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Why is Coffee Wagera increasing prices?

We are increasing our prices by 20% from 15th January, for three reasons:

  1. So we can increase the salaries of our staff: Our team is our most valuable asset, and we like to keep them happy and motivated. Everyone is getting a 5-10% increase from January, regardless of their time with us. This is to help them deal with the increased cost of living. 
  2. So we can pay more to our suppliers: Our suppliers are home chefs who work really hard to maintain the quality of food stuff, despite the increasing costs. They don’t even demand to increase prices, fearing we might change suppliers. But we feel their pain and have offered to pay 5-10% more to our long-term suppliers.
  3. Our costs have gone up. Since we started in April, costs of almost all ingredients (beans, flavors, milk, water etc) have gone up 10-20%. 

Few other things we could do to cut costs, but decided not to:

  • Start using cheaper beans, milk, water etc. for coffee
  • Start charging for drinking water
  • Start charging for workspace and/or use of wifi
  • Cut down or stop the community projects like Brunch Wagera, SOP etc.
  • Cut down on all special offers for students, senior citizens etc.
  • Cut down on the loyalty card and free beverage after every six paid beverages

We could have surprised our customers one day with increased prices, but decided to give them a 2-week notice instead. The surprise was only for our staff and suppliers who are getting the increase from 1st January! 

We hope (believe) that most of our customers will understand and support the price increase! 

Rs.120 for an Espresso, Rs.180 for an Americano and Rs.240 for a Latte or Cappuccino are still one of the lowest prices you can get for great coffee in Karachi! 

Finally, here’s a 3-minute slideshow of our 2018 highlights – making, launch, events, people, products etc…

Mush Panjwani

Mush is the Founder of Coffee Wagara. He has been a sales, marketing, and training expert for over 35 years; he has worked with corporates, leaders, and entrepreneurs in 20 countries. Mush is also the author of Dhinchak Life, a book about living a fantastic life!