Iced and blended coffee beverages are experiencing a surge in popularity in UK coffee shops, according to new data from the Allegra World Coffee Portal.
The results, announced during UK Coffee Week, showed that the overall value of the iced and blended beverages market in UK coffee shops grew by 18% in 2016, to reach an estimated £338 million.
The category currently accounts for 3.8% of the total coffee shop market sales, an increase from 3.6% sales share in 2015.
The iced and blended beverages category outperformed overall coffee shop sector growth last year, which increased by 12% to hit £8.9 billion turnover in 2016.
According to the study, consumers rank the most important factors in choosing an iced beverage as the use of fresh ingredients, value for money, and the drink being freshly prepared from scratch. Pre-prepared iced beverages were least favoured.
Allegra says the most innovative ‘short-term’ development will be the growth of cold brew and nitro coffee, with high street chains following on from Starbucks’ lead. Allegra says it expects to see 17% compound annual growth from the category in the next five years.