The price jump from $1 to $2 feels exploitive, even if it's not. Even removing the surprise element, 100% is too big of a price jump for any product to make. You could correct for the surprise aspect, but the change itself is still problematic.
Communicating the change ahead of time (given it's popularity and cost difference) would be the most prudent.
But in the end, I think they actually found a better approach: for regulars, the coffee is often free. Because they also bought other things, and helped reinforce the customer community and predictable revenue.
In services, grandfathering is a great way to rollout changes to pricing. But it doesn't work for companies with very little growth/where everyone is a regular.
joshmanders
It's a since the dawn of time understanding that happy customers are loyal customers. But for some reason so many companies get greedy and ruin that loyalty for short term profit gains that decimate their long term profit.
jpl56
Twitch is doing this too ($5 to $6 price increase). As soon as I received the information email, I immediately canceled my subscriptions and removed my payment method. I'll keep helping my content creators through their Youtube channel instead.
zug_zug
I guess this is why most places change prices more gradually. If they made it 1.10 for 3 months then 1.20 for 3 months etc I bet people would have dealt (assuming it's still the cheapest coffee around).
coding123
It was (is again) this gas stations Costco hotdog
markx2
(UK) My local pub would charge me £1.10 for a pint of Lime & Soda water.
The local pub had an expensive makeover
They now charge double for exactly the same drink, and IF I go in I have to be sure to say "No Ice"
If I go in .. my patronage has dropped through the floor.
sciencesama
And this is happening with vmware ansible and terraform !!
justabaldguy
Loved this article, thank you for sharing.
ldx1024
This article trips my BS meter for a made up story to illustrate a point. Of course that says nothing about whether the point it is making is valid or not.
Communicating the change ahead of time (given it's popularity and cost difference) would be the most prudent.
But in the end, I think they actually found a better approach: for regulars, the coffee is often free. Because they also bought other things, and helped reinforce the customer community and predictable revenue.
In services, grandfathering is a great way to rollout changes to pricing. But it doesn't work for companies with very little growth/where everyone is a regular.