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Coffee and the Changing Landscape

April 07, 2020 | By Kuju Coffee |

Right now, there are an estimated 2.25 billion cups of coffee consumed every single day. Coffee is akin to the universal language that everyone just understands and loves. Every part of the world has its own version of this delectable brew like the Spanish cafe con leche, the German kaffee, the Filipino kape, or the Italian caffe. You undoubtedly have your own favorites, too!

Thus, it is not surprising that the coffee bean is the second most traded commodity next to oil and the third most favorite drink right after water and tea. This rich and decadent beverage is the fuel that most people reach for first thing in the morning because everyone needs a quick caffeine fix to start the day. However, today's coffee culture has been disrupted by the COVID-19 pandemic as it has debilitated societies around the globe. 

To stop the spread of contagion, everyone is required to do strict isolation through home quarantine and social distancing measures. The simple joy of going to a coffee shop to chat with your friends is now a precious memory.

What is going to happen to the coffee industry now that you and your friends can no longer go out to socialize? This is alarming for the thousands of coffee shops in the world. To illustrate, just in the US alone, there are 40,000 cafes across the nation. With no coffeeholics flocking hanging out in cafes, what is going to happen to these businesses? Ironically, Brazil, the leading coffee bean producer, is slated to have massive production because rain has been abundant in the region.

Perk Up With These Hard-Hitting Facts 

In the last survey, coffee statistics indicate that Finland is the leading consumer of coffee with 9.6kg per capita. Norway and the Netherlands follow this. All three European countries are small nations, but their citizenry chugs the most amount of coffee in a day, probably in part due to the super cold weather in this region.  

However, when it comes to production, Brazil is at the top as they harvest 2.6 million metric tons in a year. Belonging to the top five along with this South American country from greatest to least producer is Vietnam, Cambodia, Indonesia, and Ethiopia. Noteworthy, most coffee connoisseurs say that the discovery of this potent bean was found in ancient Ethiopia through a humble goat herder thousands of millennia ago. 

Surviving this Coffee Crisis

What will happen in the future, depends on how long the outbreak will last, along with the consumers' demand. But for now, one thing is clear, outside-the-home coffee consumption is discouraged. If this fear of leaving your home is extended even when quarantine is lifted, then most likely, the coffee shops will continue to feel the pain. 

Many coffeeshops ceased operations with areas on lockdown due to the government mandate. Forced closure equates to massive losses. Realistically speaking, smaller coffee shops may not survive this pandemic. As for coffee franchises, since they have the clout and the support of their mother company, they have a better fighting chance of continuing operations post-crisis.

For areas that still permit coffee shops to open, they will have to amplify their marketing strategies. Since people stay home, these shops should work on their websites and coffee apps. There must be a clear listing of product offerings, along with a commitment that coffee is made with proper hygiene to entice consumers to have their products delivered home. Apart from ready-made drinks, coffee products that can be prepped at home must be at the forefront of sales. In these uncertain times, cafe owners have to adapt to keep their clients.

Final Word 

Although coffee consumption is at a decline, the prognosis for the industry long-term is still good. After all, people are naturally social creatures who bond over this coffee. Just like oil, coffee bean is a precious commodity that the world cannot live without. Returning back to its glory is only a matter of time.

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