Are coffee shops going obsolete? Let’s talk about it over a cup

Could coffee shops be a thing of the past in a few years? The Sum takes a closer look at recent trends.

To Sum it up

• In 2020, the number of coffee shops declined for the first time in almost a decade; roughly 7.3% of establishments closed that year.

• Consumption at home went up, with over 85% of coffee drinkers saying they have at least one cup at home.

• While coffee is still America’s most popular drink, the number of coffee drinkers declined in the pandemic.

The background

• Fewer Americans commute to work on a regular basis, meaning fewer routine coffee stops on the way to the office.

• Work-from-home and hybrid models mean commercial areas are seeing less foot traffic, with fewer workers making midday cafe runs.

• For the better part of 2020 and 2021, many coffee shops were pickup-only, with no visitors sitting in physical locations.

What’s happening

• There’s still hope: In a 2021 survey, 31% of Americans said they felt comfortable going out for coffee, and another 33% said they’d feel comfortable once the pandemic waned.

• Thanks to more flexible remote work options, coffee shops have the opportunity to become popular places for people who want a change of scenery from a home office setup.

Why it matters

• Cafe habits may be forever altered by the pandemic.

• Chains like Starbucks may become the only long-term viable options unless people return to their neighborhood shops.

• Coffee shops have historically been important meetings places in communities, so their loss could reshape the communities around them.

Sources

• The Conversation: Coffee, coronavirus and the uncertain future of high street cafe culture
• Reuters: Fewer people in the U.S. drank coffee during the pandemic: survey
• National Coffee Association: COVID-19 drives record at-home coffee drinking, on-the-go ordering: 2021 National Coffee Data Trends Report
• Food & Wine: Number of Coffee Shops Set to Decline for the First Time in a Decade, Says Report
• Eater: America’s Coffee Shops Just Might Survive This Moment

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The Sum breaks down complex economic issues and how they impact your life in just a few minutes a day. Follow thesum.news on Instagram for the full story.

This story was originally published July 22, 2022 at 5:00 AM with the headline "Are coffee shops going obsolete? Let’s talk about it over a cup."

The Sum

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The Sum breaks down complex economic issues and how they impact your life in just a few minutes a day. Follow @thesum.news on Instagram for the full story.