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Most adults in South Africa consume coffee every morning to start their day. However, coffee drinkers in the country have decreased by 10% compared to last year.
With inflation below 4.5%, coffee drinkers would expect prices to also decrease, but this has not been the case.
Insights by Eighty20 show that inflation in the country has affected coffee prices, which resulted in South Africans’ coffee preferences shifting to affordable alternatives.
Director at Eighty20, Andrew Fulton says it has not been a great 12 months for coffee consumers who have been under pressure as coffee prices have skyrocketed more than any other food or beverage product.
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According to Eighty20, instant coffee experienced the highest consumer price increase year-on-year of any food or beverage items in August 2024 at 22.3%, which happens to be higher than eggs.
The average price for 250 grams of instant coffee was R67.37 in August 2024, up from R52.71 in August 2023. “Interestingly, ground coffee and beans fared much better, with a more ‘moderate’ 13.6% increase year-on-year.”
According to a study by MAPS, which surveyed over 20,000 South Africans, the number of people who drink instant coffee has decreased by 12%, but the number of those who drink ground coffee and beans has increased by 58% compared to 2023.
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According to MAPS’ study, there are still 20 million people, which is half of the population, who drink coffee daily. The study also focuses on caffeine categories, most loved coffee brands, how many cups a person consumes, race, and economic class.
“Nearly half of coffee drinkers prefer Ricoffy, a clear favourite in South Africa, enjoyed by more people than the next five leading Instant Coffee brands combined—Jacobs Kronung, Frisco, Nescafe, Koffehuis and Douwe Egberts,” said Andrew Fulton, Director at Eighty20.
When it comes to average cups per day, instant coffee drinkers take an average of 1.7 cups per day, and ground coffee drinkers take an average of just over 1.9 cups.
“Instant coffee drinkers are over-indexed for Indian people and Afrikaans speakers in the Western Cape and Gauteng, whereas ground coffee drinkers are over-indexed for English-speaking, middle-class white or coloured [people].”
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When it comes to classes, the middle class and the wealthy Heavy Hitters make up 15% of the adult population, but make up nearly a quarter of the roughly 2.1 million ground coffee drinkers.
“The MAPS data shows that it is the wealthier population who are drinking ground coffee, with more than a quarter of consumption by the small group of LSM 9-10.”
Insights from Eighty20 are also based on a survey called BrandMapp that focuses on households earning over R10,000 per month showing the most loved coffee shops in the country.
21% of the respondents love Woolworths Café, 18% Starbucks, 17% Seattle Coffee, and 14% Vida e Caffé. “While the top four have remained steady over the past year, Starbucks has seen a notable increase in popularity.”
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