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Cafe prices
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madoka



Joined: 27 Mar 2008

PostPosted: Sun Apr 01, 2012 5:04 pm    Post subject: Cafe prices Reply with quote

Having spent a lot of time in various cafes around Seoul, I'm left wondering how Koreans can afford to keep these places in business. The prices seem more expensive across the board than in the generally more wealthy U.S. I know that the same bottle of apple juice in the U.S. is $2 and it's 4-5,000 won here.

I went to one cafe in Hongdae this weekend where the guy actually sized me up before giving me the menu. The price for a regular-sized cup of coffee was 9,000 won! Shocked While still not as high priced as monkey-poop coffee, I'm left wondering how this place can stay in business.
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Pablo



Joined: 15 Dec 2011

PostPosted: Sun Apr 01, 2012 7:22 pm    Post subject: Reply with quote

I'm a mocha frappe fan, but I discovered last weekend that the cappucino blast (which comes in a mocha variety) at low-brow Baskin Robbins (it's made with a scoop or two of BR ice cream thrown in) is way more gratifying than Angel-In-Us' resoundingly mediocre mocha frappe, which costs a whopping 5,600. BR's cappucino blast is only 3,400. It's not made with espresso, but the finished drink tastes much better in this case.

Last edited by Pablo on Sun Apr 01, 2012 9:03 pm; edited 2 times in total
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fosterman



Joined: 16 Nov 2011

PostPosted: Sun Apr 01, 2012 8:25 pm    Post subject: Re: Cafe prices Reply with quote

madoka wrote:


I went to one cafe in Hongdae this weekend where the guy actually sized me up before giving me the menu. The price for a regular-sized cup of coffee was 9,000 won! Shocked While still not as high priced as monkey-poop coffee, I'm left wondering how this place can stay in business.


was the cafe busy?
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SMOE NSET



Joined: 25 Feb 2010
Location: Seoul

PostPosted: Sun Apr 01, 2012 9:06 pm    Post subject: Reply with quote

Pablo wrote:
I'm a mocha frappe fan, but I discovered last weekend that the cappucino blast (which comes in a mocha variety) at low-brow Baskin Robbins (it's made with a scoop or two of BR icecream thrown in) is way more gratifying than Angel-In-Us' resoundingly mediocre mocha frappe, which costs a whopping 5,600. BR's cappucino blast is only 3,400. It's not made with espresso, but the finished drink tastes much better in this case.


I would watch out:

http://www.baskinrobbins.com/Nutrition/product.aspx?Category=Beverages&id=BV010

620 Calories a drink, 21g of fat, 80mg Cholesterol, 51g of sugar

I agree the coffee shops are a complete rip-off. A great reason to buy a coffee maker and make your own. They can be had for under 40,000W.
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Pablo



Joined: 15 Dec 2011

PostPosted: Sun Apr 01, 2012 9:36 pm    Post subject: Reply with quote

Yeah, good reminder. Thank you. It's a once-a-week treat for me. My everyday coffee (don't snicker) is IGUACU brand Brazilian coffee instant POWDER in the can (not the granules in the jar- they taste different) from E-Mart or Home-Plus. I can't stand most instant coffees, which hit my head like a sledgehammer, but Iguacu from Brazil is so smooth and balanced, hitting a really wide range of notes. I know it sounds weird, but I like it better than espresso based coffee or drip. It's magical. Mmmmmm.
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madoka



Joined: 27 Mar 2008

PostPosted: Mon Apr 02, 2012 2:02 am    Post subject: Re: Cafe prices Reply with quote

fosterman wrote:

was the cafe busy?


I was the only customer for the hour I was there. I counted three employees.

As I type this, right now I'm at the Laderach chocolate cafe. A hot chocolate is 6,500 won and four pieces of chocolate (See's Candy-sized) is 12,000 won. Shocked
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Died By Bear



Joined: 13 Jul 2010
Location: On the big lake they call Gitche Gumee

PostPosted: Mon Apr 02, 2012 2:10 am    Post subject: Reply with quote

It wasn't one of those 'special cafes', was it? Very Happy
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DIsbell



Joined: 15 Oct 2008

PostPosted: Mon Apr 02, 2012 3:11 am    Post subject: Reply with quote

I'm gonna get into some generalizations here, but bear with me:

1. Cafes are a big trend right now.

Koreans tend to follow trends (yes, so do other people in other countries). Coffee is a big one right now, thanks to hit dramas (Coffee Prince) and star-studded advertising. It's considered very trendy and quite 'normal' to spend time in cafes. Also, the word 'cafe' alludes to a kind of European fanciness/glamour which seems to be quite popular in Korea these days.

