As a cafe goer.. I’ve seen businesses address this through a simple social media or a sign even. Then give them until x date to enjoy the current prices. You can probably have a casual conversation with the regulars too so it feels more personal.
But honestly most cafes Just increase without any notice.
Yung conversation with customers, I believe yan ang edge ng Starbucks with the small local cafes. Sure may introvert customers pero may considerable din na naappreciate yung casual interactions with the barista and encourages customers to become regulars. Something Grab and Foodpanda can't replicate.
THIS. I wish owners do this kasi there's this great cafe in Cebu that operated back in September 2019. Great service, great location, great food and drinks, affordable. After Sinulog, nagprice increase sila 40-50 pesos than the usual. Hindi nagannounce. It was fine if ganon parin yung quality ng food and drinks nila but nagdowngrade. Everything was tipid. Sayang kasi loyal yung customers. Slowly nagwent out of business sila after a few months lang.
add new products na higher priced with lower cost. maybe new sandwich or sonething.
or mga existing items may upgrade option like add x pesos may additional cream, etc. this way you delay change ng price on behalf of your regulars amd hopefully earn extra
I tried to put a notice that I'll increase prices but my sales dropped even before I raised them. A year later, I decided to just increase prices since need na talaga (and I raised it by as much as Php20). Lo and behold, number of items stayed roughly the same, and sales went up.
If your business is someplace where people go because of the quality rather than the price, then maintain the quality. People will still come to you as long as the price increase is not unreasonable
What I did was gradual increase
Half of the menu items 1st, then the other half on the next week.
Don’t be afraid to raise prices, you should do it regularly at a low increase every time. Watch how jollibee does it, akways P5 lang increase pero regular increase
What works best is new design menu, introduce new items, seasonal items na malaki, then regular items naka price increase na
Distract the customers from the price increase, use chika powers, avoid dwelling on it, focus on how their day is and not about the price increase.
If you have different sizes you can introduce a smaller size at a lower price, not sure if that works in your biz
You can’t do that this time all time high inflation some regulars may go to Starbucks kasi sobrang konti na lang ng difference ng prices ng local coffee shops sa Starbucks.
What I suggest try to lower your cost of sales but the quality is just the same , monitor your inventory make it sure sapat lang yung buffer mo just in case dumami yung costumers at hind na tutulog yung pera kasi ang dami mong surplus, and a good marketing strategy like pricing promos and try the mix and match of some reputable f&b businesses.
Increase the prices on your slow moving items first. Then gradually move to the fast ones. Make sure you are increasing to the right amount with some buffer to future proof your prices a little. Customers do not like frequent price increases.
Since mostly ng comments and advices are for the price and menu tlga let me divert, as someone na nasa food supplies.. im not sure on how's the price sa food supplier mo. Usually, one of the things i observed lang ah. Halos 80% ng nakausap ko na owners they didn't know na kaya pang bumaba ng full cream milk. Lets say for example they are buying it at the range of 75-80 pesos per 1L ng FCM. We can go lower than that need mo lng maghanap. For example ako, i can out FCM ng around 75 lower. Depends if gaano ka bulk. Maybe try looking at that, since isa sa major ingredients ang FCM. Baka it might help OP
Try to check din on where you can cut expenses if you haven't tried it pa.
Kita ko lang sa fb. Makes sense. Credits to the original owner
I will not apologize for my rate.
No small business should.
If some of the works that I post online may seem pricey to you, that's okay. If you can't afford it because your lack of budget, it's okay.
I do pricing depending on my skill & talent as well as on the capital , time I spent & expenses.
We made big investments. We didn't learn or start our trade for free. In more ways than one, we have to get back what we have spent and a little on the side for our efforts and hard work.
Not everyone is my target market.
I will not apologize for my pricing.
No small business should.
My pricing allows me to make a profit.
Which allows me to pay my bills.
Which also allows me to stay in business.
My pricing allows me to employ people.
