The coronavirus epidemic and the self-isolation regime have struck a blow to the coffee industry. All participants in the coffee business were affected – producers, distributors, carriers, roasters, coffee shops, etc. Forecasts for further developments of coffee industry quarantined are opposite – from restrained optimism to panic.
How The Coronavirus Hits Coffee Makers
Almost all producers and contractors engaged in the coffee business have suffered from the crisis. Suppose you talk to entrepreneurs and professionals working at all stages of the coffee production chain. In that case, you understand that it makes no sense to compare which of them takes the situation harder.
For example, harvesting is now a significant challenge for coffee farmers. Small farms, where family members are involved in the farm harvest, cope better. But larger farms that have attracted workers from other regions are no longer able to use their services – most borders are closed due to the threat of coronavirus spread. Plus, the owners of these farms want to minimize the risk of infection for themselves and their employees.
Brazil, the world’s largest coffee producer, has become one of the most severely affected by Covid19. It is clear that in this country and other countries with a high level of infection and a high mortality rate, all problems are exacerbated, including coffee production.
Even if coffee remains low, this will be an additional challenge for farmers. All these years, they only had to grow quality coffee, and now they have to think about how to deliver it to where it will be processed.
Unstable Demand For Coffee
Online coffee sales in the world grew by 33%, and consumption of coffee at home increased significantly. Therefore, players who have established online sales improved their position during the pandemic. But companies involved in coffee consumption outside the home are experiencing difficulties. Many had to close or significantly reduce sales. Those who continue to work have fewer sales and customers, but the cost of disinfectants has increased.
Now almost all businesses are thinking about surviving in the coffee industry quarantined reality. Restaurants and coffee shops try to minimize the risk of infection for their customers and must comply with the rules imposed by local authorities. They were concerned about the number of people in the room and their distance. But following these rules and working on them mostly depends on the specific cafe or coffee shop.
Results Of Pandemic
The post-quarantine crisis has made adjustments to the development of a huge number of companies. Almost all industries and areas have been affected, but one of the market niches has recovered surprisingly quickly, the Coffee-to-Go business.
There is no denying that many cafes and restaurants have closed. HoReCa has suffered no less than the others, but the speed with which small coffee shops have recovered is simply astounding.
Reasons For Growing Coffee-to-Go Business:
- These businesses “live” close to customers, quickly reorienting to new market needs;
- Opening and closing a coffee shop is easier than a business selling goods and services;
- If even a small grocery store needs dozens of suppliers to work, a coffee shop needs one or two for development;
- Coffee is a combination of manual labor and automation, with the latter component becoming more and more while maintaining the taste of the drink, and sometimes with improvement.
All this creates the unique coffee culture you can now see in the coffee industry quarantined period. Can the players of the coffee market make sure that after the flowering of coffee, there is no rapid decline? Otherwise, people will hate COVID-19 for health problems and for losing one of the most beloved parts of their lives – delicious boosting coffee, in all its manifestations.
In the context of increased security requirements, you can find many positive aspects:
- People begin to wash their hands more often, and the use of antiseptics had become a habit;
- The transition from cash to electronic;
- Automation of beverage preparation: barista, standard coffee machines, and vending machines are replaced by super-automatic coffee machines, combining the advantages of all predecessors.
Vending In The Coffee Segment
This approach has become especially popular in the coffee industry quarantined period. Yes, some people have stopped drinking coffee outside the home, but many have switched to Coffee- to-Go points, avoiding being indoors and reducing the risk of contact with others.
This approach covers both the crisis of the sphere and its benefits. People began to worry too much about hygiene, and they were afraid to contact the barista. They are ready to exchange a “craft” cup of coffee, prepared individually by the barista, for something automated but guaranteed safer. They are completely understandable and difficult to blame.
This is also an advantage: people are increasingly moving away from the traditional method of barista training and getting used to automating the process they are used to. Now is the perfect time to switch to automatic equipment. Many coffee producers offer the most modern approach on the market: super-automatic coffee machines.
What Is This? And What Are They “Super”?
A super-automatic coffee machine is a device that allows you to program the coffee production process. To make coffee, just choose the type of drink and press the button – the machine will do the rest.
- The main advantage of such a device is a full cycle of working with coffee. For many former coffee shoppers who take takeaway coffee in the new realities, quality and taste “like in a professional coffee machine” are essential. The super-automatic coffee machine is ready to provide them.
