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Coffee and Tea Manufacture

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Coffee and Tea Manufacture

The US coffee and tea manufacturing industry includes about 300 companies with combined annual revenue of nearly $8 billion. Major companies include divisions of the JM Smucker Company, Kraft Foods, Nestle, and Unilever. The industry is highly concentrated: the top 50 companies hold over 90 percent of the market. COMPETITIVE LANDSCAPEConsumer taste and population growth drive demand in the consumer sector, while economic growth of businesses, like restaurants and hotels, drives demand in the commercial sector. The profitability of individual companies depends on effectively managing raw ingredient costs, efficient operations, and effective marketing. Large companies have scale advantages in purchasing, distribution, manufacturing, and marketing. Small companies can compete effectively by offering specialized products or serving a local market. The industry is capital-intensive: average annual revenue per worker is about $600,000.Coffee and tea manufacturers face intense competition from other beverage companies, especially soft drink, bottled water, and juice manufacturers. Although the US coffee market is in long-term decline, the US is the largest coffee consumer in the world.PRODUCTS, OPERATIONS & TECHNOLOGYMajor products include roasted coffee (65 percent of the market); tea (16 percent); and coffee concentrates (11 percent). Roasted coffee includes whole beans and ground-roasted beans. Tea includes tea bags, and loose and instant tea. Coffee concentrates include freeze-dried, frozen, or liquid concentrates, along with coffee substitutes. Companies in the commercial sector may provide wholesale customers coffee brewing and grinding equipment to ...

AuthorInc. First Research
List Price$129.00
Number Of Pages10
Product GroupBook
Product Type NameABIS_EBOOKS
Publication Date2009-10-12
TitleCoffee and Tea Manufacture
Release Date2009-10-12
FormatDownload: PDF
Model Name/TypeMPNEAN/UPC
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