Did you know more than 400 billion cups of coffee are consumed each year? In fact, according to coffee consumption statistics, about half of the U.S. population over the age of 18 drinks coffee every day. That’s an average of 3½ cups a day per person!
If you’re a coffee lover (and even if you’re not), you might be wondering what’s driving U.S. coffee sales. Clearly it seems like a lucrative industry. But where is the coffee market headed next and why is now the time to join the industry? Our coffee industry analysis has got you covered.
There’s no doubt that the coffee shop industry is popular, but why? What makes it so appealing that consumers stop in every day on their way to work? For starters, there are a number of health perks to drinking a cup of joe every day.
If you’re considering owning a coffee drive-thru, know that you’re providing a product that’s not only a staple in your customers’ morning, but that also has health benefits.
While it’s great that coffee has so many benefits for its avid fans, it should be noted that according to our coffee industry analysis, the market is only poised for continuous growth.
Looking at coffee consumption by age, people 20 and over drink, on average, more than one cup a day, according to Statista. According to coffee drinker demographics, those between the ages of 25-29 and those aged 60+ drink more than two cups of java a day – with women being the bigger consumers of coffee over men.
The global coffee market is anticipated to be worth $144.68 billion by 2025. Between 2021 and 2025, the market will grow at a CAGR of 7.60%. This growth can be attributed to the increase of coffee shop sales (or out-of-home coffee consumption), Gen Z increasing their income and buying power, and the strengthening demand for specialty coffee.
The U.S. market accounts for the most revenue in the coffee industry, coming in at $90.28 billion this year. In 2022 alone, Americans have spent, on average, $269.60 on coffee – and that’s per person. Studies show the U.S. market is projected to continuing growing at a CAGR of 4.32% until 2025.
If that’s not enough, by 2025, it’s estimated that 89% of coffee sales and 21% of coffee consumption will be through out-of-home purchases – giving drive-thru coffee shops the advantage.
Scooter’s Coffee is the nation’s fastest-growing drive-thru coffee franchise. Having gotten our start back in 1998 with one location in Nebraska, we are quickly approaching 500 locations and are on track to have 1,000 by the end of 2024.
Last year proved to be an incredible year for our brand, with an average unit volume (AUV) of $1,179,980* and 24.32%** YOY same store sales growth – proving the validity of the 664-square-foot drive-thru kiosk model. And with out-of-home coffee consumption soon to be on the rise, the kiosk model is more relevant than ever.
Scooter’s was featured on Entrepreneur magazine’s prestigious Franchise 500 list, coming in at No. 66. The Scooter’s Coffee motto is “amazing people, amazing drinks, amazingly fast,” and based on our coffee industry analysis and our proven track record, potential franchisees have the chance to live that philosophy for years to come.
If you’d like to learn more about the Scooter’s Coffee franchise opportunity, fill out this form to request information.
**This is historical representation of what some of our franchisees have earned as described further in Item 19 of the FDD. This information is based upon the top 43 of 172 Drive-Thru Kiosks that were open during the entire 2021 calendar year and provided complete information. Of these 31 Drive-Thru Kiosks that compile the top quartile: (1) 17 of them (or 40%) had an AUV that met or exceeded $1,179,980, (2) 19 of them (or 44%) had a Net Profit Margin and EBITDA that met or exceeded the average. Your results may differ. There is no assurance that you will sell or earn as much. See Item 19 of the FDD for more information.
**This is historical representation of what some of our franchisees have earned as described further in Item 19 of the FDD. Same-store sales growth compares net sales (gross sales minus discounts and refunds) in calendar year 2020 to net sales in calendar year 2021. This information is based upon 217 locations that were open during the entire 2021 calendar year and provided complete information. Of these 217 locations, 112 (or 51.61%) of them had Same-Store Net Sales Growth Over Prior Year that met or exceeded 24.32%. Your results may differ. There is no assurance that you will sell or earn as much. See Item 19 of the FDD for more information.