Nov Financial Update
November 2024 has passed, and with it another financial update. Although we failed to launch with a few key partners, the month wasn’t a total loss. We gained ground in terms of growing or social and marketing presence, and were still able to donate a decent amount. December growth may slow with the holiday season around us, but we will continue to reach out to partners as our growth strategy.
Our Instagram followers grew from 17 to 80, and our newsletter has grown from 4 to 45 subscribers due to a giveaway we did at the end of November. We will continue exploring different strategies to continue to grow our marketing reach.
Revenue and Sales Performance
Product revenue reached $445, a 37% month-over-month decrease, the slow down was due to a slower launch with new partners than we initially anticipated. Understanding our weakness in terms of marketing prowess, we decided to spend resources in growing our social media presence and marketing reach. We’ll continue on both partnership and marketing growth strategies to reach a more stable level of revenue that we can self rely on.
Breakdown of Expenses
Running an online store comes with its set of operational costs. Here’s how our expenses were allocated in November:
Transaction Fees: $17.78 went towards taxes and fees as it relates to paying out our payment processors.
Marketing: $65 went towards paying for ads on Instagram to increase our newsletter subscription and follower count.
Expenses came back down due to no design costs. We’ll be looking into investing more into our marketing side as we continue our mission.
Profits and Donations
Koffiyeh generated $292.05 in profit in November, a 15% drop month-over-month net profit. We had a lower than expected turn out from our partners marketing efforts, leading to the downturn. We were still able to produce some level of profits due to a wholesale invoice that was recovered, and generous ongoing donations from our customers.
Profits will be rounded up to $300 and donated to HDF which will helps in the humanitarian aid of those affected within Gaza. Koffiyeh will also cover the transaction fee costs to provide maximum benefit to the organization.
Looking Ahead
The month of November was an overall success, as we were profitable and grew our social media presence. We want to carry on with this momentum and work towards. Here’s what we are working on in the coming months:
Continue building partnerships with well established non-profits and content creators to help propel visibility of Koffiyeh.
Try different marketing strategies to grow our marketing reach.
Partner with a local roaster and build out logistics network with them to have more control over product offerings and costs.
Creating a membership program to donors, so that they can have more say in the direction of Koffiyeh.
Partnering with event based coffee brands to have a greater reach to potential coffee lovers.
Continue on exploring options to wholesale Koffiyeh to physical locations.
