Innovation

The innovation that BUZZ COCOA has created is a healthier alternative to other caffeine products on the market. The innovation emerged in the spring of 2015. It emerged "when I was meeting up with a friend and suggested that we go to the nearby Starbucks. My friend expressed his dislike for coffee and tea and ultimately confessed that he did, in fact, like hot chocolate. Fast forward two weeks, and another friend expressed their disgust when I told them of my love for espresso. Then it clicked and a light bulb went off - make something that had the effects of coffee but didn't taste like coffee."

After these two events, Zachary Barden decided to pursue his idea. Coming from a household of chemical engineers, Zachary consulted his parents about the idea. “I asked my dad, is it possible to mix caffeine and hot chocolate? He told me yes, but you need to watch out for this, this, and this. So I saw the potential and decided to give it a shot." The three things that his father told him to watch out for were powder density in blending, sublimation of the caffeine, and the product shelf life. He decided that he was capable of creating a newer and healthier product despite these obstacles. By himself, he created a formula, perfected it, and started distributing it.

A year later, Zachary found tremendous growth within his company through an increase in interest among his consumers. "From the first fiscal year to the next, it yielded 515% growth in sales and consumer rebuy rate was up to 60%." The innovation for Zachary was driven by his mission of inclusion. "I wanted to level the playing field for those who wouldn't have caffeine because they didn't like the current products. People would lag behind their peers because they didn't get that same boost every morning. Now there's an option for them and they can compete effectively and not be at a disadvantage. Oh by the way, it's only 72 calories per cup."

Inspiration

As stated before, Zachary came up with the idea for caffeinated hot chocolate after his friends expressed their dislike for coffee despite them liking the effects of caffeine. Hot cocoa was the drink that he set his sights on because "cocoa was the closest comparison to coffee when taking into account the variety of coffee products such as the mochas, lattes, and other offerings. There are many similarities between the two. Coffee is hot. Hot chocolate is hot. A mocha tastes sweet. Cocoa tastes sweet. Coffee comes from a bean. Cocoa comes from a bean. It was so similar and therefore could effectively fill in as an alternative."

Zachary also likes to point out that the drink itself only contains 72 calories per cup. "Another big motivation about doing this was that I realized that I was giving away calories to Starbucks and buying into an unhealthier lifestyle. Mochas were my drink of choice whenever I would go because I enjoyed the sweetness and taste. However, an average mocha from Starbucks has close to 400 calories per cup and it was absurd! Part of my motivation was to find an avenue to get people caffeine with a great sweet taste but without the negative calorie effects that a Starbucks mocha would have. I also made it cheaper to get a similar sweet taste with the same amount of caffeine, which saves people money."

Overall impact

In this case, the innovation is the business. There would be no company without the innovation of BUZZ COCOA. All of the profits for the company are currently being generated off of BUZZ COCOA's original and seasonal flavors of the hot cocoa. The innovation does impact society as well. As stated previously, it provides consumers the liberty of options. BUZZ COCOA is attempting to create more choices for consumers and provide healthier alternatives to other caffeinated products, all while helping people save money. The short-term effects of the innovation are that a new concept was brought to the market, people are shocked by the product, and people are growing dependent on the product.

The long-term effects of the innovation are that it will continue to provide a new sustainable caffeinated beverage to the marketplace while continuing to push people to a healthier alternative that also saves money. The concrete evidence that these impacts have occurred are "constant demand for supply. The first year, there was only a 15% rebuy rate. After the first year, it jumped to a 60% rebuy rate. The statistics speak for themselves. I have people emailing me as soon as my products display "sold out" on the website, asking when a new shipment will arrive. I create so much BUZZ, no pun intended, yet I constantly struggle because of the huge surplus of demand. It's crazy! I also have people emailing me saying how BUZZ changed their life for the better and thanking me for it. People love it and I don't blame them. That's why I created it."

Business benefit

The innovation of BUZZ COCOA created the entire business. From the first fiscal year to the next, BUZZ COCOA experienced 515% increased sales and a 60% rebuy rate due to the new innovation. The product also increased its founder's, investors' and employees' confidence in the company which could lead to more investor and employee interest.

Social and environmental benefit

BUZZ COCOA offers a message of inclusion by offering a product that levels the playing field with coffee, tea, and other energy products for people who do not desire such products yet still want the same effects. BUZZ COCOA is also a healthier alternative to similar products which helps to promote good health and well-being for all of society. In addition, BUZZ COCOA has previously reported, while also projecting, increased growth which can help to promote job creation for their suppliers and themselves as a company.

Interview

Zachary Barden, Founder