Blank Street: How the New York coffee chain plans to take over London
As if from nowhere, a new mint green coffee chain has gradually taken over the corners of London’s office-laden streets.
Their bright urban decor and expansive list of matcha cold brews may trick commuters into thinking this is one of the capital’s overpriced independent chains. But this is Blank Street Coffee and they are plotting a takeover of London’s already highly saturated coffee market.
Founded in Brooklyn, New York just three years ago, founders Vinay Menda and Issam Freiha wasted no time in bringing their trendy business concept to caffeine addicts across the pond, launching in the capital just last year.
Blank Street currently has 24 stores in London, and hopes to push that number to over 30 within the next year.
The firm’s UK managing director Ignacio Llado, tells City A.M over coffee at its busy site in Tottenham Court Road that its Instagrammable layout and cheaper price point is what has made it a success so far in the capital.
“The general coffee chain in London was dark, sometimes gloomy and too tired,” he said. A flat white or cappuccino at Blank Street is also about 20p to 30p cheaper than what punters pay at the likes of Pret a Manger or Starbucks.
However, Llado is keen for the company not to be just seen as the budget option in the capital’s caffeine scene. “Affordable comes with the connotation that it’s cheap, and cheap comes when the connotation is low quality, and that we want to make sure it’s not the case,” he explains.
“We want to make an experience that’s two to three minutes long, still meaningful.”
Ignacio Llado, UK, managing director, Blank Street Coffee
Blank Street said it is able to keep prices competitive by opening smaller locations of about 300 to 600 sq ft. “We are able to optimise some part of the cost structure and transport that value back to the consumer,” he said.
From speaking with Llado it seems like Blank Street Coffee is trying to attract a customer base by creating a modern coffee shop with old school values.
The company is adamant it won’t introduce electronic ordering screens which send technophobes into a frenzy and said it would rather hire friendly employees than skilled baristas. “We want to make an experience that’s two to three minutes long, still meaningful,” he adds.
Blank Street Coffee also uses automated espresso machines meaning cafe workers at the store require less training than at a typical cafe, something Llado says helps employees focus less on the manual work but more on the customer experience.
The firm has also become synonymous with only having one or two baristas on site, but Llando said this is something that varies from site to site and at its busier chains in Canary Wharf they tend to have a few more hands on deck.
Llando, a former managing director at Asian budget coffee chain Flash Coffee, remains quite tight-lipped about Blank Street’s turnover figures but says the firm is on track to reach profitability in London next year.
Earlier this year, the company raised $20m (£16.7m) in a fundraising round from US investors, and in 2021, it shored up $67m (£55m) worth of funding.
Looking ahead, Blank Street Coffee said it is also looking to bring its loyalty service to the UK market.
Similar to rival Pret a Manger, it is a membership scheme that gets customers discounts on coffee and pastries, retailing for $8.99 (£7.42) per week.
He said: “We are designing this brand, to be a daily ritual, not just to be a casual treat. We have raised the bar for the last few years. Our main strategy is; let’s bring the fun and energy back.”