Despite inflationary pressure, half of all South Africans still start their day with a cup of coffee.
Two years ago the average cost of 250g of instant coffee was R52.70, this year it has risen to R75.34.
Consumer insights company Eighty20 has delved into what is brewing when it comes to coffee prices, preferences and patterns in South Africa.
“Our previous analysis revealed concerning trends: coffee prices had increased beyond any other food or beverage category.
“In the second half of 2024, while national inflation remained below 4.5%, coffee prices surged, with instant coffee experiencing the steepest year-on-year consumer price increase of any food or beverage item in August 2024, jumping 22.3%, joining eggs as the only other category exceeding 20% inflation,” said Andrew Fulton, director at Eighty20.
Coffee is a global commodity, with over 10-million tonnes produced each year and an astonishing 2.25-billion cups estimated to be consumed daily
— Andrew Fulton, director at Eighty20
Eighty20 said that while inflation abates, prices are still rising.
The average price for 250g of instant coffee over the past three years has shown an annual growth rate of 12.65%.
Despite sustained inflationary pressure, coffee sales show no signs of slowing.
According to MAPS data, a quarterly survey of over 20,000 people released by the Marketing Research Foundation (MRF), 22.7-million South Africans (nearly half the adult population) drink some form of coffee daily.
This trend aligns with global patterns. Worldwide coffee consumption is projected to reach a record 10.16-million tonnes in 2025/26, up from 9.99-million tonnes in 2024/25.
A key driver is China’s emergence as the world’s sixth-largest consumer, with demand more than doubling over the past decade.
The MAPS survey segments consumption into several caffeinated categories, with instant coffee and cappuccino dominating. Some 21.8-million South Africans consume these daily.
“In the instant coffee category, a clear local favourite is Ricoffy. Ricoffy is enjoyed by more people than the next five leading brands [Frisco, Jacobs Krönung, Nescafé, Douwe Egberts and Koffiehuis] combined,” said Fulton.
Coffee accounts for just under 1% of average annual household spending in both Europe and the US.
In South Africa, consumption patterns vary by coffee type: instant coffee drinkers consume an average of 1.7 cups per day, while ground coffee drinkers average just over 1.8 cups.
This rises to more than two cups daily among high-income consumers.
Among the three main coffee formats measured in the MAPS data were instant, ground beans and pods, with coffee pods showing how technology and innovation are reshaping consumption.
The proliferation of affordable espresso machines has fuelled growth in the premium coffee segment, with pods appealing to two highly coveted demographics: wealthy and younger consumers.
Coffee pod drinkers represent a particularly niched segment; they are the youngest among coffee drinkers and earn about 50% more than instant coffee consumers.
Higher-income pod drinkers consume nearly three pods daily, however, MAPS data shows overall consumer numbers have plateaued in recent years, holding steady at roughly half the ground bean consumer base.
According to the data, pods have not captured instant coffee drinkers — but they have made significant inroads with ground coffee enthusiasts, with 30% of ground bean consumers also using coffee pods, suggesting pods complement rather than replace traditional premium coffee habits.
Leigh Wentzel, co-founder of Cedar Coffee Roasters, a specialty coffee company based in Cape Town, said there also new trends in the coffee market.
“Two interesting innovations we see in the market are coffee in a can and coffee sachets, particularly for campers and hikers.”
Cold brewed coffee is a method of making coffee where ground beans are steeped in cold or room-temperature water and the flavour is extracted through time rather than heat.
Despite the proliferation of coffee shops in major South African metros, ground coffee consumption remains concentrated among wealthier households.
MAPS data reveals that nearly a quarter of all ground coffee consumption comes from the about 700,000 coffee drinkers earning more than R10,000 per month (a demographic representing just 15% of the population), underscoring the premium positioning of this category.
“Coffee is a global commodity, with over 10-million tonnes produced each year and an astonishing 2.25-billion cups estimated to be consumed daily.
“Surprisingly, high inflation has not slowed coffee consumption growth, in fact, this year will see the highest annual consumption ever recorded,” said Fulton.
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