2. Koreans are quite willing to pay high prices for things

Domestic rice, electronics, and foreign luxury brands are prime examples. Coffee, served in cafes, has that Euro-luxury vibe to it so, like LV and Chanel, paying for it is somewhat of a status marker. You could get some cheap to-go from Manoffin but that's not as good as getting the same thing in a mug at Caffe Bene and sitting down.

3. Koreans need places to sit and chat

This is twofold. First, many Koreans live genuinely busy, fast-paced urban lives. A cafe serves as a convenient meeting point during lunch breaks, between appointments, or just halfway between your friend's home on the other side of the city. Second, Koreans don't seem to have company at their homes as much (comparatively), especially young people who are in their parent's compact apartment. Homes are smaller, noise is a concern, and it just doesn't seem culturally common to have 3-5 friends over to hang out, at least for younger people. Similar to why Nolibangs/PCbangs/DVDbangs are popular, cafes serve as a gathering place for people to meet with friends and do somewhat mundane things (chat, watch a DVD, play Wii) that we (Westerners) generally associate with doing at home. So paying 6,000 for a coffee at the cafe in order to sit down in comfy chairs by a window and chat with your friends for a couple hours isn't so bad. I know older folks have their adjossi/ajumma friends over for drinks or dinner, but coffee shops tend to be filled with the under 30 (35?) crowd.
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madoka



Joined: 27 Mar 2008

PostPosted: Mon Apr 02, 2012 6:08 am    Post subject: Reply with quote

DIsbell wrote:
Coffee is a big one right now, thanks to hit dramas (Coffee Prince) and star-studded advertising.


I agree with your analysis.

The irony with this statement is that the cafe featured on Coffee Prince in Hongdae went out of business and is now a nondescript restaurant.
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actionjackson



Joined: 30 Dec 2007
Location: Any place I'm at

PostPosted: Mon Apr 02, 2012 4:41 pm    Post subject: Reply with quote

My girlfriend and I are in the State right now and she can't believe how cheap things are. She keeps telling me that in Korea it's believed that if something is more expensive it's better. Luckily for me she's starting to realize this isn't always the case and that cheaper can often times be as good or better than expensive.
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furtakk



Joined: 02 Jun 2009

PostPosted: Mon Apr 02, 2012 5:18 pm    Post subject: Reply with quote

I forgot how cheap coffee was until I went back home for Christmas. I met a friend at a pretty ritzy cafe while home. My cappuccino cost $2. I've been so used to paying >5000 for a coffee.

i think the rents are just too expensive here and most of the cafes don't have much in terms of food menus so they jack up the price of coffee. a lot of them will have dessert, but not many do proper sandwiches/light food like cafes back home.
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fosterman



Joined: 16 Nov 2011

PostPosted: Mon Apr 02, 2012 5:25 pm    Post subject: Reply with quote

furtakk wrote:
I forgot how cheap coffee was until I went back home for Christmas. I met a friend at a pretty ritzy cafe while home. My cappuccino cost $2. I've been so used to paying >5000 for a coffee.

i think the rents are just too expensive here and most of the cafes don't have much in terms of food menus so they jack up the price of coffee. a lot of them will have dessert, but not many do proper sandwiches/light food like cafes back home.


yes,and also franchisers rip off the franchisees something terrible!
it's amazing Koreans buy franchises when the ones who really only
benefit are the franchisers.
if you go on Korean businesses for sale websites, it's astounding
how many paris baguette, or cafe bene, etc etc are for sale.
all sounds good on paper,and I am sure their salesmen do a great job in
convincing you to throw down half a million dollars to open one.
but after trading 1 year. you realize that 500 million won would of made you more return from interest in a bank! so they list the business for sale and take a loss to get out.
competition is to fierce here, you open a cafe bene, and within the next 6 months you have starbucks, angel n us, 7 grams, and what ever other brand all opening around you and you just saw your sales slashed!
and that goes for bakeries, where ever there is a paris, look to your left or right and you will see tours le jours, or lavian, etc.
it's crazy! everyone is just killing each other.
location location location! but that costs HUGE COIN here.
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Sister Ray



