Sorry for interrupting, this website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Learn more
Accept & Close

Coffee Houses and Donut Shops - US - October 2011

Mintel’s Coffeehouses and Donut Shops—U.S. June 2011 estimates that overall on-premise sales at these establishments in the U.S. hit $25.5 billion in 2011, a 4.4% gain over 2010. Throughout 2011, some leading companies reported gains in part as a result of widespread changes that have been made to their offerings and promotional efforts. Dunkin’ Donut’s 2011 IPO as well as branding and positioning changes at Starbucks and Caribou Coffee signal a new era in the business in which companies are increasingly working to differentiate while keeping product development keenly focused on consumer demand for traditional as well as better-for-you (BFY) options.

This report explains many of these changes and provides detailed analysis of relevant consumer attitudes and behavior. The report addresses the following questions:

  • How have sales fluctuated in recent years and how are they likely to change between 2011 and 2016?
  • Which are the leading companies in the channel and what changes have these companies been making in the last year?
  • How are macro-economic conditions and rising interest in BFY options impacting the strategies of leading companies and category sales?
  • What types of new products have been introduced in recent years and how are companies leveraging innovation to drive sales?
  • What types of foods and beverages are most commonly purchased within the channel and how does usage vary across demographic segments?
  • What times of day do customers most often visit coffeehouses and donut shops and what are operators doing to encourage visitation during off hours?
  • How do customers use coffeehouses and donut shops and which segments tend to spend the most money when they visit?
  • What types of products would consumers like to see more of in the future?

What you get

What's included

Why buy from us?

Succeed

Our reports will provide you with market data, consumer research and competitive intelligence to succeed in your market.

Instant Access

Buy now and you'll have instant access to the information you need to make the right decisions.

Opportunities

Find out what's next in the markets that matter to you: where opportunities lie and what challenges you will face.

Trusted

A business Superbrand, Mintel is a source you can trust. We have been defining and refining the Market Intelligence mix since 1972.

Table of contents

  1. Scope and Themes

    • What you need to know
      • Definition
        • Data sources
          • Consumer survey data
            • Advertising creative
              • Abbreviations and terms
                • Abbreviations
                  • Terms
                  • Executive Summary

                    • Market poised for significant gains in 2011
                      • Rate of new products introduction accelerated in Q2
                        • Starbucks and McCafé lead in both food and drink
                          • Most visit before noon
                            • Two in five report spending less in the channel this year
                              • High-quality coffee remains most popular beverage
                                • Three in five often order to-go, but many young adults like to hang out
                                  • Many would like to see more breakfast sandwiches and BFY options
                                  • Insights and Opportunities

                                    • Quality, convenience, and service more likely to be rated as important than price
                                      • Figure 1: Key attributes of favorite coffeehouse, by age, June 2011
                                    • BFY donuts and baked goods could drive growth
                                      • Create brand community to drive loyalty and mitigate weak economy
                                        • Figure 2: First Starbucks store in Seattle
                                    • Inspire Insights

                                        • Trend: Premiumization and Indulgence
                                          • Trend: Moral Brands
                                          • Market Size and Forecast

                                            • Key points
                                              • Brewing up strong sales
                                                • Figure 3: U.S. sales at coffeehouses and donut shops, at current prices, 2006-16
                                                • Figure 4: U.S. sales at coffeehouses and donut shops, at inflation-adjusted prices, 2006-2016
                                              • Fan chart forecast
                                                  • Figure 5: Fan chart of market U.S. sales at coffeehouses and donut shops, at current prices, 2006-16
                                              • Market Drivers

