COVID-19 further lifts demand for at-home coffee

In these unprecedented times, Australians are spending more time at home than ever before and as a result, many consumers are taking more time to get creative with food and drink recipes, De’Longhi Australia and New Zealand CEO, Paolo Albertoni told Appliance Retailer.

“As a nation of coffee lovers, we have seen sustained demand for coffee machines in general but particularly across the fully automatic category (FAC). This evolution in FAC highlights a trend for consumers wanting to have simple to use, no fuss, quality coffee at home which is something that De’Longhi prides itself on by providing machines that produce barista quality coffee at the touch of a button,” he said.

“We’ve also seen some growth in coffee accessory sales which is testament to consumer demand to replicate the cafe experience at home, whether that’s people changing the way they store their beans or choosing new glasses to drink from, Australians are looking to maximise their coffee experience and enjoy great quality coffee as they spend time self-isolating at home.”

Jura has seen a huge spike in interest and enquiries for its automatic coffee machines as more people are being forced to bunker down at home. In particular, the Jura e-store has experienced 129% growth when compared to the same time last year, with care products and accessories being among the most ordered items, according to marketing executive, Melinda Nuzzaco.

“We have also noticed an influx of calls via our online advisory platform Jura Live, with our expert answering 37% more calls since the beginning of April (versus same time last year) and ultimately assisting prospective customers with virtual demonstrations in the absence of traditional shopping in store,” she told Appliance Retailer.

With virtual coffee catch ups and working from home becoming the new normal, Nespresso has adapted its new normal too, according to general manager for Oceania, Jean-Marc Dragoli said.

“This includes temporarily offering a lower free delivery threshold; soon to be launched virtual Nespresso masterclasses to help Australians take their coffee expertise to the next level, and reminding customers of the benefits of the Nespresso coffee subscription plans, such as an additional 10% credit each month,” he said.

“With many parts of our lives being so different, the comforting warmth, aromas and complex flavours from coffee are a nod to a sense of normalcy and ritual.”

With most office workers now working from home, out of home coffee consumption has declined as people limit their exposure to the outside world, but consumers still need their daily coffee fix and seek café quality coffee, according to Nestlé marketing manager, Bryan Win.

“As a result, Nescafé Dolce Gusto (NDG) machine sales were up almost 50% in March and YTD 10%, while capsule sales are also above forecast,” he told Appliance Retailer.

Earlier this month, Nestlé launched an all-inclusive bundle pack with an NDG automatic machine, three Starbucks by NDG pod boxes and two Starbucks mugs ($65 value), now available through Big W, JB Hi-Fi, Target and The Good Guys. Another bundle pack with an NDG automatic machine, three Starbucks by NDG pod boxes and milk frother ($85 value) is exclusive to Harvey Norman.

Further, there are tailored e-commerce deals, such as the capsule bundle offer on the NDG site, whereby consumers can purchase six boxes of capsules for $50 with free shipping. Other offers are available on Amazon and eBay.

Nestlé has also rolled out a social media campaign across Facebook and Instagram that will run until the end of May with three video variations – the first with a ‘Working from Home’ theme – get your Starbucks fix, even when working from home; the second with a ‘Being at home’ theme – bring Starbucks home, without leaving home and the third with an ‘Online shopping’ theme – bring the café home, shop now.

Smeg is also seeing continued, positive demand for its small appliance collection, particularly breakfast and food preparation, as well as coffee.

“This includes an espresso machine and the nearly launched drip coffee machine, coffee grinder and milk frother. With many of our retail partners still open, we are receiving good support both from bricks and mortar and online. We truly appreciate their support at this time,” national manager – small domestic appliances, Arthur Banbas told Appliance Retailer.

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