C C O O F F F F E E E E C C O O N N S S U U M M P P T T I I O O N N I I N N I I N N D D I I A A – – 2 2 0 0 0 0 8 8 Economic & Market Intelligence Unit COFFEE BOARD (Government of India) #1, Dr.Ambedkar Veedhi Bangalore –560 001, INDIA www.indiacoffee.org
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4. Urban consumption by Zones…………………………………………………………………………………………..29
5. Urban consumption by Socio Economic Class………………………………………………………………………..47
6. Urban consumption by Age and Gender………………………………………………………………………………68
7. Rural India consumption……………………………………………………………………………………………….. 92
Part 2 8. Findings by coffee drinkers, occasional drinkers and non-drinkers…………………………………………………107
9. Opportunities for growth …………………………………………………………………………………………………125
Annexure (Calculation on coffee consumed) ……………………………………………………………………………...145
Under each section, the following topics have been covered
� Penetration � Yesterday consumption � Daily habits � First cup habits � Share of throat � Number of cups consumed per person per day
� Number of cups consumed per drinker � Heaviness of consumption � Frequency of consumption � Place of consumption � Types of coffee consumed at home
3
Foreword Coffee has become increasingly popular in India over the last few years. It is no longer a traditional South Indian beverage, but a youthful and trendy beverage. The role of the Coffee Board in facilitating the growth of domestic consumption is focused primarily on providing consumer insight to marketers and roasters and potential new comers. As part of the ongoing initiative to understand coffee consumption in India, I am pleased to present the fourth research report on domestic consumption of coffee. The Coffee Board has done both qualitative and quantitative research in 2001 and 2003 to understand the patterns of domestic consumption and the attitudes towards coffee consumption. The third round of research was done in 2005. It is the endeavor of the Board to repeat this exercise at regular intervals to facilitate the tracking of domestic consumption across the country and over time. The present report is the outcome of the fourth round of research on domestic coffee consumption carried out in 2008. This report shows some interesting facets of coffee consumption in India. Coffee consumption has increased over the past few years and the research shows that in 2008, the total coffee consumption is estimated at 97000 MT, with an urban and rural divide of about 74% and 26% respectively.
The highlight of the last research was the café habit in 10 lakh plus cities. This report focuses on the Urban and Rural coffee consumption in India. Apart from this, there will also be a directory of all premium cafés, vending machines in public areas and neighbourhood roasting & grinding units in all the A1 cities in India. All municipal corporation areas in these A1 cities (Delhi, Mumbai, Chennai, Kolkata, Hyederabad and Bangalore) were covered as a part of this exercise. Undoubtedly the concerted efforts of coffee marketers in promoting the beverage as a lifestyle drink via the coffee cafes and vending machines has added more visibility to the beverage. This visibility, in essence, is the business opportunity, and reports like this help in targeting areas for future growth. Towards this end, the report includes a separate section on emerging opportunities. We intend to make such data available at regular intervals, which could doubtless be of interest not only to existing stakeholders in the coffee industry but also to potential new comers. I would also like to place on record my appreciation to Dr.S.Radhakrishnan, Dy.Director (Market Research) who coordinated the study as well as M/S Research International who conducted the research.
G. V. Krishna Rau Chairman Coffee Board Bangalore – 560 001 December, 2008.
4
Background Coffee is one of the most traded commodities in the world. India is the sixth largest producer of coffee in the world accounting for over four percent of world coffee production. Most coffee produced in India is exported. As far as domestic demand for coffee is concerned, it is largely confined to the southern regions. Over the past few years, coffee has changed from being a traditional beverage consumed mainly in South India, to a beverage with a national presence, consumed in several forms and retail format. Over the past few years, there is some interest in the category with coffee bars/ cafes becoming popular. Companies are looking at other alternatives in order to popularize coffee consumption in a country having a largely tea drinking populace. The coffee board feels it imperative to be aware of consumption habits, for coffee and other beverages, so as to aid the development of marketing strategies and help exporters. The Coffee Board initiated an audit of coffee consumption across the country in 2001. The first audit also included a
comprehensive understanding on attitudes towards coffee. The audit was conceived as a tracking study, to be conducted at regular intervals. The Coffee Board has completed the second round in 2003 to understand the consumption habits and identify opportunities for growth. The third round, which was conducted in 2005, had a more comprehensive geographical coverage as compared to the first and second round. It focused a little more on the café habits, given the type of attention and visibility coffee cafés are enjoying. Similar to last round, the individual module captures the consumption details in terms of yesterday consumption by day parts. Hence, the volume of coffee consumed by each individual in the survey will be the basis of the volume estimation. Like last time, the consumption data by day parts is captured in this study also. The result of the present study is compared with the results of last round.
5
Scope of the Research This research was conducted: � To estimate the demand for coffee in India in 2008 � Share of coffee in the basket of beverages consumed � To understand current patterns in domestic coffee consumption and the changes from the last study � To understand behaviour related to coffee consumption in cafes � To estimate the Chicory tonnage out of the local coffee market – percentage of chicory in coffee – chicory blends
consumed � to identify potential opportunities for growth
6
Methodology • The research design involved a
quantitative study covering a representative sample of people across urban India and rural South India. The beverage consumption habits of people in this sample were studied as part of the continuing tracking study of the Coffee Board.
• This report is based on fieldwork
conducted during August to September 2008.
NOMENCLATURE USED • Any coffee : Unduplicated count between instant
coffee, filter coffee and cold coffee
• Filter coffee : Roast & Ground coffee
• Penetration : Beverage consumed in the past 12
months
• SEC : Socio-Economic Classification Refer
Annexure 1
• Non-drinker : Not consumed coffee in the past 12
months
• Occasional-drinker : Consumed coffee in last 12 months but
not yesterday
• Light drinker : Consumed 1-2 cups yesterday
• Medium drinker : Consumed 3 cups yesterday
• Heavy drinker : Consumed 4 or more cups yesterday
• Daily frequency : Frequency of consumption once a day/more often
• Weekly frequency : Frequency of consumption once a week
or more often
7
Methodology: Survey Centres - Large + Small Towns
URBAN RURAL Base:5993 Base:1000
NORTH EAST WEST SOUTH SOUTH
Delhi Calcutta Mumbai Chennai Hyderabad Vijayawada Warangal Siddipet
Kanpur Guwahati Pune Madurai Bangalore Udipi Hubli Chikmangulur
Ajmer Gwalior Tanjore Chennai Madurai Tanjore Rasipuram
Ludhiana Rasipuram Cochin Trivandrum Calicut
Bangalore
Udipi
Hubli
Chikmangulur
Hyderabad
Viayawada
Warangal
Siddipet
Cochin Trivandrum
Calicut
URBAN RURAL
Coverage of the study : - Survey of Rural areas was carried out only in South
coverage included villages with population greater than 2000 and also less than 2000.
- About 20 villages were covered in each of Rural centers.
