With the arrival of November and the annual holiday season, consumers are looking at closing the books on 2014 and starting afresh in 2015. We are expecting some interesting changes in the coming year for the coffee industry. Some of those changes are expected, others will be a surprise. One thing will not change – America’s love of coffee in any form.

Americans are the largest consumers of coffee in the world. Coffee is our morning wake-up beverage, our fuel to get through the workday, and the beverage of choice for social gatherings. That will stay the same. However, there are changes on the horizon:

1. Coffee Prices

Coffee prices reached a nearly three-year high last month thanks, in part, to severe drought in Brazil that has taken out nearly 10% of the coffee crop. Brazilian government officials say next year’s crop could end up being weak as well. The news has pushed the price of coffee futures ever higher, which, in the end, results in higher prices at the retail level. Unfortunately, we will all be paying more next year for our favorite caffeine beverage.

2. Brewing Equipment

Throughout 2014, there has been a noticeable increase in the use of single cup brewers both at home and the office and a correlating decrease in the use of drip brewers. Surveys released over the summer suggest that trend will continue into 2015. People love single cup brewers because of the convenience and flavor choices; they are willing to pay more for both the equipment and coffee in order to make brewing as convenient as possible.

We expect the demand for single cup machines to continue rising in the office coffee industry, though not as quickly as the demand for them in homes. Companies paying for office coffee programs are less likely to absorb the extra cost of single cup brewing. We believe traditional drip brewers will remain strong for office coffee.  In fact we are seeing a resurgence in brewing pots of coffee in offices due mainly to taste preferences and sustainability issues.  Call us at 631-694-2688 to talk about this and Kitten Coffee, our new high-end coffee product.

3. Espresso Drinks

The National Coffee Association says the daily consumption of espresso drinks has risen from 13% to 18% over the last year. They expect that trend to continue and so do we. Espresso is the new, trendy coffee drink among those who use their choice of beverages to make a statement. The only question is how much consumers will be willing to pay if retail prices spike in response to demand.

The coffee industry horizon also looks favorable to flavored coffees, nontraditional creamers, and better pairings of coffee drinks and pastries for morning commuters. It does not look good for straight, non-flavored coffees and the neighborhood coffee shop. As far as coffee shops go, today’s coffee drinkers are more about drive-through and less about sit-down and long lines.

At Galaxie Coffee, we will continue watching the trends in order to provide the best possible service to our customers. We offer office coffee, bottled water, and a full range of juices and teas to customers throughout the New York area.