The Tendencies that will Impact the Coffee Market
The international consulting company TechNavio released a report about the world market reacting to commercial coffee services, which analyzes the trends over the next four years.
What stood out in the report is that the demand for sustainable coffee solutions will increase among clients, and that the average coffee consumer is demanding ecologically-minded products. “The sellers in the market are capitalizing on this demand by their clients through the expansion of their sustainable coffees and related product lines,” the report indicated.
These products, with respect to the environment, must include the use of materials that can be recycled (paper or packaging materials), and others that are ecologically certified as biodegradable.
TechNavio assures that it is expected that these innovations will contribute significantly to market growth.
Analysts report that another tendency that will impact the market will be the expansion of distribution channels. Wholesale product delivery, according to the TechNavio analysis, will provide more opportunities for sellers “to increase the products delivered to each client, stimulating market growth.”
Finally, the company highlights that the demand for single-use receptacles with which to prepare coffee will increase, which is attracting new players to the coffee services market. In this aspect, according to what the firm released, the high competition will translate to “a lowering of the prices for these cups” and, as such, will create “more sales.”
General Market Trends:
– Consumers are leaning toward healthy products with a history behind them.
– There’s interest in replicating the experience of a coffee shop in the home.
– Third wave coffee: this is a tendency that identifies coffee from diverse origins and regions. It makes an emphasis on specific and innovative flavors like cold brew and RTD Coffee.
– The key to penetration with instant coffee will be based on the tea consumers market
– In mature markets the consumption of instant coffee is jumping from standard products to products that offer differentiation: microbrews and expresso types.
– Even though freeze-dried consumers value smoothness and the Arabica flavor, they also look for balanced products: like the smoothness of the Arabica flavor and the character of other origins.
Source: Buencafé market intelligence.