Dive Brief:
- Consumption of premium, barista-crafted coffee beverages is on the rise, while orders of simple staple coffees, including cold brew, are falling, according to data released by Toast this week.
- Latte orders increased 4.0% in 2025, compared to 2024, while espresso shots rose by 3.3%. By contrast,, orders of regular drip coffee fell 3.3% and plain cold brew orders decreased by 2.2%.
- These shifts, and increases in orders for alternative caffeine sources, like energy drinks, show that the trends shaping caffeine consumption are more complex than a simple shift from hot to cold beverages, and show that coffee may be insulated from some of the value pressures reshaping consumer behavior in other segments.
Dive Insight:
Toast suggested the growth of handcrafted espresso drinks, which comes at a moment of intense price sensitivity, could be the result of several interlocking factors. Consumers may be unwilling to pay for items — like drip coffee and cold brew — that can be purchased in grocery stores or prepared at home, but value the experiential aspects of cafes.
“Other [consumers] value curling up in a cozy cafe with a specialty-crafted drink,” Bryan Koerber, Toast’s principal of brand journalism and news, wrote in the report. Simultaneously, households with higher disposable income may not be cutting back on consumption at all, or might be shifting to snack and beverage moments from other occasions.
“Maybe you aren’t a daily latte drinker, but if you find yourself in a cafe, you may be more inclined to treat yourself to something nice — especially if you may be cutting back elsewhere,” Koerber wrote.
Starbucks CEO Brian Niccol has made that impulse — a desire for treats and cafe experience — a key element of the coffee giant’s turnaround plan, in hopes of insulating the chain from speed-of-service oriented drive-thru competitors.
The increase of drip coffee and cold brew prices in recent years could also be powering some of the shift: Median cold brew prices rose from $5 in early 2023 to $5.58, while drip coffee prices rose from about $3 to $3.65. Higher price points for staple drinks, or drinks which do not require significant labor inputs, could have a lower perceived value relative to price than premium beverages.
Cold brew and plain coffee sales are down, energy drinks and lattes are up.
Outside of these shifts within coffee, alternative caffeine sources — and energy drinks in particular — are growing. Energy drink orders increased 8.7%, the largest positive swing in Toast’s measurements for caffeinated beverages.
This could signal both a growth of the category and an erosion of the market share of other caffeinated drinks. Green tea consumption dropped 4.9%, and black tea orders fell 3.4% in 2025, for example. As refreshers and energy drinks emerge as alternatives to coffee, they may be picking consumers from other non-coffee drinks categories. But herbal tea — a decaf option — saw orders rise 8.6%.
In a prior interview, Mark Davis, CEO of Black Rock Coffee, said the chain’s energy platform, Fuel, has grown from about 20% to 24% of sales mix over the past few years. Other experts have predicted that 2026 will be a banner year for energy drinks and other coffee alternatives.