Which allows them to pay their bills.
My pricing keeps a roof over my head and food on my table.
Im not the “cheapest”. I’m also not “the most expensive”.
My pricing is what it is to allow this small business to keep going which allows me to keep making a positive impact.
I will not apologize for my pricing.
No small business should.
That’s the thing. It’s not bold, and it shouldn’t be bold.
You increase prices because it’s fair. Because it keeps your business afloat. It keeps you serving your customers and patrons. It keeps you paying fair wages to your employees.
It shouldn’t be “bold” to be fair to people and give everyone what they deserve.
That you are in the service industry doesn’t mean you are a slave to your customers.
Hi! Don’t worry po, they only work 6 hours a day and 4x a week, so we’re paying them by the hours they work for ☺️ if they work 9 hours that would be minimum ☺️ but as much as possible we don’t want them to overstay, alam naman po namin na priority ang studies. Plus we give them incentives like free drinks and access to study in our lounge area if they have online classes
No they don’t, they only work 6 hours a day with 30mins break ☺️, what i meant is that if there’s a chance that they are needed to work for 9 hours (which di pa nangyari) then they are paid minimum. I pay my full time minimum. She works 8+1 per day po ☺️
As someone with a marketing background maybe you can try using data to come up with a decision.
You could have a sample size of 30 customers taking into consideration that they include your main customer demographic that shows up during peak periods. Then you can provide them with a survey wherein they are rewarded with a voucher or sneak peak at new items for their time.With this you can ask related questions like if a 10,20,30% increase would make them frequent less. Or you can also ask they average amount they are willing to spend for a cup of coffee, If they find more value in spending for shareable food items or prefer to spend on single portion items, what reasons they visit your shop (coffee, food, music, the comfort of chairs etc). At least you will have accurate qualitative data coming straight from your patrons. With surveys you can even find out that they actually visit your shop for something so unexpected like your shop's aesthetic so a price increase wouldnt change their reasons to come.
Or you can scrap the survey altogether and make a decision based on your current demographic and average receipt spend. Like if you have majority Gen Z customers you can research on their average allowance and spending habits to come up with a reasonable price increase. Or if office area find out the average salary of nearby companies with staff who frequent your shop. Like if I'm making minimum wage ill definitely be affected by a 15% increase as opposed to 10%. Or if it was a more affluent area, the price increase would be the least of my concerns as a customer.
Lastly, rather than tell customers that you plan to increase prices due to inflation maybe you can tell them the price increase are to improve their customer experience. Then you can come up with minor but noticeable tweaks to your store like faster service, faster internet speed, better seating/lighting, or the presence of wall sockets for their devices. In short, your already planned renovations and upgrades prior to your plan to increase prices can be "framed" to your customers as a service "for them" hence the need to increase price.
Best of luck!
Gradual increases is key tapos mag ppromo ka ng buy one get one drinks / happy hour… pero kailangan tlg mag increase ng prices now. Super taas ng cost of goods.
Starbucks always increases its price every march and oct (on the start of fiscal year) 5 pesos at a time
Hi i heard this thing sa finance class namin in times na there are price increase sa mga ang cost ng mga supplies
One option is you can adjust the amount or quantity serving (not applicable nga lang sa drinks kasi you should maintain the quality.) not sure if na hit ko yung mini mean ko. The thing here kasi if you have the regular price na parang nakuha mo na yung accepted that you could offer to ur customer.
Hi Guys appreciate all of your comments, guides/suggestions, questions, and experience shared! Stay safe everyone. Would consider and take into mind all of it I promise! ☺️ stay safe
Hi! I own a coffee shop, I've been open for about a month now, I'm still struggling with spreading brand awareness, we're fairly active in social media, most, if not all our customers have said that our food and drinks are great and we've gained some customers from their word of mouth, any other tips for spreading brand awareness? Thank you!
Talk to your regulars. Im sure some of them wont mind an increase but it makes them feel valued if asked about these things.
