Growth in Saturated Coffee Segment

The coffee café market is well saturated, especially thanks to segment leader—and leader of Canada’s foodservice industry as a whole—Tim Hortons. Coffee cafés will be forced to battle this market saturation by tapping into new strategies, including international expansion, retail product development and licensing, and new and expanded occasions. The last of these three is […]

Turf Wars: For Bakery and Coffee Cafes, Growth Means Capitalizing on the Others’ Strengths, says Technomic

While bakery and coffee cafes have much in common, consumers have distinct preferences toward one over the other for certain types of visits. For example, bakery cafés have a stronghold on midday occasions, whereas coffee cafés win with breakfast and beverage occasions. As a result, bakery cafés are hoping to boost traffic by strengthening their […]

Bakery and Coffee Cafés: Price vs. Value

The growth of bakery and coffee cafés easily outpaces that of the overall restaurant industry. Indeed, 53% of 18- to 34-year-olds surveyed for our latest Bakery & Coffee Cafe Consumer Trend Report visit bakery cafés at least weekly, and 64% of the same age group visit coffee cafés as often. Still, in an uncertain economy, price […]

The Proliferation of the Coffee Café

As one of the most successful chains in the coffee-café segment, Starbucks is the dominant category leader. This 40-plus-year-old brand has successfully grown to more than 11,000 U.S. locations, with sales topping $11 billion, accounting for a U.S. market share of nearly 55 percent of coffee cafés. Loyalty is strong and American consumers are in […]

Coffee War Heats Up in Canada

This week, Tim Hortons announced it’s testing a new dark-roast coffee blend in two markets. It’s a significant move for the No. 1 restaurant chain in Canada as it looks to stave off competition from McDonald’s, Starbucks and other rising coffee players. And in a beverage market where new product introductions are dominated by frozen, frothy […]

U.K. Coffee Cafe-Retailer Partnership All About Convenience

Coffee cafes were one of the hottest segments of the U.K. restaurant industry in 2012, with concepts that ranked among the Leading 100 U.K. chain restaurants posting domestic systemwide sales growth of 12.2% (to more than £1.4 billion) on unit growth of 15.4%. One concept looking to capitalise on this growth—and attracting not a small […]

Competition Brewing Among U.K. Coffee Chains

2012 was a good year for U.K. coffee cafés. Among Leading 100 U.K. chains, the coffee café segment grew sales 12.2 percent, due largely to U.K.-based Costa Coffee (sales up 18.5 percent) and Starbucks (sales up 6.1 percent). Together, these two brands made up over 80 percent of coffee cafés sales within the Leading 100, […]

Differentiating Drivers Among U.K. Cafés

While bakery cafés, coffee cafés and patisseries all share similarities with regard to their concepts and menu offerings, data from Technomic’s U.K. Café Consumer Trend Report reveals distinct drivers for each segment. Patisseries are ideal venues for affordable takeaway meals Of all three segments, monthly patronage is highest at patisseries (65 percent, vs. 58 percent […]