Our Company Makes Hot Sauce For Your Coffee
Hello! Who are you and what business did you start?
Hi! My name is Michaël, and alongside my co-founder Lars, we operate a business that provides a completely unique coffee and beverage experience – (https://burnihotsauce.com/). Lars and I have crafted a healthy and spicy topping that sets our offerings apart. Our flagship product, Burni, enhances the flavor profile without compromising the authentic taste of coffee. It is a distinctive and daring product that comes in an efficient and sustainable packaging.
Thanks to its air pressure system, it is effortless to spray and measure while keeping the cap clean. I often refer to it as a versatile solution. Although initially intended for coffee, we have discovered that Burni pairs exceptionally well with chai, tea, hot chocolate drinks, and cocktails.
We cater to a wide range of establishments, including coffee bars, concept stores, breakfast and lunch spots, restaurants, cocktail bars, delicatessens, fresh food stores, and chocolatiers who are seeking innovative and wholesome additions to their menu.
Our mission is to liberate people from their monotonous and conventional habits by offering a wholesome topping that brings about new experiences.
What's your backstory and how did you come up with the idea?
Starting my own venture had always been a lifelong aspiration. Burni emerged as the fourth idea that appeared promising enough to pursue. I bring expertise in operations, logistics, and sales, and this seemed like an exciting challenge to me.
Moreover, my love for both coffee and spices, which I often indulge in while cooking during my leisure time, fueled my passion for the concept of a spicy coffee topping, which felt audacious yet captivating.
We conducted extensive research. We knew that a spicy sauce for coffee existed in America, so the crucial question was: Could a spicy topping for coffee also work in Europe, where most people highly value their traditional cup of coffee?
On one hand, we conducted thorough research on consumer preferences and the trends in the European coffee market. On the other hand, we took the initiative to meet with as many baristas and coffee experts as possible to gather their insights. The trend of demand for healthy coffee toppings is indeed on the rise.
Certainly, there is a significant distance yet to be traversed. Having only been in operation for a year, we understand the monumental expedition that awaits us and there is still a lot of work to be done to grow into a successful brand. However, our motivation will undoubtedly remain steadfast.
The inception of Burni took place during a vacation in Mexico with friends, where we were disappointed by the lackluster coffee. We sought a healthy way to add some zest to it. After trying an American spicy coffee sauce and finding it unsatisfactory, we began experimenting with different spices in our own kitchen. It was during this process that the "aha" moment struck us.
We swiftly perfected our recipe, becoming the sole company offering this unique product, competing against major brands like Monin. Each serving of Burni contains a mere 4 calories, enhancing the flavor without compromising the authentic taste of coffee. Unlike many sugary syrups, Burni provides a healthier alternative.
Presently, we are witnessing substantial growth and receiving positive feedback, establishing ourselves as a distinctive player in the market. Once we finalized the recipe, we embarked on the search for a private label partner.
In Belgium, such partnerships typically necessitated a minimum order quantity of 50,000 liters, which exceeded our financial capabilities at the time. Consequently, we decided to broaden our horizons. By presenting our idea at an entrepreneurial forum, we eventually connected with our current partner, who wholeheartedly embraced our concept. After joining forces, we diligently crafted various contracts to ensure comprehensive legal protection, guided by our team of experienced attorneys.
Avoid constantly altering your strategy based on external advice. Sometimes, it is better to trust your instincts and refrain from excessive course corrections.
Take us through the process of building the first version of your product.
The initially invested capital of 9000 euros nearly depleted after almost half a year. The main expenses were the costs from our private label producer for our first batch, the setup costs for the launch event, the costs for establishing the company, and legal fees.
It was important to cover all bases thoroughly. Therefore, with the help of friends who are lawyers, we had custom NDAs, product agreements, and distribution agreements drafted. This was a significant expense that cost us thousands of euros, but it was crucial.
