1. Customer Testimonials
  2. Philz Coffee

Philz Coffee Brews Business Success with NetSuite

Philz Coffee

Company

Philz Coffee

Location

San Francisco, Calif.

Industry

Retail
Food And Beverage
Restaurants And Hospitality
Wholesale Distribution

NetSuite Modules Deployed

NetSuite ERP
NetSuite Advanced Inventory

“NetSuite is a very important tool that helps us work efficiently and effectively, which results in us being able to scale and grow faster.” Philz Coffee

Customer Success

  • NetSuite supplies Philz with a scalable platform for end-to-end business process efficiency, covering accounting/finance, inventory and warehousing, order management, procurement and sales, and ecommerce.
  • Philz revenue has soared 400% since implementing NetSuite in May 2010, with rapid growth to 13 coffee shops in the Bay Area and a vision for hundreds in California and beyond.
  • NetSuite's integration and attention to detail aligns with Philz' customer-centric approach to hand-crafted coffee, "one cup at a time."
  • NetSuite helps Philz streamline and grow its wholesale distribution channel to more than 100 buyers, including Whole Foods, Virgin America, LinkedIn, Yelp, Facebook, Google.
  • Leveraging efficiencies gained in the cloud, Philz is disrupting the Bay Area coffee industry and improving its competitive position vs. much larger rivals such as Starbucks and Peet's.
  • Philz relies on NetSuite to simplify and speed coffee procurement from suppliers that source beans from such nations as Yemen, Ethiopia, Peru, Sumatra, Timor, Kenya, Indonesia and others.
  • NetSuite Inventory Management gives Philz real-time visibility into stock in stores and its 20,000-square-foot Bay Area warehouse, with store managers empowered to reorder as needed.
  • NetSuite manufacturing capabilities support packaging and light assembly of custom coffee blends, with a bill of materials feature used to conceal secret ingredients.
  • Real-time business dashboard gives Philz management on-demand visibility into such key metrics as margin, customer count, average ticket, sales by store, labor costs and more, with drill-down into detail.

Challenges

  • Entry-level Intuit QuickBooks accounting system lacked scalability and deeper functionality required to support Philz' ambitious growth plans.
  • Philz struggled with time-consuming manual work in tracking and replenishing inventory, reporting on sales and other key metrics, and managing transactions with suppliers and corporate customers.

Solution

  • In preparation to pursue growth, Philz opted for NetSuite's single, integrated cloud business management solution for superior scalability and flexibility.
  • Selected over SAP, NetSuite's cloud architecture enables the company to avoid high IT capital costs and ongoing maintenance typical with the alternative of on-premise software and servers.
  • Enterprise-caliber cloud solution means that Philz will not need to endure a costly and disruptive upgrade several years down the road.

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