- Its second advantage is exclusively high quality. There are more and more real coffee lovers, and it is crucial to offer them a good drink to-Go.
- The third advantage of super-automatic devices is efficiency. They can make up to 200 cups of coffee per hour! The accelerated cycle of coffee preparation, simultaneous performance of several tasks will reduce waiting time to tens of seconds. The barista is clearly losing the competition here. Moreover, it is no longer necessary to hire specially trained staff (barista, cashier) because coffee is prepared at the touch of a button, and payment is made non-contact.
More Advantages Of Using Super-Automatic Coffee Machines In Coffee Industry Quarantined Period
- The barista may accidentally spill your coffee, add too much milk, or simply be slow just when you are in a hurry. And the drink, you will agree, is always a little bit, but different, even from the same person who makes you coffee every day. This will not happen with super-automatic equipment.
- Prepared first and the hundredth cup on such a coffee machine will always have the same taste, which cannot always be achieved even by a professional barista. The quality and roasting of the grains strive for absolute unification within each variety so that the taste remains stable – as you felt it for the first time.
- The super-automatic coffee machine will never spill grains, will not spill milk, and what is important for the owner – will never drink a cup of coffee “at the expense of the company.” The drink is paid for contactless with a super vending machine – by card or phone.
- Savings are guaranteed with a self-service area: mathematically accurate reporting allows you to plan payback periods to the nearest cup. The new generation coffee machine itself will signal a malfunction, the need to replenish coffee, milk, or water.
According to market research from Western Europe, the United States, and Canada, coffee equipment manufacturers and suppliers have revised their strategic plans. They are trying to meet the growing demand for super-automatic coffee equipment, which does not require constant contact with humans.
Significant growth of self-service coffee zones was forecast back in 2016, speaking of multiple changes over 10 years, but COVID-19 made its adjustments and accelerated the growth of this area at times. Therefore, today those businesses that have survived the first and second waves of COVID-19 are actively preparing for the next challenges. They implement self-service coffee zones, thus creating a safe back for their business.
How To Cope The Situation In Quarantined Period
Here are 7 tips to help your company deal with a new situation and adapt to the coffee industry’s quarantined period.
Keep In Touch With Customers
- Share the news: Actively share important information with customers via email, website, Facebook page, company profile on Instagram, or where you usually communicate with them. Update information about opening hours on the Facebook Page or tell customers about temporary changes (self-pickup, delivery, online service).
- Answer the questions: Let customers know that they can ask questions or place an order by phone, email, or message.
Publish Creative Content
Don’t let customers forget about your company: regularly publish information about working hours, menus, and dishes of the day. Encourage people to order takeaway food for holidays and birthdays. You can also hold short brewing demonstrations live on Facebook or Instagram.
Try Other Ways Of Running Coffee Business
Many coffee shops have had to change their business model by offering takeaway food to keep working.
Takeaway & Street Delivery
Tell customers how they can contact you to place an order, even if you have offered these services before. You can create a publication by specifying the dish of the day or menu, contact information, and ordering times. You can also download ready-made publication templates.
Order Coffee Online
Learn more about food ordering options on Instagram and partners in different countries.
Gift Cards
Offer digital gift cards on Facebook or Instagram so people can easily find and support your company even during the coffee industry quarantined period. Create a story to attract even more people. Take care of yourself and keep an eye on the situation.
Study Examples & Find Sources Of Inspiration
Follow information from official sources, such as the World Health Organization, to stay up to date. This way, you can react faster to changes and provide up-to-date information to employees and customers.
What Changes To Expect In Coffee Business?
Obviously, none can give an accurate prediction of how events will unfold. The culture of coffee consumption is so intertwined with a universal culture that it simply cannot disappear. What is more, people will return to drinking coffee outside the home – simply because it is an important part of social life.
Now it seems that the coronavirus is the world’s main problem. But, of course, the main problem will be the economic crisis after it. At the same time, the coffee industry has always experienced economic crises well.
People will want their cup of coffee no matter what. They may refuse to go to restaurants or spend a lot. But this cup of coffee and this quiet time alone is a reward that everyone deserves and can always afford. Coffee is a product that people will enjoy even in a crisis. Therefore, never worry about the fate of coffee during the economic crisis.