Coffee subscription model launches in NYC

|By:, SA News Editor

A new coffee service app from an Israeli start-up did a soft launch in New York City with positive early results.

The $45-per-month Cup service gives subscribers unlimited purchases of basic coffee and tea drinks at the 40 participating independent shops. A premium service at $85 per month opens the door for premium espresso and latte drinks.

Both Starbucks (SBUX -0.4%) and Dunkin' Brands (DNKN -0.6%) have 10X the number of locations that Cup has under its fold so far.

The firm's goal is to expand out of NYC in the future.