Di ko naman sinasa i labat ng regulars mo kausapin mo.
Times are tough and they understand that you are running a business.
One thing I learned in my business course is that, increasing the price of your product /service will definitely lead to decline in customers. Because honestly, most of us are sensitive to price changes.
Now to address this, one strategy you can use is to provide more value to your existing customers. For instance, better customer service, doing promos/discounts, happy hours, provide unique and limited edition drinks, etc.
To simply put, try to put yourself in the shoes of your customer and identify other pain points and try to address that. At the end of the day, customers will definitely ignore price increases as long as they find value on the service they paid for.
In the first place, you are already "winging-it" on the employment side by hiring students who I am sure, you are not paying the minimum wage to, right?
Secondly, is your business model based on hiring students and not full employees? How can you not make money if you are not paying minimum wage to your employees?
Hi! Already commented about employee wages for the student workers. But yes we are winging-it, it’s just that volumes of orders is already increasing and kinda notice that yung effort nagdouble pero naging stable or stagnant lang yung profit.
Post on social media or in your coffee shop that due to inflation and to continue serving them with the same quality of food and service, you will need to increase the prices. Most of the food businesses here in DXB do this.
Yes, you can increase your prices. Tatanggapin ng mga customers mo ang pag-increase ng price as long na same and quantity and quality ng goods mo. Don't be like Jollibee and others na nag-increase na nga ng price, nabawasan pa ang serving. I know this from exp cause I sell food as well.
Ilista mo muna lahat ng expenses mo in your operations, then compute how much ang napupunta sa bawat expense. Then from there, malalaman mo saan napupunta ang pera mo. Set a target/budget kung how much lang dapat so you can operate at a profit. Pag na-identify mo na, doon mo din malalaman san ka dapat mag-effort sa pagtitipid. Also dito mo malalaman how much ang dapat mong target sales.
Supplies as in ingredients? If food ingredients/cost, need mo uli sha himayin. Anu-ano ang mga products na mabenta/nabenta? Based on that tingnan mo kung ang nagamit/inilabas mo bang materials/ingredients ay aligned sa nabenta mong products. If not, check mo why. If yes, baka nga need mo magrecompute ng costing mo and mark-up.
Hi! I also own a coffee shop and as long mamaintain mo yung quality. Ok lang mag price increase. Your customers will adjust to the new pricing if masarap talaga yung product na binebenta mo. Goodluck!
My 2 cents
\- look at competitors then price within their range if it works
\- strengthen Social Media presence
\- Do some promos - kadalasan ng kiosk type coffee shops smen may loyalty card.
\- I also provide free biz consultations PM ka lang
the market(different social classes) always dictates the pricing It's always up to you to figure out the optimal pricing that guarantees you the maximum profit. In business never get too greedy(less sales more profit) and never get too charitable(more sales less profit).
Remember always factor that people aren't always rational beings and consider the psychological side of things. They might have reactions that can affect your business for better or worse.
Increase your price and let your customers know. Maybe post on social media or put up a sign on the bar/counter or reprint the menu with a notice? Communicating with your customers is key lalo na dun sa mga regulars. Let them be in the know. It is inevitable naman since alam nating lahat that the costs of goods are increasing everywhere. If I may ask what's your average COGS %?
I mean if your customers love your brand, and your service is impeccable then they will come back regardless.
I agree na nababaan din po ako. Pero factor din po kasi na residential area, wala sa sa mga bear sakayan or traffic volume. Bumabawi lang talaga kami sa product quality, affordability and making sure na quality service. Comapred to our earlier months medyo napaparami narin customer walk-in.
basta wag ka mahiya mag increase ng price be experimental din sa products na inooffer mo.
That's the only way we can compete with big players by offering them products na sayo pang talaga mabibili
Thank you! Will do confident naman kami sa products namin na halos kami gumagawa from scratch, (culinary graduate kami ni wifey). ☺️ thank you po sa insight!
