Coffee and Tea Foodservice Trends in the U.S.

Published: February 2012

Publisher: Packaged Facts

Product ref: 131542

Pages: 180

Format: PDF

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Price: $ 3995.00

Report description

Coffee and Tea Foodservice Trends in the U.S. provides industry participants with essential guidance on trends including menu pricing and discounting; coffee commodity pricing trends; promotional activity & strategy; flavor innovation; coffee and tea foodservice health trends; and retail coffee and tea brands used in foodservice.

Coffee and tea remains a key foodservice industry growth driver, buoyed by aggressive menu innovation and platform expansion, a strong foothold in the breakfast daypart, consumer lifestyle needs, and some of the lowest price points in an industry battling a down economy.

Led by Starbucks and Dunkin' Donuts, coffee and tea players continue to outperform restaurant industry growth, with revenue growth extending across restaurant segments. Coffee and Tea Foodservice Trends in the U.S. tracks coffee and tea growth not only among specialists but among restaurant brands pursuing incremental profits through improvements in coffee and tea quality and variety.

This report will help industry participants:

Stay on trend, with menu analysis that includes trending of coffee & tea varieties, flavors and types by restaurant segment.
Learn from innovation and category leaders via coffee and tea foodservice innovator case studies on the following brands: Argo Tea, Café Luxxe, Camille’s Sidewalk Café, Caribou, Coffee Bean & Tea Leaf, Dunkin' Donuts, Intelligensia Coffee & Tea, Java Dave’s, La Madeleine, Peet’s, Starbucks, Tea Station, Tim Hortons and Tully’s. Coverage also includes major QSR brands, such as McDonald’s, Burger King and Wendy’s.
Gauge coffee-centric restaurants’ brand performance against their strategy decisions via trending of guest traffic, same-store sales, and guest check averages among leading brands.
Keep ahead of consumer coffee and tea foodservice drinking trends, with analysis by flavor and type of coffee and tea, daypart usage, and penetration by segment.
Get direction on industry revenue growth, with a foodservice market size and forecast for coffee and tea, including context for selected foodservice segments (including convenience stores, snack and beverage concepts, and fast food/QSR restaurants).

