Evolve North

Why a 10-Cent Price Increase Isn’t Enough for Your Café Right Now

If your coffee supplier recently raised their prices by around $5 per kilogram, you’re not alone. It’s an industry-wide adjustment in reaction to rising green bean costs (most recently due to drought in Brazil), logistics expenses, and inflationary pressures.

A modest 10c increase per cup would cover that cost in coffee alone, but here’s the reality: it won’t be enough to keep your café resilient in the face of today’s economic challenges.

The Big Picture: Rising Costs Everywhere

Beyond coffee beans, every corner of your café’s expenses is increasing:

  • Rent: Commercial leases continue to climb.
  • Wages & Superannuation: Fairly paying staff is more expensive every year.
  • Utilities: Electricity, gas, and water rates are steadily rising.
  • Consumables: Everything from takeaway cups to cleaning supplies is costing more.

And then there’s the cost-of-living crisis, which isn’t going away anytime soon.

The Sustainable Move: A 50c Increase Per Cup

While a 10c increase might help the books today, it won’t safeguard your café’s future. A 50c increase per cup creates room to absorb rising expenses, invest in staff, maintain quality, and weather economic uncertainty.

This isn’t about overcharging your customers—it’s about valuing your product, your team, and your service.

How to Communicate This to Customers

Transparency is key. Customers understand costs are rising everywhere, and they value their local café. A simple sign at the till explaining the need for a price adjustment goes a long way.

“To continue serving exceptional quality coffee, supporting our team, and keeping our space welcoming, we’ve made a small 50-cent adjustment to our coffee prices. Thank you for your continued support and understanding!”

Stay Ahead of the Curve

Don’t wait until margins are squeezed too thin. Small, proactive changes today will ensure your café isn’t just surviving—but thriving—tomorrow.

If you’d like more tailored advice on adjusting pricing, product positioning, or creating customer communication strategies, reach out to us at Evolve North.

We’re here to help cafés like yours grow sustainably, one cup at a time.

 

 

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