HomeRoast Digest


Topic: Re : Getting (brewed) coffee prices right (5 msgs / 133 lines)
1) From: kevin creason
Denis-- it was suggesting new pricing for brewed coffee, not bean.
However, quick math seems  there are 25 double shots per pound (wow, that
low?).
$2.50 for a double (is that close?) is 62.50 per pound.
(based on 18gr loads for a double)
still happy paying over $60 for a pound of Americanos? ;-)
On Tue, Aug 26, 2008 at 8:06 PM, denis bordeleau  wrote:
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-- =
-Kevin
/* Never argue with an idiot. They drag you down to their level and beat you
with experience. */
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2) From: Ben Lowery
kevin creason wrote:
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Well, as others have stated, you're not just paying for the coffee.
You're also paying for:
* power to heat the water, run the machines, keep the lights on
* the water itself
* wages
* rent
* advertising
* shop upkeep
* taxes
* insurance
It would be interesting to see how all this breaks down for a real cafe
who also roasts. Just the wage to make an americano must be something
like $7/hr * 2m, so 25 cents-ish. If they pay $5 a pound for roasted
coffee, that's 20 cents per Americano, though I have no idea if that's a
realistic figure.
Any shop owners on the list want to chime in? :)
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3) From: miKe mcKoffee
Actually standard calculation more like 20 dopios per LB (takes into account
sinkers etc.), average dopio more like $2 not $2.50. So let's say that's $40
gross per LB. Wholesale cost LB good espresso blend $8.50 seems nice net
profit of $31.50 LB. But wait, factor in the cost of opening the door (my
place $100 per day), cost of labor, cost of either paper cup or
buying/replacing/washing porcelain cup and actual profit margin can become
quite thin. Not to mention capitalization to someday recoup to the tune of
tens of thousands of dollars just to pull those shots. How many shots would
it take to pay for just one $1k grinder after costs involved to pull those
shots? How 'bout $12k espresso machine? 
The blog article writer obviously knows nothing about what it takes to run a
business. So what if a medium and large Americano both are dopio at a given
shop and they charge more for the large. Guess what, water is NOT free and
larger ToGo cups cost more per unit to boot. And besides generalizations
always tick me off. I happen to charge the same for an 8oz or 12oz
Americano, both dopio. In fact charge same price as straight dopio shot.
16oz I charge more because it's a quad shot. So counter to my justification
support of some shops charging more for the water and more expensive cup I
choose not to but rather price average. 
So make 'em at home and save money. (Yeah right, just like home roasting
save money!) I guarantee if want to be able to come close to the top shops
figure at least ~$2k for grinder and espresso machine. Yes you can get
"into" espresso for substantially less, but you'll never match the shot
quality. My travel espresso machine (Rancilio Audrey, Silvia's older sister)
is not capable of the shots of my Bricoletta or Linea.
Kona Kurmudgeon miKe mcKoffee
www.mcKonaKoffee.com
URL to Rosto mods, FrankenFormer, some recipes etc:http://www.mckoffee.com/Ultimately the quest for Koffee Nirvana is a solitary path. To know I must
first not know. And in knowing know I know not. Each Personal enlightenment
found exploring the many divergent foot steps of Those who have gone before.
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4) From: kevin creason
Thanks, Mike. I'm keeping your post-- that is great stuff, and the kind of
response to the article I was looking for.
On Wed, Aug 27, 2008 at 5:11 PM, miKe mcKoffee  wrote:
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5) From: Joseph Robertson
Very nice wrap up miKe.
JoeR
On Wed, Aug 27, 2008 at 3:11 PM, miKe mcKoffee  wrote:
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Ambassador for Specialty Coffee and pallet reform.
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