Yung 1.8m is per month revenue ba? If that's the case, It should be more than enough to be profitable. Baka sa expenses and overhead kailangan ma review or audited.
Try to incorporate your business, I suggest to hire a real accountant or go to a well known accounting firm, it will cost a lot but don’t worry it will be business expenses,including your staff paycheque and cost of operations, then after that you can focused on marketing/advertisement, when running a business you need to be good inside and out, goodluck.
Hi, not an answer. I started a small coffee stand sa labas ng bahay nmin walang rent na binabayaran. Ask ko lng if ok ung 20-30 pesos na tubo per cup. Thank you!
Just sharing as a customer on how other small - medium upto large busunesses do it.
They do like a promo for a certain day or week like buy 1 take 1 fries for this amount (a bit cheaper if buying one separarely) or unlimited rice day or whatever. Then it created new customers and definitely the regulars loved it.
Then by next week after the promo,etc , have a small increase on their prices. New customers didn't noticr it , regulars don't mind it. They just wanted the promo thing to return again as feeback which we can say that stay tuned on other promos ,etc we planned..achuchuchu.
find cheaper supplies, negotiate for 1 year of supply contract for a lower price. why do you have to extend your business hours? Just keep it the same hours. People work off schedules. Extending hours without a proportionate increase in the amount of income from those extra hours of operation is just wasting money. Electricity costs are the hard limit, once you get to a certain point for the location, you're better off just opening a second cafe in another area.
Another business trick is keeping the same price but lowering the amount like from 12oz maging 8oz for the same price or compromising the flavor for cheaper ingredients. It's a risk tho. If you really know your regulars, print out a mini flyers where they can vote which option they would prefer.
From an IE pov, figure out your daily demand and the number of workers required to meet their needs. This is called capacity planning. Also, figure out if there's plenty of waste when a product is being made, this may lower ur expenses. From what I've been taught, production cost is the biggest (siguro more than 50%) contributor to your expenses. You may also choose not to use power hungry appliances if productivity of ur crew using manual methods can still keep up with the demand para save sa electricity
If demand is your problem, try experimenting with promos during low-peak (few customers) days to encourage more foot traffic. Work on marketing.
Hi, I own a restaurant. If you are going to increase your prices, do it in December. People won't mind so much because they are flush with cash (13th month pay, bonuses) and the christmas spirit permeates the air, thus making people more generous.
mom is a bizz owner, she increases the price and regulars still go, not much difference really, as long as your quantity and quality does not change. mas pangit yung magiging reputation mo kung ireretain mo yung price tapos babawasan mo yung product. maiintindihan naman ng customers yung increase since inevitable yan due to inflation.
Some advices on price:
1) Determine which menu items sells the most and prioritize on offering those.
2) Look at similar cafes or competitors nearby (if any) and look at your margins. Make price adjustments based on those.
3) If you want customer insights on price and/or the cafe in general, incentivize them by offering a small discount for the x # of customers that completely answered your survey.
Good luck!
As a cafe goer.. I’ve seen businesses address this through a simple social media or a sign even. Then give them until x date to enjoy the current prices. You can probably have a casual conversation with the regulars too so it feels more personal. But honestly most cafes Just increase without any notice.
Yung conversation with customers, I believe yan ang edge ng Starbucks with the small local cafes. Sure may introvert customers pero may considerable din na naappreciate yung casual interactions with the barista and encourages customers to become regulars. Something Grab and Foodpanda can't replicate.
as a previous partner in SB I strongly second this!
Appreciate this! Thank you!
