Consumers supporting ‘local’ drive indy coffee shop growth

The UK’s independent coffee shop market grew 2.2% in the last 12 months to reach an estimated 12,212 outlets. 

World Coffee Portal research also indicates the overall value of the UK independent coffee shop market withstood rising costs and tightened consumer spend to grow 4% during the period to £4.6bn.  The market will surpass 12,400 outlets in the next 12 months, reaching £4.8bn in 2025, according to the portal’s forecasts.

Beverage quality, personalised service, authenticity and ‘localness’ have been key drivers of customer retention for UK independent coffee shops. 

“Despite the continued growth of chain concepts in the UK, consumers are eager to ‘support their local’ in these challenging economic times,” said Allegra Group founder and CEO, Jeffrey Young.

The branded segment has reached 10,199 stores. However, one in four branded coffee businesses has reduced the number of outlets they have in the past 12 months.

Costa Coffee remains the UK’s largest branded coffee chain, holding a 26% share of the market with 2,677 stores, having closed net 17 sites over the past year. Greggs and Starbucks, which opened 73% of the 353 net new stores added to the market during the period, led overall outlet growth.