Value from the Gold Cup
VALUE FOR CONSUMERS
Consumers are happy to pay more for quality – be it perceived or actual. Research shows consumers will pay up to 15% more for Fairtrade or organic coffee, The environment in which the coffee is served may also contribute to its value.The quality in the cup is undeniably another point of value. If the cup is a certified Gold Cup brew, the value perception and coffee experience are both improved.
Gold cup coffee = better coffee experience for the customer = better value.
VALUE FOR RETAILERS
In commodities such as sugar, reducing the cost of the raw material has a significant effect on the potential profit at the point of sale. The cost price of coffee is so low compared to the sale price of the cup, reducing coffee volume does not make a significant difference to the retailer’s profit and is more likely to result in lower quality and hence lower sales.
Increased coffee volume and quality = Improved coffee experience.
Improved experience = repeat business and more sales.
With Gold Cup, more cost = more value = more profit!
VALUE FOR ROASTERS
Meeting Gold Cup standard may mean increasing ground coffee volume by 50%. A modest 5% increase in the menu price of the coffee will still result in GREATER net profit for the retailer and greater sales for the roaster.