Economists and stock analysts are always trying to place monetary values on abstract behaviours and ideals but here’s a great commentary about what you pay for when you go to Starbucks, or to one of its hipster overwhelmed competitors.
…you are paying a vast premium for the heating of your milk — but not the milk itself. The main ingredient is a double shot of espresso, and that costs $1.85. My Starbucks doesn’t charge for a single pump of vanilla, so that’s free. And at the sugar-and-napkins counter, you can pour all the milk into your cup that you like. So that’s free, too.
The $1.37 premium is therefore just for the labor of steaming the milk, which takes about 20 seconds.
He makes the point that we do it for the shared experience, the imaginary sense of community. We’re all still savages around the campfire, trying to reinforce the survival bonds to our tribe. Here’s the link so you can read it in the author’s own words.
MSN Money – Starbucks’ genius blends community, caffeine
I raise my paper cup to you!