of providing table service, whereas this system is likely to work well in a neighbourhood café.

“Every coffee shop has its own character and customer base, so while I believe that offering table service can elevate the experience, it may not be suitable for every setting,” Roland tells me. “For us, it’s an obvious extension of our Modern Coffee philosophy which transforms what could be a quick coffee stop into a leisurely and rewarding experience.”

So how can coffee shops find the right balance?

As with any aspect of running a business, cafés need to implement systems which work best for them and their customers – including automated and human-driven elements.

“Technology will continue to play a role in the future of coffee,” Roland tells me. “We need to use it to support, not replace, the warmth and hospitality that baristas offer.”

Miranda adds that most specialty coffee shops will find the most success integrating automation behind the bar.

“Your team can then focus on the person in front of them and not on their espresso extraction,” she says. “The aim is ‘heads-up’ hospitality. If you’re looking to improve speed of service then an order-ahead app and as-automated-as-possible coffee preparation are going to be advantageous. But if you’re going for a high-end educational experience, I might skip automation all together. Develop a strategy for what you want the experience to be like and plan from there.”

Hospitality is and always will be a cornerstone of specialty coffee. But in a time when convenience has never been such a priority, cafés need to find ways to merge both.

Depending on size, location, and capacity, this will look different for every coffee business. Nonetheless, coffee shops need to make sure they create welcoming spaces that cater to the needs of their customers.

Enjoyed this? Then read our article on why investing in barista training is key to a successful coffee industry.

Photo credits: WatchHouse, Darren Rowlands

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