UK’s iced coffee market continues to grow
Estimated sales of iced coffee rose to £370m in 2017. An astonishing 46% of coffee shop consumers have tried an iced beverage. We take a look at the phenomenal growth of the iced coffee market.
The latest UK iced beverage report from Allegra shows another sharp increase in the sale of iced coffee.
Estimated sales of iced beverages in the coffee sector rose to £370m in 2017, up from £337m in 2016.
An astonishing 46% of coffee shop consumers have tried an iced beverage, a figure unthinkable a few years ago.
Seasonality is still key with the majority of sales being in the warm summer months, June to August, however the trend is towards all year-round consumption due to the quality and value of the product on offer. The record-breaking summer of 2018 will inevitably see sales of iced coffee rocket again, beating all previous rises by some margin.
We have previously looked at how millenials are driving increased convenience store sales and millennials and Generation Z are very much behind the surge in the iced coffee sales.
The Project Iced UK 2018 report shows those under 30 are more likely to view iced beverages as good value for money and consume them year-round compared to older consumers.
Social media is a key factor in the younger generations not only enjoying iced coffee but being able to share their love of the product via Instagram, WhatsApp and Twitter.
As with social media, where millennials lead, the older generations will eventually follow, and we expect to see sales of iced coffee rise across all age sectors.
Iced beverage sales are expected to exceed £421m in 2018, a year on year growth of 14%, with sector expected to reach £660m by 2022.
Iced coffee is quickly becoming a standard product of choice rather than a novelty purchase and the increased quality and variety on offer is driving the trend towards and all year-round product.
With more than half of industry leaders believe consumers are more likely to purchase iced beverages out-of-home than 12 months ago, there are no signs of the market slowing down any time soon and an iced coffee will be ubiquitous as a cappuccino in years to come.
Innovation in both brewing techniques and how the iced coffee product is delivered is expected to further drive demand in the next five years.
Here at Snowshock we have our very own award-winning brand, Frappino
Made with the finest Arabica beans, Fair Trade coffee, Frappino gives a satisfying caffeine hit alongside a smooth, refreshing, pleasantly sweetened, satisfying beverage.
Available in stylish single or twin dispensers, with low set up costs, a long shelf life and 40-60% POR, it is the product that the UK market has been waiting for.
Contact Snowshock today to discover how you can join the rocketing iced beverage craze and get a Frappino iced coffee machine in your store tomorrow.