Letter To Our Customers

 It’s been an exciting 2 years since we opened up our first cart at 545 Market St. The support we got from our early customers confirmed my belief that SF really needed good chai! Since then I have opened up 2 other carts downtown, at 298 Market St and 480 California St. Nothing makes me happier than to see customers, like you, return on a regular basis to get chai. I hope the love, passion and pride with which we make our chai every day comes through in every cup.

Starting in March 2014, we are raising the price per cup by $0.25.  To understand why we made this decision, I want to share with you 3 operational details that will shed light on the economics of running an artisan chai business in SF:

1.     When it comes to quality, we don’t cut corners to save a penny. We use the highest quality ingredients available and organic ingredients when possible.

2.     To ensure we provide excellent service to our customers, I pay above min wage to my employees, which allows me to hire and retain good people.

3.     We make our chai, blend our spices, and produce our retail products in small batches. Small batch production enhances quality but limits the advantages that come from economies of scale.

To some, paying $3.75 for a 12oz cup may seem inflated. After all, in India one can get a cup of chai for less than $0.50.  I believe we provide our customers better value for their money – of course it depends on what you value. Here is an overview that will help you see what the extra $0.25 gets you

 

The Chai Cart®

Starbucks®

Independent Cafes

Organic Tea

Organic Milk

Freshly prepared chai from scratch (not from a box)

Sugar per cup (incl lactose sugar from milk)

12 gr

32 gr

28-35 gr

Calories per cup

105

190

180-220

Multiple Flavors

Personal Customer Service

Free 10th Cup of Chai

Free Wi-Fi

Seating

Price

$3.75 ($3.40 with free cup)

$3.45

$3.25 – $4.00

I hope I continue to see you as a customer at our carts. In a coffee-crazy city like SF, it’s an honor to find customers that appreciate the pleasures of fine tea. If you have any questions or comments, feel free to write to me at paawan@thechaicart.com