Coffee Franchise Market Report 2026

The coffee franchise market size has grown strongly in recent years. It will grow from $115.5 billion in 2025 to $126.45 billion in 2026 at a compound annual growth rate (CAGR) of 9.5%. The growth in the historic period can be attributed to expansion of urban café culture, rising disposable incomes, growing popularity of specialty coffee, scalability of franchise business models, increasing consumer spending on out-of-home beverages.

The coffee franchise market size is expected to see strong growth in the next few years. It will grow to $179.7 billion in 2030 at a compound annual growth rate (CAGR) of 9.2%. The growth in the forecast period can be attributed to increasing demand for premium and experiential coffee formats, expansion into emerging markets, growing adoption of delivery and takeaway models, rising investments in technology-enabled stores, increasing focus on ethical and sustainable branding. Major trends in the forecast period include expansion of asset-light franchise models, rising integration of digital ordering and payment platforms, growing focus on sustainable coffee sourcing, increasing customization of menu offerings, enhanced emphasis on brand experience consistency.

The growth of the coffee franchise market is expected to be driven by the increasing proliferation of coffee culture. Coffee culture encompasses the social and cultural practices surrounding the enjoyment and appreciation of coffee. This rise is fueled by the expansion of specialty coffee shops, the global reach of coffeehouse chains, growing interest in gourmet and artisanal coffee, the influence of social media, and the cultural significance of coffee as a communal beverage. Coffee franchises play a crucial role in promoting and perpetuating coffee culture by offering consistent and convenient coffee experiences, enabling brands to expand their footprint, maintain quality standards, and meet the rising demand for specialty coffee across different locations. For example, a December 2023 report from the International Coffee Organization noted a 0.1% increase in world coffee production to 168.2 million bags during the coffee year 2022-2023, with expectations of a 5.8% growth to 178 million bags in the coffee year 2023-24, driven by higher Arabica and Robusta output. Thus, the growing prevalence of coffee culture is a significant driver of the coffee franchise market's expansion.

Leading companies in the coffee franchise sector are innovating with services such as drive-thru stores to enhance customer convenience and meet the demand for quick service. These drive-thru outlets enable customers to purchase coffee efficiently from their vehicles, saving time and offering a seamless transaction experience. For instance, in December 2023, Arabica Ltd., a Japanese coffee chain, launched its inaugural drive-thru store in Asia at Golf Island PIK in Jakarta, Indonesia. Located at the PIK Icon roundabout, this new store is designed for easy, frictionless ordering through its innovative drive-thru concept. The store also introduces a decaffeinated coffee option to cater to patrons with caffeine sensitivities, further reinforcing its presence in Indonesia's dynamic coffee culture landscape.

In November 2023, Quench USA Inc., a US company known for designing and manufacturing filtered water coolers and ice dispensers, acquired Neighbors Coffee Co. for an undisclosed sum. This acquisition was undertaken by Quench to enrich its service portfolio, particularly in coffee solutions, thereby offering commercial customers a wider range of premium point-of-use products. This strategic initiative aligns with Quench's objective of becoming a comprehensive provider of breakroom essentials, encompassing filtered drinking water, ice, and coffee solutions. Neighbors Coffee Co., based in the US, specializes in supplying and servicing coffee solutions tailored for office environments.

Major companies operating in the coffee franchise market are Starbucks Corporation, Tim Hortons Inc., Philz Coffee Inc., Costa Limited, Dunkin' Brands Group Inc., Scooter's Coffee LLC, Dutch Bros Coffee LLC, The Second Cup Ltd., Peet's Coffee Inc., Black Rock Coffee Bar LLC, Caribou Coffee Company Inc., Gloria Jean's Coffees International Pty. Ltd., Ballard Brands LLC, Caffè Nero Group Ltd., Coffee Republic Ltd., Tully's Coffee Corporation, Ziggi’s Coffee LLC, Ellianos Coffee Company, Frespresso Hospitality Pvt Ltd, International Coffee And Tea LLC, The Human Bean, Xpresso Delight LLC.

Asia-Pacific was the largest region in the coffee franchise market in 2025. The regions covered in the coffee franchise market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the coffee franchise market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The coffee franchise market includes revenues earned by entities through services such as beverage sales, food sales, whole-bean and ground coffee sales, merchandise sales, in-store dining, takeaway, and drive-thru services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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