Chapter 1: Executive Summary
Scope and Methodology: Scope of coverage
Methodology: Consumer survey methodology; Market size and forecast; Consumer restaurant spend trending; Menu item trend analysis; Other sources; Restaurant categories; Limited-service restaurant definitions; Full-service restaurant definitions; Other definitions
Share of Stomach: Coffee and Tea Foodservice Sales Analysis
Coffee and Tea Foodservice Macroeconomic Drivers: Insight Capsule
Coffee and Tea Foodservice Trends: Insight capsule
Coffee and Tea Foodservice Menu Trends: Insight Capsule
Consumer Coffee and Tea Foodservice Usage & Preferences: Insight Capsule
Coffee and Tea Foodservice Brand Analysis
Chapter 2: Share of Stomach: Coffee and Tea Foodservice Sales Analysis
Overview
Market size and forecast summary
Restaurant industry market and forecast
Nonalcoholic beverage sales summary
Graph 2-1: Restaurant & Drinking Places Sales, Non-Alcoholic Beverage Share, 2006-14
Coffee and tea grow shares of nonalcoholic beverages sales
Graph 2-2: Non-Alcoholic Sales at Restaurant & Drinking Places: Coffee, Tea and Other, 2006-14
$18.7 billion in forecasted 2012 sales
Graph 2-3: Coffee and Tea Sales at Restaurants & Drinking Places, 2006-14
2011 sales spike; moderated growth ahead
Graph 2-4: Coffee and Tea Sales at Restaurants & Drinking Places, % Change, 2006-14
Coffee to continue contributing higher dollar share: But siphoning at-home and office sales is central to occasion-based growth
Graph 2-5: Coffee and Tea Sales at Restaurants & Drinking Places, Dollar Share, 2006-14
Coffee and tea per capita and population use
Graph 2-6: Coffee and Tea Volume, U.S. Per Capita, 2000-2009
Graph 2-7: Coffee and Tea Volume, U.S. Population, 2000-2009
Quarterly same-store sales comparisons, by brand and restaurant segment: Reading the graphs; One-year and multi-year comparisons
Performance & outlook: coffeehouses and donut shops
Coffeehouses ride positive sales wave
Graph 2-8: Coffeehouse and Donut Shop Restaurant Annual Same-Store Sales Index:
2005-10, 2006-10, 2007-10 & 2008-2010: Positive segment momentum through 2011
Graph 2-9: Coffeehouse and Donut Shop Restaurant Quarterly Same-Store Sales Index:
2008-11, 2009-11 & 2010-11
Performance & outlook: QSR coffee players
Outlook
QSR: the behemoth grows while others falter
Graph 2-10: QSR Coffee-Centric Restaurant Annual Same-Store Sales Index:
2005-10, 2006-10, 2007-10 & 2008-2010: Mixed momentum through 2011
Graph 2-11: QSR Coffee-Centric Restaurant Quarterly Same-Store Sales Index:
2005-10, 2006-10, 2007-10 & 2008-2010
Competitive capsule: Burger King: Menu initiatives; Breakfast menu trends
Competitive capsule: McDonald’s: Breakfast: a quarter of sales, with unit volumes on the upswing; Beverage sales are booming; Coffee lays the foundation for broadening McCafé platform
Competitive capsule: Wendy’s: Wendy’s reenters breakfast wars with premium QSR differentiation; Redhead Roasters; Tweaking menu strategy by moving away from extreme affordability
Fast casual coffee players: Panera Bread, Einstein Noah and Cosi
Graph 2-12: Fast Casual Coffee-Centric Restaurant Annual Same-Store Sales Index:
2005-10, 2006-10, 2007-10 & 2008-2010: Positive momentum
Graph 2-13: Fast Casual Coffee-Centric Restaurant Quarterly Same-Store Sales Index:
2008-11, 2009-11 & 2010-11
Food away from home spending share declines, but 2010 growth is stable
Graph 2-14: Food Away from Home vs. Food at Home, 2001-2010
Restaurant Performance Index exhibits moderate strength during 2011
Graph 2-15: Restaurant Performance Index, 2007-2011
Consumer spending trends
Daypart analysis
Hispanics driving growth in food spending: Driving dayparts
Table 2-1: Restaurant Share of Spend, by Daypart: Hispanic v. Non-Hispanic, 2007-10
Spending trends by age
Table 2-2: Restaurant Share of Spend, by Daypart, by Age, 2007-10
Spending trends by HH income: Daypart trends
Table 2-3: Restaurant Share of Spend, by Daypart, by HH Income, 2007-10
Chapter 3: Coffee and Tea Foodservice Macroeconomic Drivers
Overview
Our take: muted optimism
Economic forecast through 2014
GDP: A long time getting back, but finally passes pre-recession levels: Forecast factors
Graph 3-1: Unemployment, GDP & Inflation Forecast, 2011-2014
Analysis: consumer confidence & foodservice
Consumer confidence remains abysmal but is rising from bottom: Present Situation Index increases business condition perceptions & job prospects brighten; Expectations Index rises on business conditions & job prospect optimism
Graph 3-2: Unemployment Rate, Savings Rate & Consumer Confidence, 2007-2011
Foodservice application and analysis: Strong correlations to LSR family, snack and beverage & high-frequency limited-service usage
Table 3-1: Degree of Consumer Confidence, Limited-Service Restaurant Use & Usage Frequency: Weaker correlation to full-service usage
Analysis: employment & foodservice
Unemployment remains high but is tapering downward
Demographic analysis: Trouble areas; Restaurant industry ramifications; Bright spots; Restaurant industry ramifications
Table 3-2: Unemployment Trends, by Demographic, October 2009 to December 2011
Analysis: consumer spending trends
Consumer spending ticks upward: Inflation-adjusted foodservice & accommodations consumer spending up 4% since 2005
Graph 3-3: Real Personal Consumption Expenditures by Type of Product,
Indexes, 2007-2011: Lower energy prices free up discretionary income for foodservice spending
Graph 3-4: U.S. Regular Gasoline Prices, 2007-2011
Analysis: coffee and tea price outlook
Commodity coffee prices coming back down to earth?
Graph 3-5: Consumer Debt Ratios: 2007-2011
In face of rising coffee commodity prices, tea remains stable: Tea pricing stability delivers growth potential
Graph 3-6: Producer Price Index, Coffee and Tea, 2007-2011: PPI industry index follows commodity trends
Graph 3-7: Producer Price Index, Coffee and Tea Manufacturing, 2007-2011
Translation: higher coffee and coffee drink menu prices
Table 3-3: Average Increase in Price of Coffee and Drinks, by Beverage Type, 2007-2011: Retail price trends
Graph 3-8: Consumer Price Index, Coffee and Tea, 2007-2011
Summarized pricing analysis
Table 3-4: Commodity and Industry PPI & CPI: Coffee & Tea Percent Change, 2007
Coffee and tea imports: volume and value: Increase in coffee sales highly influenced by cost per ton, not volume increases
Table 3-5: Coffee Imports, by Product Type Value, 2006-2010
Table 3-6: Coffee Imports, by Product Type Volume, 2006-2010
Table 3-7: Coffee Imports, U.S. Dollars per Ton, by Product Type, 2006-2010
Tea import value increases, based on price and volume increases
Table 3-8: Tea Imports, by Product Type Value, 2006-2010
Table 3-9: T