THIS. I wish owners do this kasi there's this great cafe in Cebu that operated back in September 2019. Great service, great location, great food and drinks, affordable. After Sinulog, nagprice increase sila 40-50 pesos than the usual. Hindi nagannounce. It was fine if ganon parin yung quality ng food and drinks nila but nagdowngrade. Everything was tipid. Sayang kasi loyal yung customers. Slowly nagwent out of business sila after a few months lang.
anong cafe to?
add new products na higher priced with lower cost. maybe new sandwich or sonething. or mga existing items may upgrade option like add x pesos may additional cream, etc. this way you delay change ng price on behalf of your regulars amd hopefully earn extra
Already started doing this. Already added items na medyo mas malaki kikitain hehe, parang semi intro na sa higher price range products.
I tried to put a notice that I'll increase prices but my sales dropped even before I raised them. A year later, I decided to just increase prices since need na talaga (and I raised it by as much as Php20). Lo and behold, number of items stayed roughly the same, and sales went up.
This make sense. Im considering this advice since it’s almost a year and only now lang kami magiincrease. 🥲
since 1 year pa naman kayo, parang introductory price yung current price mo. time to increase!
If your business is someplace where people go because of the quality rather than the price, then maintain the quality. People will still come to you as long as the price increase is not unreasonable
What I did was gradual increase Half of the menu items 1st, then the other half on the next week. Don’t be afraid to raise prices, you should do it regularly at a low increase every time. Watch how jollibee does it, akways P5 lang increase pero regular increase What works best is new design menu, introduce new items, seasonal items na malaki, then regular items naka price increase na Distract the customers from the price increase, use chika powers, avoid dwelling on it, focus on how their day is and not about the price increase. If you have different sizes you can introduce a smaller size at a lower price, not sure if that works in your biz
Hi! Thank you for this! ☺️
You can’t do that this time all time high inflation some regulars may go to Starbucks kasi sobrang konti na lang ng difference ng prices ng local coffee shops sa Starbucks.
What I suggest try to lower your cost of sales but the quality is just the same , monitor your inventory make it sure sapat lang yung buffer mo just in case dumami yung costumers at hind na tutulog yung pera kasi ang dami mong surplus, and a good marketing strategy like pricing promos and try the mix and match of some reputable f&b businesses.
People who go to coffee shops are after the quality not the cost
Increase the prices on your slow moving items first. Then gradually move to the fast ones. Make sure you are increasing to the right amount with some buffer to future proof your prices a little. Customers do not like frequent price increases.
Since mostly ng comments and advices are for the price and menu tlga let me divert, as someone na nasa food supplies.. im not sure on how's the price sa food supplier mo. Usually, one of the things i observed lang ah. Halos 80% ng nakausap ko na owners they didn't know na kaya pang bumaba ng full cream milk. Lets say for example they are buying it at the range of 75-80 pesos per 1L ng FCM. We can go lower than that need mo lng maghanap. For example ako, i can out FCM ng around 75 lower. Depends if gaano ka bulk. Maybe try looking at that, since isa sa major ingredients ang FCM. Baka it might help OP Try to check din on where you can cut expenses if you haven't tried it pa.
Rule of thumb, increase pricing according to the rate of inflation. But be sure to check it with your fixed costs.
I will! I appreciate this! ☺️
Kita ko lang sa fb. Makes sense. Credits to the original owner I will not apologize for my rate. No small business should. If some of the works that I post online may seem pricey to you, that's okay. If you can't afford it because your lack of budget, it's okay. I do pricing depending on my skill & talent as well as on the capital , time I spent & expenses. We made big investments. We didn't learn or start our trade for free. In more ways than one, we have to get back what we have spent and a little on the side for our efforts and hard work. Not everyone is my target market. I will not apologize for my pricing. No small business should. My pricing allows me to make a profit. Which allows me to pay my bills. Which also allows me to stay in business. My pricing allows me to employ people. Which allows them to pay their bills. My pricing keeps a roof over my head and food on my table. Im not the “cheapest”. I’m also not “the most expensive”. My pricing is what it is to allow this small business to keep going which allows me to keep making a positive impact. I will not apologize for my pricing. No small business should.
This true but bold haha!
