Artificial intelligence tools are transforming how businesses operate. But in an industry built on human connection and craft, coffee business owners must balance taking advantage of new tools with preserving the soul of their business.

That's why I wanted to talk with Melissa Villanueva, someone I consider to be a sharp operator with a keen eye for how to use AI effectively.

Over the past decade, Villanueva has grown Brewpoint Coffee from a Craigslist purchase into a thriving company with three cafes and a roastery in the Chicago area. Now, she's navigating how to thoughtfully integrate AI tools without compromising what makes Brewpoint special.

• • How BrewPoint uses AI as a targeted tool rather than a replacement for creativity
  • Practical applications of AI for coffee shops, from custom coffee recipes to equipment troubleshooting
  • The importance of maintaining authenticity in customer-facing aspects of your business
  • Why AI often works best for enhancing existing processes, not creating new ones
  • How to evaluate which AI tools actually save time versus create more work

00:00 Introduction to AI in Coffee Business

03:11 Exploring AI Use Cases in Brewpoint

05:54 The Role of AI in Writing and Content Creation

08:47 Customer Engagement and AI Tools

12:11 Operational Efficiency with AI

14:49 Philosophy and Future of AI in Business

28:56 Navigating AI's Ethical Boundaries

30:43 Preserving Human Creativity in Business

34:25 Empowering Teams to Use AI Effectively

39:50 The Role of AI in Policy Creation

42:33 Key Characteristics of Business Success

49:43 Reflecting on AI's Impact on Entrepreneurship

56:15 Future Goals and Strategic Planning

• • BrewPoint Coffee website
  • @brewpointcoffee on Instagram
  • @melissaavillanueva on Instagram

• • ChatGPT (OpenAI's AI assistant)
  • Claude (Anthropic's AI assistant)
  • BrewPoint's Nova Cold Brew Concentrate

Coffee sourcing is undergoing a quiet, tech-enabled revolution, and there are few people better equipped to talk about than Kat Melheim.

Through her roles at Black & White, her time on a Hawaiian coffee farm, and now at Algrano, Kat has been part of a shift toward greater transparency and accessibility, especially in the roasting and green buying realms.

The digitization of coffee sourcing isn't just a convenience play - it's fundamentally altering who gets to participate and how value flows through the supply chain.

I wanted to understand if we're witnessing a true disruption or just a repackaging of the same old power structures with a tech interface. Kat's perspective, from someone who's operated at multiple points in the value chain, offers some great clarity on what's really happening here, and what roasters who are just coming onto the green buying scene need to know about sourcing digitally.

• How coffee roasting's culture of secrecy is evolving toward openness and collaboration
• The shift from traditional importing to technology-enabled direct sourcing platforms
• Algrano's digital marketplace model for connecting producers and roasters
• The business advantages of forward buying for both sides of the supply chain
• Current market challenges facing traditional coffee importers
• How small roasters can now establish direct relationships from day one
• The important distinctions between direct sourcing and direct trade
• Why origin experiences fundamentally change coffee professionals' perspectives
• How immersive origin trips create meaningful connections across the coffee industry

00:00 Breaking Down Coffee Roasting Secrets

07:00 Modern Coffee Sourcing Evolution

15:15 Defining Direct Trade vs. Direct Sourcing

21:03 Algrano: Simplifying Coffee Trade Logistics

24:10 Digital Marketplaces vs. Traditional Importing

30:22 Current Challenges for Coffee Importers

34:01 How Technology Transforms Producer Relationships

37:33 Overcoming Forward Buying Hesitation

40:09 Algrano's Transparent Business Model

44:06 Building Meaningful Producer Connections

46:01 Kat's Origin Journey: Farm to Roastery

53:34 Creating Immersive Origin Experiences

58:08 How to Connect with Kat and Algrano

• RoasterKat Instagram
• RoasterKat YouTube
• Algrano
• Coffee People Zine

• Kona Farm Direct (Hawaiian coffee farm)
• El Vergel (Colombian coffee producer)
• Mountain Harvest

The Coffee Think Tank podcast is a show about trends, ideas, and innovations in coffee by Fresh Cup, hosted by Garrett Oden. Subscribe to Fresh Cup for more industry insights at freshcup.com.

We’re in a change or die moment across the industry, and even more established companies are having to rethink everything to make sure the numbers all add up. The rising c-market price, in particular, is throwing everyone for a loop, but there are other pressures that are forcing leaders to stay on their toes.

