Hey Ed, We want to drink better coffee around here in our office.
But, I want to "compare" the cost of All Day Gourmet Coffee to the coffee we buy at the grocery store or discount warehouse.
How do I do that?
Since All Day Gourmet Coffee is a higher quality coffee, and it is packaged "by the pot" (not in a can) how do I correctly compare costs?
Joyce Ottignon, NEC Systems
Princeton, NJ
Myth: Compare coffee on "price per pound".NOT!
Why? Because we drink coffee by the cup, not by
the pound.
Think about this one example.
We buy and consume milk by the gallon.
So, the correct way to compare milk prices is "by the gallon".
You can think of lots of other examples where you "buy and consume" in a similar way.
Insurance, by the year – compare the annual premiums.
Tomatoes, by the pound – compare the cost per pound.
But, we brew coffee by the pot and consume it by the cup.
Therefore, the correct way to compare coffee prices is "by the cup".
All Day Gourmet vs. Coffee-in-a-Can1. Compare Quality
For starters, our All Day Gourmet Coffee is a premium gourmet quality coffee – 100% Arabica beans that deliver a smoother, consistently better tasting coffee than the "other guys".
Many of the commercial Coffees-in-a-Can are made from lower grade coffee beans,
like Robusta beans. You'll even find some Coffees-in-a-Can which are very low
grade 100% Arabica beans.
2. Compare Cost
Comparing costs is simple and easy to do. Just a few steps is all it takes. No
big deal, really.
Here's what you need to know
1. Type of coffee you are buying 2. Quantity of coffee you are buying 3. Add your state sales tax 4. Add your cost of "getting it"
Here's How You Do It – Step by Step1. Type of coffee you are buying
The type of coffee you buy is generally "regular vs. decaf" or "regular roast
vs. dark roast".
Since prices vary depending on the type of coffee you buy, be sure you compare
"apples to apples".
2. Quantity of coffee you are buying
This is pretty straightforward for both All Day Gourmet Coffee and Coffee-in-a-Can.
All Day Gourmet Coffee
Coffee-in-a-Can
Packaged in pillow packs or filter packs 40 pots of coffee per box Each brews a full 12 cup pot of coffee Total of 480 cups of coffee per box Brews same cups as 2 cans of coffee
Popular value size ="2 pound can" Approx weight actually 39 ounces
(2 pounds, 7 ounces) Look on side of can, brews 240 cups 2 cans brew 480 cups of coffee 2 cans = one box of
All Day Gourmet Coffee
Adjustment: If you like your coffee robust, full and flavorful – and most coffee drinkers do – chances are you use more coffee when you brew.
Result: you get less than 240 cups of coffee per can.
How can you tell? Well, if you really fill that filter basket full – because you don't like "weak coffee" – then experience shows that you probably get somewhere between 190-210 cups of coffee per 2 pound can.
3. Add your state sales tax
Okay, now add your state sales tax to the cost of your coffee.
4. Add your cost of "getting it"
You have "getting it" costs involved whether you have your coffee delivered to you or you send someone on a special trip to get it. That's just the way it is.
For instance, we deliver right to your home or office via UPS, while other vendors offer free delivery when you order is, say, $50.00 or more.
Yes, sometimes you can just pick up the coffee while you're already making a trip to the store. Other times you have to make a special trip. Time off work (or worse, using your spare time) along with auto mileage are the two most common costs.
When Comparing, Keep This in Mind Your taste preference for coffee is unique (weaker, regular, or stronger) Coffee prices vary from region to region around the USA Coffee prices change (1997 marked a 20 year high in coffee prices)
Coffee can sizes (weights) also vary State sales tax rates vary from state to state Your cost of "getting it" may also be different
Handy Comparison Chart – Real Life Example
Here are a few "real life" examples of folks who are now our customers. Yes, they all used to buy coffee-in-a-can before they learned how to compare.
Example: Office/warehouse brews 8 pots of coffee per day, 5 days per week Total coffee needed = 40 pots per week, 160 per month Buy enough coffee to last for approximately five weeks Brewing strength "not too strong" (regular)
All Day Gourmet Coffee = 1 Master Case for five weeks (200 pots per case) Coffee-in-a-Can = 10 cans for five weeks (20 pots per can) Sales tax = 5.00%