I met a colleague at ink! Coffee in Denver last week. I appreciate great coffee as I’ve blogged about before and was really looking forward to trying ink!’s.

My first impression was positive as the barista welcomed me and briefly shared ink! Coffee’s philosophy regarding product quality and freshness.

After determining that I was meeting someone for coffee, she dispensed the coffee into a sturdy ceramic mug—which was refreshing. I took my first sip and was truly impressed with the quality. As advertised, it was rich, smooth and not at all bitter.

About twenty minutes into my appointment, the barista came by our table and mentioned to me that they offer free refills.

“Free refills?” I said. “That’s great! I’d love one. Thank you.”

Then she said something that shocked me.

“Oh…but I don’t get it for you. You have to go to the counter to get it.”

She then justified her response by explaining that we were a team and, as such, we all played different roles. Apparently, her role was to prepare and sell me a cup of coffee and my role was to pause my meeting, get up, go to the counter, and wait in line to request a refill.

ink! Coffee’s slogan is: Coffee. Above all else.

Clearly, this includes customer service.

In the men’s restroom, there is a sign boldly displayed which reads:

THE INK ON ink! COFFEE

In 1994, ink! started in Aspen, Colorado with one cart and a lot of passion. We continue to hand-roast our coffee at high elevation in the mountains which allows us to roast longer at a lower temperature making the coffee rich, smooth and never bitter.

Beans are delivered fresh to ink! stores, brewed into coffee, and served to adoring customers. And because we take pride in freshness, we only keep a pot of coffee around about as long as it took to brew it. Same goes for beans. We never stockpile them.

Our baristas have a passion for great coffee (without the attitude). And most importantly, they know how to make the perfect cup.

At least they’re consistent. This sign really does accurately capture the ink! Coffee culture that I experienced: A focus on coffee—not the customer. Notice the only reference to customers is in the second paragraph where we’re described as “adoring.”

I found this definition of “adoring” at Merriam-Webster.com: To worship or honor as a deity or as divine. In the context above, it would seem that customers are expected to “worship” ink! Coffee. That’s flawed. It’s reminiscent of American automakers’ attitude towards their customers until they began defecting to imported brands at an alarming rate. Only then did Detroit begin to refocus on customers.

In the third paragraph, it’s noted that “baristas have a passion for great coffee…And most importantly, they know how to make the perfect cup.” Both of these references have to do with ink!’s product, not service. In fact, there’s no mention of customer service anywhere—so I really shouldn’t have been at all surprised that the barista had no intention of refilling my cup of coffee for me.

I am a huge supporter of smaller, independent brands that compete against the behemoths and I want to see them succeed. That said, it’s unlikely for a coffee shop (or any other business) to succeed based on product quality alone. Service quality must be part of the equation.

If I were advising ink! Coffee, I would emphasize that its highest priority should be to create promoters of the ink! Coffee brand.

Global consulting firm Bain and Company defines promoters as those customers who are the least price-sensitive, have the highest repurchase rates, and are responsible for between 80 and 90 percent of positive referrals to a company or brand.

Promoters respond to the question, “How likely is it that you would recommend ink! Coffee to a friend or colleague?” by selecting 9 or 10 on a zero-to-10 scale with 10 indicating they are extremely likely to recommend.

Promoters recognize product quality and they expect a commensurate level of service quality. If customers get one without the other, they’re less likely to recommend the company or brand to others. And, by definition, they’re not promoters. They’re either passives (indifferent about your brand) or detractors (responsible for 80 to 90 percent of the negative word of mouth).

ink! Coffee has a great location in Cherry Creek and an amazing product. But the reality is that there is a Peet’s Coffee & Tea and a Starbucks located on the same street. And ink! simply will not succeed in creating promoters and growing market share by focusing exclusively on product quality while remaining indifferent about the customer experience.

Last night I was watching the men’s 1000 meter Olympic speed skating event at the Winter Games. The defending Olympic champion, Shani Davis, dominated the field of skaters, winning the gold medal.

