In major German cities, especially the capital Berlin, coffee shops are a common sight. Recently, affordable and convenient coffee chains have emerged, using machines to brew coffee primarily for takeout, with limited seating. While this business model has captured the needs of many office workers and tourists, it has also drawn criticism, as it threatens to squeeze out smaller local coffee shops.
LAP Coffee, a German startup, differs from current companies, typically focusing on technology and rapid expansion and market disruption. LAP currently has about 20 branches in major German cities, and its stores are small with limited seating because its philosophy is to encourage customers to quickly take their coffee away rather than linger in the store.
LAP Coffee CEO Hager explains, “Once we understand where our customers want us to open branches, we act immediately, and we ensure each store remains profitable for six monthsāthat is, break even. So we break even quickly because every cup is profitable.”
Germans have been drinking coffee since the 17th century and have been quite discerning about it. Traditional German coffee shops, especially in Berlin, have a large number of specialty coffee shops that focus not only on the taste and aroma of the coffee itself but also on providing a comfortable and elegant environment for customers to enjoy a leisurely time. While chain coffee shops like LAP have quickly gained popularity, they have also drawn criticism from local businesses, even being vandalized with paint, because they believe LAP is overly market-driven and is squeezing out smaller, independent coffee shops.
However, some traditional coffee shop owners say that LAP’s business style is quite novel for Germany and that it needs more time to establish itself. This isn’t necessarily a bad thing for established shops like theirs, which have been in business for decades, as LAP is still relatively new to the German coffee market, and consumers are currently in a trend-following phase; time will tell.





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