Industry at crossroads
What’s happening in the world of coffee? Our insight report ‘The world of coffee’ presents market movements, consumer behaviours and key trends that are shaping coffee drinking around the world. Read on for a sip of the content.
Coffee globally is an industry at a crossroads
While strong growth is propelling the coffee industry to new heights, it is simultaneously causing a shift into an increasingly complex and competitive space. At the heart of this transition is the meteoric rise of coffee culture, which is growing in both developed and emerging markets, leading to an increased demand for premium offerings.
Coffee culture is teaching consumers about espressos and advanced brewing techniques but also about coffee’s role in leisure, social and working lives. This education drives consumer demand for better quality and convenient in-home options.
With more mobile lifestyles, out-of-home consumption of coffee is increasing. Accordingly, specialist coffee shops are the second fastest growing global channel for coffee with 4% value CAGR until 2020. The Australasian market spearheads this trend accounting for the world’s largest share of food service coffee volume, with 57% flowing through these channels.
Online breaking tradition
The only channel that trumps speciality coffee shops in growth is online retailing, with 15% value CAGR growth in 2020. With brands like Nespresso having great success in the market with limited traditional retail presence, it has become clear that the online retail model characterized by consumer exploration and personalisation as well as convenience, is perfectly suited for coffee as a product. This is not a trend confined to Europe and North America. In India the value of food and drink internet retail is forecast to grow by 40% by 2020.
For a copy of the full report, please contact email@example.com