Amazon’s food and beverage category has posted $4.75 billion in sales so far in 2018, making it the online retailer’s fastest growing segment, according to Automatic Vending watch.
And coffee continues to lead category. According to Edge Market Share, coffee sales on Amazon have totaled more than $140 million so far this year – and are expected to increase.
If the first wave of coffee was defined as having packaged coffee available in the home in packaged formats, the fourth wave may be the idea of having premium coffee available everywhere, all the time.
“It all begins with the coffee shop,” says Michael Schaefer, Euromonitor, in Food Navigator USA.
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74% of coffee consumed in the U.S. is consumed at home, according to the 2015 NCA National Coffee Drinking Trends report.
But changing consumer behavior may create new opportunities in the foodservice coffee market. Out-of-home coffee consumption skews younger: 26% of coffee drinkers aged 18-24 say that they drink their coffee exclusively out of home.
Coffee sales in foodservice establishments should increase steadily through 2018, according to reported in Packaged Facts’ Foodservice Coffee Market Trends in the U.S. (December 2015).
The market will be driven by incremental growth in foodservice establishment visits, breakfast build outs, premium coffee preferences – in addition to other critical factors.
What does this mean for your business? Continue reading