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  • Writer's pictureYauheni Kavalenka

Top 5 problems of robotic baristas. №2. Access to locations

For the roboticbarista to perform well showing the 14-24 months payback on investment you need to be in a good location with high traffic. Mostly, those include:

- Malls

- Airports

- Business centres

- HQs

- Governmental buildings

- Hospitals

- Universities

- Fuel stations

- Entertainment / amusement centres

- Street retail

At the same time they are to satisfy the following needs:

1. 80+ cups daily in sales (2 years pay back)

2. Demand for quick coffee2go

3. High traffic (depending on competition you might expect 1-9% of total traffic conversion; we have our own formula for calculations, can share upon request)

4. Competition (no competition and a lot of competition are both bad)

5. 10-20% of revenue cost of rental

Airports- very expensive and challenging spots. Although, Cafe Xoperates there, and our first location with RozumCafe was at Minsk National Airport - it is a challenge to be there. Entry cost is high. It could be just a cost of 1 mln USD per space per year which you're to pay back. That’s one of key reasons why prices are so high there. And airports are limited to 1-2 per city.


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