                                                • Key points
                                                  • Population growth will drive long-term demand
                                                    • Figure 6: Population, by age, 2006-16
                                                  • Declining fertility rate could slow impact of overall population growth
                                                    • Figure 7: Households, by presence of children, 2000-10
                                                  • Growth and age distribution of Hispanic segment make potentially high value
                                                    • Figure 8: Population, by race and Hispanic origin, 2006-16
                                                  • Hispanic segment young, with high proportion of kids
                                                    • Figure 9: Households, by Hispanic origin of householder and presence and ages of children, 2010
                                                    • Figure 10: Households, by race of householder and presence and ages of children, 2010
                                                  • Weak economy continues to stymie growth
                                                    • Figure 11: Unemployment and underemployment rates, January 2007- September 2011
                                                    • Figure 12: Consumer sentiment index, by quarter, March 2007-September 2011
                                                    • Figure 13: Adjusted foodservice and drinking place sales, January 2008-August 2011
                                                    • Figure 14: NRA Performance Indices, January 2009-August 2011
                                                  • Many continue to report drinking more at home
                                                    • Figure 15: Attitudes and behavior toward coffee, by age, June 2011
                                                  • Some report drinking less coffee as a result of price increases
                                                    • Figure 16: Change in purchasing behavior in buying favorite brand due to rising prices, by age, June 2011
                                                  • Obesity and nutritional concerns also likely to impact sales
                                                    • Figure 17: Percentage of population aged 20+ who are overweight, obese, or extremely obese, 1988-2008
                                                    • Figure 18: Prevalence of obesity among children and adolescents aged 2-19, 1976-2008
                                                  • Most adults watching diet
                                                    • Figure 19: Trends in watching diet among adults aged 18+, 2005-10
                                                    • Figure 20: Trends in watching diet among adults aged 18+, 2005-10
                                                • Brand Analysis

                                                  • Overview
                                                    • Starbucks
                                                        • Figure 21: Evolution of Starbucks Logo
                                                      • Dunkin’ Donuts
                                                        • Caribou Coffee
                                                          • Figure 22: Evolution of Caribou Coffee Logo
                                                        • Krispy Kreme
                                                          • Tim Hortons
                                                          • Menu Insights Analysis—Indulgence and Health Both Important

                                                              • Key points
                                                                • The Competitive Context
                                                                  • Sharp rise in number of turkey sandwiches, donuts and pastries
                                                                    • Breakfast sandwiches become more common and differentiated
                                                                        • Figure 23: Top 10 food items at coffeehouses and donut shops, by incidence, Q2 2008-Q2 2011
                                                                      • Average price up nearly 20% from 2008
                                                                        • Figure 24: Top 10 food items at coffeehouses and donut shops, by incidence and price, Q2 2008-Q2 2011
                                                                      • Leading companies continue to add new products
                                                                          • Figure 25: Coffeehouse and donut shops food menus, by incidence, Q2 2008-Q2 2011
                                                                        • Tea latte and coffee frappe drinks becoming more common
                                                                          • Figure 26: Top 10 beverages at coffeehouses and donut shops, by incidence, Q2 2008-Q2 2011
                                                                        • Shake innovations could help drive sales
                                                                          • Smoothies another category where innovation could drive growth
                                                                            • Skinny drinks could drive growth at some concepts
                                                                              • Average price of drinks up 12%, on rising commodity prices
                                                                                • Figure 27: Top 10 beverages at coffeehouses and donut shops, by incidence and price, Q2 2008-Q2 2011
                                                                              • BFY options a major push
                                                                                • Figure 28: Coffeehouse and donut shops beverages, by incidence, Q2 2008-Q2 2011
                                                                            • Marketing Strategies

                                                                              • Overview
                                                                                • Dunkin’ Donuts
                                                                                  • Figure 29: Brand analysis of Dunkin’ Donuts
                                                                                • Television advertising
                                                                                  • Figure 30: Dunkin’ Donuts coffee, 2011
                                                                                  • Figure 31: Dunkin’ Donuts coffee, 2011
                                                                                • Website
                                                                                  • Figure 32: Quantcast estimates for Dunkin’Donuts.com, September 2011
                                                                                • Facebook
                                                                                  • Twitter
                                                                                    • YouTube
                                                                                      • Other promotions
                                                                                        • Figure 33: Dunkin’ Donuts perks rewards card, September 2011
                                                                                      • Starbucks
                                                                                        • Figure 34: Brand analysis of Starbucks
                                                                                      • Television advertising
                                                                                        • Figure 35: Starbucks ad, 2011
                                                                                        • Figure 36: Starbucks ad, 2011
                                                                                      • Website
                                                                                        • Figure 37: Quantcast estimates for Starbucks.com, September 2011
                                                                                      • Facebook
                                                                                        • Twitter
                                                                                          • YouTube
                                                                                            • Other promotions
                                                                                              • Figure 38: Starbucks treat receipt, September 2011
                                                                                              • Figure 39: Starbucks store Facebook announcement, September 2011
                                                                                          • Coffeehouse and Donut Shop Usage

