How much would you pay for a cup of coffee?

BigV · 02-07-2007, 01:46 PM

If you answered $3, and 99 of your like minded friends visited Terra Bite each day, it could be a going concern, and going contrary to conventional economic wisdom. I think I'll have lunch there today.

Quote:

With its blood-red walls and black leather sofas, Kirkland's Terra Bite Lounge looks like any other coffee shop — until you get to the menu. There are no prices listed. Terra Bite doesn't have them.

You read that right: No prices. Customers pay what and when they like, or not at all — it makes no difference to the cafe employees, who are instructed not to peek when people put money in the metal lock box.

"Does it really matter to any of our patrons ... whether they pay a dollar or three dollars or five dollars?" said Terra Bite founder Ervin Peretz, a 37-year-old Google programmer.

He doesn't think so, at least not in the comfortable lakeside enclave that is downtown Kirkland.

Through his "voluntary payment" cafe, Peretz is poised to become the Robin Hood of the Starbucks set. Using an efficient, low-overhead business model and narrow profit margin, he figures he can finesse the largesse of well-off latte lovers to cover the tabs of the less fortunate.

You may think this guy's off his rocker, but his "business" model does have precedent.

xoxoxoBruce · 02-07-2007, 01:57 PM

Kirkland may be one of the few places he can pull it off.

Cloud · 02-07-2007, 02:04 PM

that's . . . very strange

02-07-2007, 02:05 PM

I would pay $4 for a large coffee, if it was a really good coffee.
More for a good white chocolate soy mocha.

Flint · 02-07-2007, 03:15 PM

Homer takes Lisa to the museum and sees the sign: "Suggested donation: $4.50"

Homer: Eh, what do you mean by "suggested donation"?
Clerk: Pay any amount you wish, sir.
Homer: And uh, what if I wish to pay ... zero?
Clerk: That is up to you.
Homer: Ooh, so it's up to me, is it?
Clerk: Yes.
Homer: I see. And you think that people are going to pay you $4.50 even though they don't have to? Just out of the goodness of their... [laughs] Well, anything you say! Good luck, lady, you're gonna need it!

__________________

Actually the funniest part is right after that, when Lisa's substitute, Mr. Bergstrom, shows up and Homer tries to tell him that he doesn't have to pay. But the all the Simpsons quotes pages I looked at cut off just before that point.

This is from the episode "Lisa's Substitute" and I always thought Mr. Bergstrom was Dustin Hoffman, well apparently it was:

Who was Sam Etic? (29 Apr 91 USA TODAY)

If you saw Fox's `The Simpsons' Thursday, you may have noticed a new voice in the credits---Sam Enid [sic]. Enid's voice sure sounded familiar, almost like Dustin Hoffman. And gee, there sure were a lot of references in `The Simpsons' to Hoffman's first hit, `The Graduate', thrown into a story about Lisa falling into love with her substitute teacher. Shazam! It turns out Enid is none other than Hoffman, whose contract with `The Simpsons' stated that his real name could not be used on the credits or in publicity.

All this was from here, btw. Somewhere in there, something, I think, had something to do with this thread.

Shawnee123 · 02-07-2007, 03:19 PM

Quote:

Originally Posted by Wimpy

I'll gladly pay you Tuesday for a hamburger today

LabRat · 02-07-2007, 03:21 PM

I'm curious where the start-up funds came from for this business. Though I have no knowledge of business loans, I can't imageing very mant banks that would lend to start a "pay what you can" business.

That being said, I think it's quite interesting, and would pay what I think the food/drink was worth, on any given day. Let's hope I'm in a good mood most days

.

Doubt a place like this would make it in a college town.

Happy Monkey · 02-07-2007, 03:47 PM

Just think of all the people who just have 10s and 20s, and don't want to ask for change.

BigV · 02-07-2007, 06:42 PM

As far as I know, "change" is not an option, since in an effort to eliminate the social pressure of "I better pay something since all these people are looking" effect, he provides a locked metal box for you to slip your envelope into at the end of your stay. Also, he mentions enjoying the food drink and convenience all week and then dropping a $20 in the box. And there's a paypal link on the restaurant's homepage. I could pay from my desk, then drive over and eat and drink.

