Barcelona-based takeaway coffee startup GoodNews is launching a new financing method. After closing, last year, a round of €11 million, this Monday launched a crowdfunding campaign through the Crowdcube platform with the aim of involving its community in the growth and expansion of the company. The priority, this time, is not so much to fill the cashbox – in October they expect to break even – but to implement an innovative loyalty tool and create a community of brand lovers, to whom they will offer discounts in exchange for their investment.
“The goal with this round is not to raise the maximum amount of money but to attract the maximum number of consumers to become GoodNews shareholders. We have set ourselves the challenge of getting around 5,000 people to take the plunge,” the company’s CEO, Jan Barthe, told The New Barcelona Post.
Over the next 30 days, those interested in participating in this microfinancing operation can do so by investing a minimum of €20. The company has established four different rewards depending on the investment made, with tranches ranging from €20, €500, €1,000, and more than €1,000, and associated discounts of between 20% and 50% on the purchase price of coffees at GoodNews locations.
For example, in the case of investing €20 through Crowdcube, you get a 20% discount for a whole year. “Let’s imagine a customer who drinks two GoodNews coffees a day, which amounts to a consumption of around €800 a year. With that 20% discount, he is saving €160 in exchange for an investment of €20,” exemplified Barthe.
“We want to continue to share coffee and good vibes, but we also want all those who have believed in us to have the opportunity to be part of our journey,” stressed the young entrepreneur, convinced that this “disruptive rewards program will set a precedent in the sector.”
GoodNews was founded in 2020 in Barcelona by five friends (Jan Barthe, Fernando Conde, Alejandro Catasús, Lucas de Gispert, and Ignacio Campos) and currently has 30 points of sale in the Catalan capital, Madrid and Paris. This figure is expected to grow to 40 outlets by the end of this year, a year in which turnover is expected to reach 6 million euros. The priority is currently focused on growing in the French capital, always with the take-away coffee or grab-and-go model, with small premises of a maximum of 70 square meters located in the best areas of the city, in very commercial streets with a high density of offices.
Read more about GoodNews and find other important business news with our companion app Born2Invest.
The objective of GoodNews is to reach 100 outlets by 2025
New stores will also be opened in Barcelona and Madrid, but the company has ruled out entering other Spanish cities for the time being. The focus of growth will be Europe, where, after Paris, GoodNews is already preparing to enter the Netherlands and Denmark, with openings in Amsterdam and Copenhagen, scheduled for 2024. The goal of the GoodNews expansion plan is to reach 60 stores by 2024 and to raise the figure to 100 by 2025. In Paris, the firm plans to end the year with ten outlets and to add 15 locations by 2024.
Barthe said that Good News will break even this October, so it will be able to finance its daily operations with the resources it generates. Thus, the remaining amount of the €11 million investment round raised a year ago can be used entirely to finance the plan for new openings. That Series A round was led by Desigual’s owner, Thomas Meyer, and also involved Barlon Capital, the fund led by Javier Rubió -co-founder of Cluster, Nauta, and Galdana-, and other investors who had previously invested in the company, which has so far raised 15 million euros.
According to the CEO, to make the leap in size and reach 100 stores, between 2024 and 2025 it will be necessary to launch a new series B round, for an amount not yet quantified, but which is expected to be higher than the operation carried out in 2022. “Our mission is that in the next 10 years, GoodNews will have become one of the largest coffee startups in the world, with a dominant position in Europe’s major cities,” stressed Barthe.
GoodNews, which already has 130 employees, was created in the middle of the pandemic with the aim of reinventing newsstands, a model that was launched with a new-generation kiosk located at the intersection of Diagonal and Balmes Street. The startup, however, gradually mutated to become a takeaway coffee brand aimed at a very young consumer who does not empathize with traditional brands and chains. Today, of the 30 points of sale, twelve (located in Barcelona and Madrid) are still unique kiosks that combine the sale of coffee and newspapers, but the rest are small stores focused solely on the takeaway of cups of coffee.
Each store is equipped with a Jura brand automatic coffee machine and sells a single type of coffee, GoodNews Barcelona, the result of blending the beans of three specialty coffees of the Arabica variety from selected cooperatives in Mexico, Colombia, and Brazil. In addition, packs of coffee beans or ground coffee of up to eight varieties can also be purchased in the stores, to be prepared at home. The roasting and packaging process is carried out at the facilities of a supplier located in Cardona. “To have our own coffee roastery, we still need much more volume,” explained Barthe, who calculated that it would be advisable to make the investment once we exceed 50 million in sales.
In addition to the physical points of sale, GoodNews sells coffee online and has also launched a B2B division, i.e. the sale of coffee by subscription and superautomatic machines to companies and offices. It already has more than 100 companies with a total workforce of around 10,000 employees as customers. In parallel, the business has diversified into the category of natural and vitamin supplements that help to improve certain biological functions.
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in theNBP. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.
Recrowd, Real Estate Lending Platform, Finally Gets European Authorization
Recrowd adopts a distinct approach for less sophisticated investors, limiting their investments to under €1,000 or 5% of their net...
Why the Amounts Invested in Belgian Fintech Companies Decreased
In 2023, the Belgian fintech sector has not witnessed any major fundraising events similar to those in previous years, such...
Bitcoin Soars 130% This Year: Will It Reach New All-Time Highs in 2024?
Bitcoin is currently trading within an ascending channel, maintaining support at $35,000, with an upward trajectory towards the psychological resistance...
ALA Diagnostics Opens a New Laboratory in Madrid After Joining BeAble Capital
ALA Diagnostics secured €1.1 million in a financing round in June, supporting its activities in the general laboratory, including Elisa...
Germany Has Finally Legalized Cannabis
Cannabis prohibition in Germany will end on March 1st, and the cultivation ban will follow later. Meanwhile, a field trial...
Biotech1 week ago
Why Bayer Sinks a Staggering 21.3% on the Frankfurt Stock Exchange
Cannabis3 days ago
Germany Plans to Legalize Home Cultivation and Possession of Cannabis as of April 1st, 2024
Fintech1 week ago
Peruvian Fintech Company Rextie Reaches $5 Billion in Transactions
Africa1 day ago
Why the Agrifood Industry in Morocco is a Strategic Challenge