SPONSORED
SPONSORED
fee margins in some cases, although
OCS operators heavy in traditional
single-cup didn't receive much relief
as those prices didn't drop.
To help margins, half of operators again raised prices in 2012,
although that represents fewer
operators than in 2011, see chart
4a. More than 40 percent made no
changes in price. The reason for
this is mixed. In some cases, it was
due to lots of competition driving
acceptable prices, making it diffcult
for operators to increase them. To
maintain proftability in these cases,
operators used cost cutting in other
areas of their operations, such as in
paper goods and services offered.
Other operators made no change
because they had previously raised
prices to a proftable level and coffee
consumption increased.
According to the National Coffee Association (NCA), overall coffee consumption is up 5 percent
over last year among Americans.
In its National Coffee Drinking
Trends Report, the NCA reported
that 83 percent of U.S. adults now
drink coffee, compared to 78 percent from the 2012 report. Daily
consumption has remained strong
and steady at 63 percent, with those
who drink coffee at least once a
week up slightly to 75 percent.
CONTINUED
BY
BY
OPERATOR PRICING ACTIVITY
CHART 4A: OPERATOR PRICING ACTIVITY, 5-YEAR REVIEW
● RAISED PRICES ● LOWERED PRICES ● NO CHANGE
Yes
1.8%
Yes
21%
10%
40%
51.4%
13%
51.4%
66%
88.2%
45.7%
14.3%
2008/2009
2009/2010
2010/2011
24.5%
43.3%
1.5%
50%
74%
6.7%
2011/2012
15
2012/2013
CHART 4B: REVENUE PER CUP IN CENTS PER CUP, FRACTION PACK
PLUMBED IN/POUROVER COFFEE, 10-YEAR REVIEW
12
10.8¢
11.7¢
12.9¢
9
6
3
0
5.8¢
7.1¢
7.7¢
7.7¢
7.8¢
7.9¢
8.0¢
03/04 04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13
CHART 4C: REVENUE PER CUP, SINGLE-CUP COFFEE, 3-YEAR REVIEW
2010/2011
42.5¢
Revenue
▶
2011/2012
41.8¢
2012/2013
43.1¢
CHART 3: COMPOSITE GREEN COFFEE PRICES, 2009 TO JUNE 2013
200
150
100
2012
September 2013
VendingMarketWatch.com
Jun
Jul
Jan
Feb
Mar
Apr
May
Oct
Nov
Dec
Jan
2010
2011
Source: International Coffee Organization, London, U.K.
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Apr
May
Jun
Jul
Aug
Sep
Jan
Feb
Mar
Oct
Nov
Dec
0
Apr
May
Jun
Jul
Aug
Sep
50
Jan
Feb
Mar
CENTS PER POUND
250
2013
Automatic Merchandiser
19