8
Methodology: Socio Economic Class Grid - Urban
Urban SEC Grid:
OCCUPATION
EDUCATION
Illiterate
1
School: upto 4 years
2
School:
5-9 years
3
SSC/ HSC
4
Some college but not graduat
e 5
Graduate/ Post
graduate general
6
Graduate / Post graduate professi
onal 7
1 2 3 4 5 6 7 1 Unskilled worker X X E1 D D D D 2 Skilled worker X E1 D C C B2 B2 3 Petty trader X D D C C B2 B2 4 Shop Owner D D C B2 B1 A2 A2
Business/ Industrialist No. of employees
5 None D C B2 B1 A2 A2 A1 6 1-9 C B2 B2 B1 A2 A1 A1 7 10+ B1 B1 A2 A2 A1 A1 A1 8 Self employed professional D D D B2 B1 A2 A1 9 Clerical/Salesman D D D C B2 B1 B1 A Supervisory level D D C C B2 B1 A2 B Officer/ Executive Junior C C C B2 B1 A2 A2 C Officer/ Executive – Middle/
Senior B1 B1 B1 B1 A2 A1 A1
Coverage of the study : - Urban – Socio Economic Class
A,B,C in all 4 zones - Urban – Socio Economic Class
D and E in South Zone only
9
Methodology: Socio Economic Class Grid - Rural
Rural SEC Grid:
Q2c (Type of House) Q2a (Education) 1 2 3
EDUCATION
Pucca Semi-Pucca Kuchha Illiterate 1 X X X
Literate but with no formal education 2 R3 X X
Up to 4th standard 3 R3 R3 X
6th to 9th standard 4 R3 R3 X
S.S.C./H.S.C 5 R2 R3 R3
Some College but not graduate 6 R1 R2 R3
Graduate/Post-Graduate(General) 7 R1 R2 R3
Graduate/Post- Graduate(Professional) 8 R1 R2 R3
Coverage of the study : - The Socio Economic classes R1
and R2 were covered in rural areas.
10
Methodology: Sample Sizes • Urban sample size for the study was
6000, out of which we have achieved 5993. These respondents are aged 15 years and above, covering 24 cities across the 4 zones were surveyed and their consumption practices were studied.
• The study represents all town classes in
urban India • In rural India, 1000 respondents
belonging to socio economic classes R1 and R2 in the 4 southern states of Andhra Pradesh, Tamil Nadu, Karnataka and Kerala were covered
• Research methodology: Random, door-
to-door methodology was followed. Household units contacted through following Right Hand Rule (RHR) and eligible individuals from each household were selected through Kisch chart.
Andhra Pradesh 20 250 Tamil Nadu 20 250 Karnataka 20 250 Kerala 20 250
Total 100 1000
11
PPAARRTT II
12
All India Consumption - Urban
Penetration
92
68
27
99
Tea Any Coffee Instant C offee Filter coffee
Penetration – past 12 months
% R
espo
nden
ts
• Penetration of a beverage is defined
as the proportion of people consuming
the beverage in the last 12 months.
• Tea has a universal penetration in
Urban India (99%). Coffee penetration
comes second at 92%. This means
that more than 90% of the population
surveyed have consumed coffee at
least once in the past 12 months.
• Instant coffee is more popular (68%)
than filter coffee (27%) Base : All respondents (5993)
13
All India Consumption - Urban
Yesterday Consumption: Coffee and tea
31
23
8
89
Tea Coffee Instant Coffee Filter coffee
Yesterday consumption
% R
espo
nden
ts
� Among those who consumed the beverage
in the past 12 months, 89% consumed tea
yesterday.
� Coffee consumption is comparatively lower
with 31% of drinkers consuming coffee
yesterday.
� In terms of yesterday consumption, instant
coffee fares better (23%) as compared to
filter coffee (8%).
Base : All those consumed beverages in P12M
14
All India Consumption - Urban Yesterday Consumption: All beverages
2
3
3
5
7
7
28
31
89
Packaged fruit juices
Lassi (sweet / sour)
Milk foods
Natural beverages
Butter milk
CSD
Plain milk
Any Coffee
Tea
26
74
Filter Coffee
Instant Coffee
Yesterday Consumption : All beverages
% R
espo
nden
ts
• When compared to the consumption of other
beverages yesterday, coffee secures second
position, after tea.
• Among the other beverages consumed (apart
from coffee and tea) plain milk, carbonated
soft drinks (CSD), buttermilk, natural
beverages and mineral water are
comparatively more popular.
Note : • CSDs : carbonated soft drinks such as Coke, Pepsi, ThumsUp etc. • Natural beverages : drinks made using natural products (such as fruit juices without preservatives, eg. lemon juice) • Packaged fruit drinks : flavoured fruit drinks such as Real, Tropicana, Maaza, Frooti, etc. • Flavoured milk : branded and packaged flavoured milk such as Avin, Namdhari, Mother diary, Energy, Amul Kool etc.
Base : Those consuming the beverage in the past 12 months
15
All India Consumption – Urban Daily habits (Yesterday / Past 12 months): All beve rages
0.03
0.04
0.05
0.06
0.08
0.10
0.30
0.34
0.90
Packaged fruit juices
Lassi (sweet / sour)
Milk foods
Natural beverages
CSD
Butter milk
Plain milk
Any Coffee
Tea
Yesterday / P12M: All beverages
• When we calculate the ratio of those who
consumed the beverage yesterday to those
who have consumed it in the past 12
months, we will get an index of beverage
drinking habit.
• Tea is by far most habitual compared to all
other beverages.
• Coffee & Plain milk comes next in that order,
with an index of 0.34 and 0.30 respectively.
• Both Instant coffee and filter coffee fares
similarly in terms of habits, at 0.34 and 0.30
respectively.
0.3
0.34
FilterCoffee
InstantCoffee
Base : Those who consumed the beverage in the past 12 months
16
All India Consumption - Urban Daily Habits (Yesterday / Past 12 Months) : Tea and Coffee
0.90
0.34 0.340.29
Tea Any Coffee Instant Coffee Filter Coffee
• Daily habit is a calculated ratio of yesterday
consumption to the past 12 month’s consumption.
This is taken as an index of beverage drinking habit
• Tea is far more a habitual beverage with a ratio of
0.90 compared to 0.34 for Coffee
• Among the coffee drinkers, instant coffee (0.0.34)
fares similar to filter coffee (0.29), in terms of habit.
Yesterday / P12M: Tea and Coffee
Base : Those who consumed the beverage in the past 12 months
17
All India Consumption – Urban
First Cup Index
Yesterday
82331
89
Tea Any Coffee Instan t Coffee Fi lter C off ee
0.88
0.430.35
0.61
Tea Any Coffee Instant Coffee Filter coffee
First cup/Yesterday index
Yesterday consumption and First drink of the day
Base: Yesterday’s consumers
% R
espo
nden
ts
• First cup index is the proportion of consumers consuming a
given beverage as their first cup, yesterday. This proportion is
to the base of all those consuming the beverage yesterday.
• The first cup index is higher for tea (0.88) than coffee (0.43).
Among coffee drinkers, this index is the highest for filter coffee
at 0.61.
• This essentially means that even though daily habits of instant
coffee is similar to filter coffee, filter coffee leads in terms of first
cup habit.
First Cu p
5813
78
Tea Any Coffee Ins tan t Co ffee F il ter Coffee
Base: Yesterday’s consumers
Base: Yesterday’s consumers
% R
espo
nden
ts
18
All India Consumption - Urban
Share of throat (*) : Yesterday’s Volumes
* Note : • Share of Throat of a beverage is the ratio of that beverage consumed to the volume of all beverages consumed yesterday
4
54
9
3
41
3
17
22
Butter m ilk (C haas)
Lassi (sweet / sour)
M ilk foods
P lain m ilk
Natural bev erages
Packaged f ru itjuices
CSD
F ilte r co ffee
Instan t Coffee
Tea
� Tea has the maximum share of throat of 54%; plain
milk comes second at 17%.
� Coffee has the third largest share of throat among
all beverages, at 13% behind plain milk (This is
inclusive of both instant and filter coffee)
Base : Yesterday’s volumes
% R
espo
nden
ts
Share of Throat - Overall
19
All India Consumption - Urban
Share of throat : - by place of consumption
82
18
Home
Away fromhome
3 3
6760
8
8
3
3
2
7
1
33
2
11 11
1 11
1
In hom e O ut o f hom e
Bu tter m ilk (Chaas)
Lassi (sweet / sour)
M ilk foods
P lain m ilk
Natural bev erages
Packaged fruitjuices CSD
F ilter co ffee
Instant Cof fee
Tea
Base : Yesterdays Volumes
� At the national level, in home consumption
accounts for nearly 82% of yesterday’s total
volumes, across all beverages.
