Taiwan Coffee Market Synopsis

Taiwan Coffee Market size was valued at $162.33 million in 2020, and is projected to reach $173.15 million by 2030, registering a CAGR of 0.81% from 2023 to 2030.

Taiwan is a large consumer market with a fast-growing coffee sector. The growth is being driven by several factors, including the increasing popularity of coffee among young people, the growing number of coffee shops in Taiwan, and the rising demand for specialty coffee.

• The coffee market in Taiwan is segmented into two main categories: roasted coffee and green coffee. Roasted coffee is the most popular type of coffee in Taiwan, accounting for about 60% of the market. Green coffee is the less popular type of coffee, but it is growing in popularity as more people become interested in roasting their coffee beans.
• The major players in the Taiwan coffee market include international coffee chains such as Starbucks, Coffee Bean & Tea Leaf, and Gloria Jean's Coffees, as well as local coffee chains such as Five Senses Coffee and Cà Phê Ông Bầu.
• The future of the Taiwan coffee market looks bright. The market is expected to continue to grow in the coming years, driven by the increasing popularity of coffee among young people and the growing number of coffee shops in Taiwan. The market is also expected to benefit from the rising demand for specialty coffee.

Top Key Players:

"Starbucks (United States), Costa Coffee (United Kingdom), McDonald's McCafe (United States), 7-Eleven (United States), Dante Coffee (Taiwan), Taiwan Coffee (Taiwan), The Coffee Bean & Tea Leaf (United States), Tully's Coffee (United States), Pacific Coffee (Hong Kong, China), Doutor Coffee (Japan), Cama Coffee (China), Louisa Coffee (China), Hollys Coffee (South Korea), Mister Donut (Japan), Ediya Coffee (South Korea), Paul Bassett (Australia), Barista Coffee (India), Wisteria Tea & Coffee (Taiwan)Akuma Coffee (Taiwan), Cama Cafe (Taiwan) and Other Major Players"

Taiwan Coffee Market Trend Analysis

Changing Consumer Preferences

• Taiwan is a country with a long history of coffee consumption. However, in recent years, the way that people drink coffee in Taiwan has been changing. Younger consumers are increasingly interested in specialty coffee, which is made with high-quality beans and is often served with unique flavors and preparations. This trend is driving the growth of the Taiwanese coffee market, as more and more people are looking for high-quality coffee experiences.
• In recent years, there has been a surge in the number of independent coffee shops opening in Taiwan. These shops offer a more personalized coffee experience than the big chains, and they are often seen as being more authentic. This trend is appealing to younger consumers, who are increasingly looking for unique and authentic coffee experiences.
• The rise of the internet is also playing a role in the growth of the Taiwanese coffee market. More and more people are using the internet to learn about coffee, and they are also using it to purchase coffee beans and equipment. This trend is making it easier for people to get into coffee, and it is also helping to drive the growth of the market.

(Source: Statista)

The coffee market in Taiwan witnessed fluctuations in total coffee consumption volume over the period from 2018/19 to 2022/23. Starting at 610 in 2018/19, the consumption increased to 690 in 2019/20, showing a growth in demand. However, it experienced a slight decline in 2020/21, reaching 660, possibly influenced by various factors such as the pandemic or market dynamics. The trend reversed in 2021/22, with a rise to 695, indicating a renewed interest in coffee consumption. By 2022/23, the total coffee consumption volume in Taiwan settled at 675. These figures highlight the changing consumer preferences and market conditions, reflecting the dynamic nature of the coffee industry in Taiwan during this period.

Café Chains and Independent Coffee Shops

• The coffee market in Taiwan is a dynamic and competitive one. There are a large number of both café chains and independent coffee shops operating in the market, and they are constantly vying for customers.
• One of the ways that café chains and independent coffee shops have been able to compete is by offering different value propositions to customers. Café chains typically offer convenience and familiarity, while independent coffee shops offer a more unique and personalized experience.
• One of the ways that café chains and independent coffee shops have been able to compete is by offering different value propositions to customers. Café chains typically offer convenience and familiarity, while independent coffee shops offer a more unique and personalized experience.

Taiwan Coffee Market Segment Analysis

Taiwan’s Coffee Market is segmented into the Form, Speciality Coffee, Flavors, Distribution Channel, and End-Users. By Speciality Coffee, the Cold Brew & Nitro Cold Brew Coffee segment is Anticipated to Dominate the Market Over the Forecast Period.

