Yup, plus the K-Cup machine is higher profit and lower cost to build than a Nespresso machine. The BoM for Keurig is incredibly low for the selling price, somet

Yup, plus the K-Cup machine is higher profit and lower cost to build than a Nespresso machine. The BoM for Keurig is incredibly low for the selling price, something like $12 on a $130 machine. They flipped the razor and blades model and managed to make massive profit on both the razor and blades. I'm starting to see evidence that Keurig is struggling now however, They have launched much cheaper models and are all over the place looking for hits including ground coffee. I think they realized that they are known for 'meh' coffee and know that that brand wont get them to where they want to be next.