                                                                                            • Key points
                                                                                              • Starbucks remains most popular coffeehouse for drinks purchases
                                                                                                • Figure 40: Purchased food and/or drinks at coffeehouses and donut shops in past month, by store and gender, June 2011
                                                                                              • Starbucks popular with 18-24s, even for food purchases
                                                                                                • Figure 41: Purchased food and/or drinks at coffeehouses and donut shops in past month, by store and age, June 2011
                                                                                              • Starbucks most popular for food and drink among $150K+ segment
                                                                                                • Figure 42: Purchased food and/or drinks at coffeehouses and donut shops in past month, by store and household income, June 2011
                                                                                              • Men tend to order somewhat more
                                                                                                • Figure 43: Food and drink purchase means at coffeehouses and donut shops in past month, by store and gender, June 2011
                                                                                              • Young adults most frequent drink purchasers at Starbucks
                                                                                                • Figure 44: Food and drink purchase means at coffeehouses and donut shops in past month, by store and age, June 2011
                                                                                              • Higher-income segments most frequent food/drink purchasers
                                                                                                • Figure 45: Food and drink purchase means at coffeehouses and donut shops in past month, by store and household income, June 2011
                                                                                            • Daypart Usage

                                                                                              • Key points
                                                                                                • Morning dayparts most important for coffeehouses
                                                                                                  • Figure 46: Coffeehouse daypart usage, by gender, June 2011
                                                                                                • Young adults more likely to visit coffeehouses in middle of day
                                                                                                  • Figure 47: Coffeehouse daypart usage, by age, June 2011
                                                                                                • $75K+ segment more likely to visit coffeehouses in early morning
                                                                                                  • Figure 48: Coffeehouse daypart usage, by household income, June 2011
                                                                                                • Donut shop usage heavily concentrated in the morning dayparts
                                                                                                  • Young adults are the group most likely to visit later in the day
                                                                                                    • Figure 49: Donut shop daypart usage, by age, June 2011
                                                                                                  • Those from lower-income segments more likely than others to visit later
                                                                                                    • Figure 50: Donut shop daypart usage, by household income, June 2011
                                                                                                • Coffee and Coffee Drink Spending Trends and Rationales

                                                                                                  • Key points
                                                                                                    • More patrons spending more at coffeehouses than last year
                                                                                                      • Figure 51: Coffeehouse and donut shop coffee-spending trends, February 2009, March 2010 and June 2011
                                                                                                    • Women somewhat more likely to continue to cut back on spending
                                                                                                      • Figure 52: Coffeehouse and donut shop coffee-spending trends, by gender, June 2011
                                                                                                    • Young adults most likely to be spending more at coffeehouses
                                                                                                      • Figure 53: Coffeehouse and donut shop coffee-spending trends, by age, June 2011
                                                                                                    • Those from $100K+ households maintaining coffeehouse spend
                                                                                                      • Figure 54: Coffeehouse and donut shop coffee-spending trends, by household income, June 2011
                                                                                                  • Coffeehouse and Donut Shop Drinks Most Often Consumed

                                                                                                    • Key points
                                                                                                      • Lattes and blended iced coffee more popular with women
                                                                                                        • Figure 55: Coffeehouse and donut shops drinks drunk most often, by gender, June 2011
                                                                                                      • Blended coffee drinks most popular with 18- to 24-year-olds
                                                                                                        • Figure 56: Coffeehouse and donut shops drinks drunk most often, by age, June 2011
                                                                                                      • $150K+ consumers prefer black coffee, avoid blended iced coffee drinks
                                                                                                        • Figure 57: Coffeehouse and donut shops drinks drunk most often, by household income, June 2011
                                                                                                    • Coffeehouse Usage Patterns

                                                                                                      • Key points
                                                                                                        • Most use coffeehouses to get coffee or a snack to go
                                                                                                          • Figure 58: How coffeehouses are used, by gender, June 2011
                                                                                                        • Young more likely to use coffeehouses as a “third place”
                                                                                                          • Figure 59: How coffeehouses are used, by age, June 2011
                                                                                                        • $150K+ segment more likely to use internet or do work at coffeehouses
                                                                                                          • Figure 60: How coffeehouses are used, by household income, June 2011
                                                                                                      • What Coffeehouse Patrons Would Like to See More Of

