Coffee Cafes

Coffee cafeAccording to the National Coffee Association’s 2017 National Coffee Drinking Trends report, 62% of Americans drink coffee on a daily basis and 46% of coffee consumed is done so away from home. Although the recent popularity of coffee cafes may be traced back to the 1990s when Starbucks expanded across the country, TV show friends were seen hanging out at Central Perk coffeehouse, and laptops and wi-fi allowed workers to work from anywhere, coffee cafes are nothing new. The first public place to serve coffee dates back to 1475 in Constantinople, Turkey (now Istanbul).

Today’s market size shows the total sales of coffee cafe chains in the United States in 2016. The top three coffee cafe chains, in terms of sales, are Starbucks (estimated $14.7 billion, accounting for nearly 60% of the total sales at coffee cafe chains in the U.S.), Dunkin’ Donuts ($8.2 billion), and Tim Hortons (estimated $760 million).

Geographic reference: United States
Year: 2016
Market size: $24.8 billion (a 9.7% increase from 2015)
Sources: “Coffee Cafe,” Restaurant Business, June 2017, page 55 available online here; Paajanen, Sean, “The Evolution of the Coffee House,” The Spruce, November 27, 2016 available online here; Mock, Brentin, “What Made Coffeehouse Culture Go Boom?” CityLab, January 23, 2017 available online here; Auffermann, Kyra, “From Brew Boomers to the Gourmet Generation: National Coffee Drinking Trends 2017,” The First Pull, National Coffee Association, March 28, 2017 available online here; DeRupo, Joe, “Daily Coffee Consumption Up Sharply,” National Coffee Association News Release, March 25, 2017 available online here.
Original source: Technomic’s Top 500 Chain Restaurant Report
Image source: Free-Photos, “coffee-shop-american-flag-america-1081713,” Pixabay, January 7, 2016 available online here.

Office Coffee Service

The market for office coffee service—this service, often abbreviated OCS, provides companies with the hardware and consumables needed to supply their employees and guests with hot beverages, usually coffee—declined during the recession of 2007-2009 but began to grow again in 2011. This turnaround occurred more quickly than did the rebound for the larger vending machine contractors industry generally. Credit is given by the industry to its ability to be flexible and to alter its offerings. In particular, the rising popularity of single-cup systems has helped the industry to weather economic cycles throughout the first decade of the 2000s.

Today’s market size is the value of the office coffee service market in 2011, a figure that was forecast to rise by 3.5% in both of the following two years.

Geographic reference: United States
Year: 2011
Market size: $4 billion
Source: “Report: Office Coffee Sales To Increase 3.5 Percent Annually in 2012 and 2013,” February 21, 2012, Vending Marketwatch, available online here.
Original source: Packaged Facts
Posted on January 10, 2013

Coffee

Today’s market size offers a measure of the world’s coffee production. The U.S. Department of Agriculture tracks many, many agricultural products, geographically, by output, by shipment and even by consumption. Another example of how the Federal government’s data collection agencies provide us with an extremely valuable service.

Happy tax day!

Geographic reference: World
Year: 2000-2001 and 2010-2011
Market size: 117,521 and 139,084 thousand 60-kilogram bags respectively
Source: “Table 01 – Coffee World Production, Supply and Distribution,” Coffee: World
Markets and Trade,
December 2010, page 4, available online here.
Original source: U.S. Department of Agriculture, Foreign Agricultural Service

Coffee in Puerto Rico

Puerto Rico is experiencing a decline in its coffee production. Over the period from 2002 to 2009 the island saw a decline of more than half in the number of farms growing coffee beans, from 9,000 in 2002 to 4,000 on 2009. According to the source article, the reasons for this decline are varied and include flooding from recent tropical storms as well as difficulty finding enough workers to pick the coffee beans at harvest time. Despite high unemployment rates an estimated $25 million worth of coffee was left unpicked in the 2009-2010 season, according to the Puerto Rico Coffee Buyers & Growers Association.

Geographic reference: Puerto Rico
Year: 2006 and 2010
Market size: 178,000 pounds and 80,000 pounds respectively. The harvest in 2010 had an estimated value of $23 million.
Source: “Sharp Drop in Coffee Production on Puerto Rico Worries Growers,” The Avis, February 19, 2011, St. Croix, Virgin Islands.
Original source: Puerto Rico Coffee Buyers & Growers Association.