Record coffee prices push consumers home, sparking Gen Z TikTok trend

Coffee shops lost a bit of shine as the home market grew
A coffee expert observes how rising prices are reshaping where and how people consume their daily brew.
Mark

So 37 percent of people are brewing at home now. That's a real number from Citigroup, right? Not an estimate?

Mimi

Yes, from an October survey of about 1,900 international coffee drinkers. And it's not just the United States—they saw the same pattern in Australia, China, Thailand, Britain.

Luke

But that's people who have already shifted. The more interesting figure might be the two-thirds of non-brewers who say they expect to start within 12 months. That's forward-looking, not confirmed behavior.

Mimi

True. But it does suggest the trend has momentum. People are thinking about it, planning for it.

Mark

What's driving it? Just price, or is there something else?

Mimi

Price is the primary driver. Arabica beans have more than doubled in cost over two decades. A regular cup in the US went up almost 20 percent since early 2023.

Luke

Those are wholesale and menu prices. We don't know exactly how much of that is being absorbed by shops versus passed to consumers. The Toast data shows the menu impact, but individual experience varies.

Mark

And the Gen Z TikTok thing—is that real or is it media narrative?

Mimi

The hashtags #HomemadeCoffee and #CoffeeMaker have doubled in posts over a year. There are creators like Abi Whitlock and Gill Riley with substantial followings sharing these tips.

Luke

That's real activity, but we should be careful about causation. Are Gen Z driving the trend, or are they documenting a trend that economics created? The TikTok is the symptom, not necessarily the cause.

Mark

What happens to coffee shops?

Mimi

Starbucks and Tim Hortons have seen per-store visit declines. But cheaper drive-through and convenience store options are growing. It's a reshuffling, not a collapse.

Luke

And Hoffmann's point about people wanting to hang out together—that's an assumption about human behavior, not data. We don't know if that will hold as home brewing becomes normalized.

  • Arabica bean prices have more than doubled over two decades, pushing US coffee shop prices up nearly 20% since early 2023 alone — a structural shift, not a temporary spike.
  • Major chains like Starbucks and Tim Hortons are losing ground, with per-store foot traffic declining steadily from January through November as customers quietly defect.
  • A Citigroup survey of nearly 1,900 drinkers across five countries found 37% already brewing more at home, with two-thirds of non-brewers expecting to follow within the year.
  • The market is fracturing in response — home espresso machines surged 43% in UK Black Friday sales, private-label supermarket coffee is expanding rapidly, and drive-through chains are posting double-digit visitor growth.
  • Gen Z is transforming personal frugality into public identity, with TikTok posts tagged #HomemadeCoffee doubling in a year as creators share cold brew hacks and budget latte tutorials to tens of thousands of followers.

For generations, the coffee shop was a ritual as much as a refreshment — a place where the price of belonging was measured in lattes. Now, as arabica bean prices have more than doubled and menu costs climb sharply, hundreds of millions of people are quietly renegotiating that contract, moving the morning cup from the counter to the kitchen. What looks like a consumer trend is something older and more fundamental: the human instinct to adapt necessity into identity, turning a budget constraint into a new kind of craft.

Coffee has grown genuinely, structurally expensive. Arabica beans — the variety chains like Starbucks depend on — now trade around $3.60 a pound on New York futures, more than double their price two decades ago, driven by poor harvests in Brazil and lingering trade tariffs. The effect is visible on every menu: a regular cup in the United States has risen nearly 20 percent since early 2023 alone.

People are not abandoning coffee. They are buying it differently. A Citigroup survey of nearly 1,900 international drinkers found that 37 percent have shifted toward brewing at home, a pattern consistent across the United States, Australia, China, Thailand, and Britain. Among those who don't yet brew at home, roughly two-thirds expect to start within the year. This is not a fringe reaction — it is a wholesale recalibration of how a daily necessity is consumed.

The shift takes different forms. Some, like a Massachusetts communications executive who once visited coffee shops six or seven times a week, have invested in home grinders and espresso machines, trading upfront cost for lasting savings. Others are turning to subscription bean services, whose customer bases are expanding well beyond traditional enthusiasts. In Britain, home coffee machine sales jumped 43 percent over Black Friday. Meanwhile, private-label supermarket coffee and drive-through convenience locations are growing rapidly, even as established chains like Starbucks and Tim Hortons watch per-store visits decline.