                                                                                                        • Key points
                                                                                                          • Women more interested in BFY options
                                                                                                            • Figure 61: What coffeehouse patrons would like to see more of, by gender, June 2011
                                                                                                          • Young adults interested in more coffee variety
                                                                                                            • Figure 62: What coffeehouse patrons would like to see more of, by age, June 2011
                                                                                                          • Those from higher-income segments more interested in BFY
                                                                                                            • Figure 63: What coffeehouse patrons would like to see more of, by household income, June 2011
                                                                                                        • Race and Hispanic Origin

                                                                                                          • Key points
                                                                                                            • Hispanics and Asians heavily over index on usage
                                                                                                              • Figure 64: Purchased food and/or drinks at coffeehouses and donut shops in past month, by store and race/Hispanic origin, June 2011
                                                                                                            • Asians and Hispanics more likely to want healthy items and broader coffee options
                                                                                                              • Figure 65: What coffeehouse patrons would like to see more of, by race/Hispanic origin, June 2011
                                                                                                          • Custom Consumer Groups—Households with Children

                                                                                                            • Parents over index on usage across chains
                                                                                                                • Figure 66: Food and drink purchase means at coffeehouses and donut shops in past month, by store and race/Hispanic origin, June 2011
                                                                                                              • Parents more likely to make purchases across chains and categories
                                                                                                                • Figure 67: Purchased food and/or drinks at coffeehouses and donut shops in past month, by store and race/Hispanic origin, June 2011
                                                                                                              • Drink variety and quality of baked goods key at coffeehouses
                                                                                                                  • Figure 68: Attributes of favorite coffeehouse, by custom consumer group
                                                                                                                • Drink selection, quality of coffee and atmosphere key attributes in donut shops
                                                                                                                    • Figure 69: Attributes of favorite donut shop, by custom consumer group, June 2011
                                                                                                                • Appendix—Trade Associations

                                                                                                                  Companies Covered

                                                                                                                  • ABP Corporation
                                                                                                                  • Burger King Corporation
                                                                                                                  • Caribou Coffee Company Inc.
                                                                                                                  • Centers for Disease Control and Prevention
                                                                                                                  • Coffee Beanery Limited (The)
                                                                                                                  • Cold Stone Creamery
                                                                                                                  • Dunkin' Brands
                                                                                                                  • Facebook, Inc.
                                                                                                                  • Food and Drug Administration
                                                                                                                  • Food Distributors International
                                                                                                                  • Foursquare
                                                                                                                  • Gallup Organization, The
                                                                                                                  • Green Mountain Coffee Roasters, Inc.
                                                                                                                  • Hershey Company, The
                                                                                                                  • International Food Service Executives Association (IFSEA)
                                                                                                                  • International Foodservice Distributors Association (IFDA)
                                                                                                                  • International Foodservice Manufacturers Association (IFMA)
                                                                                                                  • International Franchise Association (IFA)
                                                                                                                  • International Hotel and Restaurants Association (IH&RA)
                                                                                                                  • Jamba Juice Company
                                                                                                                  • Krispy Kreme Doughnuts Inc.
                                                                                                                  • Marble Slab Creamery, Inc.
                                                                                                                  • McDonald's U.S.A.
                                                                                                                  • MSN (USA)
                                                                                                                  • National Council of Chain Restaurants (NCCR)
                                                                                                                  • National Restaurant Association (NRA)
                                                                                                                  • National Retail Federation (NRF)
                                                                                                                  • Nestlé USA
                                                                                                                  • Quaker
                                                                                                                  • Rainforest Alliance
                                                                                                                  • Research In Motion (USA)
                                                                                                                  • Seattle Coffee Company
                                                                                                                  • Starbucks Corporation
                                                                                                                  • Subway
                                                                                                                  • Susan G Komen
                                                                                                                  • Target Corporation
                                                                                                                  • The New York Times Company
                                                                                                                  • The Wendy's Company
                                                                                                                  • Tim Hortons (USA)
                                                                                                                  • Toyota Motor Corporation USA
                                                                                                                  • Twitter, Inc.
                                                                                                                  • U.S. Bureau of Labor Statistics
                                                                                                                  • U.S. Bureau of the Census
                                                                                                                  • University of Michigan, The
                                                                                                                  • US Department of Commerce
                                                                                                                  • USA Today
                                                                                                                  • Walmart Stores (USA)
                                                                                                                  • Yahoo! Inc
                                                                                                                  • YouTube, Inc.

                                                                                                                  Coffee Houses and Donut Shops - US - October 2011

                                                                                                                  £2,684.63 (Excl.Tax)