Friday, July 18, 2008

A Latte or a Flat White? A Double or Single Shot? The Cost is....

I do love a good Latte and don't mind paying a reasonable price for one.

What I do find interesting is when you go to a Cafe where all Flat White's / Latte's are a double shot and you might ask for a single shot, but there is no discount in the price.

For those who order Long Blacks and ask for a 'triple shot' I guarantee their is a cost for the additional shot of Coffee, so why don't Cafes reduce the price for single shots?

1 comment:

Anonymous said...

I think you are assuming that the majority of the cost of your latte is a variable cost...

The major cost of coffee is the cost of the overhead involved in supplying it (e.g. the cup, the table, the chair, the staff's wages... ).

There's the same principle when you go to the movies and can order a small/med/large coke at $3.80/$4/$4.20/..