Costa Coffee Walks Over Competitors In The UK
Costa, a coffee chain established in 1971, is the largest one in the whole of United Kingdom as a matter of fact it’s the second largest coffee chain in the whole world second after the Starbucks. According to a survey conducted by the Allegra Strategies, this shop is estimated to have served 169 million cups of coffee in its 1,992 outlets in 2015. Costa has from then increased its coffee outlets from 1,992 to 2,163 outlets which has seen it increase their profit up to 15 per cent.
Other coffee chains and coffee shops, have also played a big role in the high coffee consumption in United Kingdom.
According to Dataresearch the coffee consumption in the UK has grown by more than 12% per cent in volume and +14% in value in the last year.
In the coffee chain competition, Costa has the lion share of the highly growing market due to the tremendous number of coffee shops compared to other chains, 2,163 coffee shops compare with 849 and 620 coffee shops for Starbucks and Caffe Nero respectively which are its close competitors. Other coffee chains include Tesco, Marrisons, and Pret a Manger whose outlets add up to about 1,200 shops.
A total of 20,728 coffee shops exists in the UK, most of this outlets are from non-specialized sector such as pubs, supermarkets and fast foods outlets, this non-specialized sector accounts for over 40 per cent of total branded coffee consumption. The high rise in coffee consumption and the consequent demand for new coffee shops is estimated to cause a drastic rise in number of coffee shops to over 30,000 outlets by the year 2025 with a respective turnover of £15 billion.