Caffeinated beverages like coffee, tea, and espresso are some of the most consumed beverages in the world – making them the number one beverage in the US as of October 2021. As consumers have been spending more time at home, the demand for equipment and supplies to recreate popular coffeehouse drinks at home has risen.
This rise in demand is also due to the fact that tea and coffee products are thought to have great health benefits, which make them appeal to health-conscious consumers. In addition, caffeine culture is a large part of professional businesses, and consumers who work in these industries will also be in the market for essential supplies.
With these points in mind, this article will help you navigate the choices you have for coffee and tea supplies and help you choose the right ones to grow your business.
Why do consumers love coffee and tea?
Caffeine culture is a large part of business; in any professional setting, you can expect to see multiple coffee machines brewing fresh pots around the clock. Caffeine helps people wake up, and for many, it is a must-have for the start of a workday. Now that health concerns have driven consumers to stay at home for work, over 70% of consumers prefer to make their coffee and espresso at home themselves. Not only is it safer for consumers to stay home and make their own drinks, but it’s also more cost-effective when compared to cafe beverages.
Tea has similar demand in the industry, with the market having a projected compound annual growth rate (CAGR) of 6.6% from this year to 2027. While coffee is known for providing the morning jolt of energy, tea is considered the healthier alternative. Health-conscious consumers may choose more tea products than coffee, but both beverages can be made at home with the same supplies.
The essential product types on the market
Coffee, tea, and espresso beverages need three main items to be made at home: a vessel to boil the water, something to steep the product in, and a mug to drink them with. Within those categories, there are countless varieties of items depending on aesthetics and function.
Aesthetic tea and coffee supplies
The world of tea and coffee accessories offers many options for consumers. Many items that can be used to make tea and coffee can be purchased to match one’s aesthetic choice. Now that people are spending more time than ever at home, interior design will play an important role in the items they choose. Items that have good functionality but also look nice on the countertop, like a french press, will be in high demand with these consumers.
Elevated at-home coffee experience
While consumers are staying at home, they may miss the sophisticated atmosphere and experience they would get at a coffee shop or cafe. The demand to replicate this experience in their home will increase demand for items like stove-top espresso makers and other items that can be used to create gourmet coffee beverages. These will be good investments for buyers who want to increase the quality of their drinks at home but are not ready to splurge on more expensive machines. Similarly, pour over glass beakers can elevate the look of a kitchen as well as the taste of a morning cup of coffee.
Innovative coffee supplies
As younger consumers are getting into drinking coffee, there has been a surge in more innovative, tech-focused coffee supplies. Viral trends on social media involving whipped milk in coffee, for example, have driven demand for milk frothers at home.
Additionally, tech will play a big role in the coffee and tea market moving forward. Consumers are interested in ways that technology can elevate the coffee experience. Self-warming mugs, using either a separate warmer or a battery-powered base, keep coffee warm for hours. This allows consumers to have their coffee hours after they made it without wasting the coffee to make a fresh pot.
Younger consumers are also focused on finding ways to reduce waste in the coffee-making process. Instant coffee machines that make one cup of coffee are increasingly popular, but because they increase waste, environmentally-conscious consumers will look for ways to generate less waste. Reusable espresso pods are a great option to have in your storefront, as they will be desired by consumers who want to create less waste without sacrificing convenience.
The tea and coffee market has very stable demand that is only expected to increase in the future. Even as health concerns start to go away, many people have transitioned to hybrid or full-time working from home. These consumers will be looking for ways to satisfy their caffeine cravings without leaving their houses, and they will drive demand for these coffee supplies.