1. Almost half (49%) of coffee drinkers now choose coffee at home over take-out
2. Today, 24.4 million households in the UK buy coffee
3. Half of 18-24 year olds now order coffee based on TikTok trends
4. Less than half of Brits now drink standard breakfast tea
5. Don’t forget the decaf…
1. Almost half (49%) of coffee drinkers now choose coffee at home over take-out
Is British consumers’ love for coffee-to-go starting to…go?
Research from SharkNinja suggests that nearly half now prefer to make coffee at home [SharkNinja Research 2025]. It’s fair to say the brand, which sells home coffee machines, might not be the most objective observer. Yet the reasons behind the trend are undeniable: with the price of a posh latte now circling a fiver, shoppers are increasingly filling the kettle instead.
For c-store retailers the overall sales brew has been made murkier by how to-go-style coffee machines have fared in-store. Like a fair few retailers, Natalie Lightfoot from Londis Solo in Glasgow has got rid of hers, likening it to a “bad mobile phone contract.”
“I think they can work in some stores but in ours it was just becoming really expensive to run,” she said.
“The contract kept changing terms all the time and I was having to beg for product. Plus, Costa opened in our main street, and Gregg’s started doing their coffee and breakfast. So it got to the point where we felt just pushed out of the [to-go] market.”
This means some stores now solely focus on the packaged stuff. And maybe it’s a category that could benefit from a little love – as Alex Lawrence, senior strategic insight director at Circana points out, c-stores currently trail way behind the mults on market share.
“The Hot Beverage (take home) grocery market is worth £2.2bn sales per annum and is dominated by coffee and tea, which together make up 95% of all value sales,” he says.
“[But] the symbols and independents channel accounts for just 5% of Hot Beverage market value sales which represents an under-trade versus the channel share of total food.”
He adds that this is against a backdrop of rising prices, citing that sales growth has been exclusively driven by the price rises – with “unit sales down on last year in the latest three months.”
So what can c-store retailers do to caffeinate sales without giving customers the jitters? A focus on speciality, and new formats (while retaining value-for-money) could be the killer shot the category requires.
2. Today, 24.4 million households in the UK buy coffee
Among the hot bevs, coffee is a smart place to start for c-stores. And not just because 24.4 million households can’t begin the day without it [Kantar in Total GB MAT w/e 24.12].
“Coffee is the more resilient of the two key hot beverage categories,” says Lawrence.
“Value sales growth [is] on [an] upward trajectory despite the warm weather and the growing cost-of-living pressure.”
Retailers are finding that new coffee formats are thriving – as long as they’re at the right price.
“I think wholesalers are including a broader range of coffee formats in their offers each month,” says Natalie.
“People want into products that are a bit more innovative – as long as they’re on offer. I’m not just doing Nescafe alongside a cheap brand anymore.”
As Maria Kabalyk, head of category & shopper at JDE Peet’s, points out, part of this trend is due to shoppers increasingly seeking a coffee-shop-style experience at home.
“With consumers increasingly looking for more evolved coffee shop-style coffees that deliver on taste and quality, it remains vital for retailers to offer an exciting and diverse coffee range to make the most of the category,” she says.
“While the UK has historically been known as a nation of tea drinkers, more cups of coffee are now consumed throughout the day than tea and many consider coffee one of the hardest beverages to go without.”
She maintains the category’s current focus should be on the specialities and mixes segment.
“In fact, we have seen an increase in spend in April 2024 vs April 2025 on soluble specialities [NIQ Panel, Value Size via NIQ Retail+NIQ Panel MAT(we 19.04.25) vs MAT YA], gaining greater penetration than other coffee segments in the past five years, with the segment now worth over £207 million,” she says.
“What’s more, these products are also key to recruiting a younger shopper and expanding the popularity within the coffee category.”
For JDE this means maximising products like Kenco Cappuccino and Latte sachets. Plus, the Tassimo Costa Range also offers the chance to take a High Street brand home for a coffee.
