by Matthew Landan » Wed Jan 09, 2008 3:10 pm
Coffee drinks do not cost pennies to make. I wish they did.
As an owner operator let me tell you that while the beans may be relatively cheap (wholesale price is about $7 a pound) milk certainly isn't. It's more expensive then gasoline most days!
I wish I was making $2 or $3 every time I pulled a shot but it just isn't so!
Add in cups, lids, equipment, utilities and rent and actually our margins aren't nearly as good as those of a cocktail bar or even those French fries McDs is so famous for.
I agree a $5 latte is too much. But when you pay $1 for a bottle of water or a soft drink and $2 minimum for a beer at a bar ($3 if it's a microbrew quality product) then paying $3.25 for a 16oz latte seems quite reasonable to me (my price at my shop).
I don't believe it's possible to make espresso drinks at home that come anywhere near to the quality level produced by coffee joints like Jackson's Organic, Sunergos or Ray's Monkey House without spending about $1000 on a home espresso machine or grinder.
If you're just talking about drip black coffee then yes certainly it's much cheaper to make a pot at home in as much as it is cheaper to buy a six pack at a grocery store then it is in a bar.
When you go to a cafe, you're not only paying for the coffee but also buying into a feeling, an atmosphere and lifestyle.
It's no different than a restaurant selling spaghetti with meat sauce for $9.99 a plate. Make it at home and you'll get the same for 15% of the price.
As for McDs and their pricing:
I expect to see them come in with a $2 cappuccino & a $3 latte with a mocha priced to match their milkshakes at about $4 for a 16oz.
I'm sure if you want to add in another shot or super size something then the cost will reach up to $5.
Last edited by Matthew Landan on Wed Jan 09, 2008 3:58 pm, edited 1 time in total.
Owner
Haymarket
331 E. Market St.
Since I came down from Oregon, there's a lesson or two I've learned
Oh, oh the Pride of Cucamonga, of, of silver apples in the sun,
Yes, it's me, I'm the Pride of Cucamonga, I can see golden forests in the sun.