Running a successful coffee shop isn’t just about brewing great coffee – it’s about keeping a close eye on performance. Margins are tight, competition is fierce, and customer experience is everything. The right Key Performance Indicators (KPIs) help coffee shop owners track what’s working, spot inefficiencies, and drive profitability.

Average Revenue Per Customer

Every customer that walks through the door has a spending pattern. Tracking the average revenue per customer helps identify whether pricing, promotions, and upselling strategies are working. Increasing this metric, even slightly, can significantly impact profits.

Customer Retention Rate

A loyal customer is worth far more than a one-time visitor. Measuring how often customers return provides insight into service quality, product satisfaction, and brand loyalty. Strong retention means the shop is doing something right.

Cost of Goods Sold (COGS)

From coffee beans to milk and pastries, ingredient costs add up. Keeping a close watch on COGS ensures that pricing remains profitable without cutting corners on quality. If costs start creeping up, it’s time to renegotiate supplier contracts or refine the menu.

Gross Profit Margin

Revenue is great, but what’s left after covering direct costs? Gross profit margin helps coffee shop owners see how much money is actually being made per sale. A declining margin signals the need for pricing adjustments or cost control measures.

Daily and Weekly Sales Trends

Understanding peak hours, slow periods, and seasonal trends is crucial. Are Monday mornings busy? Is foot traffic slowing in the afternoons? Analysing these patterns allows for better staffing decisions, targeted promotions, and menu adjustments.

Table Turnover Rate

For shops with seating, table turnover rate measures how efficiently space is used. A high turnover means more customers served, while a low one may indicate slow service or customers lingering too long without ordering more.

Employee Productivity

Labour is one of the biggest costs in a coffee shop. Tracking sales per employee or orders fulfilled per shift helps gauge efficiency and training effectiveness. A well-trained team keeps service fast and customer satisfaction high.

Waste and Shrinkage

Spoiled milk, burnt coffee, over-poured syrups – small waste adds up to big costs. Keeping track of waste levels helps reduce unnecessary expenses and improve inventory management.

Online and In-Store Reviews

Customer feedback is gold. Tracking star ratings, online reviews, and in-store comments reveals what’s working and what needs improvement. A sudden dip in reviews? Time to investigate service quality or product consistency.

Marketing ROI

Running promotions, social media ads, or loyalty programs? Measuring marketing ROI helps determine if those efforts are actually driving foot traffic and increasing revenue. If campaigns aren’t converting, it’s time for a strategy shift.

A coffee shop is more than just a place to grab a latte – it’s a business that thrives on strong operations, great customer experiences, and efficient cost management. KPI Tracker provides a free and simple way to monitor these performance metrics, helping café owners make smarter, data-driven decisions.