8 Oz Takeaway Capp

The price of takeaway coffee in Brisbane is on the rise. According to Brisbane’s own “CPI”: takeaway coffee has an average price this year of $2.67 with the cheapest coffee being in the CBD.

The Gilkatho Cappuccino Price Index has been compiled by the latte loving people at Gilkatho Coffee to monitor Brisbane’s taste for cappuccino. First compiled in 2002, the lowest CPI of $2.37 was recorded in 2003.

Gilkatho Coffee manager, Wayne Fowler, believes there are many factors which affect the street price of a cappuccino. “The café/takeaway market is not inherently profitable. There is a lot of price sensitivity and low sales margins lead café owners to compete on price but also needing to quickly pass on any price rises. Takeaway prices ranged between $1.40 and as high as $3.50.”

Turnover in the Australia café & restaurant market slowed since the index started but is expected to increase. Total 2005 sales in Australia is estimated by the Australian Bureau of Statistics at $6,873 million and expected to reach $7,922 million in 2009.

The failure rate in the industry is another factor that is apparent in Brisbane’s own CPI. Each year 10% of the cafes surveyed disappear from the following year results. Wayne Fowler believes this reflects that cafes are like most small businesses. Their success relies on business experience, quality and cost controls, good staff and word of mouth recommendations.

The Gilkatho Cappuccino Price Index can be expected to rise in 2006. Staff costs and high quality Arabica beans used by most cafes have been rising over the past year. Distribution cost of coffee beans is also linked to fuel costs which can be expected to have some impact.

To beat the rising prices many offices are now installing convenient office coffee machines saving the takeaway cost and saving their staff from leaving the office.

For more details contact
Wayne Fowler 
Managing Director
Gilkatho Coffee 



4th October 2005