But today was McD's.

High grub factor. taste*convenience/$

Ronald Cherrycoke · 02-07-2007, 06:56 PM

Quote:

Originally Posted by rkzenrage

I would pay $4 for a large coffee, if it was a really good coffee.
More for a good white chocolate soy mocha.

What is it with this new coffee fad?....I won`t pay more than a dollar fifty for any cup. You go into these these new age beatnik coffee houses and get a luke warm bad tasting cup served by some pimple faced birkenstocked wearing college student without even hearing a live band or even a poem (But they still got the beatnik chess dudes).

Haaaaaa....Haaaaaa..

Aliantha · 02-07-2007, 07:18 PM

Recently over here an immigrant with a very similar business plan was awarded the 'Local Hero' award. Here are the details.

I think it's a fantastic idea, and if some people don't pay what they can afford or should pay, then karma will bite them on the arse in the end anyway.

Ronald Cherrycoke · 02-07-2007, 07:28 PM

Quote:

Originally Posted by Aliantha

Recently over here an immigrant with a very similar business plan was awarded the 'Local Hero' award. Here are the details.

I think it's a fantastic idea, and if some people don't pay what they can afford or should pay, then karma will bite them on the arse in the end anyway.

What no bongos or a Peter Paul And Mary lookalike?

Aliantha · 02-07-2007, 07:30 PM

Ronald, are you trying to be rude on purpose or was it an accident?

Ronald Cherrycoke · 02-07-2007, 07:36 PM

Quote:

Originally Posted by Aliantha

Ronald, are you trying to be rude on purpose or was it an accident?

Humorous!

monster · 02-07-2007, 07:50 PM

Our elementary school does yearbooks and t-shirts etc on a "suggested donation" basis. If people wnat to pay less or nothing, they can. We ask people to donate more than the suggested amount if they can, to cover the cost for those who want one but cannot afford ithe suggested donation. We never make a loss.

The (co-operative, non-profit) preschool switched from a set purchase price, no freebies to a pay-what-you-can policy and they sold more items and took more money in.

If you give people the freedom to choose not to pay, they rarely do -you take all they joy of "cheating" out of it and add an element of pride in honesty. imo.

02-07-2007, 01:57 PM	#2
xoxoxoBruce The future is unwritten Join Date: Oct 2002 Posts: 71,105	Kirkland may be one of the few places he can pull it off. __________________ The descent of man ~ Nixon, Friedman, Reagan, Trump.

02-07-2007, 03:15 PM	#5
Flint Snowflake Join Date: Mar 2006 Location: Dystopia Posts: 13,136	Homer takes Lisa to the museum and sees the sign: "Suggested donation: $4.50" Homer: Eh, what do you mean by "suggested donation"? Clerk: Pay any amount you wish, sir. Homer: And uh, what if I wish to pay ... zero? Clerk: That is up to you. Homer: Ooh, so it's up to me, is it? Clerk: Yes. Homer: I see. And you think that people are going to pay you $4.50 even though they don't have to? Just out of the goodness of their... [laughs] Well, anything you say! Good luck, lady, you're gonna need it! __________________ Actually the funniest part is right after that, when Lisa's substitute, Mr. Bergstrom, shows up and Homer tries to tell him that he doesn't have to pay. But the all the Simpsons quotes pages I looked at cut off just before that point. This is from the episode "Lisa's Substitute" and I always thought Mr. Bergstrom was Dustin Hoffman, well apparently it was: Who was Sam Etic? (29 Apr 91 USA TODAY) If you saw Fox's `The Simpsons' Thursday, you may have noticed a new voice in the credits---Sam Enid [sic]. Enid's voice sure sounded familiar, almost like Dustin Hoffman. And gee, there sure were a lot of references in `The Simpsons' to Hoffman's first hit, `The Graduate', thrown into a story about Lisa falling into love with her substitute teacher. Shazam! It turns out Enid is none other than Hoffman, whose contract with `The Simpsons' stated that his real name could not be used on the credits or in publicity. All this was from here, btw. Somewhere in there, something, I think, had something to do with this thread. __________________ **************** There's a level of facility that everyone needs to accomplish, and from there it's a matter of deciding for yourself how important ultra-facility is to your expression. ... I found, like Joseph Campbell said, if you just follow whatever gives you a little joy or excitement or awe, then you're on the right track. . . . . . . . . . . . . . . . . . . . . . . . . . . Terry Bozzio**

