Coffee Intelligence

Sign up for our weekly newsletter to read high-quality journalism about the most important topics in the coffee sector. https://lnkd.in/eYiuEivt #CoffeeIntelligence #coffee #coffeeindustry #coffeenews #specialtycoffee

For years, marketing to younger consumers was the domain of upstart brands – those willing to take risks with #TikTok trends, influencer-led campaigns, and meme-driven advertising. Today, Gen Z’s $360 billion spending power has brands investing in youth-driven marketing. Dutch Bros Coffee just appointed a #GenZ and #Alpha specialist to its Board of Directors. Sarah Charles speaks with André Eiermann about how coffee chains are borrowing beauty’s playbook – TikTok trends, influencers, and viral hype – but how without balance, this risks costing them loyal customers. Read more: https://lnkd.in/eaCq2RjE

For years, China’s #coffee market was hailed as a rising force, with annual #consumption growing by 15%, vastly outpacing the global average of 2.2%. China’s coffee boom continues, but CoE demand is shifting. Japan, South Korea, and Taiwan are snapping up CoE coffees as China’s specialty scene pivots to trendy, hybrid drinks. Sarah Charles speaks with Mauricio Perez, (Shanghai Cooway Trading Company)and Steve Wu (Melitta Professional Coffee Solutions) about how Luckin and Cotti’s rapid expansion is fuelling mass-market coffee, leaving ultra-premium lots for a niche few. Read more: https://lnkd.in/dsrH2SJc

Some insights from Coffee Intelligence’s latest articles: • More roasters are investing in coffee farms, but the financial and operational challenges are significant. Green coffee exports generate less than 10% of the US$250 billion retail market. Rising costs, climate risks, and cultural factors make it a challenging strategy. • Capsule coffee machines have become a kitchen staple, associated with both convenience and design. Research suggests that consumers may trust products more when they resemble traditional forms. Even electric cars retain grilles, reflecting similar design choices. • Bialetti, the moka pot icon, is navigating €90.3M in debt and a potential buyout from Hong Kong’s WWIC. Coffee pod sales have grown by 63%, while moka pot sales continue to decline. Consumer habits are shifting.

Coffee prices have surged to unprecedented levels, yet for many in the industry, the biggest challenge is not simply the high cost of beans – it’s #cashflow. A $2.5 trillion trade finance gap is squeezing #credit, forcing lenders to hike rates and cut off smaller coffee firms. Sarah Charles speaks with William Hobby (Maverick Coffee Trading ) and Marilena Kouidou (IWCA Greece and Coteco Consulting SA) about how as financing dries up, smaller players are turning to venture capital and supply chain finance to survive. Read more: https://lnkd.in/erkWC_Dg

Coffee prices have reached record highs, pushing #roasters and #consumers alike to ask: How much further will they go, and will buying #coffee remain sustainable? Some brands are still offering bargain brews – Pret a Manger has announced it’s maintaining its too-good-to-be-true £5 a month subscription, including half price coffee perks. Sarah Charles speaks with Doug Bachman about how big chains are keeping prices low with clever pricing tricks – but how long can it last? Read more: https://lnkd.in/ewP9SZi7

The USAID aid freeze has jolted the #coffee industry, halting critical projects that support farmers and supply chains. Many coffee growing countries rely on #foreignaid – USAID alone funded over $45M in coffee projects from 2020-2024. This exposes coffee’s dependency problem and structural flaws. Sarah Charles speaks with Andrew Michael Maxey (Marie Maxey Foundation) about the potential impact of losing USAID funds for the coffee industry. Read more: https://lnkd.in/eyBFEXBa

Regenerative #agriculture has quickly become the darling of the #coffee industry. 63% of 79 agri-food giants call it a climate fix, but only 4 back farmers financially. Sarah Charles speaks with Martin Mayorga (Mayorga Coffee) about how ironically, the smallholder farmers who pioneered this indigenous practice risk being sidelined by trends and certifications. Read more: https://lnkd.in/eNm8Dptg