Informative
August 30, 2024
To roast or not to roast, those are two questions. Welcome to our new series ‘Shameless Plugins’ where we give you the lowdown on impact-driven industries such as Ethical Coffee, Slow Fashion, Green(ish) Energy and a lot more. Ofc, all of this is viewed through the lense of ethical digital marketing. True to the name, we add a tiny promo towards the end for marketers looking for an agency that looks at audiences like real human beings. That’ll be us.
Today, we’ll be exploring the following:
The younger demographic is increasingly gravitating towards premium options like ground coffee and coffee pods, fueling demand for higher-quality beans such as single-origin and specialty varieties. This evolving palate indicates a broader trend towards conscious consumption. Sustainability emerged as a major concern in the British coffee sector in 2020, signaling a growing desire for ethically sourced and produced coffee.
Instant coffee is a staple in many UK homes, especially for those seeking convenience and affordability. According to Nescafe, nearly three-fourths of all coffee prepared in the UK fall into this category.
Who is the market leader? Nescafé Gold Blend is basically the king of coffee in the UK, with 4.3 million people drinking it.
A little bit of coffee trivia never hurt anybody
Before World War II, coffee was typically brewed fresh. When war broke out, the military needed a quick, portable coffee option. This led to the development of instant coffee. US soldiers were introduced to it, and after the war, its convenience made it a popular choice at home!
Gaining popularity among younger consumers, ground coffee offers more flexibility and flavor control compared to instant. This includes everything from filter coffee to espresso blends.
When compared to ‘traditionalists’ such as baby boomers, Gen-Z and Millennials consume much less coffee. They drink about 0.5 cups and 1.3 cups of coffee respectively. Baby boomers drink about 2.2 cups of coffee per day.
The rapid rise of pod machines has driven the growth of this category. Convenience and a wide range of flavors are key factors in their popularity.
This includes cold brew, canned coffee, and other pre-made coffee beverages. While still a smaller segment, it's growing rapidly, particularly among younger consumers seeking convenient and refreshing options.
As passionate ethical marketers, we navigate the complex landscape of claims more often than you would imagine. The coffee market is saturated with assertions that do not always offer the full picture to consumers. Think promoting ‘locally roasted’ coffee as having a net-positive impact, when in truth, roasting coffee beans in the consumer country means lower profits for farmers in the source region.
We've focused on prominent claims below, but you can find a more in-depth exploration on Ethical Consumer.
Nearly 70% of the world's coffee is produced by countries in the Global South, many former colonies like Brazil, Vietnam, Colombia, and Indonesia. Despite producing most of the world's coffee, former colonies battle unfair prices, environmental damage, and a one-crop system. When positioning your coffee brand, addressing the deep systemic issues (such as the lasting impact of colonialism) can be addressed.
In fact, the shadow of colonialism continues to haunt the coffee industry. Cases of modern slavery have been documented on coffee plantations supplying major brands like Starbucks and Nescafé.
Single-origin coffee highlights the distinct taste of beans from a particular region. It provides traceability to a specific region, but it doesn't guarantee fair trade practices or sustainable growing methods. Understanding the origin is a first step, but brands need additional certifications like Fairtrade or Rainforest Alliance to ensure ethical sourcing.
While "locally roasted" coffee supports small businesses, it doesn't guarantee ethical sourcing. The real issue lies upstream: farmers get a tiny fraction of the final price. Roasting location (local vs. global north) is mainly about freshness rather than ethics. There are ways to ensure fresh, ethically sourced beans even if roasted further away.
Coffee labeled "grown by women" is a step towards recognizing women's vital role in coffee production, which is often undervalued. However, the label itself doesn't guarantee financial empowerment. These partnerships can ensure women farmers directly benefit from the sale, reinvesting profits back into their farms and communities for a more sustainable and equitable coffee industry.
At wonderwork, our process is simple. Research on the latest industry data, consumer personas, competition and more, are not nice-to-haves. They are necessary. This is why we created ‘The Wonderword’ – a comprehensive research and strategy document for our clients, that truly aligns with their growth marketing goals. We’re a team of creative and performance marketing nerds, who pride themselves on rigorous testing, monitoring and optimization. Our left brain and right brain are best friends. Maybe we should be too?
Well then, that’s a wrap! We hope you enjoyed reading this blog as much as we enjoyed asking our copywriter to write it. We’ll be back with another shameless plugin next month, so don’t mark your calendars yet. Here’s what you can do instead: Just follow us on LinkedIn and we’ll send you a notification when it’s out! Simple, eh?
Until next time, ethical marketers.
