Goodbye 9-Cent Coffee: Price For Cup O’ Joe Spikes 400 Percent At Downtown LA Shop
LOS ANGELES (CBS) — Customers who have long enjoyed plunking down a dime for a cup of morning Joe will soon have to dig a little deeper in their pockets.
Philippe’s, a landmark sandwich shop in downtown LA will start charging 400 percent more for coffee starting Feb. 2.
For 35 years, Philippe’s has sold coffee for 9 cents per cup — 10 cents with tax — but that price will jump to 50 cents including sales tax.
CBS2′s Kirk Hawkins reports the new prices are unlikely to end what’s been a morning tradition for countless customers like Enrique Zeiss.
“You can’t beat the price,” said Zeiss. “10 cents? Where else can you pay 10 cents for a cup of coffee?”
The increase comes as the shop famous for its French dip sandwiches struggles to keep pace with rising supply costs — an economic reality that fourth generation owner Mark Masengill said cost him a lot of sleepless nights.
“”I would definitely think about it when I was getting ready to go to bed,” said Masengill.
Despite the price hike, Philippe’s still offers its brew for much less than gourmet coffee chains such as Starbucks and Coffee Bean & Tea Leaf, where prices start at $1.85 plus tax for a cup of regular coffee.