I asked Anne Djerai, CEO of Metropolis Coffee, to come on the podcast and talk about what it’s like to be what we end up calling a ‘wartime CEO’.

We talk about how to respond to changing conditions effectively. We talk about planning for a possible $5 green price, and how that affects their different business lines. What happens when your green coffee broker defaults, how to make hard choices as a business leader, and how the distinctions between commercial and specialty coffee are being chipped away over time.

If you’d like to learn what it’s like to lead your coffee business right through the storm effectively, this episode is a must listen. And if you like the podcast, make sure to hit subscribe wherever you’re listening.

Thanks to this season’s sponsor, SumUp, a modern point of sale system for cafes.

Chapters

00:00 Navigating Change in Specialty Coffee03:00 The Journey to CEO: Challenges and Growth06:11 Market Dynamics: Specialty vs. Commodity Coffee08:47 Responding to Market Pressures and Price Adjustments12:01 Looking Ahead: Trends and Predictions for 202515:05 The Impact of Rising Costs on Business Models25:46 Navigating Coffee Pricing and Market Challenges28:02 Leadership in Wartime: The CEO Experience31:35 Building a Trusting Team During Tough Times33:10 Empathy as a Leadership Tool35:07 The Complexities of the CEO Title36:37 Understanding Broker Defaults and Their Impact39:46 The Role of AI in Coffee Supply Chain44:20 The Churchill Duck: A Symbol of Leadership47:31 Advice for Emerging Leaders

Where To Find Anne

Metropolis Coffee website

Anne Djerai on LinkedIn

Metropolis Coffee on Instagram

Metropolis Workshop (the co-packing arm of Metropolis Coffee)

Mentioned in the Episode

Gemini for Google Suite (the AI tool Anne uses for email management and organization)

EOS (Entrepreneurial Operating System) (a management framework by Geno Wickman)

Churchill Duck (the rubber duck)

The Coffee Think Tank podcast is a show about trends, ideas, and innovations in coffee by Fresh Cup, hosted by Garrett Oden. Subscribe to Fresh Cup for more industry insights at freshcup.com.

Everyone wants recurring, predictable revenue, and the pull of reliable income has been strong enough to turn nearly everything into a subscription program: toothpaste in glass bottles, delivered meal kits, toys for dogs, and of course—coffee beans, or coffee pods, or frozen coffee pods. There are many kinds of coffee subscriptions.

But subscription models for coffee shops—like actually visiting a shop in person—haven't really caught on. There's no winning framework for coffee shop subscriptions like there is for subscribing to a roaster online. But the dream of recurring revenue for the in-person cafe experience is alive and well among operators and leaders.

That's why I wanted to talk with Patrick and Krystal Burns. For nearly a decade, they've run Palace Coffee in Amarillo, Texas and built out a membership program that goes beyond discounted drinks. They've refined their program a lot over the years, and it's fascinating to learn how they've adjusted pricing, perks, marketing, and operations to keep the program going and profitable.

Thanks to this season’s sponsor, ⁠SumUp⁠, a modern point of sale system for cafes.

What You'll Learn

- How Palace Coffee transformed a traditional "mug club" into a sustainable membership program that generates predictable revenue

- The economics behind pricing an in-person coffee subscription and the calculations that make it profitable- Why community events became a powerful differentiator in their subscription model

- How to balance discount structures without sacrificing profitability

- The recent evolution from an annual membership to a monthly subscription format- The technology and operational systems needed to manage a coffee shop subscription program

Chapters

00:00 Introduction to Palace Coffee and Community Focus

05:58 Building Community Through Membership Programs

12:13 Adapting to Change: Lessons from COVID-19

18:00 The Future of Palace Coffee's Membership Program

31:49 Navigating Customer Engagement and Feedback

39:40 Expanding Community Connections

47:21 The Origin Story of Palace Coffee

53:09 Theater as a Reflection of Life

Where to Find Our Guests⁠

Palace Coffee website

⁠⁠Palace Coffee on Instagram⁠

Email Patrick -- patrick@palacecoffee.co

Mentioned In The Episode

⁠Per Diem⁠ (mobile ordering app w/ subscription management)

⁠Cinemark Movie Club⁠ (inspiration for their subscription model)

*The Coffee Think Tank podcast is a show about trends, ideas, and innovations in coffee by Fresh Cup, hosted by Garrett Oden. Subscribe to Fresh Cup for more industry insights at freshcup.com