World Coffee Portal’s Project Café USA 2023 report finds that industry leaders across the US branded coffee shop market are optimistic the current trading outlook will improve in the next 12 months
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80% of industry leaders surveyed report sufficient growth potential for branded coffee shops in the US | Photo credit: Tabitha Turner
Industry leaders from the US branded coffee shop market are increasingly optimistic that trading will improve in the next year as the market continues to recover from Covid-19 trading restrictions.
Eighty percent of industry leaders surveyed in World Coffee Portal's Project Café USA 2023 report believe there is sufficient growth potential for branded coffee shops in the US, compared to 63% pre-pandemic.
Sixty-seven percent of 150 senior industry leaders surveyed do not envisage the pandemic having a negative long-term impact on consumer desire for out-of-home coffee.
Following significant disruption across the US branded coffee shop market during the pandemic, 49% of those surveyed are now positive about the current trading environment for coffee shops in the country, still below the 65% shared the view in 2019.
More than 40% expect like-for-like sales growth within the coffee shop sector to outperform GDP growth over the next year.
There was also near-unanimity across the industry regarding safety of consumers in-store – 87% of industry leaders surveyed believe consumers should feel safe visiting coffee shops in the US, with only 2% disagreeing.
46% of those surveyed over the last 12 months reported trading 5% or higher than the year previous, compared with 31% pre-pandemic. Furthermore, 28% of industry leaders surveyed reported trading between 1-5% higher than the previous 12 months.
While the fears of restricted trading have eased, several measures implemented in coffee shops during the pandemic are expected to remain. Expanded outdoor seating (79%), curbside pickup service (66%) and cashless-only payments (59%) are cited by industry leaders in the survey as most likely to outlast the pandemic.
Despite all US states lifting requirements for people to wear face masks in public places, interestingly 11% of industry leaders surveyed believe face coverings in stores could remain in the longer term.
World Coffee Portal’s Project Café USA 2023 report reveals that the $45.8bn branded US coffee shop market has now regained 96% of its pre-pandemic value.
To enquire about the report contact Quoc Le qle@allegra.co.uk.