� Out of all the beverages consumed at home or
out of home, tea is the main beverage that is
consumed (67% consumed at home and 60%
consumed out of home).
� It is interesting to note that volume of coffee
consumed out of home is same as coffee
consumed at home (11%).
� Among beverages consumed out of home,
CSDs and plain milk account for a significant
share of throat.
Place of consumption-Any beverage
Share of Throat – By Place of consumption
Base : Yesterdays Volumes
% R
espo
nden
ts
20
All India Consumption - Urban
Average Number of cups consumed per person per day: All respondents (Among drinkers and non drinkers)
2 .1 1
0 .3 9 0 .2 80 .1 1
T e a An y C o f f e e In s t a n tC o f f e e
F i l t e rC o f f e e
Average no. of cups
• Average no. of cups of tea consumed a day
(2.11) is higher than coffee (0.39)
• Daily consumption of instant coffee (0.28) is
comparatively higher than filter coffee (0.11)
Average no. of cups
• Consumption of coffee among drinkers is about
1.99 cups per day. This is second behind tea at
2.38 cups per day.
• This shows that among drinkers, coffee is
consumed as much as tea. If coffee volumes
have to be compared favorably to that of tea at
an aggregate level, the base of coffee
consumers need to be increased.
• Among drinkers, filter coffee consumption is
coffee consumption is higher than that of instant
coffee.
Average number of cups : All respondents
2.38
1.99
1 .6 4 1.75
Tea Any Cof fee Ins tantCof fee
Filte r Coffe e
Base : All respondents (5993)
Base: Among those consuming the beverage yesterday
Number of cups consumed per person per day: Among d rinkers
21
All India Consumption - Urban Heaviness of consumption:
Note :
1. Non-drinker - Not consumed coffee in the past 12 months
2. Occasional drinker - Consumed coffee in last 12 months but not yesterday
3. Light drinker - Consumed 1-2 cups yesterday
4. Medium drinker - Consumed 3 cups yesterday
5. Heavy drinker - Consumed 4 or more cups yesterday
59%
5%
4%
7%
25%
Non Drinkers Occasional Drinkers Light Drinkers
Medium Drinkers Heavy Drinkers
• Consumers are classified based on the number of
cups of coffee they drank.
• Only 7% of the population are non-drinkers of the
coffee.
• Occasional drinkers contribute to the largest
proportion – 59%.
• This essentially means that more than half of the
population have been introduced to coffee in some
way in the past 12 months, even though they did not
consume it yesterday. i.e. people have started
experimenting with this beverage, which should be
advantageously used to increase in consumption.
• Converting them to regular coffee drinkers is an
opportunity for growth.
• About 25% of the population are Light drinkers.
• Split of occasional drinkers by zones shows that the
potential is more in the east, north and west zones.
Base : All respondents (5993) Occasional drinkers – by zones
Heaviness of consumption
89
45
8169
North East West South
22
All India Consumption - Urban Frequency of Consumption in Summer and Winter: Week ly
93
53 52
38
Tea Any Coffee Instant Coffee Filter Coffee
92
60 58
39
Tea Any Coffee Instant Coffee Filter Coffee
Base: Consumed in P12M
% R
espo
nden
ts
Summer : Weekly
Winter : Weekly
% R
espo
nden
ts
• Tea continues to dominate, with around 93% of
those who consumed tea in the past 12 months,
consumed it at least once a week in summer.
• While tea consumption remains unchanged
irrespective of season, Coffee consumption
increases slightly from summer to winter by 7%.
• Consumption of Instant coffee is the highest in winter
(58%)
• Winter consumption of Instant coffee is mainly
attributed to the south and the north zones (south –
43%; north – 27%)
• However, consumption patterns of coffee by zones
do not have a seasonal effect.
Base: Consumed in P12M
Base: Any coffee consumers
Instant coffee split by zones: Winter
South43%
West18%
North27%
East12%
23
All India Consumption - Urban Frequency of Consumption in Summer and Winter : Dai ly
35 3325
87
Tea Any Coffee Instant Coffee Filter Coffee
36 3527
90
Tea Any Coffee Instant Coffee Filter Coffee
Base: Consumed in P12M
• Daily consumption of either tea or coffee remains
almost unchanged from summer to winter.
% R
espo
nden
ts
Summer : Daily
Winter : Daily
% R
espo
nden
ts
Base: Consumed in P12M
24
All India Consumption - Urban Number of cups of Any coffee/day : in Summer and in Winter
62
25
84
45
28
116
2 cups 3 cups 4 cups 5 or more than 5cups
Average no. of cups: Summer : 2.39 Winter : 2.75
Base: All those consuming 2 or more cups of filter/ instant/cold coffee in summer/winter (1086/1286)
• Along with the increase in the proportion of
coffee drinkers, the average number of cups
consumed also increases in winter.
• The average number of cups of coffee
consumed per day increases from 2.39 cups in
summer to 2.75 cups in winter.
• It can be seen that heavy drinkers consume
more coffee during winter, as compared to
summer.
Number of cups in summer and winter
S W
S W S W
S W
Note: The average also include those who consumed only 1 cup per day
25
All India Consumption - Urban Places of consumption: Any coffee Yesterday
82
18
Home
Away fromhome
Base: Yesterday’s consumers (835)
% R
espo
nden
ts
22
17
1
51
6
1
Restaurant/Hotels
Canteen/ mess
Coffee Cafes
Hot tea shop/stalls
Vendingmachines
Base : Those consuming outside home (200)
% R
espo
nden
ts
• About 82% of those who consumed coffee yesterday
consumed at home.
• Only 18% consumed it out-of-home.
• Consumption of coffee out-of-home is mainly at hot
teashops (51%) and restaurants (22%).
• Consumption from vending machine has shown a
marked improvement over the previous years.
Where consumed coffee?
Where consumed away from home?
26
All India Findings - Urban (Among Housewives) Types of coffee consumed at home
19
78
3
Only Filter Coffee Only Instant Coffee Both
Base: All housewives (1861)
% R
espo
nden
ts
• From the sample, the respondents who were
housewives were asked about their household
purchase of coffee.
• Among coffee consumed households, about 78% of
buy instant coffee and 19% buy filter coffee and 3%
buy both.
Types of coffee consumed in household
27
Pure Coffee Beans Volume: Large and Small Towns (Ur ban India) and Rural India
ALL INDIA COFFEE BEAN VOLUMES 2008
Total Urban India 69000
Total Rural (South) India 25400
All India 94400
In tonnes
* Refer to Annexe for methodology of volume estimation.
• The total pure coffee volumes in India is estimated at
94400 tonnes
• Urban consumption dominates with about 73% of total
volumes and the remaining 27% accounts for rural
consumption (South India)
28
Pure Coffee Beans Volumes by Instant and Filter
URBAN
Instant Filter TOTAL Instant Filter NORTH 5850 1150 6990 84% 16% EAST 4840 140 4980 97% 3% WEST 7580 720 8250 92% 8%
SOUTH 23830 24890 48780 49% 51%
TOTAL 42100 26900 69000 61% 39%
RURAL SOUTH Instant Filter Instant Filter
11700 13700 25400 46% 54%
TOTAL Instant Filter Instant Filter
53800 40600 94400 57% 43%
• In the South zone, Tamil Nadu is the largest coffee consuming state, accounting for 36% of the coffee consumption.
• Karnataka follows with 31%, followed by Andhra Pradesh at 18%
• Kerala is the lowest at 15%.
• In the north, east and west zones, consumption of
instant coffee is more predominant than filter coffee.
However, in the south zone, consumption of filter
coffee is higher than instant coffee.
