Iced specialty drinks have become a key driver of year-round sales for operators, reflecting the evolving preferences of consumers who see coffee as much more than just a morning pick-me-up.
This has fueled the rise of cold coffee beverages as the hottest thing brewing. Cold specialty coffee drinks such as iced coffee, iced lattes, iced mochas, and more have become a powerful force driving growth in the category overall.
According to Allegra Project Café USA 2024, 79% of consumers under age 35 typically purchase an iced coffee beverage at least once per week. The survey of more than 5,000 coffee shop customers also found that daily consumption of cold coffee increased by 7% during the previous 12 months.
Additionally, the National Coffee Association (NCA) found that 73% of consumers have an excellent or very good view of cold brew coffee. The NCA also found that the popularity of cold/iced beverages continues to be stable and that consumers under age 40 are driving positive intent for consumption.
As further evidence of the trend toward cold coffee, research from Mintel found that cold coffee is increasingly an entry point to the coffee category for younger consumers. The company’s 2023 Coffee Report notes that Gen Z consumers are drinking a wider variety of beverages than older generations and that cold coffee drinks are serving as a gateway into the wider coffee market. More than half of Gen Z consumers—57%—say they first regularly drink cold coffee beverages, as opposed to those who first regularly drink hot beverages.
Cold Beverages Outpace Hot, All Year Long
Consumers’ craving for cold coffee is evident across coffee chains both small and large. At Starbucks, for example, cold drinks now command a significant portion of all beverage orders, the company says, accounting for as much as three-fourths of all sales in some recent quarters.
Brady Brewer, CEO of Starbucks International, said in a recent conference call with analysts that the company sees younger consumers increasingly making cold coffee a part of their daily rituals. He says that young consumers liking cold beverages is “[…] really a shift in generational taste preferences where that highly frequent millennial/Gen Z customer is drinking cold coffee every day, just as people of different generations were drinking hot coffee to start their day every day.”
What makes cold beverages particularly appealing is their adaptability. They are beverages that are easily customized, allowing coffee shops to craft unique, signature drinks that set them apart from competitors. This customization not only caters to individual tastes but also encourages customer loyalty and repeat visits.
The enduring popularity of cold coffee across different climates and seasons highlights its versatility and wide appeal. As consumers continue to explore and enjoy these refreshing beverages, the momentum behind cold coffee shows no signs of slowing down.
SEB Professional: Driving Cold Coffee Sales
SEB Professional is one company with three coffee equipment brands—WMF, Schaerer, and Curtis—that offer solutions for both hot and iced bean-to-cup and espresso-based beverages. For example, the new Schaerer Coffee Soul C guarantees a fresh cup of hot or iced coffee while reducing labor and waste with automated cleaning for 300 days. Additionally, the WMF 5000S+ offers hot and iced espresso-based beverages with automated cleaning. SEB Professional's equipment can also automate cold coffee production by the cup or in large batches, capable of brewing a gallon of cold coffee in 30 minutes.
For more information about how SEB Professional can help you drive sales of cold coffee and capitalize on the biggest trend in the beverages, visit any of SEB Professional’s three brand websites to find the right equipment for your operation: WMF, Schaerer, and Curtis.