What was interesting to me was a remark by one of the television commentators. He said that Davis, an American citizen, lives and trains in Vancouver—just outside the Olympic Village—and that one of his good friends, Denny Morrison, is a member of the Canadian speed skating team. For two years before the Torino Games they trained together in Calgary, pushing each another to excel.

The commentator went on to say that, for competitive reasons, the coach of the Canadian team would not allow competing skaters to practice against the Canadian skaters before this year’s games. He suggested that this decision might have been short-sighted, as members of the Canadian team may have benefited from competition beyond what was comfortable and familiar to them.

That got me thinking about the nature of competition in business.

Intuitively, business operates with a scarcity mentality that suggests that there is a finite “pie” and that, if you get a larger slice of the pie, then I somehow get less. That’s why companies file patents and trademarks—to protect their intellectual property, conceal it from competitors, and use it to gain a competitive advantage in the marketplace.

The most successful businesses do not operate from a position of fear and scarcity. They lead from a position of confidence and abundance. These companies recognize that the “pie” is not finite. The size of your slice of the pie has little to do with the potential size of my slice because the pie has the capacity to grow exponentially.

This brings to mind an old Xerox print ad. In one frame, a little boy’s lemonade stand was suffering at the hands of a little girl’s competing lemonade stand, where a line had formed.

In the next frame, the boy had added a vase with a single rose to his lemonade stand and, to the girl’s dismay, the line had moved to her competitor’s stand.

The caption beneath the second frame read: “When companies compete, products get better.”

Whether in athletics, business, or another endeavor, competition is not something to fear and avoid. It should be welcomed and embraced. From a business perspective, all of us have something to learn from our competitors that will enable us to improve the product and service quality we deliver to customers.

What will your lesson be?

There’s a bagel restaurant in my neighborhood that posts a sign on its front door that reads, “No outside food or drink!” Apparently, the owner feels threatened by the Starbucks kiosk located inside the Albertsons supermarket next door.

The owner must think that by posting this sign he will deter the competition from cutting into his sales of high-margin lattes and espresso drinks. What he doesn’t realize is that people do not want to be forced to drink a mediocre alternative to their favorite coffee beverage.

The last time I bought a bagel in his shop was four years ago. At that time his sign was more specific and said something like, “No Starbucks beverages allowed on the premises!” It was such a turn-off to me.

I understand the owner’s underlying intent: to limit the erosion of his own beverage sales by keeping the competition’s beverages out of his sit-down bagel restaurant.

Ironically, the message had a different effect on me. I’d rather enjoy a good cup of coffee than eat one of his bagels. In fact, I presently drive to another bagel restaurant that is four miles further from my home. It also sells coffee and has a Starbucks retail store next door. The difference is that it does not censor the competition’s coffee.

I wonder what would happen if the bagel restaurant owner would remove the sign and accept (or at least tolerate) customers who entered the restaurant, Starbucks in hand, and ordered one of his bagels for dine-in?

On the one hand, bagel sales from people like me who resent the sign would increase. On the other, beverage sales might decrease due to granting customers the option to drink the competition’s coffee beverage on the premises while enjoying their bagel.

What might the owner do differently in order to address a situation where customers are consuming more beverages from Starbucks than from his own restaurant?

What if he invested in the quality of his coffee beverages to rival top brands such as Starbucks and Dunkin’ Donuts—who are renowned for their coffee? Perhaps he could then offer a complimentary 12 oz. refill to (in addition to customers who purchase his coffee) customers who come in with a coffee beverage from the competition.

Imagine the effect this could have. Customers who have never tried his coffee may, after sampling it, agree that it’s as good as or perhaps better than the coffee they ordinarily drink. Customers will appreciate the value they receive by enjoying a complimentary 12 oz. coffee refill. If the customers choose to remain at the restaurant rather than taking their refill to go, maybe they will order a second bagel or a muffin to enjoy as they linger?

Instead of putting up barriers to the competition and limiting customers’ freedom of choice, why not relax the barriers and let customers decide?