• About 74,000 MT is consumed in South India which is
78% share of all India consumption of 94,400 MT
• In south, Tamil Nadu is the largest coffee consuming
state with an estimated volume of about 26,705 MT
(36%) closely followed by Karnataka with 22,996 MT
(31%), Andhra Pradesh & Kerala account for about
13,352 MT (18%) and 11,127 MT (15%).
TN36%
Karnataka31%
AP18%
Kerala15%
State wise volume share in the South (Urban + Rural )
26,705 MT
11,127 MT
13,352 MT
22,996 MT
In tonnes
29
CCOOFFFFEEEE CCOONNSSUUMMPPTTIIOONN –– 22000088
-- BBYY ZZOONNEE
30
Consumption by Zones Penetration
99 100 99 99 9892 94 95
8594
6875
44
73
27
310 13
50
91
All North East West South
Tea Any Coffee Instant Coffee Filter Coffee
% R
espo
nden
ts
Base: All respondents (5993)
Penetration
� Penetration of any coffee is 92% ,
compares favorably with rea.
� Penetration of instant coffee is
68% for all urban India while it is
29% for filter coffee.
� Among zones, penetration is
comparatively lower in West zone
than others.
� Instant coffee penetration is the
highest at East, while filter coffee
penetration is the highest at
South.
� Filter coffee penetration is lower in
the North (3%), followed by East
(10%) and West (13%).
31
Consumption by Zones Yesterday Consumption: Coffee and Tea
8995 95 95
82
31
169
16
51
2316
814
34
80 1 1
17
All North East West South
Tea Any Co ffee Instant Coffee Fi lter coffee
Base : Those consuming the beverage in the past 12 months
% R
espo
nden
ts
� South dominates in yesterday’s
consumption of coffee with 51% of
the drinkers drinking it yesterday.
� Both North and West comes second
on yesterday’s consumption of coffee
at 116%.
� Yesterday consumption of coffee is
the lowest in East zone.
Yesterday’s consumption : Tea and Coffee
32
Consumption by Zones
Yesterday Consumption: All Beverages
0 20 40 60 80 100
All
North
East
West
South
Tea
Coffee
Plain milk
CSD
Butter milk (Chaas)
Natural beverages
Milk foods
Lassi (sweet / sour)
Packaged fruit juices
� At an All India level, apart from
Coffee and Tea, plain milk has the
highest yesterday consumption,
follwed by CSD.
� In North, plain milk is the second
most prominent beverage after tea.
Coffee comes third in position.
� While buttermilk is a more popular
drink in south, natural beverages
are popular in east.
Yesterdays Consumption: All beverages
Note : • CSDs : carbonated soft drinks such as Coke, Pepsi, Thums Up etc. • Natural beverages : drinks made using natural products (such as fruit juices without preservatives, eg. lemon juice) • Packaged fruit drinks : flavoured fruit drinks such as Real, Tropicana, Maaza, Frooti, etc. • Flavoured milk : branded and packaged flavoured milk such as Avin, Namdhari, Mother diary, Energy, Amul Kool etc.
33
Consumption by Zones
Daily habits (Yesterday / Consumed past 12 months): Tea and coffee
0.900.95 0.95 0.96
0.83
0.34
0.54
0.29
0.180.10
0.33
0.18
0.09
0.17
0.34
0.47
0.32
0.080.21
0.12
All North East West South
Tea Any Coffee Instant Coffee Filter Coffee
� Predictably, both filter coffee and
instant coffee consumption has
the highest daily habit in the
traditional coffee market of the
South.
� Though in a smaller proportion,
instant coffee is a habit in North
and West.
Daily habits: Tea and Coffee
Base : Those consuming the beverage in the past 12 months
34
Consumption by Zones Daily habits (Yesterday / Consumed in past 12 month s): All beverages
All
North
East
West
South
Tea
Any Coffee
Plain milk
Butter milk (Chaas)
CSD
Natural beverages
Milk foods
Lassi (sweet / sour)
Packaged fruit juices
Flavored Milk
� When consumption of all
beverages other than tea and
coffee are considered, buttermilk
is most popular in south.
� Plain milk, packaged fruit juices
and lassi seem to be the favorites
in the north.
� Apart from tea and coffee,
packaged fruit juices and plain
milk are popular in the east.
Daily Habits: All beverages
Base : Those consuming the beverage in the past 12 months
%
35
Consumption by Zones
First Cup
� Tea is the dominant first cup
beverage across the country, with
north and west leading at 91%.
� Even in the traditional market of
the south zone, only about 26% of
drinkers had consumed coffee as
their first cup.
� In the other zones, scope of
coffee as a first cup is inadequate
at present.
78
9184
91
64
13
2 1 3
26
8
0 3
15
50 1
10
0 0
All North East West South
Tea Any Coffee Instant Coffee Filter Coffee
% R
espo
nden
ts
First Cup
Base : Yesterday’s consumers
36
Consumption by Zones
First Cup Habits (Yesterday’s Consumers)
0.880.95
0.890.96
0.78
0.42
0.13 0.11
0.20
0.51
Al l N orth East W es t S outh
Tea An y C offe e
First cup/Yesterday index
� Across zones, first cup habit for tea is very
strong. This is true even in south, where coffee
has a stronghold.
� The South zone has the biggest habit of ‘any
coffee’ with an index of 0.51 which is comparable
to tea. South is followed by West with an index of
0.20.
Base: Yesterday’s consumers (1164)
37
Consumption by Zones
Share of throat
41
8
53
70
63
45
54
14
4
3
6
9
7
3
44
5
6
4
22
2
1
1
22
9
4
3
91412
32
17
2
4382
52
3
All North East West South
Butter milk
Lassi
Milk foods
Plain milk
Naturalbeverages
Packagedfruit juices
CSD
Filter coffee
InstantCoffee
Tea
Base : Yesterday’s volumes
% R
espo
nden
ts
• Across zones, tea dominates the share of
throat among people, with 70% in the
West and 63% in the East. Tea is
undoubtedly the most consumed
beverage.
• At an overall level, coffee has a share of
throat of 12% (instant +filter coffee).
• Coffee has the best share of throat in the
traditional coffee market of the south at
21%.
• In south, instant coffee secures second
place in yesterday’s share of throat.
• Filter coffee has a share of throat only in
the south.
• Among the other beverages, plain milk
dominates in the north and west, while
buttermilk in the south and lassi in the
north.
Share of Throat
38
Consumption by Zones
Average Number of cups consumed per person per day: All respondents
(Among drinkers and non drinkers)
� Daily consumption of coffee among the
entire population (both drinkers and non-
drinkers) is less than a cup across the
zones.
� The highest per capita consumption of
coffee is in the south at 0.71 cups.
� The highest number of cups of filter
coffee and instant coffee consumption is
seen in the South.
� East has the lowest daily consumption of
coffee.
2.12.3
2.9
2.2
1.8
0.39
0.09 0.12
0.71
0.280.08 0.11
0.48
0.11 0.010.230.13 0.13
0.010.00
Total North East West South
Tea Any Coffee Instant Coffee F ilter Coffee
Ave
rage
no.
of c
ups
Average number of cups : All respondents
Base : All respondents
39
Consumption by Zones
Average Number of cups consumed per person per day: Among drinkers
Base: All those who drank the beverage yesterday
2.3
8
2.4
1
3.1
3
2.3
4
2.2
3
1.1
4
1.22
2.3
4
1.6
4
1.0
9
1.8
8
1.75
1.4
4
1.7
7
1.0
0
1.9
9
1.10
1.22 1
.29 1
.59
1.0
0
Total North E ast W est S outh
Tea Any Coffee Instant Coffee Filter Coffee
• Daily Consumption of coffee among drinkers
(an average of 1.99 cups) compares quite well
with that of tea (average of 2.38 cups)
• Among filter coffee drinkers, expectedly, the
largest number of cups of filter coffee
consumed is in the South. West comes second.
