In the research firm’s new report, “What’s Brewing in the Coffee Industry: The Impact of Single-Serve,” NPD said single-serve brewers (which a company statement identified as “pod/capsule systems”) have more than tripled in terms of being the primary brewer used in homes, from 5 percent to 18 percent of households in recent years, according to a summary of the research in HFN Daily News. For the full story, click here.
Editor’s Insight: This report focuses on the consumer single-cup market, which has exploded in the last two years. The growth of the consumer single-cup market has driven demand for the worksite single-cup market. The marketing that the single-cup system manufacturers have done in the consumer market has helped commercial single-cup sales.
The rise of the homeowner single-cup market has also given OCS customers more options for buying single-cup brewers and coffee for the systems, and this has resulted in some pricing pressure on single-cup coffee for OCS operators. However, the gain in volume that OCS operators have experienced has more than offset any loss in profits caused by price competition. 07-20-12 By Elliot Maras