LAP Coffee's Aggressive Pricing Puts Squeeze on Small Cafes
Small, owner-run cafes are celebrating the arrival of 'Life Among People' (LAP), a new coffee chain that's drawing customers with its aggressively low prices. However, this strategy is putting pressure on independent cafes that find it hard to compete.
LAP Coffee, established in 2023 in Berlin, is the brainchild of Ralph Hage and Tonalli Arreola. Hage, previously with Delivery Hero and the founder of the now-defunct delivery service Yababa, saw an opportunity in the coffee market. Arreola, who worked at Lime and Flink, brought his operational expertise to the venture.
The duo's aggressive pricing strategy has proven successful in attracting price-conscious customers. However, this has led to concerns among small cafe owners who struggle to match LAP's prices without compromising their quality or sustainability practices.
LAP's aggressive pricing is driving customer traffic, but it's also putting the squeeze on small cafes. While LAP's founders aim to make coffee accessible to all, the sustainability and longevity of this strategy remain to be seen.
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