Ave
rage
no.
of c
ups
Average number of cups : Among Drinkers
40
Consumption by Zones
Heaviness of consumption:
7 6 5
17
5
59
81
89
69
45
25
12
6
13
34
4
0 0 0
75
1
9
0.3
0.4
Total North East West South
Non Drinkers Occasional Drinkers Light Drinkers
Medium Drinkers Heavy Drinkers
• West has the highest proportion of non-
drinkers (17%).
• The traditional coffee market of the south
has the biggest proportion of light drinkers
(34%).
• There are very high proportion of occasional
consumers in east (89%) followed by north
(81%) and west (69%).
• Consumption is strongest in South, with 50%
consumers, 45% occasional drinkers and 5%
non-drinkers.
• South also has the largest proportion of
Heavy drinkers (9%)
Base : All respondents(5993)
% R
espo
nden
ts
Heaviness of consumption
41
Consumption by Zones
Frequency of Consumption in Summer and Winter: Week ly
� At an overall level, 53% of the people who had
consumed coffee in the past 12 months had also
consumed it at least once a week in summer. In
winter, this increases to 60%.
� In south zone, about 62% consumed coffee at least
once a week in summer. This remains almost the
same irrespective of the seasons.
� In all other zones, consumption of coffee increases
from summer to winter.
� Weekly consumption of coffee increases
considerably from summer to winter, especially in
the north and east zones.
� Irrespective of the seasons, the largest weekly
consumption of filter coffee is in the West.
� In the non traditional coffee markets of North, East
and West, filter coffee consumption is high even in
summer as this is more of a habit (Caution:
However, it should be noted that the base of
consumers in these zones are smaller compared to
the South)
Base : Consumed past 12 months
93 97 96 9788
5343 44
5062
5247 44
59 55
3829
23
36 40
17
45
159
3
All North East West South
Tea Any Coffee Instant Coffee Filter Coffee Cold Coffee
% R
espo
nden
ts
9297 96 97
86
60 59 60 59 6058 62 6066
52
39 44
29
4438
8 611 14
4
All North East West South
Tea Any Coffee Instant Coffee Filter Coffee Cold Coffee
% R
espo
nden
ts
Summer : Weekly
Winter : Weekly
Base : Consumed past 12 months
42
Consumption by Zones
Frequency of Consumption in Summer and Winter: Dail y
8795 91 94
79
3525
34
12
50
33 30 33
15
40
25
1021
4
30
All North East West South
Tea Any Coffee Instant Coffee Filter Coffee
Base : Consumed past 12 months
� In summer, 90% of individuals who consumed the
beverage in the past 12 months also consume it daily,
while only 32% consumed coffee daily in summer.
� However, coffee fares better in the traditional market
of the south, with 53% consuming the beverage daily
in summer.
� Among the non-traditional coffee markets, the East
has the highest daily coffee consumption of 34%,
followed by the North (26%).
� All zones, with the exception of the West, lack
seasonal effect on daily consumption of coffee.
� Apart from the south, the east also has a good
proportion of consumers (21%) who consume filter
coffee on a daily basis.
9096 93 96
84
3626
34
15
53
35 31 33
20
42
27
1021
5
30
All North East West South
Tea Any Coffee Instant Coffee Filter Coffee
Summer : Daily
% R
espo
nden
ts
% R
espo
nden
ts
Winter : Daily
43
Consumption by Zones
Number of cups of coffee/day in summer and winter
6267
56
75
62
2518
23
4
26
80 0 0
81 0 0 0
9
All North East West South
2 cups 3 cups 4 cups 5 cups or more
Number of cups : In summer and winter
• An average of 2.39 cups of coffee in summer and
2.75 cups of coffee in winter are consumed across
zones.
• Among those consuming 2 or more cups of coffee
in a day, 62% consume just 2 cups a day in
summer.
• Among those who consume 2 or more cups of
coffee in winter, 46% consume 2 cups a day.
• Across the zones, the proportion of consumers
drinking more than 2 cups of coffee increases,
from summer to winter. However, the East shows
a reverse pattern.
* Average no. of cups
% R
espo
nden
ts
% R
espo
nden
ts
Summer
Base : Those consuming 2 or more cups of filter/instant/cold coffee in winter
Base : Those consuming 2 or more cups of filter/ins tant/cold coffee in summer
Winter
46
66 6977
38
28 24
6 8
32
112 0 0
156
0 2 07
All North East West South
2 cups 3 cups 4 cups 5 cups or more
2.39* 2.03 2.02 1.83 2.43
2.75* 2.3 2.13 1.98 2.91
44
Consumption by Zones
Places of consumption: Any coffee Yesterday
Base: Yesterday’s consumers (1164)
• About 83% of yesterday’s consumers
consumed coffee yesterday at home.
Only 17% consumed coffee out-of-
home.
• However, the consumption out-of-home
is high in theE (33%) and West zones
(24%). Out of home consumption is the
lowest in the South (16%)
% R
espo
nden
ts
Coffee - Where consumed ?
82 80
67
7684
18 20
33
24
16
All North East West South
At home Away from home
45
Consumption by Zones
Places of consumption: Any coffee yesterday
22
17
3
74
1417
72
14
9
14
1
10
0 0 0
51
0
8
17
66
6
0
76
0 23
0 0 0
5
All North East West South
Restaurant/ Hotels Canteen/ mess Coffee Cafes
Hot tea shop/ stalls Vending machines Someone else’s house
% R
espo
nden
ts
• Nearly half of those who consume coffee away
from home do so at hot tea shop / stalls.
• Consumers in the north prefer canteen / mess
and cafés.
• Vending machines are very popular in the east.
• Consumers in the west frequent restaurants
when they drink coffee out of home.
• In the south, out of home consumption happens
in hot tea shops / stalls followed by restaurants
and canteen / mess.
Base : Those consuming outside home (207)
46
Consumption by Zones
Types of coffee consumed at home
19
3 410
33
78
94 9688
63
3 3 1 2 4
All North East West South
Only Filter coffee Only Instant Coffee Both
% R
espo
nden
ts
Base: All housewives (1861)
• Housewives, who were interviewed as a part of
the sample, were asked about the type and
brand of coffee purchased for the household.
• Instant coffee dominates household purchase
especially in North & East (96% and 94%
respectively).
• Except the South, household purchase of filter
coffee is almost negligible in all zones.
• Proportion of those who buy both filter coffee
and instant coffee at home is negligible across
all zones.
Types of coffee consumed at home
47
CCOOFFFFEEEE CCOONNSSUUMMPPTTIIOONN –– 22000088
-- BBYY SSEECC
48
Consumption by Socio Economic Classification (SEC)
Penetration
99 99 99 9992 93 92 91
68 7566 62
27 22 23 24
All SEC A SEC B SEC C
Tea Coffee Instant Coffee Filter coffee
% R
espo
nden
ts
Base: All respondents (5993)
9992
73
45
9
SEC D/E
• SEC A,B and C have been studied in all the
zones. SEC D/E is covered only in South..
• From SEC A to SEC C, there is a decreasing
trend in the penetration of coffee.
• Across all the SECs, Instant coffee penetration
is higher than filter coffee.
Note :
• SEC D/E have been studied only in a strong
coffee market, i.e. South zone, while SEC A-C
has been covered in all zones Thus in all charts
in this report, SEC D/E is reported separately
and is not comparable to the SEC A-C chart
* Note : Total here covers all SECs from A-E
% R
espo
nden
ts
Penetration
Penetration
Base: All respondents (5993)
Note : SEC A,B,C covered in North, East, West and South zones
SEC A-C covered in all zones
SEC D/E covered only in South
49
Consumption by SEC
Yesterday Consumption: Coffee and Tea -
89 89 90 89
31 30 26 2823 23 20 208 7 7 8
All SEC A SEC B SEC C
Tea Any Coffee Instant Coffee Filter coffee
• Yesterday consumption of any coffee is
comparatively higher among SEC A, then SEC
C and B.
