Spanish RTD coffee market dominated by Kaiku Gran Cocina

Off-trade current value sales within the Spanish RTD coffee market increased by 3% through 2012, reaching a value of €14 million.

RTD coffee is a very small category in Spain. This is because the average Spanish consumer is used to drinking freshly made hot coffee, either at home or in a bar/café.

According to Eurostat, Spain has the second-highest number of bars/cafés per capita in the EU. With one bar/café per 129 people, traditionally, a large number of people have breakfast, or at least their morning coffee, in these outlets.

Despite the rooted tradition of drinking freshly made coffee in Spain, RTD coffee has registered steady sales growth, thanks to the increasing availability of Kaiku, the main brand in the retail channel.

In 2012, the average off-trade current unit price continued to decrease. This was due to the growing consumer demand for value for money references, which led manufacturers to restrain prices as a means of stimulating volume sales growth.

Kaiku Gran Cocina continues to dominate RTD coffee in Spain, accounting for a 97% of off-trade value sales in 2012. Kaiku is the only brand with mass retail distribution. The dominance of Kaiku Caffe Latte is attributed to its wide presence in most major retail chains and convenience stores in Spain.

It is very unlikely that the tradition of drinking freshly made hot coffee at home or in a bar/café will change radically in the short to medium term. However, the higher convenience offered by coffee pod systems, which allow the user to prepare coffee of a similar quality to that purchased in on-trade outlets, will continue to hamper the development of RTD coffee.

For more information on the Spanish RTD coffee market, see the latest research: Spanish RTD Coffee Market

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