cafe margin math: what wholesale coffee actually costs per drink

coffee society journal — for cafe owners

the short answer

A pound of coffee yields about 25 double shots. At specialty wholesale prices of $14–20/lb, that's roughly $0.55–0.80 of coffee in a latte you sell for $5.50–6.50 — around 10–14% of the drink price. Coffee is almost never the thing killing a cafe's margin. Which means upgrading the coffee is one of the cheapest ways to upgrade the whole business.

01the per-drink math

one pound of wholesale coffee · double shots

dose18 g
drinks / lb~25
coffee cost$0.55–0.80
% of a $6 latte~10–13%

454 g per pound ÷ 18 g per double = 25 drinks. At $16/lb, each dose costs $0.64. Add 10–15% for waste, dialing in, and staff drinks and you're still under a dollar.

02what actually eats margin

Run the same math on the rest of the cup: 8–10 oz of milk often costs more than the espresso in it. Labor is several times both combined. Rent doesn't care what you pour. When owners tell us "coffee prices keep going up," they're right — but the per-drink impact of even a 25% green-coffee increase is a dime. Margin gets won on drink price, speed, waste, and whether customers come back. Shaving cents off the beans barely moves it.

03the upgrade math

commodity ~$8/lb$0.32 of coffee per drink — and nothing to say about it
specialty ~$16/lb$0.64 per drink — plus a variety, farm, and story on the menu
the difference~$0.32 a drink — less than a paper cup and sleeve
the returna 50¢ price bump with a real story more than covers it

The catch: customers won't pay more for "premium blend." They'll pay more for a washed single origin from a named farm, this season only — a coffee with a story your baristas can actually tell. That's why every lot we supply comes with the varietal, process, origin, and farm on the bag, plus menu copy. The words are part of the product.

04common questions

How many drinks does a pound of coffee make?

About 25 double-shot drinks at an 18 g dose, or closer to 20–22 after waste and dial-in. For batch brew, a pound yields roughly 28–30 twelve-ounce cups at a 1:16 ratio.

What should coffee cost as a percentage of drink price?

A healthy range for espresso drinks is 8–15%. Under 8%, you likely have room to serve something better; well over 15%, your menu prices probably need attention before your bean prices do.

Do customers actually pay more for specialty coffee?

With a story, yes — a named variety and farm reads as care, not markup. Without a story, a price increase just reads as inflation. Give your staff the words and the premium justifies itself.

run the numbers with us

We supply Bay Area cafes with Q graded 85+ single origins, roasted to order in Berkeley — flexible weekly volume, brew specs on every lot, and the story to sell it. Send us your volume and we'll send the math.

partner with us small batch vs industrial what is specialty coffee

coffee society · specialty micro roaster · berkeley, ca · est. 2023

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