*By Carlo Versano* In 2013, Joshua Zad founded Alfred with an odd business plan for a coffee shop: the coffee would come second. Zad, also the company's CEO, told Cheddar that his idea for an experiential, design-focused coffee house ー which is now right on trend ー was far outside the mainstream just a few years ago. Borrowing from his background in commercial real estate, Zad took a "real estate perspective first" ー finding neglected neighborhoods or storefronts near popular destinations ー and set up shops with a "worn-in" and "cozy" look and feel, populated by baristas decked out in Rag & Bone aprons that have become Alfred's hallmark. Specialty coffee has been a growing segment ever since Starbucks ($SBUX) convinced consumers it wasn't outlandish to spend $4 on a cup of joe. But it has mainly been the realm of hipster-run shops with Scandinavian minimalist decor ー outposts where baristas would focus a laser-like attention on each order. Alfred turned that on its head, Zad said. Alfred's aesthetic (its tagline, "But first, coffee", has become its own hashtag on social media) is a hit among celebrities and influencers on Instagram, owned by Facebook ($FB). Zad took it even further by selling a different kind of real estate: the shop's coffee cup sleeves. Those sleeves ー with design collaborations from Disney ($DIS), apparel brand Lululemon ($LULU), dating site Bumble, and local artists ー are now collectibles in their own right. And they're just another way to get people in the door ー the key for a volume business like coffee. The fast-growing chain now has 12 locations throughout Los Angeles and Japan, with as many as 15 more on the way for L.A., according to Zad. That includes the Alfred Tea Room, which expands the concept for tea drinkers, a segment of the market Zad said has long been neglected. "Coffee is having a moment," he said. "But tea is not far behind and is having a renaissance of its own." For full interview [click here](https://cheddar.com/videos/alfred-coffee-founder-talks-iconic-brand).

Share:
More In Business
Is U.S. Restaurants’ Breakfast Boom Contributing to High Egg Prices?
It’s a chicken-and-egg problem: Restaurants are struggling with record-high U.S. egg prices, but their omelets, scrambles and huevos rancheros may be part of the problem. Breakfast is booming at U.S. eateries. First Watch, a restaurant chain that serves breakfast, brunch and lunch, nearly quadrupled its locations over the past decade to 570. Fast-food chains like Starbucks and Wendy's added more egg-filled breakfast items. In normal times, egg producers could meet the demand. But a bird flu outbreak that has forced them to slaughter their flocks is making supplies scarcer and pushing up prices. Some restaurants like Waffle House have added a surcharge to offset their costs.
Trump Administration Shutters Consumer Protection Agency
The Trump administration has ordered the Consumer Financial Protection Bureau to stop nearly all its work, effectively shutting down the agency that was created to protect consumers after the 2008 financial crisis and subprime mortgage-lending scandal. Russell Vought is the newly installed director of the Office of Management and Budget. Vought directed the CFPB in a Saturday night email to stop work on proposed rules, to suspend the effective dates on any rules that were finalized but not yet effective, and to stop investigative work and not begin any new investigations. The agency has been a target of conservatives since President Barack Obama created it following the 2007-2008 financial crisis.
Load More