Coffee consumption continues to surge globally as consumers move away from soda and alcohol. A new report from consumer behavior advisor Circana, finds that coffee consumption has skyrocketed in several major markets. 

The research, based on analysis from Circana’s Crest Commercial Foodservice data, finds that total coffee servings are expected to grow by 5 percent year over year globally, exceeding the current pace of 3 percent in the U.S. 

Similar growth was seen in 11 out of 12 countries tracked in the data, with China leading all other participants with the highest coffee consumption growth rate. South Korea was the only country not to experience any growth.

“Coffee is a unique category where trends and competition intertwine on both global and local scales,” said Tim Fires, president of Global Foodservice at Circana. “Cold coffee emerges as a standout trend, experiencing substantial growth across all 12 countries we monitor.”

According to the Circana report, more than $36 billion was spent on coffee servings last year with several patterns emerging among coffee consumers. Hot coffee remains the most popular choice for coffee drinkers, however, cold coffee continues to make gains, particularly in China where cold coffee consumption grew at a 20 percent compound annual growth rate between 2019 and 2023 and made up 33 percent of total coffee consumption. 

It’s more than just coffee servings that are on the rise globally. Recent data from Statista shows a rise in the purchase of coffee bags over the past decade. In 2023, approximately 176 million 60 kilogram bags of coffee were consumed worldwide, an increase from almost 167 million bags in 2022.

Coffee also outpaced tea and carbonated soft drinks at a rate of 4 percent and 3 percent, respectively year over year. 

“The competitive landscape, encompassing both chain and independent establishments, exhibits unique characteristics in each country,” said Fires. “Understanding both the overarching global trends and the intricacy of the local marketplace is critical for success in this category.”