Coffee 25/26: Sector Outlook
Published 02 October 2024
Coffee remains one of the world’s most popular beverages, with global consumption rates showing a 5% year-on-year rise (Circana, 2024). However, drinking habits continue to evolve, with the convenient at-home occasion going strong as personal budgets are squeezed and coffee is repositioned as a wellness-aligned beverage. Sustainable production is also a key focus as climate change pushes up prices.
Quick & Flexible Home Prep
Brewing Eco Solutions
Coffee’s Wellness Angle
As global household budgets remain under pressure and coffee prices soar, consumers are choosing to make coffee at home to save money. Convenience, flexibility and quality are all at play here, with brands creating flavoursome instant and concentrated coffee products, and at-home coffee machines conjuring hot and cold beverages in a speedy yet quiet manner.
As global household budgets remain under pressure and coffee prices soar, consumers are choosing to make coffee at home to save money. Convenience, flexibility and quality are all at play here, with brands creating flavoursome instant and concentrated coffee products, and at-home coffee machines conjuring hot and cold beverages in a speedy yet quiet manner.
As the effects of climate change continue to wreak havoc on the coffee industry and cause prices to soar, suppliers and brands are doubling down on seeking fair and sustainable solutions to protect the future of this vulnerable crop. This includes finding new, hardier bean varieties, implementing robust regenerative farming methods and protecting farmers’ livelihoods.
While the health benefits of coffee are nuanced and contested, people increasingly view the beverage as good for their health. Everyone from start-ups to multinational brands is offering wellness-aligned coffee options for health goals such as hydration and exercise recovery. Meanwhile, decaf is stepping up its game to serve sleep-deprived consumers.
Coffee 25/26: Sector Outlook
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