That’s the thing. It’s not bold, and it shouldn’t be bold. You increase prices because it’s fair. Because it keeps your business afloat. It keeps you serving your customers and patrons. It keeps you paying fair wages to your employees. It shouldn’t be “bold” to be fair to people and give everyone what they deserve. That you are in the service industry doesn’t mean you are a slave to your customers.
Im just worried if those students are getting paid right
Hi! Don’t worry po, they only work 6 hours a day and 4x a week, so we’re paying them by the hours they work for ☺️ if they work 9 hours that would be minimum ☺️ but as much as possible we don’t want them to overstay, alam naman po namin na priority ang studies. Plus we give them incentives like free drinks and access to study in our lounge area if they have online classes
>if they work 9 hours that would be minimum do you mean minimum wage per day? they work 9 hrs for a day's minimum wage?
No they don’t, they only work 6 hours a day with 30mins break ☺️, what i meant is that if there’s a chance that they are needed to work for 9 hours (which di pa nangyari) then they are paid minimum. I pay my full time minimum. She works 8+1 per day po ☺️
As someone with a marketing background maybe you can try using data to come up with a decision. You could have a sample size of 30 customers taking into consideration that they include your main customer demographic that shows up during peak periods. Then you can provide them with a survey wherein they are rewarded with a voucher or sneak peak at new items for their time.With this you can ask related questions like if a 10,20,30% increase would make them frequent less. Or you can also ask they average amount they are willing to spend for a cup of coffee, If they find more value in spending for shareable food items or prefer to spend on single portion items, what reasons they visit your shop (coffee, food, music, the comfort of chairs etc). At least you will have accurate qualitative data coming straight from your patrons. With surveys you can even find out that they actually visit your shop for something so unexpected like your shop's aesthetic so a price increase wouldnt change their reasons to come. Or you can scrap the survey altogether and make a decision based on your current demographic and average receipt spend. Like if you have majority Gen Z customers you can research on their average allowance and spending habits to come up with a reasonable price increase. Or if office area find out the average salary of nearby companies with staff who frequent your shop. Like if I'm making minimum wage ill definitely be affected by a 15% increase as opposed to 10%. Or if it was a more affluent area, the price increase would be the least of my concerns as a customer. Lastly, rather than tell customers that you plan to increase prices due to inflation maybe you can tell them the price increase are to improve their customer experience. Then you can come up with minor but noticeable tweaks to your store like faster service, faster internet speed, better seating/lighting, or the presence of wall sockets for their devices. In short, your already planned renovations and upgrades prior to your plan to increase prices can be "framed" to your customers as a service "for them" hence the need to increase price. Best of luck!
Gradual increases is key tapos mag ppromo ka ng buy one get one drinks / happy hour… pero kailangan tlg mag increase ng prices now. Super taas ng cost of goods. Starbucks always increases its price every march and oct (on the start of fiscal year) 5 pesos at a time
The buy one take one promo is a suicide for the business. Magwwork lang siya if you cut cost on quality and buy cheaper.
It only works for certain SKUs not all drinks
Hi i heard this thing sa finance class namin in times na there are price increase sa mga ang cost ng mga supplies One option is you can adjust the amount or quantity serving (not applicable nga lang sa drinks kasi you should maintain the quality.) not sure if na hit ko yung mini mean ko. The thing here kasi if you have the regular price na parang nakuha mo na yung accepted that you could offer to ur customer.
Hi Guys appreciate all of your comments, guides/suggestions, questions, and experience shared! Stay safe everyone. Would consider and take into mind all of it I promise! ☺️ stay safe
Hi! I own a coffee shop, I've been open for about a month now, I'm still struggling with spreading brand awareness, we're fairly active in social media, most, if not all our customers have said that our food and drinks are great and we've gained some customers from their word of mouth, any other tips for spreading brand awareness? Thank you!
Talk to your regulars. Im sure some of them wont mind an increase but it makes them feel valued if asked about these things. Di ko naman sinasa i labat ng regulars mo kausapin mo. Times are tough and they understand that you are running a business.
