Mary Gazze, The Canadian Press, Wednesday April 6, 2011
TORONTO – As increased prices percolate through the menu at Canada’s largest coffee and doughnut chain, observers are warning Canadians to brace themselves for higher prices at other chains as well because of rising ingredient costs.
Tim Horton’s has announced that Canadian customers will pay seven cents extra for a large cup of coffee starting Monday. That brings the cost to $1.57 plus tax, or about 4.5 per cent more.
And with the price of wheat flour used in bread, doughnuts and muffins increasing 68.4 per cent over the last year, Tim Horton’s is also raising the cost of bakery products at its cafes, said spokesman David Morelli. However, he wouldn’t get into specifics about which products or how much.
Tim’s has already raised prices at its U.S. locations by about three per cent.
First off a large Tim’s coffee is 14 ounces in Canada as opposed to 20 ounces in the U.S. Tim’s knows that they can’t get away with this bullshit in the U.S. when competing with a Dunkin Donuts 24 ounce large at $1.69 or a medium, 20 ounces at $1.49. Two large 20 ounce coffees and a Sausage McMuffin – $5.00 in Phoenix.
So what does this mean? Well Tim’s is already a rip-off in my humble opinion. I hate the lids on their cups for one thing! There is no need for a “flat” lid any more that constantly dribbles and leaks every time you take a turn. A large Tim’s is now $1.77, so you know everyone will leave the pennies meaning it’s really $1.80. A McDonald’s medium, 20 ounce in Canada is $1.61 including tax, and a muffin!
I invite you all to join me for a coffee, and a muffin at Mickey D’s
Oh Yeah, and isn’t Canada one of the largest wheat growers? In fact the cost of wheat flour is forecasted to go down between now and 2013 according to the U.S. Agriculture site http://www.agriculture.com/markets/commodities/CBOT/wheat?page=quote&sym=KW but that’s OK because we know that Tim’s will lower the cost of a donut to the consumer when this happens – RIGHT!
September 2010, by Agrimoney.com – “There is a lot of winter (wheat) around in Ontario and they are offering it competitively as exports because they want to get rid of some,”
April 14, 2011 – Update
So my local McDonalds succumbed and raised the price on my medium black coffee and muffin from $1.61 to $1.71 including tax. However they give me a free newspaper ($1.00) so I’m still happy!