Industry News

Real estate Americano

Learn the New Luxury Playbook at Luxury Connect | October 18-19 at the Beverly Hills Hotel

Have you ever stood at Starbucks and asked yourself how they managed to take a 60-cent cup of flavored water and sell it for four dollars? I have. Usually after I ask myself how real estate decided to devalue itself during the greatest economic upswing in American history. Tall drip to go The coffee-shop business is worth dissecting. Like real estate, its core ingredient, coffee, comes from outside sources. Like the real estate agent, the counterperson who transacts the coffee deals enters the profession with no skill, tools or technologies of his own. The employees are completely reliant on the coffee-shop owner to provide everything from training, customers and the provision of accessories. Venti Macchiato, skim, no foam When Starbucks came to New York City, the average price for a cup of coffee was 60 cents. Starbucks charged $1.25. Fancy drinks were upwards of $2.50-$3.50. Lines formed instantaneously. Greek diners and greasy-spoon owners stood in amazement. They couldn't grasp th...