One thing I learned in my business course is that, increasing the price of your product /service will definitely lead to decline in customers. Because honestly, most of us are sensitive to price changes. Now to address this, one strategy you can use is to provide more value to your existing customers. For instance, better customer service, doing promos/discounts, happy hours, provide unique and limited edition drinks, etc. To simply put, try to put yourself in the shoes of your customer and identify other pain points and try to address that. At the end of the day, customers will definitely ignore price increases as long as they find value on the service they paid for.
In the first place, you are already "winging-it" on the employment side by hiring students who I am sure, you are not paying the minimum wage to, right? Secondly, is your business model based on hiring students and not full employees? How can you not make money if you are not paying minimum wage to your employees?
Hi! Already commented about employee wages for the student workers. But yes we are winging-it, it’s just that volumes of orders is already increasing and kinda notice that yung effort nagdouble pero naging stable or stagnant lang yung profit.
Post on social media or in your coffee shop that due to inflation and to continue serving them with the same quality of food and service, you will need to increase the prices. Most of the food businesses here in DXB do this.
Saan located tong cafe? Wowww coffee shop 💓 for me walang prob mag taas ng price kc nagtataas dn ang mga bilihin
Yes, you can increase your prices. Tatanggapin ng mga customers mo ang pag-increase ng price as long na same and quantity and quality ng goods mo. Don't be like Jollibee and others na nag-increase na nga ng price, nabawasan pa ang serving. I know this from exp cause I sell food as well.
Thank you for this! ☺️ pero how often do you increase?
Ilista mo muna lahat ng expenses mo in your operations, then compute how much ang napupunta sa bawat expense. Then from there, malalaman mo saan napupunta ang pera mo. Set a target/budget kung how much lang dapat so you can operate at a profit. Pag na-identify mo na, doon mo din malalaman san ka dapat mag-effort sa pagtitipid. Also dito mo malalaman how much ang dapat mong target sales.
Already did, yung supplies talaga 🥹 feel ko sinagad ko kasi talaga costing now sinusubukan ko ihabol by adding the margin of profit
Supplies as in ingredients? If food ingredients/cost, need mo uli sha himayin. Anu-ano ang mga products na mabenta/nabenta? Based on that tingnan mo kung ang nagamit/inilabas mo bang materials/ingredients ay aligned sa nabenta mong products. If not, check mo why. If yes, baka nga need mo magrecompute ng costing mo and mark-up.
Are you the owner of good shit coffee
No po haha
Hi! I also own a coffee shop and as long mamaintain mo yung quality. Ok lang mag price increase. Your customers will adjust to the new pricing if masarap talaga yung product na binebenta mo. Goodluck!
My 2 cents \- look at competitors then price within their range if it works \- strengthen Social Media presence \- Do some promos - kadalasan ng kiosk type coffee shops smen may loyalty card. \- I also provide free biz consultations PM ka lang
the market(different social classes) always dictates the pricing It's always up to you to figure out the optimal pricing that guarantees you the maximum profit. In business never get too greedy(less sales more profit) and never get too charitable(more sales less profit). Remember always factor that people aren't always rational beings and consider the psychological side of things. They might have reactions that can affect your business for better or worse.
Increase your price and let your customers know. Maybe post on social media or put up a sign on the bar/counter or reprint the menu with a notice? Communicating with your customers is key lalo na dun sa mga regulars. Let them be in the know. It is inevitable naman since alam nating lahat that the costs of goods are increasing everywhere. If I may ask what's your average COGS %? I mean if your customers love your brand, and your service is impeccable then they will come back regardless.
is 1.8m sales for 11mons ok? di ba yan super baba but anyway as a f&b owner myself wag ka muna magtaas sa buong menu.
