Article | Apr 30, 2021
The Role of Coffee in the Growing Hot Drinks Market
Peruvian households have consumed 43 more tons of coffee, and the consumption of ground coffee grew by 11%.
There is a growing trend of consuming hot beverages at home. According to Euromonitor, only in this category, 3,337 grams are consumed in a Peruvian household. By 2025, an additional 654 grams would be consumed.
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In Peru, the hot drinks market includes a diverse range of products; for every taste. Currently, the favorites in Peruvian homes are: chocolate-flavored powdered drinks, other plant-based drinks, coffee, tea and others, in that order.
There is a traditional popularity behind the preferred beverages, as Peruvians generally prefer sweet flavors, while still worrying about health and well-being; the consumption of one or the other will depend on the occasion. The pandemic has driven these occasions. In 2025, chocolate-based drinks and coffee will be the products with the greatest contribution in the hot drinks category, as they will have a greater increase than the others; 23% and 18% respectively.
While chocolate-based drinks are the favorite of children at any time of the day or of adults in their moment of indulgence; coffee has been positioning itself in the family basket. According to Kantar; from 2019 to 2020, 43 more tons were consumed in the country's homes.
Lima continues to be the main city that concentrates the volume of coffee consumption (64%). However, from 2019 to 2020, the volume of consumption in the provinces increased 5%, while in the capital it decreased minimally.
New consumption habits, driven by the increase in hours spent at home, have led not only to more opportunities to drink coffee, but also created spaces to do so during the day. Thus, ground coffee has been an attractive drink for its fragrance and good taste. Today its consumption coexists with that of soluble coffee. It even shows a higher growth in consumption per household (11%).
In general, the patterns of consumption of hot drinks are changing, now they all coexist, but it is notable that one of the most favored is coffee.
The value of sales of hot beverages in the retail channel today has a value of 1871 million soles; it has grown 41% from 2015 to 2020 and in the next five years it would grow 33% more. There will be more products in this market; most of them with a high potential to be local.
This year we will work on the National Plan for the Promotion of Coffee Consumption; The qualities of Peruvian coffees will be enhanced to promote their consumption in the country, and bring consumers closer to the local flavor. The National Plan for the Promotion of Coffee Consumption is part of the Alliance for Sustainable and Competitive Coffee project, executed by the Peruvian Chamber of Coffee and Cacao and the National Coffee Board as part of the SeCompetitive Program of the SECO Swiss Cooperation, in collaboration with Helvetas Peru and the Swiss Embassy in Peru.
SeCompetitivo Program Facebook: https://www.facebook.com/SeCompetitivo/
Facebook of the Peruvian Chamber of Coffee and Cacao: https://www.facebook.com/camcafeperu
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Sources:
- The hot drinks category in the Euromonitor Passport Hot Drinks Peru database (2006-2025) includes: coffee, tea and other hot drinks (drinks based on chocolate, malt, traditional plants, and without chocolate base)
- Consumption in grams of hot beverages was estimated with the consumption indicator per household from the Euromonitor Passport Hot Drinks Peru database (2006-2025).
- "other" refers to flavored drinks without chocolate flavor (includes all flavors such as strawberry and banana except chocolate) and malt or barley-based drinks (commonly known as "food drinks", they are included here. All are excluded bottled and ready-to-drink malt-based beverages) Euromonitor Passport Hot Drinks Peru (2006-2025).
- According to Euromonitor Passport Hot Drinks Peru (2006-2025), the projections for the household consumption of hot drinks indicator in grams; By 2025 the consumption of chocolate-based beverages will increase 23%, coffee 18%, Tea and other 12%, and other plant-based beverages 8%.
- The volume of consumption (Tn) of households was estimated for a representative sample of 14 cities in the country's provinces, with an urban area coverage of 85%, the data was obtained from the Kantar database: Coffee Consumption In the home . Peru (2018-2020).
- The increase in the consumption of ground coffee per household was estimated with the average coffee consumption indicator from the Kantar database. Coffee Consumption at Home. Peru. Which is defined as: the average quantity (grams) acquired by the buyer household in the analyzed period 2019-2020.replica watches
- The estimation of the value of hot drinks sales in the retail market and its growth; It was based on the constant currency, the historical current price and the current forecast price from the Euromonitor Passport Hot Drinks Peru 2006-2025 database