With conservative estimates saying that the single-serve coffee industry will grow by at least 200% over the next five years, everyone in the industry is looking to build their brand now and gain crucial market share.
HiLine Coffee, which is a NYC based company that produces a lot of creative products and product names (all named after NYC sites) has decided to take a completely different approach to their competitors. They believe that single serve coffee is actually big enough at this point to begin selling in retail locations. The company has already begun working with Coffee Icon, Chef Central, and Calvert Retail (Reading China and Glass), in the US; and Marckol, ECS and Brewville, in Canada. So they definitely have a lot of support from these retailers who also think that this could be a big opportunity.
“Our coffee capsules are a high-volume repeat item with the potential to increase foot traffic and help drive margins, as well as potentially increase sales of machines,” said Ted Snyder, Co-Founder of HiLine Coffee Company. He added, “By establishing our retail presence, we hope to give customers the freedom of choice and a much higher level of convenience than the Nespresso Club.”
“Several HiLine customers have expressed frustration with the limited physical distribution of Nespresso capsules and the desire to be able to buy capsules for their Nespresso machines as part of their routine shopping trips. Retailers who stock HiLine Coffee can be part of the solution,” continued Snyder.
Moving into a retail space is definitely something exciting for shoppers who will soon be able to add coffee capsules to their weekly shopping list instead of having to go through the online ordering process, shipping, etc. that can be inconvenient. What we do know is that while HiLine is the first company to really dive into this strategy full speed, they will not be the last.
Keep your eye out for single-serve capsules near you!