Raising coffee’s value in the eyes of consumers: a starting point
Over the summer we wrote a couple of articles establishing the need for the coffee industry to raise the perceived worth of coffee in the eyes of consumers.
- We think, by and large, that a cup of coffee is too cheap
- More specifically, that there is not sufficient variation at retail in the pricing between the lower end and the higher end of specialty coffee
- That too many coffee shops have too similar propositions and formats
- Consumers have different needs and aspirations that are either not being met, or are being poorly met, by the market
- That many consumers are willing to pay more for coffee, but the key constraint to raising prices is the culture of benchmarking within the coffee community
- That alternatives exist to raising prices, but for many operators their options are, in practice, more limited because of the current structure of the market
So, assuming you wish to charge more for coffee, maybe the best place to start is by doing some analysis on your current product range and proposition.