Pret a Manger has announced it will launch a new monthly subscription offering people five drinks a day in an effort to boost sales and footfall.
The new service will enable subscribers paying £20 a month to enjoy up to five coffees, hot chocolates, teas, smoothies or frappe drinks a day, every day.
In a 30 day month that would at a maximum equate to 150 drinks for £20, or 13.3 pence a drink. With the drinks on offer normally costing in the region of £2 each, that is a discount of 93.5%.
Most subscribers of course will not take maximum advantage but a worker with three breaks a day, working five days a week could quite easily redeem 60 drinks a month, which is 33 pence per drink, a discount of 84.5%.
Coffee margins are high, and doubtless the equation must factor cross sell value while subscribers are collecting their drinks. Only last week Pret a Manger reduced their workforce by 2,900 to cut costs, and is closing circa 10% of London outlets.
The subscriber discount scheme seems incredibly generous and due to London being devoid of both tourists and workers currently is aimed at a niche target market. In such tough market conditions the move seems brave.
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Pret a Manger subscription – 4 September 2020 – Pret a Manger subscription