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Insight of the Day: Consumption of Coffee Outside Home Returns to Pre-Pandemic Levels

Summary of Findings:

  • Return to Pre-Pandemic Levels: Coffee consumption outside the home has rebounded, reaching its highest level since January 2020.

  • At-Home vs. Out-of-Home: While 81% of coffee drinkers enjoy their coffee at home, 36% also consume coffee outside the home, showing the importance of both settings.

  • Perceived Health Benefits: A majority of Americans believe coffee has health benefits:

    • 66% say it improves mental focus.

    • 51% say it is good for health.

    • 46% believe it enhances physical endurance.

  • Trends in Consumption:

    • Specialty coffee remains at a 13-year high.

    • Cold brew has seen the most growth, with consumption up more than 30% since January 2024.

    • Ready-to-drink coffee is also growing in popularity, with consumption more than doubling since 2023.

Key Takeaway:

Coffee consumption, both at home and outside, remains strong, with growing appreciation for coffee's health benefits and increasing demand for specialty and cold coffee beverages.

Trend:

  • The rise in cold brew and ready-to-drink coffee highlights the ongoing interest in convenient, on-the-go coffee options.

  • Specialty coffee continues to be a dominant force in the coffee market, maintaining consumer interest through unique and premium offerings.

Consumer Motivation:

  • The primary motivations for drinking coffee include its ability to wake people up (76%), help them stay focused (66%), and assist in getting tasks done (67%).

  • There’s a growing belief in the health benefits of coffee, which is influencing consumer choices.

Demographics and Behavior:

  • Coffee consumption is highest in the Northeast (69%) compared to other U.S. regions.

  • Coffee is most often consumed at breakfast (84%) but is also enjoyed at other times, such as mid-morning (32%) and in the afternoon (19%).

Implications for Brands:

  • Out-of-home consumption has returned to pre-pandemic levels, so brands should invest in expanding their presence in cafes, restaurants, and convenience locations.

  • The increasing demand for cold brew and ready-to-drink formats offers a significant opportunity for innovation and brand expansion.

  • Given coffee’s perceived health benefits, brands can tap into the wellness trend to market coffee’s potential advantages, aligning with consumers' growing focus on health.

Implications for Society:

  • The strong rebound in out-of-home coffee consumption suggests a return to pre-pandemic social behaviors, such as visiting cafes and enjoying coffee as part of a daily routine.

  • The growth in specialty coffee and cold beverages reflects consumers' evolving tastes, prioritizing quality, convenience, and innovation.

Implications for Consumers:

  • With increasing choices and a focus on quality, consumers can enjoy a broader range of premium, health-conscious coffee options.

  • Consumers' growing understanding of the health benefits of coffee may lead to increased consumption and preference for healthier brewing methods and ingredients.

Implications for the Future:

  • Continued innovation in specialty, cold brew, and ready-to-drink coffee formats is likely to drive future growth, especially as convenience and health benefits remain key motivations for consumers.

Consumer Trend:

  • The resurgence in out-of-home coffee consumption paired with a shift toward health-focused narratives around coffee suggests a future where premium, convenient, and health-centric coffee options will dominate.

Consumer Sub-Trend:

  • Cold brew coffee and ready-to-drink formats are emerging as the leading sub-trends within coffee consumption, especially among younger, busy consumers seeking convenience and innovation.

Big Social Trend:

  • Wellness and functional foods are influencing coffee consumption patterns, as more people seek beverages that provide both enjoyment and health benefits.

Worldwide Social Trend:

  • The rise in specialty and cold coffee mirrors global trends toward premiumization and on-the-go lifestyle products, particularly in urban areas where convenience and experience are key drivers of consumer behavior.

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