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Melbourne, Australia

Another milestone as Cafe2U celebrates 10th anniversary as a franchise

Australian Franchise News – 22-04-14


The world’s biggest mobile coffee franchise, Australian born Cafe2U, has celebrated its 10th anniversary as a franchise. Cafe2U officially celebrated its emergence from a humble one-van operation on the North Shore of Sydney a decade ago into a fully-fledged global franchise model.

It is now thriving international operation over 155 franchisees in Australia alone.

The UK has proven a traditional stronghold in that time with 60 franchises while Cafe2U continues to experience steady growth in New Zealand and the US, with 12 and 5 franchises there respectively.

Since Cafe2U sought expressions of interest South Africa last year there have been numerous enquires and tenders for territories, with the first franchises launching there soon. Internationally there are now 232 franchises in total.

Cafe2U Managing Director Derek Black said the brand had continued to remain relevant in the market place, as it had evolved in step with the modern coffee drinker.

“The Australian coffee drinker has changed a lot in the last 10 years and to survive we have had to change our product right alongside them,” he said.

“We have invested a lot into research and development of our equipment and also our coffee offering. We developed our own blends, which have proven to be a game changer in their own right – they have proven extremely popular.

“Our franchisees are exposed to the most state of the art barista training and are periodically retrained so that they are at their optimum as a barista. Nothing is left to chance which is why the Cafe2U brand continues to grow. We have earned our respect from a modern customer who knows the difference between and good and a bad coffee.”

Black earmarked some of the changes he had overseen in the past decade.

“10 years ago cappuccinos were the go-to beverage but there is a lot more variation now in consumer tastes, and consequently our menu,” he said.

“There has also been a change in the standard size of espresso coffees served – from 8 oz., then to 12 oz and later to 16 oz. The larger sizes have become integral to our product range.

The franchises were a relatively low cost, low risk investment opportunity, which contributed the Cafe2U’s growth and longevity, he added.

“There is limited competition; you have your own territory, franchise support in growing that territory, and excellent marketing support. It is a low investment franchise model which offers a high return on investment.”