STEP 3.3: A CASE STUDY
Prices His Offers
David needs to set prices for his menu. He wants to be competitive but also reflect the premium quality of his products and experience.
The Action
1. Analyze Competitor Pricing
David sees that chain coffee shops charge around $4.50 for a latte. This gives him a baseline.
2. Assess Transformative Value
He's not just selling coffee; he's selling a comfortable atmosphere, a community hub, and a superior product. This experience is worth a premium.
The Outcome
David sets his prices with confidence, positioning his shop as a premium but accessible local alternative.
David's Final Pricing
- Drip Coffee: $3.00
- Latte / Cappuccino: $5.25
- Coffee Bean Subscription: $20/month