The Decline and Resurgence of Instant Coffee: A Comprehensive Analysis

TLDRAmericans' consumption of instant coffee has fallen to 4% while specialty coffee drinks are on the rise. However, globally, instant coffee is experiencing growth and remains popular in countries like Mexico and the UK. Nescafe, the leading brand, is investing in sustainability and climate-resilient coffee farming. The future of instant coffee depends on factors such as changing weather patterns, the expansion of robusta coffee, and consumer preferences.

Key insights

📉Instant coffee consumption in the US has declined to just 4% of coffee drinkers.

🌍Globally, instant coffee remains popular, with countries like Mexico and the UK being significant markets.

💵The affordability and convenience of instant coffee appeal to consumers, especially during times of economic uncertainty.

The quality and taste perception of instant coffee have been a challenge, leading to the preference for specialty coffee drinks.

🌱Nescafe and other brands are investing in sustainable and climate-resilient coffee farming to ensure future supply.

Q&A

Why has instant coffee consumption declined in the US?

Instant coffee has faced challenges in terms of quality and taste perception, leading consumers to prefer specialty coffee drinks.

Is instant coffee still popular globally?

Yes, instant coffee remains popular in many countries, including Mexico and the UK, where it has a loyal consumer base.

What factors contribute to the future of instant coffee?

Factors such as changing weather patterns, the expansion of robusta coffee, and consumer preferences will impact the future of instant coffee.

What is Nescafe doing to ensure future coffee supply?

Nescafe is investing in sustainable and climate-resilient coffee farming practices, including the use of organic fertilizers and climate change-resistant trees.

Are there any other instant coffee brands besides Nescafe?

Yes, other instant coffee brands in the US market include Maxwell House, Folgers, Starbucks, and Chock Full of Nuts.

Timestamped Summary

00:17Americans' consumption of instant coffee has fallen to just 4%.

01:09Instant coffee remains popular in countries like Mexico and the UK.

04:11Instant coffee sales in the US are growing and accounted for $945 million in 2023.

07:35Nestle's Nescafe brand is an important player in the US instant coffee market.

10:26Climate change may lead to a greater demand for robusta coffee, which is commonly used in instant coffee.