Thinking Outside of the Bag - Instant Coffee Industry Perks Up

The mere thought of using instant coffee for a daily cup of joe sends most US coffee connoisseurs into sheer panic. Long gone are the days of purely convenient, inferior brews. Many instant coffee manufacturers have taken notice and are starting to evolve, making this a truly emerging space in the coffee industry juggernaut.

Staying on top of developing coffee markets can be vital to the long-term success of your growing coffee business. With over half the world preferring instant coffee to premium roast coffee, it’s a market that cannot be ignored any longer in the US.

Admittedly most instant coffee drinkers are new to the fresh, black gold we’ve all come to love and use instant brews as an introduction to coffee, but across the globe instant is still king. 

“Instant coffee sales have tripled since 2000 to $31 billion in retail sales last year, and that number is expected to increase to $35 billion by 2018.” - DailyCoffeeNews.com

Most US-based coffee makers are not in the soluble/instant coffee market and likely have no plans to enter it. After all, Americans are one of the lowest consumers of instant coffee.  

Presumably tastes and palates of consumers worldwide will mature and foster a demand for higher quality and better tasting soluble coffees. As instant coffee drinking markets are introduced to better tasting brews, US based coffee makers could have a golden opportunity and should be prepared to deliver the quality coffees in demand as the marketplace changes.

Coffee producers who develop an innovative, versatile, convenient soluble coffee option with visually appealing packaging can capture the attention of US consumers, especially Millennials, who choose experience over the product.  

Combining ease of preparation and on-the-go convenience makes instant coffee more attractive to Millennials, who are young, busy, on-the-go professionals that will pay a premium for quality, time-saving products.

Millennials make up approximately 23% of the current population, according the US Census Bureau, and spend roughly $200 billion annually. The ability to grab a stick packaged single serve coffee pack, throw it in your bag and go, certainly appeals to the overly-busy, individualist Millennial.

Instant coffee business is booming, and whether you plan to jump in or not, the fact remains: There is a whole untapped market of coffee drinkers brewing in other countries. 34% of all consumed coffee in the world is instant, with no signs of slowing down. As a coffee business owner this should demand your attention.  

Waiting for the coffee markets in other countries to completely mature before you prepare your coffee shop and business for high production can mean lost time, reduced market share and lower visibility. Smart coffee masters are gearing up for what promises to be a long life in an industry thousands of years old but still rapidly growing.