Reconstructed Coffee Restaurants

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Bad Ass Coffee Expanded and Reconstructed its Restaurants

'Bad Ass Coffee' is a Hawaii-based coffee restaurant founded in 1989. Over the course of the pandemic, the brand restructured its entire set of restaurants in order to appeal to the modern customer. Scott Snyder from Bad Ass Coffee stated that they had "a great name" and "a great product' but "everything else needed to be rebuilt from scratch." Now, the brand is expanding its coffee shop with its modernized design.

The new design includes Hawaiian décor to honor its roots, new stylized graphics, a chic restaurant layout, and the addition of branded CPG coffees to its restaurant locations. With this new structure that simultaneously honors the brand's history while embracing change, Bad Ass Coffee hopes to open over 150 new locations across the United States in the next few years. Additionally, some of these locations will be drive-thru only, based on the area.
Trend Themes
1. Restaurant Modernization - The shift in consumer demand towards modern, aesthetically pleasing restaurant designs presents an opportunity for restaurant chains to reconstruct their physical locations to enhance customer experience and attract wider audiences.
2. Branded CPG Expansion - Expanding beyond restaurant locations and offering branded CPG products can create another revenue stream for coffee chains that could potentially offset losses suffered during the pandemic.
3. Drive-thru Only Sites - The rise of delivery and convenience-focused consumer trends make drive-thru only coffee shops an attractive option for businesses looking to expand and capitalize on these trends.
Industry Implications
1. Coffee Chains - Coffee chains such as Bad Ass Coffee are presented with an opportunity to reconstruct their physical locations, optimize customer experience, expand to new locations, and continue growing their brand.
2. CPG Industry - By introducing branded CPG products to their physical locations, coffee chains are proving more attractive to potential investors and setting up an additional revenue stream that could offset losses during the pandemic.
3. Drive-thru Industry - The rise in convenience and delivery-focused consumer trends has led to an increase in demand for drive-thru only coffee shops, making it an attractive area to invest in for businesses looking to capitalize on these trends.

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