March 9, 2007, Newsletter Issue #99: Single Cup, Big Bucks?

Tip of the Week

Coffee is a lucrative business and owners of coffee bars, coffee houses and coffee shops are part of what the Specialty Coffee Association of America estimates was an $11.05 billion business in the United States in 2005. Almost $9 million of that comes from cafes, kiosks and carts. The market grew by more than $1 billion from 2004 to 2005, even with 60 percent of adults calling themselves occasional coffee drinkers, rather than daily drinkers.

If international trends in single-cup coffee indicate what will happen in the United States, it is no wonder that more coffee sellers are investing in one-cup coffee makers.

Single-cup coffee makers and servings such as K-Cups are still relatively new in the U.S., so there is room for growth. Single-serving coffee makes up about 5 percent of the U.S. market now, according to Dow Jones article in July. The market share is expected to increase to 20-25 percent in the next decade, according to the Specialty Coffee Association of America.

There, single-cup pod-brewed coffee took over 40 percent of the market share, according to an article in Tea & Coffee Trade Journal published in January 2005. The reasons? Choice, convenience and improved taste – all factors important to American consumers.

About LifeTips

Now one of the top on-line publishers in the world, LifeTips offers tips to millions of monthly visitors. Our mission mission is to make your life smarter, better, faster and wiser. Expert writers earn dough for what they know. And exclusive sponsors in each niche topic help us make-it-all happen.

Exclusive Sponsor

www.GreenMountainCoffee.com

Looking for great coffee? Visit www.GreenMountainCoffee.com to see the latest in bagged and single-cup coffee. Have you seen the Keurig Single-Cup Coffee maker yet?

www.GreenMountainCoffee.com