• Instant coffee consumption is marginally higher
for SEC A, then SEC B and C.
• In the traditional coffee market of the south,
SEC D-E has 44% of the respondents
consuming any coffee yesterday.
• Even in the strong coffee market of south,
yesterday consumption of instant coffee
among SEC D/E is found to be more than that
of filter coffee.
% R
espo
nden
ts
% R
espo
nden
ts
Yesterday Consumption : Tea and Coffee
Yesterday Consumption : Tea and Coffee
Base : Those consuming the beverage in the past 12 months
Base : Those consuming the beverage in the past 12 months
SEC D/E covered only in South
SEC A-C covered in all zones
87
4433
12
SEC D/E
50
Consumption by SEC
Consumed Yesterday: All beverages • Yesterday consumption of any coffee is
marginally higher for SEC A.
• Filter coffee consumption is comparatively
lower than instant coffee consumption,
across all SECs.
% Respondents Yesterday Consumption : All beverages
Base : Those consuming the beverage in the past 12 months
Average Number of cups consumed per person per day: All respondents (Among drinkers and non drinkers)
Base : All respondents (5858)
2.11
2.04 2.
21
2.17
0.39
0.40
0.31 0.36
0.28
0.28
0.23
0.26
0.11
0.12
0.08
0.10
Total SEC A SEC B SEC C
Tea Any coffee Instant Coffee Filter Coffee
• Among all individuals (drinkers as well as
non-drinkers) surveyed, the average
number of cups of coffee consumed shows
a decline from SEC A (0.40) to SEC B
(0.31).
• However, SEC C compares well with SEC
A (0.36).
• The average number of cups is higher for
instant coffee than filter coffee across
SECs.
1.98
0.53 0.400.13
SEC D/E
Ave
rage
no.
of c
ups
Average no. of cups
Average number of cups : All respondents
Average number of cups : All respondents
Base : All respondents (5858)
SEC D/E covered only in South
SEC A-C covered in all zones
57
Consumption by SEC
Number of cups consumed per person per day: Among d rinkers
1.99
1.86
1.85 2.
04
1.64
1.42 1.
62 1.78
1.75 1.
99
1.75
1.78
2.38
2.30
2.432.47
Total SEC A SEC B SEC C
Tea Any coffee Instant Coffee Filter Coffee
Base : Yesterday’s consumers
• Daily number of cups of coffee
consumed among SEC A (1.86) and B
(1.85) are similar. SEC C consumes
comparatively higher number of cups
daily (2.04).
• There is an increase in number of cups
of instant coffee consumed from SEC
A to C (1.42 to 1.78 cups).
• However, number of cups of filter
coffee declines from SEC A to SEC B.
• Among drinkers in SEC D/E in the
south, the average number of cups of
coffee consumed is highest at 2.25
cups.
2.2
7
2.25
1.73
1.53
SEC D/E
% R
espo
nden
ts
% R
espo
nden
ts
Average number of cups : Among drinkers
Average number of cups : Among drinkers
Base : Yesterday’s consumers
SEC A-C covered in all zones
58
Consumption by SEC
Heaviness of consumption: Number of cups of coffee consumed yesterday
• From SEC A to SEC C, the proportion
of non-drinkers of coffee ranges from
6% to 8%.
• The proportion of occasional drinkers
is the highest among SEC A and B
(62-63%).
• Medium to heavy drinkers are
generally lesser in proportions
(about 4-5%) who are distributed
across SEC A to C.
• SEC D/E has the highest proportion of
light drinkers (32%). The proportion of
the population are occasional drinkers
are also high (49%).
7 6 7 8
5963 62
58
2523 23 24
4 3 4 45 5 4 6
Total SEC A SEC B SEC C
Non Drinkers Occasional Drinkers Light Drinkers Medium Drinkers Heavy Drinkers
% R
espo
nden
ts
Heaviness of consumption
Heaviness of consumption
SEC A-C covered in all zones
6
49
32
5 .8 7.1
SEC D /E
SEC D/E covered only in South
% R
espo
nden
ts
Base : All respondents
Base : All respondents
59
Consumption by SEC
Frequency of Consumption in summer: Weekly
91
53 4831
SEC D/E
Tea Coffee Instant Coffee Filter Coffee
93 93 94 93
53 55 53 5152 57 52 5138 42 40 42
Total SEC A SEC B SEC C
Tea Coffee Instant Coffee Filter Coffee
• Weekly consumption of instant coffee in
summer declines across SEC A to SEC
C.
• Weekly consumption of instant coffee in
summer is higher than that of filter coffee,
across SEC A to SEC C, suggesting that
it is a habitual beverage.
• Among SEC D/E, weekly consumption of
filter coffee in summer is marginally lower
that instant coffee.
% R
espo
nden
ts
Base : Consumed in P12M
% R
espo
nden
ts
Summer : Weekly
Summer : Weekly
Base : Consumed in P12M
SEC A-C covered in all zones
SEC D/E covered only in South
60
Consumption by SEC
Frequency of Consumption in winter: Weekly
92 91 94 93
6065 62 5958
6659 58
3945
40 42
Total SEC A SEC B SEC C
Tea Any Coffee Instant Coffee Filter Coffee
Base : Consumed in P12M
• Weekly consumption of tea remains the
same across SECs.
• Weekly consumption of any coffee in
winter is the highest among SEC A, while
it declines among SEC B and C.
• Weekly consumption of any coffee
decreases from SEC A to C.
• It can be seen that the weekly
consumption of coffee increases from
summer to winter.
• Increase in winter consumption of instant
coffee is much higher compared to
increase in filter coffee consumption
• In SEC D/E, there is hardly any difference
in weekly consumption from summer to
winter. This indicates the absence of
seasonal effects in coffee consumption in
the south zone.
% R
espo
nden
ts
89
5246
31
SEC D/E
% R
espo
nden
ts
Winter: Weekly
Winter: Weekly
Base : Consumed in P12M
SEC A-C covered in all zones
SEC D/E covered only in South
61
Consumption by SEC
Frequency of Consumption in Summer: Daily • The daily consumption of coffee does not show
any appreciable difference among SECs.
• Compared to the proportion of coffee drinkers who
drink coffee at least once a week, the proportion of
people who consume it daily decreases across
SECs.
• However, filter coffee consumption is slightly lower
among SEC B than SEC A and C.
• Across SEC A, B & C, daily consumption of instant
coffee in summer is higher than that of filter coffee.
• In SEC D/E, about 46% of individuals who
consumed coffee in the past 12 months consume it
on a daily basis in summer.
• Daily consumption of filter coffee is the lowest in
the south, among SEC D/E.
% R
espo
nden
ts
Base : Consumed in P12M
Summer : Daily
88
4640
23
SEC D/E
Summer : Daily
Base : Consumed in P12M
SEC A-C covered in all zones
SEC D/E covered only in South
90 90 92 90
36 35 34 3435 35 34 3227 30
2531
Total SEC A SEC B SEC C
Tea Coffee Instant Coffee Filter Coffee
62
Consumption by SEC
Frequency of Consumption in winter : Daily • Daily consumption of any coffee in winter
does not show any difference between
summer and winter across SECs.
• Daily consumption of instant coffee in winter
is higher than that of filter coffee in SECs A
and B, with the exception of SEC C.
• SEC D/E has a higher daily consumption of
instant coffee than filter coffee.
87 87 90 88
35 34 32 3133 33 31 3025 2923
30
Total SEC A SEC B SEC C
Tea Any Coffee Instant Coffee Filter Coffee%
Res
pond
ents
82
4437
21
SEC D/E
% R
espo
nden
ts
Base : Consumed in P12M
Winter : Daily
Base : Consumed in P12M
Winter : Daily SEC A-C covered in all zones
SEC D/E covered only in South
63
Consumption by SEC
Number of cups of coffee/day in summer
2.39 2.48 2.46 2.31
68
24
61
SEC D/E
62
50
6065
2528
25 24
814
104
1 0 1 1
Total SEC A SEC B SEC C
2 cups 3 cups 4 Cups More than 5 Cups
• Average number of cups of coffee
declines slightly from SEC A to SEC C.
