mercredi 14 novembre 2012

Coffee, first worldwide commodity



Before taking a close look to our premium brands (Lavazza and Nespresso), we want to have an idea of the global framework in which these two brands evolve.

Coffee is present in our everyday life: while taking our breakfast, at work with colleagues, after having lunch, in the afternoon with friends etc.… In short, it is a common good that rhythms our day.
Despite all cultural habits and differences existing, coffee is massively consumed worldwide. Indeed it is the second consumed beverage after water: 2 out of 3 people in the world are coffee drinkers.
These simple facts and figures give us a good idea of the huge potential that coffee market can represent for brands.
However, this is not an easy market to enter. Prices are very volatile and coffee production is hard to forecast (due to climate change for instance).

Coffee Importation in 2005

Also the coffee consumption has evolved a lot since World War II.  Geographically speaking USA are still the biggest coffee consumers, however Europe has become the first continent in terms of consumption by inhabitants




Now that we have seen the major trends in terms of ‘quantitative’ consumption we are going to take a look at ‘qualitative’ consumption trends. Consumers are nowadays more demanding on new varieties and tasting. In order to get the best coffee, more and more consumers choose to invest in pod coffee machines, which insure a great quality. 

For coffee brands it is thus important to listen to these consumer’s desire, to keep on innovating and not to take coffee market as an ever-growing market (whatever the quality of the product delivered). 

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