Hey, I run a small cafe in Oregon and am trying to price lattes accurately.
My milk cost is around .0492 per oz My coffee cost is about .0233 per gram
So an 8oz lattee is: Milk with waste: .39 cents (8oz milk) Coffee with waste: .46 cents (20g but actually pull 17g shots)
At a food cost of .33 the latte should be priced at $2.61.
However for a 16oz latte (since it gets a quad) the coffee price: 40g coffee: .93 cents 20oz Milk: .984 cents
So it should be priced at: $5.75 or so.
This doesn't make sense to me as customers are essentially paying for two lattes and the calculating system doesn't allow for an exponential growth of cost. If a 16/20oz L get a quad and an 8/12oz get a double then the price of a 12 is $3.21 and if you add a shot and 4 oz of milk it goes to $4.79.
Is there a system you could recommend to calculate accurately or is this all normal?
Thanks for the help!