• Both SEC A and C consume co
comparatively more number of cups in
summer than SEC C and D/E.
Average
Base: All those consuming 1 or more cups of filter/ instant/cold coffee in summer
Number of cups in summer
Average 2.38
Number of cups in summer
SEC A-C covered in all zones
SEC D/E covered only in South
Base: All those consuming 1 or more cups of filter/ instant/cold coffee in summer
% R
espo
nden
ts
% R
espo
nden
ts
64
Consumption by SEC
Number of cups of coffee/day in winter
2.75 2.85 2.79 2.63
Base: All those consuming 2 or more cups of filter/ instant/cold coffee in winter
Average
• The number of cups of coffee
consumed increases from summer
to winter, across SECs.
• A lesser proportion of respondents
consume 3 cups in SEC A/B as
compared to SEC C.
• Average number of cups of coffee
consumed in winter decreases from
SEC A - C.
• Consumption of 3 cups in winter is
the highest among SEC D/E.
Number of cups in winter
Number of cups in winter
Base: All those consuming 2 or more cups of filter/ instant/cold coffee in winter
SEC A-C covered in all zones
SEC D/E covered only in South
4642
48 50
2822 22
30
1115
1286 7 8
5
Total SEC A SEC B SEC C
2 cups 3 cups 4 Cups More than 5 Cups
4135
12
4
SEC D/E
Average 2.76
% R
espo
nden
ts
% R
espo
nden
ts
65
Consumption by SEC
Places of consumption: Any coffee Yesterday
82 79 7884
18 20 2014
Total SEC A SEC B SEC C
At Home Out of Home
% R
espo
nden
ts
Base: Yesterday’s consumers (2076)
• About 82% of individuals who
consumed coffee yesterday
consumed it at home
• Only about 18% of those who
consumed coffee yesterday
consumed it away from home.
• The incidence of coffee being
consumed out of home is lowest for
lower SECs (D/E and C).
• The out-of-home consumption of
coffee is found to be higher in SEC A
and B than SEC C and D/E.
85
15
SEC D/E
% R
espo
nden
ts
Where consumed coffee?
Where consumed coffee?
Base: Yesterday’s consumers (2076)
SEC A-C covered in all zones
66
Consumption by SEC
Places of consumption: Any coffee Yesterday
• Among those consuming coffee out of
home, hot tea shop / stalls are preferred
across SECs.
• Preference for hot tea stalls is the
highest among lower SECs.
• Vending machines is popular among
SEC A (11%) & SEC C (8%).
• Only about 1% of those who had coffee
yesterday, consumed it in coffee cafés.
This is driven by SEC B.
• Among SEC D/E in the south, majority of
coffee consumption out-of-home
happens in a hot tea shop / stall.
1924
20 2015
12
23
15
1 0 3 0
45
3431
50
511
28
Total SEC A SEC B SEC C Restaurant/ Hotels Canteen/ mess Coffee Cafes
Hot tea shop/ stalls Vending machines
Base: Those consuming coffee out of home (207)
% R
espo
nden
ts
26
3
11
60
0
SEC D/E
% R
espo
nden
ts
Where consumed away from home?
Where consumed away from home?
Base: Those consuming coffee out of home (200)
SEC A-C covered in all zones
SEC D/E covered only in South
67
Consumption by SEC
Types of coffee consumed at home
19 16 16 19
78 82 80 80
3 2 4 2
All SEC A SEC B SEC C
Only Filter coffee Only Instant Coffee Both
% R
espo
nden
ts
Base: All housewives consuming coffee at home (1861 )
• Across SEC A-C, household consumption of
instant coffee is higher than filter coffee.
• Purchase of both instant and filter coffee is
very small.
% R
espo
nden
ts
Types of coffee consumed in household
Types of coffee consumed in household
Base: All housewives consuming coffee at home (1861 )
SEC A-C covered in all zones
SEC D/E covered only in South
28
69
4
SEC D/E
Series2 Series1 Series3
68
CCOOFFFFEEEE CCOONNSSUUMMPPTTIIOONN –– 22000088
-- BBYY AAGGEE AANNDD GGEENNDDEERR
69
Consumption by Age and Gender Penetration - Gender
% R
espo
nden
ts
99
99
92
92
92
84
68
69
68
26
28
99
Total
Male
Female Filter coffee
Instant Coffee
Any Coffee
Tea
• Across genders consumption of any coffee in
the last 12 months is more or less the same.
• 99% of the respondents have consumed tea
in the past 12 months.
• Instant coffee consumption is more than that
of filter coffee consumption for both the
genders.
Base : All respondents (5993)
Penetration : Gender
70
Consumption by Age and Gender
Penetration - Age Group
99
99
99
100
99
92
92
94
93
93
88
68
68
69
70
69
64
27
26
29
26
28
28
99
Total
15 - 24 yrs
25 - 34 yrs
35 - 44 yrs
45 - 54 yrs
55 + yrs
Filter coffee
Instant Coffee
Any Coffee
Tea
Base : All respondents (5993)
• Coffee penetration is almost similar
across age groups. However, among
the age group 55+ years, coffee
consumption is marginally lower than
the other age groups.
• Instant coffee penetration is higher
when compared to filter coffee
penetration across age groups. % R
espo
nden
ts
Penetration : Age groups
71
Consumption by Age and Gender
Yesterday Consumption: Coffee and Tea
91
87
31
31
31
23
23
23
8
8
8
89
Total
Male
Female
Tea Any Coffee Instant Coffee Filter Coffee%
Res
pond
ents
• Yesterday consumption of tea is slightly
higher among males (91%).
• There are no differences between genders
in terms of yesterday’s consumption of
coffee.
Yesterday Consumption : Gender
Base : Those consuming the beverage in the past 12 months
72
Consumption by Age and Gender Yesterday Consumption: Coffee and Tea
85
92
90
92
87
31
31
30
33
29
32
23
23
22
26
21
23
8
8
8
8
8
9
89 Total
15 - 24 yrs
25 - 34 yrs
35 - 44 yrs
45 - 54 yrs
55 + yrs
Tea Any Coffee Instant Coffee Filter Coffee
• Across age groups, there is no major
difference in yesterday consumption of
any coffee.
• Yesterday consumption of instant
coffee is greater than that of filter
coffee across age groups.
• Yesterday consumption of instant
coffee is slightly more in the age
groups of 15-24 years and 35 -44
years.
• There is no change in the consumption
of filter coffee across age groups.
% R
espo
nden
ts
Yesterday Consumption : Age groups
Base: Those consuming the beverage in the past 12 m onths
73
Consumption by Age and Gender Yesterday Consumption: All beverages
% Respondents
• Gender or age does not influence any
coffee consumption yesterday.
• Coffee is the second most consumed
beverage at 31% across age and
gender.
• Plain milk scores third next to tea and
coffee in yesterday consumption. It is
slightly higher in the younger age
groups (15-24 years) and older age
group (55+ years).
• Apart from these beverages, CSDs
(most popular among 15-34 years),
buttermilk and natural beverages are
also favoured.
Yesterday Consumption – All beverages: Gender and Age groups
Base : Those consuming the beverage in the past 12 months
Note : • CSDs : carbonated soft drinks such as Coke, Pepsi, ThumsUp etc. • Natural beverages : drinks made using natural products (such as fruit juices without preservatives, eg. lemon juice) • Packaged fruit drinks : flavoured fruit drinks such as Real, Tropicana, Maaza, Frooti, etc. • Flavoured milk : branded and packaged flavoured milk such as Avin, Namdhari, Mother diary, Energy, Amul Kool etc.