What began as a practical response to inflation has become a cultural identity, especially among Gen Z. On TikTok, creators are sharing techniques for recreating the café experience at home — cold brew, bulk iced latte cups, French press milk frothing — with posts tagged #HomemadeCoffee doubling over the past year. A 27-year-old from Illinois reviews budget coffee options for 62,000 followers from her car. A 20-year-old American student in Barcelona shares home-brewing tips with her own audience. Frugality has become fluency.

Coffee connoisseur and YouTube influencer James Hoffmann acknowledges that coffee shops have lost some of their momentum as the home market grew, yet remains confident they will endure as social spaces. The deeper question is what they will become — and for how many people the daily calculus of easier, cheaper, and just-as-good at home will prove permanent.

Coffee has become expensive. Not aspirational-expensive, the way a good cappuccino once was—genuinely, structurally expensive. The price of arabica beans, the high-quality variety that chains like Starbucks depend on, has more than doubled over the past twenty years. It now trades at around $3.60 a pound on New York futures, a spike driven by poor harvests in Brazil and trade tariffs that have only recently begun to ease. The result is visible on every menu: a regular cup of coffee in the United States has climbed nearly 20 percent since early 2023 alone.

But people are not giving up coffee. They are simply buying it differently. In an October survey of nearly 1,900 international coffee drinkers, Citigroup found that 37 percent have shifted toward brewing at home. The pattern holds across continents—the United States, Australia, China, Thailand, Britain all show the same movement. Among those who do not yet brew at home, roughly two-thirds expect they will within the next year. This is not a fringe response to temporary scarcity. It is a wholesale recalibration of how hundreds of millions of people consume a daily necessity.

The shift takes different forms depending on who is doing it. For some, like Ed Harrison, a managing director at a communications firm in Massachusetts, the answer was capital investment. He used to visit coffee shops six or seven times a week. Now he goes four times a month. Instead, he has bought a grinder, a drip maker, and an espresso machine for his home. The upfront cost is substantial, but the daily savings are undeniable. For others, the path is simpler: Trade Coffee, a subscription service that delivers whole beans from local roasters, has seen its customer base expand beyond the traditional aficionado market. New buyers are coming for the same reason—they value the money they save. During Black Friday in Britain this past November, sales of home coffee machines jumped 43 percent year-over-year.

For those without the time or temperament to brew at home, the market is adapting too. Cheaper alternatives are proliferating. Private-label coffee, produced by roasters but sold under a supermarket's own brand, is gaining ground as budgets tighten. Westrock Coffee, a manufacturer of private-label and ready-to-drink products with a plant in Arkansas that opened in 2024, is already running at capacity and building new production lines. Foot traffic data shows that drive-through and convenience store coffee locations across the United States are seeing growth in customer visits, some in double digits. Meanwhile, established chains like Starbucks and Tim Hortons, despite their own drive-through operations, have watched per-store visits decline from January through November compared to the year before.

What began as a practical response to inflation has become a cultural phenomenon, particularly among Gen Z. On TikTok, users are sharing techniques for recreating the coffee shop experience at home on a budget—cold brew in the refrigerator, bulk-bought plastic cups for iced lattes, milk frothed with a French press. Posts tagged #HomemadeCoffee or #CoffeeMaker have doubled over the past year. Abi Whitlock, a 27-year-old from central Illinois, reviews budget coffee options for 62,000 followers from her car. Gill Riley, a 20-year-old American studying in Barcelona, shares home-brewing tricks with her audience. What might have been a private concession to price pressure has become a shared identity, a way of signaling both financial awareness and resourcefulness.

James Hoffmann, a coffee connoisseur and YouTube influencer who co-founded Square Mile Coffee, observes that coffee shops have "lost a bit of the shine, a bit of momentum as the home market grew." Yet he remains optimistic about their survival. "I still like hanging out with people," he said, "and coffee shops remain the place to do that." The question is not whether coffee shops will endure, but what they will become. Gill Riley captures the current calculus plainly: she might visit a coffee shop more often if prices fell, but for now, making coffee at home is easier and cheaper. That trade-off, multiplied across millions of consumers worldwide, is reshaping an industry that has long taken daily foot traffic for granted.

Coffee shops lost a bit of the shine, a bit of momentum as the home market grew
— James Hoffmann, coffee connoisseur and co-founder of Square Mile Coffee
There's no comparison in the daily savings
— Ed Harrison, managing director at Inkhouse, on home brewing versus coffee shops
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