The Real Cost of Coffee: Why Brewing at Home Makes More Sense Than Ever
Coffee shop prices are rising across the U.S. New POS data shows the national median at $3.52 for a regular hot coffee and $5.47 for cold brew, with some cities pushing close to $5 for a basic drip. Year over year, places like Seattle saw double-digit jumps. Meanwhile, packaged coffee at retail (think grocery stores) climbed roughly 21%.
Why prices are up
- Green coffee costs: Elevated arabica and robusta prices for 12+ months.
- Tariffs: Added import fees (including a 50% tariff on Brazil for many months) increase roaster costs.
- Fixed café overhead: Rent, labor, and ops get priced into every cup. Inflation, particularly in labor, has been going strong since 2020.
- Reduced Purchase Power: Estimates put the reduction in purchasing power of the US Dollar at 25% over the past 4 years. That means an item you could have purchased for $1 in 2021 costs you $1.25 in 2025.
Home brewing wins on value and flavor
A 12-oz bag of Steel Oak yields roughly 20–25 cups. Even at a premium, your per-cup cost often lands under $0.95—well below the typical café price. Plus, you control grind size, water quality, and freshness for better flavor in the cup.
- Chemex or V60 for clarity
- French Press for body
- Grind just before brewing
- Use 1:16 brew ratio (coffee:water)
- Target 200°F water
- Store beans airtight, cool, dark
Coffee should be an experience, not a transaction
When you brew at home, you’re not just saving money—you’re getting fresher coffee and a better ritual. Taste the origin, the roast, and the craft in every cup.
Sources: Toast POS August 2025 pricing analysis; U.S. Consumer Price Index for packaged coffee (August 2025).