Before commencing our culinary experiments, we conducted thorough market research to ensure we had a comprehensive understanding of the essential factors to consider. Additionally, we sought out the healthy ingredients that would truly enhance the flavor of our coffee.
Once we had developed a viable and delicious recipe, we collaborated closely with our private label producer to further refine it. This involved an extensive exchange of samples, which were sent to us in Antwerp. Initially, these samples did not quite match our original recipe.
However, once we discovered samples that met our expectations, we revisited our market research. We took the time to visit numerous coffee bars and conducted interviews to gather valuable feedback from individuals.
Finally, we reached a consensus on the Minimum Viable Product (MVP) that we firmly believed in.
Describe the process of launching the business.
The grand inauguration occurred during our event at the Vogelenmarkt in Antwerp, a popular hangout for the younger generation on weekends. To enhance the experience, we enlisted the services of a mobile barista who graciously served complimentary lattes, enabling everyone to sample and make purchases.
Our launch event was a notable success! We managed to attract around 100 attendees and the product received an overwhelmingly positive response. We effectively utilized word-of-mouth advertising and heavily focused on Instagram to promote the event.
After covering all the expenses, we ended up with about 300 euros left, which demonstrates our efficient budget management. It's evident that our approach was effective, and we are thrilled with the enthusiastic response from everyone who attended!
At the outset, we funded the entire venture through our personal contributions. As the three founders, we each invested 3000 euros, accumulating a collective sum of 9000 euros for the company. To minimize expenses, we initially took on various tasks ourselves. For example, Lars bv created the website completely by himself, Michaël developed the logo, everything from marketing we did completely by ourselves.
Setbacks and rejections are inevitable in entrepreneurship. Do not let rejection discourage you. Proactively address these challenges and maintain motivation.
Since launch, what has worked to attract and retain customers?
Despite encountering various obstacles at the start, I remained determined. At first, my focus was on coffee bars, which required a significant amount of time and effort. However, now we are reaping the rewards as even larger brands are expressing interest.
After our first year, we generated a revenue of around 7,500 euros. This is on the low side but there are several reasons for this. Initially, it was challenging to make sales because everyone had full-time jobs, and it was nearly impossible to reach a business owner on weekends. Since we focused on coffee bars to gain brand recognition and understand the market, it was expected that we couldn’t rotate large volumes immediately.
Usually, they wanted a testing phase to try out the product with their customers and experiment. By executing our strategy this way, we are now noticing that other bars are approaching us, and our product is also perfect for other types of shops, concept stores, roasteries, etc. Since I leaped to work on this full-time, the situation has significantly improved.
Our primary emphasis is on marketing, where we strive to produce distinctive and occasionally amusing content that fosters natural expansion. With a product that captivates the imagination and possesses the ability to become viral, that is precisely our objective.
We primarily focus on Instagram and have recently started expanding our TikTok channel. Our product sparks the imagination of many people. We create various types of content, including recipe videos, useful tips, giveaways, behind-the-scenes looks, and funny reels. This leads to organic growth, with people and customers often promoting us.
Our attention is on both the B2B and B2C markets, emphasizing the importance of consistency in retaining customers. Burni has found success in regularly sharing content on Instagram and executing campaigns on Mailchimp.
While we have not delved into advertising campaigns yet, we are witnessing organic growth. However, we do have plans to explore this avenue in the near future.
Furthermore, our tastings have been a hit in introducing Burni to new audiences firsthand, leaving a memorable impact.
Given Burni's current level of recognition, we are dedicated to maximizing visibility across various platforms.
How are you doing today and what does the future look like?
Since transitioning to working full-time for the startup, I have faced the challenge of balancing this new role with my previous position as a manager in logistics. However, I am pleased to say that things have started to progress positively. I am currently involved in several promising projects and have found it easier to maintain focus on what truly matters.