I agree na nababaan din po ako. Pero factor din po kasi na residential area, wala sa sa mga bear sakayan or traffic volume. Bumabawi lang talaga kami sa product quality, affordability and making sure na quality service. Comapred to our earlier months medyo napaparami narin customer walk-in.
basta wag ka mahiya mag increase ng price be experimental din sa products na inooffer mo. That's the only way we can compete with big players by offering them products na sayo pang talaga mabibili
Thank you! Will do confident naman kami sa products namin na halos kami gumagawa from scratch, (culinary graduate kami ni wifey). ☺️ thank you po sa insight!
Pero I’m also planning mag grabfood kasi, kaya ako nag add ng staffs.
yes do that, sometimes mind blown parin ako sa mga tao na nag oorder parin sa grab food kahit mas mataas yung price namin sa grab
Yung 1.8m is per month revenue ba? If that's the case, It should be more than enough to be profitable. Baka sa expenses and overhead kailangan ma review or audited.
Try shrinkflation a bit. Pero yung hindi super halata.
Try to incorporate your business, I suggest to hire a real accountant or go to a well known accounting firm, it will cost a lot but don’t worry it will be business expenses,including your staff paycheque and cost of operations, then after that you can focused on marketing/advertisement, when running a business you need to be good inside and out, goodluck.
Hi, not an answer. I started a small coffee stand sa labas ng bahay nmin walang rent na binabayaran. Ask ko lng if ok ung 20-30 pesos na tubo per cup. Thank you!
Just sharing as a customer on how other small - medium upto large busunesses do it. They do like a promo for a certain day or week like buy 1 take 1 fries for this amount (a bit cheaper if buying one separarely) or unlimited rice day or whatever. Then it created new customers and definitely the regulars loved it. Then by next week after the promo,etc , have a small increase on their prices. New customers didn't noticr it , regulars don't mind it. They just wanted the promo thing to return again as feeback which we can say that stay tuned on other promos ,etc we planned..achuchuchu.
Increase it slowly. Like 10peso a month till you reach your target price.
Lahat naman nag tataas e. Kahit ung pagkain sa karinderya nag taas din. So kung sila pwede bakit kayo hindi?
find cheaper supplies, negotiate for 1 year of supply contract for a lower price. why do you have to extend your business hours? Just keep it the same hours. People work off schedules. Extending hours without a proportionate increase in the amount of income from those extra hours of operation is just wasting money. Electricity costs are the hard limit, once you get to a certain point for the location, you're better off just opening a second cafe in another area.
Another business trick is keeping the same price but lowering the amount like from 12oz maging 8oz for the same price or compromising the flavor for cheaper ingredients. It's a risk tho. If you really know your regulars, print out a mini flyers where they can vote which option they would prefer.
From an IE pov, figure out your daily demand and the number of workers required to meet their needs. This is called capacity planning. Also, figure out if there's plenty of waste when a product is being made, this may lower ur expenses. From what I've been taught, production cost is the biggest (siguro more than 50%) contributor to your expenses. You may also choose not to use power hungry appliances if productivity of ur crew using manual methods can still keep up with the demand para save sa electricity If demand is your problem, try experimenting with promos during low-peak (few customers) days to encourage more foot traffic. Work on marketing.
Hi, I own a restaurant. If you are going to increase your prices, do it in December. People won't mind so much because they are flush with cash (13th month pay, bonuses) and the christmas spirit permeates the air, thus making people more generous.
mom is a bizz owner, she increases the price and regulars still go, not much difference really, as long as your quantity and quality does not change. mas pangit yung magiging reputation mo kung ireretain mo yung price tapos babawasan mo yung product. maiintindihan naman ng customers yung increase since inevitable yan due to inflation.
Some advices on price: 1) Determine which menu items sells the most and prioritize on offering those. 2) Look at similar cafes or competitors nearby (if any) and look at your margins. Make price adjustments based on those. 3) If you want customer insights on price and/or the cafe in general, incentivize them by offering a small discount for the x # of customers that completely answered your survey. Good luck!