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1.10.2008

Nescafe Cafe: One Overpriced Instant Coffee

One of the beauties of competition is that the equilibrium price speaks well of the products being sold. Demand for the particular product goes up or down depending on the supply of its competitors brand. At this point, the demand for coffee shops is on the rise and many brands have joined the fray. Starbucks dominate the market but other companies are moving heaven and earth to get bigger slices. This led to good services from everyone in the industry and to mention one improvement, WIFI services are now available in most stores, some of it are even free.

Further to my previous post, I visited a another coffee shop and found it worth some space in this blog. Nescafe Cafe' been around for some years and searching the web, you'll find lots outlets in South Africa, Poland and other countries.

Well, I went to one in Manila and to my horror, the price is so obscenely high! Common, Starbucks imports coffee beans, other shops also do and, they brew their coffee beans right under your nose. Nescafe, on the other hand uses local beans and oh my...

I asked, "The price is comparable to Starbucks, Seattle's Best, Coffee Barn and Tea Leaf, Figaro, etc.. Do you use freshly roasted and brewed coffee beans?

"Errr, sir, it's water soluble coffee!"

!#$%^^@ .... They ask more than 10 times the retail price of one sachet of instant coffee and yet, they are serving us the same product. Is the price of boiling water that high in the malls?

@#$%^&&, Nescafe Cafe', you're pricing yourself like a monopoly. Wait til the market finds you out. If there's one thing different now, information is much much more efficient.

The market will drive you out... take note

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