02-07-2007, 03:21 PM	#7
LabRat twatfaced two legged bumhole Join Date: Jun 2004 Posts: 3,143	I'm curious where the start-up funds came from for this business. Though I have no knowledge of business loans, I can't imageing very mant banks that would lend to start a "pay what you can" business. That being said, I think it's quite interesting, and would pay what I think the food/drink was worth, on any given day. Let's hope I'm in a good mood most days . Doubt a place like this would make it in a college town. __________________ Strength does not come from how much weight you can lift, or how many miles you can run. It comes from knowing that you set a goal, and rose to the challenge. Strength comes from within.

02-07-2007, 03:47 PM	#8
Happy Monkey I think this line's mostly filler. Join Date: Jan 2003 Location: DC Posts: 13,575	Just think of all the people who just have 10s and 20s, and don't want to ask for change. __________________ _________________ \|...............\| We live in the nick of times. \| Len 17, Wid 3 \| \|_______________\| [pics]

02-07-2007, 06:42 PM	#9
BigV Goon Squad Leader Join Date: Nov 2004 Location: Seattle Posts: 27,063	As far as I know, "change" is not an option, since in an effort to eliminate the social pressure of "I better pay something since all these people are looking" effect, he provides a locked metal box for you to slip your envelope into at the end of your stay. Also, he mentions enjoying the food drink and convenience all week and then dropping a $20 in the box. And there's a paypal link on the restaurant's homepage. I could pay from my desk, then drive over and eat and drink. But today was McD's. High grub factor. taste*convenience/$ __________________ Be Just and Fear Not.

02-07-2007, 02:04 PM	#3
Cloud ... Join Date: Feb 2007 Posts: 8,360	that's . . . very strange

02-07-2007, 02:05 PM	#4
rkzenrage Guest Posts: n/a	I would pay $4 for a large coffee, if it was a really good coffee. More for a good white chocolate soy mocha.

02-07-2007, 07:18 PM	#11
Aliantha trying hard to be a better person Join Date: Jan 2006 Location: Brisbane, Australia Posts: 16,493	Recently over here an immigrant with a very similar business plan was awarded the 'Local Hero' award. Here are the details. I think it's a fantastic idea, and if some people don't pay what they can afford or should pay, then karma will bite them on the arse in the end anyway. __________________ Kind words are the music of the world. F. W. Faber

02-07-2007, 07:30 PM	#13
Aliantha trying hard to be a better person Join Date: Jan 2006 Location: Brisbane, Australia Posts: 16,493	Ronald, are you trying to be rude on purpose or was it an accident? __________________ Kind words are the music of the world. F. W. Faber

02-07-2007, 07:50 PM	#15
monster I hear them call the tide Join Date: Dec 2005 Location: Perpetual Chaos Posts: 30,852	Our elementary school does yearbooks and t-shirts etc on a "suggested donation" basis. If people wnat to pay less or nothing, they can. We ask people to donate more than the suggested amount if they can, to cover the cost for those who want one but cannot afford ithe suggested donation. We never make a loss. The (co-operative, non-profit) preschool switched from a set purchase price, no freebies to a pay-what-you-can policy and they sold more items and took more money in. If you give people the freedom to choose not to pay, they rarely do -you take all they joy of "cheating" out of it and add an element of pride in honesty. imo. __________________ The most difficult thing is the decision to act, the rest is merely tenacity Amelia Earhart

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