SINGAPORE: Whenever marketing executive Martin Chu travels overseas, he would often create whole itineraries around the coffee joints that he intends to visit. “There are actually times when I plan my entire trip based on the coffee places around the area,” said the 29-year-old.
Singaporeans are a coffee-loving lot, savouring anything from S$1.20 kopi to S$6 iced latte and S$20 or even S$85 specialty brews
Consumers and businesses also tell TODAY of emerging trends in the coffee scene, from home-brewing to subscription models, specialty capsules and plant-based alternativesSINGAPORE: Whenever marketing executive Martin Chu travels overseas, he would often create whole itineraries around the coffee joints that he intends to visit.
Then he drank “Juliette”, a coffee from Panama — first, at a local cafe which has since closed down, and a second time at a coffee house in Hong Kong. With statistics showing Singapore’s coffee culture going from strength to strength even as coffee joints come and go, Mr Chu is not an outlier. While the two 20-somethings are into specialty coffee with its emphasis on high quality and experience, there are also those who find joy in drinking no-frills
Likewise, for 22-year-old university student Prashalini, the perfect cup for her is a blend of quality coffee served at an affordable price point and situated at a convenient or accessible location. To cater to the growing market of coffee consumers, international chains and specialty coffee shops have popped up around the island over the years.
Shoppers at VivoCity mall would have also noticed hoarding bearing Canadian coffee chain Tim Hortons’ logo. The outlet is expected to open at the end of the year, adding to the tally of more than 5,000 Tim Hortons restaurants globally. Singapore’s market is also attractive to international brands because of its low tax rates, few capital constraints, low trade barriers, and welcoming attitude towards foreign investors, said Dr Wang Peng, a business analytics lecturer at the Singapore University of Social Sciences .
Mr Sydney Teo, the director of Kopi & Tarts — a local brand serving traditional Nanyang coffee and baked pastries — told TODAY that it hopes to have up to 20 to 25 outlets in Singapore within the next three years.Still, trying to enter or expand — much less, sustain and succeed — in such a competitive and saturated market is no walk in the park for any coffee business, local or foreign.
Furthermore, its choice of store locations, such as opening outlets among public housing blocks in older estates like Bukit Merah, does not align with its target demographic of young professionals, he added. While getting a caffeine kick was the top priority in the past, “third wave” coffee drinkers are discerning consumers who are conscious of the beverage’s supply chain, its social and environmental footprints, and coffee quality — which has elevated coffee’s status to one almost synonymous with the “finer way of life” today.
Singapore was the first country in Southeast Asia to taste the beverage, and only 80 cups were available for sale then. Responding to queries from TODAY, a spokesperson from Glyph Supply Co said the Omakase experience would mimic the World Barista Championship experience, where competitors served coffees from three categories — espresso, milk beverage, and a signature beverage — to judges.
The Perfect Daily Grind said that third wave coffee is centred on increasing coffee quality, more direct trade, sustainability, and innovative brew methods — and consumers are generally happy to pay more to enjoy it. He added that a third place refers to one which can serve multiple purposes — from quiet solo work, to a date, social meeting, or business meeting. As such, a coffee house’s environment and ambience should allow for these different types of “coffee consumption occasions”.
Homeground Coffee Roasters’ cafe at Teo Hong Road is clothed in beige hues, with dark red tiles and wood accents. Beyond coffee houses shaping up as third spaces, Dr Liu from SUSS added that the influence of new media and content marketing strategies, especially through social media and key opinion leaders, has also played a pivotal role in elevating Singaporeans’ love for coffee.
Ms Ng said: “Price is what would make people see . Because if their coffee is good, what our next comparison would be is money.” According to the article, early coffee brewers had to “make do with cheaper ingredients”, given the difficult circumstances these early 20th-century Chinese immigrants were faced with.
“But I think the younger generation likes it. These cafes are always portrayed beautifully in television dramas.” “A coffee shop is really just a conducive environment to have heart-to-heart discussions, and to talk about life. I think most of the more eventful conversations in my life happen either around the dining table or at coffee shops.”
Asked if he finds the current market too saturated, Mr Lim from Double Up Coffee said: “It is saturated in quantity but not as saturated in identity. Every specialty coffee shop has something different to offer, be it their products or branding … there is diversity. “We expanded this space called Playground, where we call it the playground for home-brewers and coffee professionals.
These chains would have the “capacity” to offer huge discounts to consumers, which could entice customers into trying coffee or getting acquainted with the field of specialty coffee.Besides the growing out-of-home coffee consumption, more consumers are also venturing into home-brewing — which has seen a market for coffee gear and equipment, coffee subscriptions, and coffee capsules.
It will also work towards a coffee subscription model, and diversify its products to make specialty coffee “more approachable to mass consumers” — including exploring the production of specialty coffee capsules. Mr Mervin Lim said that Double Up Coffee would pivot to other functions within the coffee industry, which includes focusing on its coffee roasting arm.
“Now, the industry is moving towards plant-based … there’s a potential for plant-based Nanyang coffee.” To support customers on their home-brewing journey, the brand also introduced coffee brewing kits and machines.