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    Coffee Shops Industry Profile

    Report Page Length: 10-12
    Last Quarterly Update: 4/26/2021
    SIC Codes: 5812
    NAICS Codes: 722515
    Chapters Include:
    Industry Overview Trends & Challenges Industry Forecast
    Quarterly Industry Update Call Prep Questions Website & Media Links
    Business Challenges Financial Information Glossary & Acronyms
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    Excerpt from Coffee Shops Industry Profile

    Companies in this industry sell coffee drinks and other food and beverages for consumption on the premises or for takeout. Major companies include Peet’s Coffee, Starbucks, and The Coffee Bean & Tea Leaf (all based in the US), as well as Caffè Nero and Costa Coffee (both based in the UK).

    The biggest US coffee chains operate stores abroad, primarily through licensing agreements. Starbucks owns and licenses about 30,000 locations in about 78 global markets. The world's largest coffee consumers include the US, Brazil, Germany, and Japan.

    The US coffee shop industry includes more than 60,000 stores with combined annual sales of about $38 billion. Coffee shops are part of the specialty eatery industry, which also includes outlets specializing in products such as bagels, donuts, frozen yogurt, and ice cream.

    COMPETITIVE LANDSCAPE

    Consumer taste and personal income drive demand. The profitability of individual companies depends on the ability to secure prime locations, drive store traffic, and deliver high-quality products. Large companies have advantages in purchasing, finance, and marketing. Small companies can compete effectively by offering specialized products, serving a local market, or providing superior customer service.

    Coffee shops compete with businesses such as convenience stores, gas stations, quick-service and fast-food restaurants, gourmet food shops, and donut shops. The US industry is concentrated: the eight largest companies account for about 70% of revenue.

    PRODUCTS, OPERATIONS & TECHNOLOGY

    Beverages typically sold by coffee shops include brewed coffee and tea; espresso ...

     
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