FUnder the leadership of the Danish karate champion, the smoothie chain Joe & the Juice has already shined on the streets of England, where its pale pink shops and drinks with names such as Sex Me Up stand out.
The chain has grown from a juice bar in Copenhagen in 2002 to 300 branches around the world. The chain plans to double its size in the next few years, and there are rumors that it plans to be listed on the stock market.
Its top spot is the United Kingdom. It plans to add another 20 stores to the 54 stores it has opened next year, making the United Kingdom the largest market for Joe & the Juice in the world.
Despite its rapid growth, its scale is still only a small part of its competitors, such as ready to eatAlthough 30 stores were closed during the pandemic, there are still more than 300 stores; Starbucks, with more than 1,000; and Costa, with more than 2,000.
The pandemic may have destroyed some cafe chains, but Joe & the Juice has only permanently closed 10 branches and has been able to acquire many new locations as rents drop and competitors shrink in size.
However, CEO Thomas Nørøxe said that after Brexit and the pandemic, the group was forced to come up with a creative menu to attract and retain employees in order to win over workers.
“We need 15 new employees every week-and we don’t really get them now,” he said. Due to a shortage of employees, five of its London branches were temporarily closed. Expansion in the north of England has also been hampered by the speed at which young people are hired and trained.
Nørøxe said that the company’s benefits include international travel, yoga nights, and “show off” competitions, where employees can win prizes with cocktail waiter-style skills with juicers and ice cubes. There is also a clearer career path in the UK that can achieve higher income, business training and regular bonuses for achieving company goals.
“Perhaps in the past, we depended on many Europeans working hard and having fun in London. Now everything is changing,” Nørøxe said.
Joe & the Juice’s experience in Nordic countries (where salaries have long been higher than those in the UK) has helped it adapt to the tougher recruitment market that has emerged in the hotel industry.
The company has also become an approved employer under the government visa program, which will enable it to bring in 20 bar managers to help train British employees to promote its expansion. The program supports existing programs, under which trainees can choose to get experience in juice bars around the world and enjoy preferential accommodation in the “Qiao House” rented by the company.
Even if young people can be found to promote business development, does the UK really need more cafes-even those with fresh juices, porridges and toasted sandwiches? With the £5.90 Sex Me up apple, passion fruit and ginger drink, it is neither cheap nor cheerful.
Founder Kaspar Basse drew inspiration from Starbucks and has great ambitions for his own brand. In 2013 and 2016, these dreams were supported by private equity groups Valedo Partners and General Atlantic. However,
Downtown cafes that rely on commuter transportation have been hit hard by the pandemic, and it is clear that the long-term shift to working from home, at least part-time, may make it harder for many of these places to survive.
The latest accounts of the company house show that although sales increased by 27% to nearly 24 million pounds, the pre-tax loss of the UK business in 2019 increased from 1.2 million pounds a year ago to 3.7 million pounds.
Nørøxe said Joe & the Juice is partially protected from the pandemic because it focuses on wealthy communities in the UK, such as Richmond, Chiswick and Chelsea in London. These outlets continue to enjoy trade that far exceeds pre-pandemic levels — an increase of one-fifth from 2019 — as non-commuters flood in from home offices to take breaks.
Nørøxe said that at least before the Omicron variant appeared, sales in London commuter centers such as Cannon Street and Canary Wharf had returned to 2019 levels. Since July, UK business has rebounded, and as of September, this year’s sales have exceeded 2019 levels.
“The city is returning in a different way from the past,” he said.
Part of this change will be a digital service that connects your local coffee shop to your mobile phone. Like some other venues, Joe & the Juice has launched an app that allows customers to place orders at home so that they will be ready when they arrive, and its delivery service now accounts for 20% of UK sales, only in the pandemic Just started before. The subscription service is being tested and is likely to be launched next year.
An IPO was possible before Covid; showing that the group has a successful formula is crucial to achieving a public listing.
Nørøxe admitted that several of the chain’s competitors have fierce competition for the future of the post-Covid world cafe, but they are also optimistic. “The battle for the new website must be here,” he said.
