Monthly subscription services are more popular than ever. Today there are hundreds of startups that allow you to pre-pay and receive things like beauty supplies, healthy food, clothes, and jewelry right to your door. And startups like New York-based ClassPass, a monthly membership that lets you visit multiple gyms and fitness studios, are bringing even more flexibility to monthly subscription services--and are growing fast (ClassPass has raised $84 million since 2013).
And now a Chicago startup wants to bring the ClassPass model to your local cafe, and let you order a cup of coffee with a monthly subscription.
BrewPass, which launched last year by DePaul grad Michael Studer, is a $30 monthly subscription service that lets you buy a cup of coffee a day at local Chicago cafes. Users can download the BrewPass app, subscribe for the monthly pass, and order coffee at participating locations (BrewPass currently works with 11 Chicago coffee shops and is expanding to 15 by the end of the week, Studer says).
For essentially $1 a day, BrewPass gives you one cup of coffee per day, and allows you to choose from lattes, espressos, macchiatos or any type of drink on the menu. BrewPass says it can save people up to 80% a month on coffee, assuming they're getting the most expensive drink on the menu.
Users just order from their phone, show their phone to the server, and the server enters a 5 digit redemption code.
"Everyone's alway shocked how easy it is when they see it," Studer said. "It's easier than cash or a credit card."
BrewPass currently works with Chicago coffee shops like Bow Truss, Bru Chicago, Alliance Bakery, and BrewBrew coffee lounge.
"Our main goal is to have everyone go to local cafes instead of going to Starbucks and Dunkin' Donuts," Studer said.
Studer says BrewPass has been doubling its users every week since the beginning of the year, and the company makes money by taking a percent of the transaction with the coffee shops. The startup has raised $250,000 in venture capital, Studer said.
BrewPass plans to stay focused on coffee (it began with a monthly restaurant subscription, but pivoted when it found that coffee shops were more popular with its users). The startup expects to launch in other markets down the road, allowing you to one day use your BrewPass wherever you travel.
"The goal is someone could travel from city to city and never have to worry about (paying for coffee)," Studer said.