Special coffee outlets: Local coffee outlets in the neighborhood, which buy beans & grind the beans in their shop & sell coffee powder
122
Findings: Among Housewives
Does the coffee you buy have chicory in it?
48
22
30
Yes No Don't know / Can't say
Base: All who consume filter coffee (498)
All fig. In %
• Almost one third of the housewives among those
surveyed are not aware whether chicory is included
in the coffee they buy.
• Predictably, the south has the maximum number of
housewives who are aware of the chicory present in
the coffee.
48
25
56
22
96
8
41
14
30
4
92
34 31
All North East West South
Yes No Don't know / Can't say
Base: All who consume filter coffee (498)
123
Findings: Among Housewives
How coffee - chicory mixture is prepared All fig. In %
97
3
Get a chicory mixfrom the shop itself
Buy chicoryseparately & add it asper requirement atmy home
Base: All those who consumed Filter Coffee with Chi cory (227)
• Majority of the respondents (97%) who consume
filter coffee with chicory, get a mix of coffee and
chicory from the shop itself
• A very small % of the people in south buy chicory
separately and then add it as per requirement with
the coffee
• This proportion comes solely from the south zone.
124
Findings: Among Housewives
How much chicory is mixed with 100 Gm of coffee All fig. In %
17
52
31
10-14 %
15-19%
20-25%
Base: All those who buy Chicory separately and mix it with coffee (7)
• In the south, where people buy chicory separately
and add it with coffee powder, about half of them
mix 15-19 gm chicory per every 100 gm of coffee.
• At an average, 19.6 gm of chicory s mixed with 100
gm of coffee.
125
Opportunities for growth This report tries to provide the opportunities of growth of coffee consumption in India. These suggestions are based on the coffee
consumption study in 2008.
From this research, the following areas have been identified as opportunities to grow consumption of the beverage.
- To increase depth:
1. Coffee consumption out of home
2. Coffee consumption in winter and summer
- To increase width:
1. Occasional consumers (especially in north, east and west zones)
2. Consumption of coffee through vending machines
3. Consumption of coffee in cafés
126
Potential opportunities for growth Increase in Coffee consumption – All Urban India
2005 2008
2005 2009
� Compared to the last survey (conducted in 2005), this survey
shows that coffee penetration has increased by a large
extent.
� About 92% of the population has been introduced to this
beverage, as compared to a 63% in 2005. This essentially
means that people have started experimenting with this
beverage in the past few years.
� It is also noted that the ‘yesterday consumption’ of coffee
has increased from 23% in 2005 to 31% in 2008.
Base: All those consumed coffee in P12M
Penetration – P12M
Base: Yesterday’s consumers
Yesterday consumption
63
92
23
3 1
127
Potential opportunities for growth Increase in Coffee consumption – Share of throat
5452
99
34
3435
2005 2008
Oth er b eve rag es
Filter co ffe e
In sta nt Co ffe e
Te a
� Share of throat of Coffee has marginally
decreased from 13% in 2005 to 12% in 2008.
� However, the coffee consumption yesterday has
increased. This can be attributed to the increase in
total volume of beverage consumed (increase in
yesterday consumption)
Share of throat
Base: Yesterday’s consumers
128
Potential opportunities for growth Heaviness of consumption � While comparing the heaviness of consumption of
coffee among those who consumed coffee yesterday, it
can be seen very clearly that the proportion of light,
medium and heavy drinkers have increased. On the
other hand, the proportion of non drinkers is reduced.
� Occasional drinkers’ proportion is significantly
increased. This segment has to be tapped to increase
the coffee consumption.
Base: Yesterday’s consumers
38%
40%
19%2% 1%
Non drinker Occasional drinker Light drinker Medium drinker Heavy drinker
Heaviness of consumption
7%
59%
25%
4% 5%
Non Drinkers Occasional Drinkers Light Drinkers Medium Drinkers Heavy Drinkers
2005
2008
129
Potential opportunities for growth Number of cups of Any coffee/day : in Summer and in Winter
62
25
84
45
28
116
2 cups 3 cups 4 cups 5 or morethan 5 cups
Summer
Winter
65
14
4 1
60
18
7 3
2 cups 3 cups 4 cups More than 5
cups
Summer
Winter
Base: All those consuming 2 or more cups of filter/ instant/cold coffee in summer/winter (793/872)
Number of cups in summer and winter
Base: All those consuming 2 or more cups of filter/ instant/cold coffee in summer/winter (1086/1286)
Average no. of cups: Summer : 2.39 Winter : 2.75
2005
2008
Average no. of cups: Summer : 2.22 Winter : 2.48
� The cuppage consumption of coffee has been
increased through 2008. The average number of cups
per day during summer increased from 2.22 cups in
2005 to 2.39 in 2008. Similarly, the average
consumption during winter has been increased from
2.48 cups a day in 2005 to 2.75 cups a day
� Coffee should be promoted more during winter
seasons to increase the consumption.
Note: The average also include those who consumed only 1 cup per day
130
Potential opportunities for growth Coffee consumption out of home – Coffee at cafés an d vending machines
6257
42
61
69
3339
42
35
27
5 4
16
4 4
A ll N orth E as t W es t S ou th
At hom e A t hom e and o uts ide h om e O nly outs id e hom e
� Among those who consumed coffee in the past
12 months, more than a third drink coffee out-of-
home, at a national level.
� The out-of-home consumption is gaining
popularity in the non-traditional coffee markets,
i.e. north, East and West Zone. All these zones
have higher potential for out of home
consumption ranging from 35% in the West to
42% in the East.
� The opportunity to increase coffee consumption
lies in out-of-home segments, especially through
vending machines and cafés. Base: All those consumed ocffee in P12M
Where do you consume coffee?
18
61
46
95
A ll Urban
Canteen / M es s
Hote ls / res taurants
Coffee s talls
V end ing m ac hines
P rem ium Cafes
Base: All consume coffee out of home in P12M
Where outside home?
131
Potential opportunities for growth Coffee consumption out of home – Coffee at cafés an d vending machines
1825
12
2015
61
5056
84
54
46 4439
22
65
93
31
6 75 3 1
22
3
A ll N orth E ast W est S ou th
C anteen / M ess H ote ls / res tauran ts C o ffee s ta lls
V end ing m ach ines P rem ium C afes
� Across zones, coffee is consumed mostly
through hotels / restaurants. In the traditional
coffee market of the South, coffee stalls are the
most popular.
� Vending machines are comparatively more
popular in East; cafés score high in the West.
Where do you consume coffee out of home?
Base: All consume coffee out of home
132
Potential opportunities for growth Increasing consumption among ‘occasional drinkers’
10049
49
82
63
99
92
14
53
25
86
37
Tea
Instant Coffee
Filter coffee
CSD
Packaged fruit juices
Natural beverages
Plain milk
Flavored Milk
Milk foods
Lassi (sweet / sour)
Butter milk (Chaas)
Glucose powders
Heaviness of consumption – All Urban India
Base: All respondents (5993) 59%
5%
4%
7%
25%
Non Drinkers Occasional Drinkers Light DrinkersMedium Drinkers Heavy Drinkers
Penetration (Past 12 months)
Base: All occasional consumers
• About 60% of the urban population are occasional
drinkers. There seems to be an increase in the
proportion of occasional drinkers over the past few
years.
• Among occasional drinkers, apart from tea and
coffee, natural beverages has the highest
penetration.
• To increase the penetration of coffee among these
occasional consumers, there is a greater scope to
market coffee as a ‘Natural beverage’
133
Potential opportunities for growth ‘Cccasional drinkers’ by city
Base: All occasional consumers
• South has the lowest proportion of occasional drinkers, especially in Karnataka and Tamil Nadu