Aug. 26, 2022

Jacob Limmer acknowledges at first that his specialty coffee might seem a mismatch at Walmart.

Limmer, the owner of Brookings-based Cottonwood Coffee, is one of more than 80 roasters that comprise the Coffee Collective Co., which is based in Bentonville, Arkansas.

“It could appear odd at first glance to put our coffee in Walmart. The Walmart coffee aisle is not known for high-quality coffee offerings,” Limmer said.

“My perspective is that the vast majority of coffee drinkers in the United States sacrifice convenience for quality and, if offered a better option, have a true interest in drinking good coffee. I personally have an aversion to other specialty coffee businesses that can easily tend toward being pretentious or condescending in their pursuit of quality. They unintentionally alienate so-called regular people in the process.”

Photo by Christine Rausch

For instance, the craft beer industry has shown that “with the proper approach, consumers will gladly place a premium on a high-quality, locally produced product,” he continued. “Our hope is that by putting our coffee in Walmart, some consumers that are currently settling for average or even mediocre coffee will have an easier and better option.”

He said he’s optimistic the initial phase will lead to broader distribution in other Walmart locations and large retailers.

“The specialty coffee industry is a surprisingly small community. Having been in the business for 16 years now, I have managed to meet and form relationships with many of them,” he said.

The Walmart deal is a direct result of that, he said. Limmer received his Q grader certification at the same time as a co-founder of the Coffee Collective. The distinction is one of the industry’s highest certifications and “indicates an exceptional ability to sample, taste and qualify coffee,” he said.

The closest Walmart stores to South Dakota that carry the coffee are Marshall, Montevideo and Willmar, Minnesota. Walmart caries three Cottonwood signature blends: Bluestem light roast, Glacial Till medium roast and Badlands dark roast. Cottonwood also carries many single-origin coffees and other blends in its stores and online.

“We are optimistic that this program is a success and other Walmart stores, like in South Dakota, will participate in the future,” Limmer said.

As a company, “Cottonwood is facing many of the same challenges that other local and national retailers are facing,” he added. “Rising costs of goods and difficulty with hiring and retention being the most significant. We have and continue to offer what we feel is competitive compensation, but there is an upward pressure on that as well.”

He said he thinks those are temporary challenges, though, and the business is focused on growing its wholesale division and improving internal training and processes.