Joined: 25 Mar 2006
Location: Fukuoka

PostPosted: Mon Apr 02, 2012 5:50 pm    Post subject: Reply with quote

More than the price I object to the dismal quality. Globally chain coffee stores (Starbucks, Gloria Jean's etc.) are pretty poor but they seem exceptionally substandard here... all I want is an espresso, they have huge $15,000 auto machines. How hard can it be?

Angel in us is the worst I have had the misfortune of sampling (only go to these chains when absolutely necessary.) Horrendous.
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nicwr2002



Joined: 17 Aug 2011

PostPosted: Mon Apr 02, 2012 7:02 pm    Post subject: hi Reply with quote

fosterman wrote:
furtakk wrote:
I forgot how cheap coffee was until I went back home for Christmas. I met a friend at a pretty ritzy cafe while home. My cappuccino cost $2. I've been so used to paying >5000 for a coffee.

i think the rents are just too expensive here and most of the cafes don't have much in terms of food menus so they jack up the price of coffee. a lot of them will have dessert, but not many do proper sandwiches/light food like cafes back home.


yes,and also franchisers rip off the franchisees something terrible!
it's amazing Koreans buy franchises when the ones who really only
benefit are the franchisers.
if you go on Korean businesses for sale websites, it's astounding
how many paris baguette, or cafe bene, etc etc are for sale.
all sounds good on paper,and I am sure their salesmen do a great job in
convincing you to throw down half a million dollars to open one.
but after trading 1 year. you realize that 500 million won would of made you more return from interest in a bank! so they list the business for sale and take a loss to get out.
competition is to fierce here, you open a cafe bene, and within the next 6 months you have starbucks, angel n us, 7 grams, and what ever other brand all opening around you and you just saw your sales slashed!
and that goes for bakeries, where ever there is a paris, look to your left or right and you will see tours le jours, or lavian, etc.
it's crazy! everyone is just killing each other.
location location location! but that costs HUGE COIN here.


It's true, but you know how Koreans are and the "Brand" imagine. If it's not a brand that they can recognize then its going to be assumed poor. Maybe that's more apparently in smaller cities unlike Seoul, but in the country side like Naju, if it's not a Paris, Tour le Jours, Cafe Bene, or the like you won't see many people in there. Maybe the people want to open up a coffee shop on their own, but afraid that people won't show up if it's not a name brand coffee shop.

Also coffee in Jeolla-namdo is a lot cheaper than what you guys are quoting O_o
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Swampfox10mm



Joined: 24 Mar 2011

PostPosted: Mon Apr 02, 2012 8:08 pm    Post subject: Reply with quote

I stopped buying coffee unless it's from a place selling it for 2,000 to 2,500 won. Inflation in Seoul has been horrible, and coffee shops are outrageous. As noted, they want the same for what a full meal costs in some places. That's just nuts.

A Korean friend and I were discussing prices and stores. He said that starting a business/failure thereafter is a huge social problem in Korea. People retire early from their job at Samsung or wherever, then dump their retirement into their dream business. They all want to make millions, have control over their own domain, etc., but most end up failures and lose their tails (or even the savings of other family members).

I have also sat and watched many businesses that seem to endure despite having no customers. I am convinced that several businesses, who seem to have no patrons EVER, are merely money laundering fronts. There is a shop selling cheap cabinets, shelves, and misc. furniture that is laughably overpriced and I've seen just one couple in there in 7 years.... but it still stays in business. It defies logic. The one time I went in to check prices, they shoo'd my wife and I out after quoting prices far higher than even other brick/mortar stores in the area.

I'm still waiting for the bleeding to stop when all of the blood runs out of the average family in this country and everything comes to a massive crash. My wife and I are still saving at our target amount, for the most part, but we've had to adjust our lifestyle A LOT recently, and now I'm planning to get rid of the car this summer so we can stay on track.
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