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Measuring and benchmarking the performance of coffee stores for retail operations

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Abstract:

Purpose ‐ The purpose of this paper is to measure and benchmark the retail operations of selected coffee stores owned by a specialty coffee company. Design/methodology/approach ‐ Data envelopment analysis is used for benchmarking the performance of eight coffee stores for two years using internal annual reports. Findings ‐ Major findings are that the inefficient stores need to improve occupancy related expenses and revenues from non-coffee items. In addition, the coffee stores locate in an affluent residential area outperform the stores in the business district. Research limitations/implications ‐ The limitation of this paper is in the use of financial data. To overcome this issue, non-financial data should be included. Originality/value ‐ The contributions of this paper are twofold: providing a framework for performance measures within a benchmarking perspective and evaluating the comparative efficiency of coffee stores using internal data, which is not accessible to the general public.

Keywords: Benchmarking; Coffee; Data analysis; Performance measures; Retailing

Document Type: Research Article

DOI: http://dx.doi.org/10.1108/14635770911000088

Publication date: October 23, 2009

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