CASE STUDY

Canopy Point Coffee - At Canopy Point Coffee, we've perfected the art of air roasting to ensure you never have to sip burnt coffee again. Our method highlights the distinct natural flavor profiles of each bean and eliminates the burnt and bitter characteristics often found in traditional gas-fired roasters.

Experience the Canopy Point difference—where farming expertise, passion, and dedication meet the innovation of air roasting to deliver an unparalleled coffee experience.

Month Over Month (MOM)

December has been our best selling month with revenue of $7,863.55. This is also our profitable month with margins at 5.80% after ads.
Our CVR is at 8.24% and our PPC CVR is at 7.66%. We need to improve it further and I think reducing our price down seems to have increased our CVR.
The TACOS for the year is at 35.46% with ACOS at 85.06% and PPC sales contributing to 41.65% of our total orders.
We have increased our subscriptions accounts and will likely have more success in the future. Sales are also increasing MoM.
We had a trend where we closed in the gap and improved our margins towards breakeven and eventually profitability in December. I believe we have found the crux of our issues.

Month Over Month (MOM)

December has been our best selling month with revenue of $7,863.55. This is also our profitable month with margins at 5.80% after ads.
Our CVR is at 8.24% and our PPC CVR is at 7.66%. We need to improve it further and I think reducing our price down seems to have increased our CVR.
The TACOS for the year is at 35.46% with ACOS at 85.06% and PPC sales contributing to 41.65% of our total orders.
We have increased our subscriptions accounts and will likely have more success in the future. Sales are also increasing MoM.
We had a trend where we closed in the gap and improved our margins towards breakeven and eventually profitability in December. I believe we have found the crux of our issues.

PRODUCT LEVEL

Honduras 12 ounce coffee has been our best seller with $18,111.05 in sales with a TACOS of 32.2% and CVR of 9.81% for the year. We did not hit profitability, hopefully we can reduce our TACOS further and increase our gross margin at the same time.
Sampler packs were our 2nd best performing product in total sales, generating bulk of sales in December. It is highly giftable but we noticed that we were not able to convert at the best CVR.

SWOT

STRENGTHS:

Having an off-Amazon brand presence is essential for growth in 2025. Any off Amazon brand growth will result in branded traffic growth on Amazon.
We have established a good variation of the product line in the coffee niche. We have variety in region, grind and size.
We have gained a lot of PPC data and have search term data for the entire year available.
Solid product reviews and ratings.

WEAKNESSES:

Our gross margins have been a cause for concern. Combine low gross margins with low CVR and we are losing on sale.
We are in a very competitive market and we need to be spending a lot to outcompete our competitors selling at lower prices.
Our CTR is also cause for concern.

OPPORTUNITIES:

With increasing sub and save count we do have an opportunity to increase our recurring revenue. This is something we should build on.
We should work to improve our gross margins that allow us to be more competitive and at the same time improve our profitability.
Improving our listing content to improve our CVR and CTR. I believe we have a lot of room for improvement.
Increasing off-Amazon presence and bringing those customers to Amazon will improve our sales over time.
We have our USP of sustainable sourced coffee. We need to promote our uniqueness better than our competition and understand the nature of our customer.
Changing our variation structure. Not run ads to our 5lb bags, but run all our ads to 12 ounce bags and maybe get the customer to go for the bulk offer.

THREATS:

The saturation of the coffee market is cause for concern as competitors keep lowering prices.
Amazon has changed its TOS on titles, bullets and more. Definitely something we need to be cautious of for our listings as we do not want them to suspend our listings or our account.

STRENGTHS:

Having an off-Amazon brand presence is essential for growth in 2025. Any off Amazon brand growth will result in branded traffic growth on Amazon.
We have established a good variation of the product line in the coffee niche. We have variety in region, grind and size.
We have gained a lot of PPC data and have search term data for the entire year available.
Solid product reviews and ratings.

WEAKNESSES:

Our gross margins have been a cause for concern. Combine low gross margins with low CVR and we are losing on sale.
We are in a very competitive market and we need to be spending a lot to outcompete our competitors selling at lower prices.
Our CTR is also cause for concern.

OPPORTUNITIES:

With increasing sub and save count we do have an opportunity to increase our recurring revenue. This is something we should build on.
We should work to improve our gross margins that allow us to be more competitive and at the same time improve our profitability.
Improving our listing content to improve our CVR and CTR. I believe we have a lot of room for improvement.
Increasing off-Amazon presence and bringing those customers to Amazon will improve our sales over time.
We have our USP of sustainable sourced coffee. We need to promote our uniqueness better than our competition and understand the nature of our customer.
Changing our variation structure. Not run ads to our 5lb bags, but run all our ads to 12 ounce bags and maybe get the customer to go for the bulk offer.

THREATS:

The saturation of the coffee market is cause for concern as competitors keep lowering prices.
Amazon has changed its TOS on titles, bullets and more. Definitely something we need to be cautious of for our listings as we do not want them to suspend our listings or our account.