Initially, our team consisted of three founders and close friends. Unfortunately, one of our friends had to step back due to the demands of his job. However, Lars is still actively engaged elsewhere. Despite this setback, we have managed to create a cohesive team that complements each other's strengths and shares a common vision.
Our goal is to transform this ambitious product into a remarkable success story. As a young startup, it is not surprising that we have not yet reached the break-even point, considering we have only been operating for a year.
Currently, we are diligently preparing for our first round of funding, with the aim of securing 150,000 euros from business angels.
Moreover, I am currently engaged in negotiations with key potential partners to explore new collaborative opportunities. Recently, I initiated a product concept testing survey to develop innovative and healthy toppings. While our primary focus remains on Belgium and the Netherlands, we are also laying the foundation for future international expansion.
Conduct comprehensive and unbiased market research. It is crucial to not solely depend on feedback from friends and family, as their opinions may not accurately represent the broader market.
Through starting the business, have you learned anything particularly helpful or advantageous?
Entrepreneurship offers an exhilarating journey of continuous learning, which, in my opinion, is one of its most captivating aspects. The knowledge and experiences gained in this field are unparalleled compared to traditional 9-to-5 jobs. Moreover, it provides an opportunity to enhance various skills.
One of the more enjoyable things about being an entrepreneur is engaging with other entrepreneurs and exchanging views. For example, at least once a week I try to talk to someone who has knowledge of a specific fact.
At times when you are less comfortable and when things are not running as well, which there are certainly enough in entrepreneurship, it is always enormously enlightening to talk to someone and listen to his or her story, for me this works super inspiring!
One valuable lesson I have personally learned is the significance of conducting thorough market research. Initially, I underestimated its importance, resulting in a product that was packaged in an excessively large container. It is crucial to always consult customers first and understand their preferences instead of assuming what they might find important.
Cultivating the habit of reading has been immensely helpful for me. I strive to complete at least one informative book every month, and this practice has already proven to be beneficial in the entrepreneurial realm.
Another wise decision we made was to focus on the niche market and target smaller outlets such as coffee bars and concept stores, rather than approaching supermarket chains, which could have been detrimental to our business.
What platform/tools do you use for your business?
Canva, HubSpot, and Mailchimp are my go-to tools for work. Canva's intuitive interface allows me to effortlessly craft distinctive and innovative content.
It's particularly beneficial for newcomers, as it enables them to swiftly grasp its functionalities and generate visually captivating designs.
What have been the most influential books, podcasts, or other resources?
The Diary of a CEO from Steven Bartlett - This book has had a profound impact on my life. It is brilliantly written, and I would highly recommend it to everyone.
The 7 Habits of Highly Effective People - Stephen Coney - This must read is an old book but still so appropriate in the rapidly changing world we live in today.
Advice for other entrepreneurs who want to get started or are just starting out?
Success cannot always be guaranteed by relying solely on gut feelings. To ensure a prosperous journey, here are three vital lessons that every startup should consider:
Firstly, conduct comprehensive and unbiased market research. It is crucial to not solely depend on feedback from friends and family, as their opinions may not accurately represent the broader market. Currently, I am reevaluating my research efforts to bridge the gap between positive reactions and actual purchases.
Secondly, avoid constantly altering your strategy based on external advice. While seeking guidance from experts can be beneficial, conflicting opinions can complicate matters and create doubt. Sometimes, it is better to trust your instincts and refrain from excessive course corrections.
Lastly, setbacks and rejections are inevitable in entrepreneurship. Do not let rejection discourage you. Although facing multiple rejections in a short period can be disheartening, it is important to proactively address these challenges and maintain motivation. Continuous improvement is essential, and we have made significant progress since our initial Instagram posts.
Are you looking to hire for certain positions right now?
As soon as we have obtained the required funding, our focus will shift towards the recruitment of personnel. Our primary emphasis will be on securing proficient sales professionals to join our team.
Where can we go to learn more?
If you have any questions or comments, drop a comment below!
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Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
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