Cold brew looks simple, but the margin lives in batch yield and dilution. If you price it like iced coffee, you will undercharge.
This guide shows the cold brew math that keeps your pricing consistent.
Quick Summary
- Cost cold brew by batch yield, not by bag price
- Track dilution (concentrate to ready-to-serve)
- Packaging can be $0.30-$0.60 per drink
- Reprice when coffee or cup costs move
Cold Brew Cost Formula
Cold brew cost per drink = (Batch cost / Usable ounces) x Drink size
Example Batch
- Coffee beans: 2.5 lb
- Water: 1.5 gal
- Filters + loss: 8% waste
- Yield: 2.0 gal concentrate
If you dilute 1:1 for service:
Usable ounces = 2.0 gal x 128 oz x 2 = 512 oz
A 16 oz drink uses 16 oz of finished cold brew.
Example Pricing (16 oz)
- Coffee cost per drink: $0.85
- Packaging (cup, lid, straw): $0.45
- Ice + syrup: $0.20
Total cost: $1.50
If you target 20% pour cost:
$1.50 / 0.20 = $7.50
Where Margin Leaks
- Dilution done by eye
- Excess waste from over-steeping
- Upsize without adjusting price
- Premium cups that are not priced in
Market Context
December 2025 BLS CPI data shows food away from home up 4.1% over the year. Coffee, cups, and dairy move together, so review cold brew pricing at least quarterly.
Do This Now
- Weigh and record 3 portions of your main ingredient
- Calculate the cost per portion using your supplier invoice
- Set a portion standard and train your team
- Review your current menu price against 28-35% food cost target
- Update your pricing if food cost is above 35%
- Schedule a monthly cost review with your team
Related Guides
KitchenCost tracks batch yields and updates cold brew pricing instantly.
If you want your coffee menu to stay profitable, start at KitchenCost.