By Hinge Consulting
Reality is starting to settle in for grocery manufactures as consumers are flocking to Amazon to purchase their groceries. According to the Food Marketing Institute, online grocery sales are predicted to reach $100 billion by 2025 — with Amazon making up a big chunk of that.
The NCA Cold Brew Toolkit draft will be open for coffee industry comment through the end of May
An edited version of the following article was originally published in the May 2018 issue of Tea & Coffee Trade Journal
Cold brew has taken off – and it’s changing the way we drink coffee.
Total retail sales of refrigerated cold brew grew by about 460 percent from 2015 to 2017, reaching an estimated $38.1 million in sales this year, according to research from Mintel.
And, unlike avocado lattes, cold brew is more than a passing trend. About 10% of coffee drinkers reported having cold brew daily in 2017, according to the NCA National Coffee Drinking Trends report – up from only 1% in 2015. Experts predict that this category will continue to drive coffee market growth.
But despite of – or perhaps due to – this sudden popularity, there are still a lot of questions and misconceptions around cold brew. This is especially true for coffee companies that are considering making, serving, or selling cold brew.
The Growing Desire for Functional Coffee
By Vanessa Facenda, Editor, Tea and Coffee Trade Trade Journal
The following post originally appeared on the Tea & Coffee Editor’s Blog
As spring rolls in, consumers start thinking about “form and function.” While this usually means getting “winter bodies” into shape, functionality is playing a greater role in beverages.
Earlier this year, NCA held a webinar entitled, “US Coffee Outlook 2018: Latest Market Trends and Future Market Growth.” Eric Penicka, senior research analyst with global market intelligence firm, Euromonitor International, who was the webinar presenter, noted that the key ingredients for the future are convenience and function. Both will lead to value growth.
57% of US workers are less than “very satisfied” with their workplace coffee area.
NCA National Coffee Drinking Trends 2018
NCA Webinar: Office Coffee Service Challenges
Featuring David Sprinkle, Packaged Facts
April 11, 1-2 PM EST Now Available On-Demand For NCA Members
PR Newswire — Coffee and coffee drinks made/dispensed at work play a primary role in meeting employed coffee drinkers’ at-work coffee procurement needs, according to Office Coffee Service in the U.S.: Market Trends and Opportunities, 3rd Edition, an upcoming report from market research firm Packaged Facts.
But given the importance employees place on various coffee-related attributes, employed coffee drinkers’ satisfaction with those attributes falls short when applied to their workplace, which suggests that employers can win points by enhancing coffee-related products and services (most employees believe they should not have to pay for coffee at work anyway). Doing so may also translate to growing the bottom line, since employees are likely to view coffee as a productivity tool.
Watch the NCA Webinar: Cybersecurity Trends and Threats 2018
The following post is reprinted with permission from the Crowe Horwath Cybersecurity Watch Blog
By Mike Porter, Crowe Horwath
With the release in June 2017 of the newest IBM “Cost of Data Breach Study,” conducted by Ponemon Institute, the web is buzzing with discussions of what a breach costs.
As a result, now is a good time to provide a more nuanced analysis of this report through an examination of the assertions of a variety of recent breach cost reports that attempt to answer similar questions.
A New Industry Guide for Renovation & Rehabilitation
Coffee-growing regions around the world are feeling the impact of aging trees and diseases (such as coffee leaf rust, pictured above), on the quality and supply of coffee. Supporting responsible coffee farm renovation and rehabilitation is crucial to the future of coffee, and the longevity of our industry.
That’s why the Sustainable Coffee Challenge, in partnership with USAID’s Bureau for Food Security and Dalberg Advisors, has released a new Guidebook for Roasters, Traders, and Supply Chain Partners.
The Guidebook is a comprehensive resource for companies, governments, investors, and service providers interested in undertaking Renovation & Rehabilitation (R&R) efforts; it:
- Defines the need and makes the case for renovation and rehabilitation
- Provides practical & useful tips on how to structure R&R programs
- Suggests ways that different stakeholders can engage in R&R
- Presents case studies and links to experts and service providers
R&R investments are critical for ensuring the continued supply of coffee and meeting future demand. While governments and actors in coffee value chains have invested USD 1.2 billion in R&R so far, this has only met around 5% of the smallholder farmers in need
According to the Guidebook, if the industry did reach these farmers in need of R&R, benefits would include more coffee, higher incomes for farmers, and reduction in future deforestation.
Here’s a look at the numbers: Continue reading
This post originally appeared on Restaurant Business via S&D Coffee and Tea
Decaf with two raw sugars, half-caf with almond milk and agave, iced Americano with two pumps of caramel syrup: Coffee orders can be as varied and unique as the consumers ordering them.
One consistent aspect, however, is that customization is now an essential part of the coffee experience — a fundamental or basic need and no longer an enhanced need, as confirmed by research from S&D Coffee & Tea and Datassential.
According to their survey of regular coffee drinkers that purchase coffee away from home from a commercial operator or convenience store, the ability to customize is statistically tied with speed/convenience and variety of options as the third most important factor when consumers choose a venue from which to buy coffee. Only price and quality are deemed more important than the ability to add to one’s coffee.
Gender equity is good for the coffee business.
The Partnership for Gender Equity (PGE) believes that vibrant farming communities are the key to producing better coffee, and more of it. Therefore, they’re working to address this issue through large-scale collaboration, standardized best practices, and stronger data – starting with the report, “The Way Forward: Accelerating Gender Equity in Coffee Value Chains.”
During a recent NCA webinar, “Gender Equity: Strengthening the Links of the Coffee Supply Chain,” industry experts Kimberly Easson, Samantha Veide, and Chad Trewick discussed key findings, required resources, and where the industry can go from here.
Four highlights emerged from the research:
* [Ed. note: Millennial translation gifs available here]
Millennials are really into their coffee. (It’s no coincidence that BuzzFeed recently launched their own roast … sold through a personality quiz.)
But not all cups are created equal.
Just like the cloud, “coffee” often means something different for the 19-35 year old demographic than it does for previous generations. In fact, Millennial behavior and attitudes are transforming the coffee market. (For starters, they really love espresso.)
But what do these changing consumption trends mean for the future of the coffee industry?
By Kyra Auffermann, NCA
Today’s “typical” cup of coffee is anything but – it may not even be a cup.
Innovation is fueling growth across the gourmet coffee segment (aka specialty coffee), according to the new NCA National Coffee Drinking Trends Report 2017, released at the NCA 2017 Annual Convention in Austin on March 25, presented by Michael Edwards, Dig Insights.
The latest data shows a market shift toward high-quality, premium beverages, with younger demographics driving this change.
So what does this mean for the coffee industry? Here are the top consumption trends, based on the latest market data.