The Rise of Coffee Shops


The Rise of Coffee Shops

The Rise of Coffee Shops

According to a report released late last year by World Coffee Portal, by 2020 the coffee shop sector is predicted to turnover £16.5 billion with 27,000 outlets, representing a significant increase from the current £7.2 billion in turnover and 18,832 outlets.

Allegra's Project Café 2015 UK report showed that coffee shops witnessed a 10.7% sales growth in 2014 and outpaced the retail market. What's more, branded coffee stores are predicted to grow by 5.3% year-on-year through to 2020.

Recognising consumers' growing thirst for coffee, the non-specialist sector - including retail stores, supermarkets, fast food outlets and pubs - have upped their offering. Last year, the sector outperformed branded shops in growth terms, increasing by 14.5% to reach 7,017 outlets with a 'strong coffee offer,' Big Hospitality reports.

As the report states, consumers in the UK are becoming more knowledgeable and selective about the coffee they drink. They are aware of the different types of coffee and quality on offer, and are choosing outlets based on their drinking habits and the type of coffee sold.

Jeffrey Young, Allegra Group managing director, recognised that the UK coffee shop industry is showing strong growth on a consistent basis, in terms of both sales and outlets. "Britain is fast becoming a nation of coffee connoisseurs. The UK consumer increasingly appreciates a quality cup of coffee and operators must continue to deliver innovation [and] fantastic quality while genuinely engaging with customers in order to stay ahead of the curve," he said.

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