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UK pub industry looks to coffee to adapt

From the September 2015 issue.

The United Kingdom’s dwindling pub industry is looking towards one of its economy’s hottest sectors to generate extra revenue.

The pub industry may be one of the biggest casualties in the shadow of UK’s booming coffee shop sector, but a new trend is brewing up hope.

About 1.7 billion cups of coffee are sold each year in the market, worth more than US$10 billion, and a growing number of pubs are trying to get in on the action.

UK brewery and pub company Fuller Smith & Turner may be a beacon of optimism.

London’s oldest family brewer boosted its total dividend by 10 per cent, due in part to strong sales of food and coffee across its 400 managed and tenanted sites.

“We’re a brewer and pub operator and we take coffee very seriously,” says Nick Corden, Retail Marketing Manager at Fuller, Smith & Turner. He tells GCR that offering quality coffee has been a catalyst for growth in the company.

But while research shows there is a strong opportunity for pubs to cash in by following suit, experts say meeting customer demand will require more than just a good cup of coffee.

Getting back in the game

The growth of UK’s coffee shop market is astounding, considering coffee consumption is lower than in 2006.

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