3. Half of 18-24 year olds now order coffee based on TikTok trends
OK, so top trending drinks like Matcha Latte aren’t currently the purview of an average c-store’s packaged hot beverages aisle. But this doesn’t mean drinks can’t be shaped by TikTok-famous picks. Take coffee concentrate, its own version of which Lost Sheep Coffee is bringing to the c-store market this autumn.
“What concentrate offers is the opportunity to create café-style coffee in the comfort of your own home, with no barista skills or expensive equipment required,” says Stuart Wilson, Lost Sheep Coffee’s founder.
“Right now there are a handful of mainstream brands on the market, but none that offer speciality-grade coffee quality and traceability.
“This is where our new Espresso and Caramel Coffee Concentrates come in. Designed to turn everyday coffee lovers into home baristas, they’re made with the same iconic award-winning speciality-grade ‘Get To The Hopper’ coffee found in our Iced Coffee cans (with the same rich flavour and quality) but in a super convenient format to use at home. Just shake, pour and stir for a perfect iced coffee or a bold espresso.”
Wilson adds that he believes “convenience and quality are key” in the market. This means a wide variety of formats – from RTD to ground coffee – can help make stores a destination for discerning coffee drinkers.
4. Less than half of Brits now drink standard breakfast tea
Compared to all the excitement in coffee, the packaged tea market is looking a little stewed, with the amount of breakfast tea consumed down by a fifth since 2020, according to Mintel.
But maybe tea’s just in a transition period. As traditional breakfast tea declines brands are doubling down on fruit varieties and even, like Twinning’s, dabbling in RTD sparkling varieties or pushing the boat out with kombucha.
The likes of fruit teas and Red Bush aren’t for every store (Natalie majors in coffee instead). Yet ethical products could unlock the category for a growing number of shoppers – especially sustainability-minded Gen Z.
“We know that ethical tea is on the up – with Clipper witnessing steady growth amid the slowdown in hot beverage consumption over the summer – and versus a category growing only at +0.6%,” says Adele Ward, marketing director at Ecotone UK.
“Clipper continues to out-perform the market in value and volume terms, proving the fastest growing major brand at +7% over the past year [Circana 52 w/e 12th July].
“Shoppers are increasingly looking for quality in their daily brew – along with ethical and sustainable credentials that align with their values. At Clipper, we’ve long championed this approach, offering organic, Fairtrade teas that deliver on both taste and ethics.”
She adds that choosing hot bevs is about more than just the taste – it’s about more and more consumers buying into the story behind their drink.
It might be out-performing tea. But coffee is on a similar ethical trajectory.
“At Lost Sheep, sustainability is at heart of our brand; we work hard to source coffee beans directly where possible from family farms, and all the farmers we work with are paid fairly and up to four times more than standard Fair Trade coffee prices,” says Wilson.
“Working directly with family farms and coffee exporters around the world helps everyone to succeed, as the farmers are fairly paid and we get a better price. These relationships are so important as they allow us to have full traceability, which is crucial to the coffee we create.”
5. Don’t forget the decaf…
One everyday product that straddles the hot beverage category’s concerns on both health and taste is decaf. And while price rises chip away at overall volume growth, decaf continues to come through for retailers.
JDE believes that decaf is a format “gaining increasing importance in the minds of consumers”.
“While some segments continue to see decline, total decaf value sales have remained in growth and now make up a quarter of all instant coffee sales, showing the opportunity for retailers to offer shoppers high-quality decaf options to enjoy at home.”
Clipper has also seen how cutting out caffeine can increase sales.
“We’re seeing continued growth in decaffeinated blends,” says Ward.
“Clipper is well placed to meet this demand, offering a wide range of infusions and a 100% natural decaffeination process. While the decaf black tea category is growing by 5.8%, Clipper is up 20% year-on-year (Circana, Value % Growth YoY – 12th July 25).”
Just make sure it’s clearly marked on the shelf. Your average early morning caffeine addict won’t thank you for selling them the unleaded stuff by mistake.
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