Modernizing the roast and ground coffee aisle

It is a difficult time for the owners of leading roast and ground coffee brands. In the US and western Europe, the segment is experiencing a long, slow decline in volumes as consumers increasingly shift to single-serve capsules. Here, we present our outlook for the segment and argue against a return to volume growth.

We see three avenues to renovating a roast and ground portfolio: switching focus toward a premium brand, M&A to acquire that brand if you don't have one, and innovation to restore brand equity.

We think there is value to be had in the roast and ground category, but roasters need to move beyond traditional coffee-centric brand building and consider looking outside the roast and ground aisle for solutions.