Smell the coffee: Rising demand for multiple varieties of high-quality coffee will boost industry revenue

The Retail Market for Coffee industry has exhibited growth over the past five years, as more individuals have made coffee their caffeinated beverage of choice and customers have opted for more expensive industry options. Combined with increased consumption, a shift toward higher-end, higher-margin options has helped industry revenue and profit both grow. Over the five years to 2016, industry revenue is anticipated to grow. Still, as a result of volatile input commodity costs, coffee retailers have struggled to accurately reflect purchase costs in their prices and will likely continue to have such difficulty moving forward, but to a lesser degree. Over the five years to 2021, industry revenue is forecast to grow at a slghtly slower rate...read more.

Industry Statistics & Market Size
Revenue
$37bn
Annual Growth 11-16
3.6%
Forecast Growth 16-21
Profit
Employment
2.5m
Businesses
432,727
What Our Customers Say

Industry Threats & Opportunities

  • Despite the recession, consumers have continued to demand new coffee products
  • Single-serve coffee makers and instant coffee grew in popularity, which increased revenue
  • Coffee retailers will try to foster a coffeehouse culture to drive consumer demand for coffee
  • Industry Report - Industry Analysis Chapter

    Over the five years to 2016, an increasing number of individuals are adding coffee consumption to their daily regiment and buyers’ tastes have shifted toward higher-end, higher-priced coffee varieties, such as Arabica coffee, single-origin blends, espresso drinks and K-Cups. As a result of these trends, the Retail Market for Coffee industry has benefited from fewer consumers purchasing low-margin, plain coffee for their drip coffee brewers or immediate consumption. According to the National Coffee Association’s (NCA) 2016 National Coffee Drinking Trends study, on average, 57.0% of individuals aged 18 and older had drank a cup of coffee the day prior to being surveyed, a figure that has grown from less than 10.0% in 2011. Add...purchase to read more.

    Additional Insights for the The Retail Market for Coffee Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the The Retail Market for Coffee Industry are

  • Having a clear market position
  • Effective cost controls
  • Proximity to key markets
  • IBISWorld analysts also discuss how external factors such as Per capita coffee consumption and Demand from supermarkets and grocery stores in the The Retail Market for Coffee industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What is the The Retail Market for Coffee Industry?

    Companies in this market sell coffee. The market includes all on-premises, off-premises and online sales of hot, iced and instant coffee, as well as sales of coffee beans and ground coffee. This market includes sales from all major retail channels, including specialty stores, general merchandisers and internet retailers.

    Industry Products
  • Iced coffee
  • Espresso coffee
  • Ground coffee
  • Instant coffee
  • Coffee consumed on-premises
  • Industry Activities
  • Retailing fresh-brewed coffee
  • Making to-order espresso-based beverages
  • Retailing ready-to-go, bottled coffee
  • Retailing whole or ground coffee beans
  • Making fresh-brewed coffee
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Per capita coffee consumption
  • Demand from supermarkets and grocery stores
  • World price of coffee
  • Per capita disposable income
  • World price of crude oil

  • Current Performance
  • Immediate consumption trends
  • Retail trends
  • Changing structure
  • Chart: Revenue Growth

  • Industry Outlook
  • Gourmet coffee preferences continue
  • Demographic changes will stimulate revenue
  • Enterprises and employment
  • Table: The Retail Market for Coffee Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - The Retail Market for Coffee Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Coffee Production
  • Restaurant & Hotel Equipment Wholesaling

  • Products & Services
  • Coffee consumed on-premises
  • Instant coffee
  • Ground coffee
  • Espresso coffee
  • Iced coffee
  • Chart: The Retail Market for Coffee Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Consumers aged 40 to 59
  • Consumers aged 60 and older
  • Consumers aged 25 to 39
  • Consumers aged 24 and younger
  • Chart: Major Market Segmentation for the The Retail Market for Coffee Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs The Retail Market for Coffee

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the The Retail Market for Coffee Industry

  • Industry Globalization
    Starbucks CorporationDunkin' Brands Inc.
  • Table: Starbucks Corporation - financial performance
  • Table: Dunkin' Brands Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the The Retail Market for Coffee Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the The Retail Market for Coffee Industry
    Includes:
  • Industry Revenue (2007-2021)
  • Industry Gross Product (2007-2021)
  • Establishments (2007-2021)
  • Businesses (2007-2021)
  • Employment (2007-2021)
  • Wages (2007-2021)
  • Per capita coffee consumption per year (2007-2021)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Americano
  • A shot of espresso diluted with hot water.
  • Barista
  • The person who prepares coffee at a coffee bar.
  • Espresso
  • Concentrated coffee made when hot water is forced at pressure through fine coffee grounds.
  • Quick Service Restaurant
  • A restaurant format characterized by counter or drive-thru ordering and limited or no table service.
  • Why buy this report?

    The The Retail Market for Coffee industry market report contains data and analysis of the most influential current and future trends shaping the industry. IBISWorld’s in-depth industry market research is presented in a logical, user-friendly format, and provides growth and profit forecasts for a five-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on The Retail Market for Coffee:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The The Retail Market for Coffee market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on The Retail Market for Coffee, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Want to speak to a representative? Call us.

    clear