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.

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