At Red Rooster, our pricing is based on a four pillar business model. This cares for:
To that end, we pay high premiums to farmers for great coffee and then we charge a fair market price. Below is a chart reflecting the full operational costs for this particular coffee. We have included in this chart every individual cost for each 12oz bag, down to the penny, including the labor to roast and fill and market the coffee, as well as the costs to run our onsite child care facility, and the health care benefits we pay for our employees.
The cost of the green coffee per pound has is multiplied by 1.14 to account for the average 14% moisture loss per pound of green coffee that occurs during roasting.
Overhead Category | Cost per pound |
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Facilities & Maintenance | $1.22 |
Labor | $2.50 |
Yellow Hen Childcare | $0.18 |
Healthcare Benefits & Insurance | $0.25 |
Shipping / Freight | $1.19 |
Marketing | $1.00 |
Packaging & Supplies | $1.46 |
Bank/Credit Processing Fees | $0.21 |
Misc. Expenses | $0.21 |
Our Cost | Roasted (Green *1.14 for weight loss) + $8.22 |
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Our Charge | Cost * 0.75 (12oz) * 45-60% Margin |