Coffee shop becomes new emerging business in Indonesia as coffee consumers, enthusiasts continue to rise

Coffee shops are becoming a promising new business in Indonesia as coffee consumers and enthusiasts continue to rise in the country. 

Indonesia saw the number of coffee shops tripled from 1,083 outlets in August 2019 to more than 2,937 outlets in 2019 - and the figure will continue to grow.

The market value of coffee shops in Indonesia is estimated to reach more than Rp4.8 trillion per year. 40% of consumers surveyed by MIX Marcomm and coffee business platform Toffin said that coffee-to-go shops are their favourite coffee shop. 

Indonesia has also noticed a strong consumer demand for fresh roasted coffee, soluble coffee and ready to drink coffee. Millennials and gen Z drive the growth of coffee consumption, with 60% citing milk coffee as their preference. 

According to the Indonesia Coffee Annual Report 2019 by Global Agricultural Information Network, Indonesia recorded a 13.9% growth in domestic coffee consumption to 294,000 tons in 2019/2020 compared to that in 2018/2019. The number is expected to rise to 370,000 tons in 2021.

The growth projection is materialised through a competition held by Bandung-based coffee community Manual Brew Community (MBC).  

MBC on 27-28 November held a coffee competition titled Bandung Cup Taster Championship 2021 at Gastro Market, Bandung. As expected, coffee enthusiasts welcomed the competition. 

With strict health protocols in place, a total of 60 participants took part in the competition. They  came from various fields in the coffee industry, from baristas, roasters and farmers to connoisseurs. Interestingly, more participants (56.63%) come from outside Bandung.