With its ongoing impressive StartEngine campaign where it has raised more than $1.6 million overall, Blackout Coffee, (https://www.blackoutcoffee.com/), is proving a hit with conservative coffee lovers and has secured a larger facility to meet ongoing customer demand.
The innovative company, with its headquarters in LaBelle, Florida, offers uniquely branded coffee products online featuring whole bean or ground coffee, coffee pods, flavored coffee, tea, and hot cocoa along with branded merchandise. They also provide subscriptions where customers can receive regular deliveries to their homes or business of Blackout Coffee's products.
Blackout Coffee's top coffee brands feature creative names such as "Brewtal Awakening," "Morning Reaper," "Covert Op Cold Brew," "Pitch Black Espresso," "Low Voltage Decaf Coffee," "Smooth Finish," "2A Medium Roast," and "1776 Dark Roast."
After previously raising $1.2 million in a couple of weeks, Blackout Coffee recently relaunched its StartEngine campaign, (https://www.startengine.com/offering/blackoutcoffee), and is already off to a fast start.
This past April, Blackout Coffee more than tripled its sales revenue over 2022 figures after more than doubling its sales in March over the previous year. The company is on track this year to surpass its $2.4 million in sales in 2022.
Blackout Coffee was also recently endorsed by conservative political commentator and radio show host Dan Bongino, and Donald Trump Jr.
In the four years since Blackout Coffee was founded, the company has created more than 40 coffee roasts and flavors and served more than 45,000 customers, surpassing 130,000 fulfilled orders.
However, every emerging business faces growing pains, and Blackout Coffee is no different. The company is expanding from its current 5,000-square-foot manufacturing facility into a 35,000-square-foot building in the Florida area.
"The response and support from our customers and investors have been amazing," said John Santos, founder and CEO of Blackout Coffee. "They have embraced our vision as a community-engaged, small-batch coffee roasting company that actively supports conservative American values. We are growing so fast and have found additional space to meet the demand for our products. Above all, our mission remains to provide the highest-quality, best-tasting, and most impressive cup of coffee to the hardest-working people in America. We have stayed true to our brand unlike many other companies these days."
The expansion will also enable Blackout Coffee to take on larger retail accounts and Santos said they have been approached by two large retail companies in the sporting goods industry.
"Operating at close to full capacity in our current manufacturing facility had limited our ability to grow even further," Santos added. "We recently ordered a new coffee roaster and other additional equipment that will allow us to roast five times the current amount and increase our product output by up to 10 times.
Expanding our facility will allow us to build new partnerships with brands, and begin accepting profitable private-label opportunities. Our wholesale business is another means of serving our customers and offers an additional revenue opportunity that we currently support and are expanding."
A significant part of the company's vision is also giving back to the community that supports them. As a proud supporter of the U.S. military, Blackout Coffee created Operation Blackout, (https://www.blackoutcoffee.com/pages/operation-blackout), to send donated coffee to deployed troops. Customers can order a deployment package on the company's website to be sent to a designated military unit or a random unit. If you choose a random unit, they will send coffee to troops who have reached out to the company and would like roasted coffee for their team.
"We donate every few months. I don't have an exact count of how much but we have donated more than 25,000 cups worth. We also donate to first responders and we have donated $15,000 to organizations that help defend the 2nd amendment," Santos said.
Although Santos did not serve in the military, he said he grew up surrounded by a lot of people that served, including his father-in-law.
"I heard all the stories and I know how difficult it can be," he said. "This a great way to show our troops support from home and let them know we are thinking about them and they are not forgotten."
What sets apart Blackout Coffee in the highly competitive coffee industry is its attention to sourcing top coffee beans and its meticulous roasting process.
"There are many online coffee companies that do not roast their own beans. They get it private labeled, or contract manufactured, and usually are dominated by lower-grade beans that are full of defects," Santos explained. "We adopt a strict adherence of small batch roasting our coffee to provide you with a freshly roasted brew. This is in consideration of the origin and goal of our company. This process is why we are consistent in providing you with coffee that provides an exceptional taste."
After spending a few years in Europe and enjoying coffee abroad, Santos was convinced that U.S. coffee just didn't taste the same. He started developing his coffee roasts and found his inspiration for starting Blackout Coffee.
"Blackout Coffee is the perfect product for anyone who appreciates quality coffee and fun opportunities to help out others," Santos said. "We started this business because we were tired of giving our money to companies who didn't share our values. There are many people in this country who feel this way as well. The conservative coffee movement just recently skyrocketed, and our positioning and focus is a unique approach that has already proven to be successful," Santos said.
The global specialty coffee market is expected to grow from USD 53.67 billion in 2021 to USD 152.69 billion by 2030, at a compound annual growth rate (CAGR) of 12.32%, according to a report by the Brainy Insights.
Coffee subscription models are one of the world's fastest-growing industries. The access to coffee software and easy integrations with e-commerce platforms have enabled coffee roasters to offer subscription coffee services and direct-to-customer sales at scale. This is the key factor for the market growth opportunity.
With increased marketing, investment in branding, and additional employees, Blackout Coffee's roadmap is focused on continuing its growth.
"We have a 40% customer return rate which is higher than the industry average," he added. "This is due to the premium specialty coffee we source, the way we roast our coffee, and the lightning-fast shipping. Customer service is our top priority. Our focus on conservative values, duty, family, and rights, brings us a very different base of people than other companies. This is exciting for us because we get to do business with like-minded people who love their coffee and their country."