What makes a successful coffee shop? I would like to open an artisan coffee shop in the next three to five years, I have a few ideas which will set it apart from other specialty shops.  However, when coming up with a business model, how should an owner weigh the product that is being served to its customers?  Is it more about the experience and atmosphere and quality of the product? I have zero background in business modelling or development, but would like to get a few pointers in terms of moving forward with this.
You're going to have to understand the market of the local area of where you intend to have your coffee shop. When starting out, I highly doubt people from miles away would travel just to receive a cup of coffee from your shop. So before you've been able to establish a brand you'll need to start somewhere, and that is providing for the local community.

An unfortunate observation of mine is that it seems as though there is a majority of people who do not actually know what a good cup of coffee is like nor do they care; it's all about the caffeine fix or the environment of the shop itself. Very few people will be extreme critics of the quality of your coffee and depending on where you wish to be located you may be targeting the busy commuter that pops in to get his fix, or the chill artist that wants a relaxing environment.

Target your local area and find out what people like and what ideal direction you want your coffee shop to be going in i.e. do you want to open more stores elsewhere? Do you want to become a brand that also roasts it's own coffee and makes blends? Know what direction you want to go in should help mold what your coffee shop evolves into and what type of customer you will target.