CCTV: Sales of Domestic Coffee Machines Soar!

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The Rise of Home Coffee Brewing in China

Affected by the COVID-19 pandemic as well as climate-related declines in coffee bean production and price increases, in the past, drinking a cup of coffee was often done in coffee shops or restaurants. Now, perhaps more consumers choose to make coffee at home.

At the same time, people's concepts of coffee consumption are also changing. More and more Chinese consumers are beginning to pay attention to coffee's taste, price, and convenience. This has provided fertile ground for the growth of China's coffee machine market, as personalized consumption has gradually made coffee machines a common household appliance for many families.

Booming Domestic Coffee Machine Market

Recently, according to CCTV Financial reports, coffee machine sales this year have shown a rapid upward trend, with domestic coffee machines performing particularly well. Data shows that in 2022, coffee machine sales grew for six consecutive months, with the highest year-on-year growth rate reaching over 200%. Not only popular in the domestic market, domestic coffee machines are also gaining an increasing share in the international market. The sharp increase in export orders has led many coffee machine manufacturers to start full-load production mode.

At a coffee machine manufacturing company in Ningbo, Zhejiang, European orders surged this year, leading the company to temporarily hire employees and work overtime to meet deadlines. According to statistics from Cixi Customs, from January to September this year, Cixi exported coffee machines worth 330 million RMB, an increase of 31.5% compared to the same period last year. The main export countries or regions were the European Union, the United States, and Brazil. The marketing manager told reporters that in the first three quarters, the total export was 450,000 units, a year-on-year increase of 65%.

Quality and Affordability Drive Adoption

It is understood that current domestic coffee machines are designed to be more intelligent, with adjustable temperature, pressure, and flow rate. Domestic coffee machines are being favored by consumers, which has also led some professional coffee shops to start using domestic coffee machines. Wang Penghui, manager of a Beijing coffee shop, stated: "Imported coffee machines of the same level cost about 100,000 RMB, while domestic brands can be obtained for 50,000 to 60,000 RMB. The advantage is newer models with more comprehensive functions."

In a specialty store in Beijing, there are fifty to sixty types of coffee machines, of which domestic machines account for two-thirds. The biggest advantage is cost-effectiveness. This year, the sales of domestic machines in the store nearly doubled compared to last year. When reporters conducted interviews, some consumers were selecting products. Besides individuals, there were also representatives from companies purchasing coffee machines and other small appliances.

Office and Home Markets Expand

Indeed, not just at home, coffee machines are gradually becoming standard equipment in offices. Merchants told reporters that in this year's coffee machine market, semi-automatic and brew-grind integrated coffee machines sell best. Among them, mid-to-high-end domestic machines priced between 3,000 and 5,000 RMB are most favored by consumers.

Future Growth Prospects

According to the "2020-2025 China Coffee Industry Market Demand and Investment Planning Analysis Report" released by Forward Industry Research Institute, annual per capita consumption reaches 449 cups/year, and China's coffee consumption grows at an average annual rate of 15%, much higher than the global growth rate of 2%. It is expected that by 2025, China's coffee market size will reach 217.1 billion RMB.

Against this backdrop, the growth potential of China's household coffee machine market is self-evident, with fully automatic coffee machines and capsule machines showing the fastest growth. It is understood that many users accustomed to drinking coffee do not mind reserving a space in their kitchens for household fully automatic coffee machines.

As Chinese consumers' love for coffee gradually strengthens, and to be able to drink a cup of coffee at any time in their daily lives, the domestic coffee machine market is now truly booming.

Image source: Internet

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