• Cold brew and nitro cold brew coffee are becoming increasingly popular in Taiwan because they offer several advantages over traditional hot brewed coffee. These advantages include being smoother, less acidic, lower in caffeine, and seen as being more premium.
• The popularity of cold brew and nitro cold brew coffee is also due to the increasing awareness of these types of coffee among consumers. In recent years, there has been a growing trend toward "third-wave" coffee, which is characterized by the use of high-quality coffee beans and more artisanal brewing methods.
• The growing number of coffee shops that offer cold brew and nitro cold brew coffee is also contributing to their popularity. In Taiwan, several coffee shops specialize in these types of coffee, and they are becoming increasingly popular with consumers. As more coffee shops offer these types of coffee, their popularity will likely continue to grow in the coming years.

Taiwan Coffee Market Country Analysis

• Taiwan has a long and strong coffee culture dating back to the early 1900s. This culture is evident in the number of coffee shops and cafes in Taiwan, as well as the popularity of coffee among the general population. There are an estimated 15,000 coffee shops in Taiwan, and coffee consumption per capita is among the highest in the world.
• Taiwan is also home to some of the highest-quality coffee beans in the world. These beans are grown in the mountains of Taiwan, where the climate is ideal for coffee cultivation. The mountains of Taiwan receive plenty of rainfall and sunshine, which are essential for growing high-quality coffee beans.
• In addition to its strong coffee culture and high-quality coffee beans, Taiwan is also a leader in coffee innovation. Coffee shops in Taiwan are constantly experimenting with new brewing methods and flavors, which has helped to keep the coffee scene in Taiwan fresh and exciting.

COVID-19 Impact Analysis on the Taiwan Coffee Market

• The COVID-19 pandemic has had a significant impact on the Taiwanese coffee market. The decline in the market was due to several factors, including the closure of coffee shops, the decrease in tourism, and the shift to working from home.
• The impact of the pandemic has been particularly hard on independent coffee shops. These shops are often small and have limited resources, which makes it difficult for them to survive during a crisis. As a result, many independent coffee shops have been forced to close their doors.
• Despite the challenges, there have been some positive developments in the Taiwanese coffee market during the pandemic. the COVID-19 pandemic has had a significant impact on the Taiwanese coffee market. There have also been some positive developments, and the market is expected to recover in the coming years.

Top Key Players Covered in The Taiwan Coffee Market

• Starbucks (United States)
• Costa Coffee (United Kingdom)
• McDonald's McCafe (United States)
• 7-Eleven (United States)
• Dante Coffee (Taiwan)
• Taiwan Coffee (Taiwan)
• The Coffee Bean & Tea Leaf (United States)
• Tully's Coffee (United States)
• Pacific Coffee (Hong Kong, China)
• Doutor Coffee (Japan)
• Cama Coffee (China)
• Louisa Coffee (China)
• Hollys Coffee (South Korea)
• Mister Donut (Japan)
• Ediya Coffee (South Korea)
• Paul Bassett (Australia)
• Barista Coffee (India)
• Wisteria Tea & Coffee (Taiwan)
• Akuma Coffee (Taiwan)
• Cama Cafe (Taiwan) and Other Major Players

Key Industry Developments in the Taiwan Coffee Market

In March 2023, HWC Coffee, a Taiwanese coffee company, is set to expand its presence in Malaysia this year by opening 40 new stores across the country.HWC Coffee, a coffee company based in Taiwan, has ambitious expansion plans for 2023. The company aims to establish 40 new stores across Malaysia and is also eyeing a launch in Brunei in April 2023. Having already made its international debut in April 2022 with a store at Malaysia's 1 Utama Shopping Centre, HWC Coffee has partnered with the e-commerce platform Subplace to operate 18 outlets in Malaysia so far.

In December 2022, At FamilyMart Taiwan's new cafe, a single cup of coffee is priced at NT$500.FamilyMart, a prominent convenience store chain in Taiwan, launched a café in Taipei that offers coffee priced as high as NT$500 (US$16.29) per cup. The café, named "Let's Cafe PLUS," is a collaboration with the renowned Japanese coffee brand UCC. Situated in Taipei's Zhongshan commercial district, the café has a seating capacity of 30 and holds the distinction of being the first of its kind in Taiwan to be operated by a convenience store retail business.