Keurig accidentally created the perfect business model for hardware startups
Ben Einstein
52516

Keurig K-cups cost $100 for 160 servings at Costco so I don’t think you can assert that “Keurig cost of consumable is 1% of device”. That $100 is maybe a 2-month to 3-month supply of consumables for a typical person. That dwarfs the cost of razor and print cartridge consumables.

I think the key difference here is the willingness to pay. Coffee products right or wrong are thought to be “hip”. The music video Gangnam Style mocks women on South Korea who starve on cheap instant noodles so that they can spend 4x more money at Starbucks. On the other hand there’s nothing sexy or hip about paying for printer cartridges or razor blades.

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