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Consumer spend on coffee increases

In the last year, £6.2 billion was spent on coffee out of the home – £202 million more than the year before, according to new figures from Kantar Worldpanel.

The research shows growth is driven largely by price - a result of inflation and premiumisation - as people are actually having coffee out less often but spending 5p more per cup. .

Where coffee is consumed is also changing, moving beyond traditional coffee shops as Taryn Ferguson, consumer insight director at Kantar Worldpanel, explains: “Whilst still only making up a small share of coffee sales, pub chain JD Wetherspoon has seen sales growth of over 25% when it comes to coffee, as consumers seemingly respond well to their free refill scheme. Bakery and sandwich outlets (such as Pret a Manger and Greggs), another channel increasingly building out coffee credentials, are actually growing faster than traditional coffee shops (+5.1% vs. +4.5%). Evidently, more and more retailers are looking to grow their sales through coffee.”

The flat white has become a staple of coffee drinkers and has seen sales grow by 11% in the last year, however, Americanos and Café Au Lait are more likely to be chosen by shoppers aged 55 and over.

Not surprisingly, this summer consumers spent less on hot coffee compared to last year (£44.13 vs £46.01 per person, or 4.9% less). During this period consumers switched to carbonated drinks and cold coffee.


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