How Newco Enterprises Inc. keeps customers content with a steady supply of the beloved brew
Newco Enterprises Inc. was founded in September 1974 by inventor, Enoich Vittoe, and his wife, Pauline, along with Nancy Webster, who was responsible for accounts, and me,” begins Joe Webster, Founder. “The team developed an automatic glass carafe coffee brewer. It was designed to deliver improved heating efficiency and to ensure reliable operation in areas with high TDS mineral levels, with the aim of reducing the expense of constant associated servicing requirements.
“The company factory is in Saint Charles, Missouri. We worked with local coffee companies in the Midwest, offering equipment for sale or rent. Alongside manufacturing, we began a remanufacturing service for equipment owned by coffee companies. As our expertise developed, we gained a broader knowledge of the competition’s equipment designs. Based on this knowledge and an understanding of the cost of parts, we developed a replacement parts program focused on frequent failure components, offering lower prices than those of the OEMs.
Listening to customers
“This program was very successful and enabled us to offer value products to customers throughout the North American markets. We then expanded in 1980 with the acquisition of Charter Design Equipment, based in Minneapolis. This acquisition brought with it an equipment production line, as well as the capability to fabricate metal cabinets. We made improvements to the equipment, rebranded it as Model R and standardized the replacement parts, thereby enabling customers to purchase without the risk of having to invest in different components. The Model R design meant we could begin offering a line of pour over and automatic fill coffee brewers to the fast-growing office coffee market.
“Over the next five years, we expanded sales and equipment rentals for market distribution and grew the company’s presence outside of the Midwest by means of a regional network of brokers and beverage product distributors. Our marketing approach for the office sector was built upon the simple philosophy of custom-built features alongside private labeling. This approach served us well and we were able to begin building equipment for customers who operated in the office, restaurant, and convenience store markets.
“Newco’s portfolio of equipment models expanded in line with customer demand, as operators were looking for equipment features that could be used as marketing tools. Customers were focused on energy management and multiple volumes to satisfy their employees during lunch and break periods. Our next investment was to vertically integrate into manufacturing electronic controls. This allowed us to quickly develop and customize equipment for customers seeking marketing advantages which included feature upgrades. This philosophy of listening to our customers’ needs has worked well for us throughout the years and continues to do so. Indeed, it’s a factor that differentiates us from the competition,” he explains.
Custom options
Today, Newco is a leading manufacturer of commercial coffee and tea brewing equipment and related accessories. The company operates in a state-of-the-art 120,000-square-foot facility and is vertically integrated with in-house capability of software and engineering design, metal fabrication, custom graphics, and electronic control board manufacturing processes. 
“Newco provides custom manufacturing for companies that need a proprietary solution to differentiate coffee and tea brewing equipment. Hot and cold beverages are one of the most profitable items for the many industries that offer them, and we have an extensive staff of personnel dedicated to serving our customers. The company has invested in both customer service personnel, and technical service support, as well as accounting,” Joe continues.
“We manufacture over 300 models. Many of those are customized, and the designs are only sold to proprietary customers. Our vertical integration means we have the in-house capability to fabricate metal and plastic components, build custom electronics and custom brand both equipment and containers. Our product line encompasses design-to-brew, coffee, teas and dispensed hot and chilled water. We have also expanded into post-mix dispensing, which supports high volume brewing sectors, such as healthcare and concession service. We manufacture and support an extensive line of thermal and heat assisted dispensers.
“I believe our success has been the result of treating our employees and customers in the same way we would like to be treated. We are focused on our customers’ success, and in many cases, this respect develops into long-term allegiances that form robust and enduring relationships.
“Our manufacturing processes require efficient use of materials and labor. To facilitate this, we have three automated laser cutting machines, and several press brake and turret punch machines as well as welding equipment. The electronics division is equipped with both surface mount and through hole assembly lines, automated testing, and software development, while assembly areas are agile and enable quick set up and tear down for custom product building. Our engineering team comprises a mechanical designer, tool makers, and compliance management staff.”
Looking to the future, Joe shares that the company’s next focus is on equipment automation. “Our efforts moving forward will concentrate on developing equipment that doesn’t require manual maintenance. We’re planning to expand our facility to 200,000 square feet in the next two years to support the manufacture of equipment automation. While the Covid pandemic impacted the food service and office markets worldwide, Newco’s 2024 has been improving. We continue to invest in the future with new manufacturing technology to improve efficiencies, and we hope to see the business increase revenues and sales by 50 percent. Building a business is a huge responsibility,” Joe concludes, “and it will always require hard work and personal sacrifice, but we’re proud of our solid reputation and dedication to our customers.”
www.newcocoffee.com