Canada Coffee and Coffee Shops Market Report 2025
In Canada, coffee is the most popular drink after water and a key part of daily life. But this love for coffee doesn’t mean the market is stagnant.
In Canada, coffee is the most popular drink after water and a key part of daily life. But this love for coffee doesn’t mean the market is stagnant.
In Canada, coffee is the most popular drink after water and a key part of daily life. But this love for coffee doesn’t mean the market is stagnant. Younger generations are influencing the coffee industry with their evolving tastes, pushing producers to innovate and stay competitive in Canada’s market.
The definition of coffee is expanding, especially with formats like ready-to-drink (RTD) options appealing to younger adults, even drawing in teenagers. That said, ground coffee remains relevant among younger consumers. However, brands can’t take consumers’ loyalty for granted, especially as energy drinks gain popularity for offering quick boosts.
Coffee shops also play an important role in Canada. Beyond caffeine, they serve as “third spaces” where people connect or enjoy a moment of calm. Tim Hortons continues to dominate as Canada’s go-to choice for out-of-home coffee. However, the market is large enough to accommodate a range of competitors that cater to diverse preferences.
Almost all Canadians drink coffee, and while many habits are well established, the market remains dynamic, with consumers showing clear openness to innovation.
Joel Gregoire, Associate Director of Food & Drink Reports