In 2022, fresh ground coffee pods is expected to see its first ever decline in retail volume terms. Indeed, although a return to growth is expected from 2023, in the early years of the forecast period the category is expected to underperform when compared with the years before 2022, in light of the cost-of-living crisis and the return to a more normal work pattern.
Although many of the major players, such as Starbucks, hedged their coffee prices for the 2022 fiscal year, prices are set to continue to rise across all coffee categories. Logistical issues such as freight and labour shortages, rising energy costs, as well as a dwindling supply of raw materials being imported into the UK, have inflated the costs of manufacturing for all coffee players globally.
The digitalisation of coffee foodservice channels in Britain was catalysed by the pandemic, with coffee shop trading restricted for nearly two years. Starbucks and Caffè Nero invested in proprietary apps, offering click-and-collect services, enabling consumers to skip the queue whilst also earning loyalty points.
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Understand the latest market trends and future growth opportunities for the Coffee industry in United Kingdom with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
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This is the aggregation of fresh coffee and instant coffee. Please note that foodservice sales of coffee are volumes sold to the on-trade (foodservice) sector and not those sold to the consumer.See All of Our Definitions
This report originates from Passport, our Coffee research and analysis database.
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