How are consumer habits shifting in the Greek coffee market?
Consumers are increasingly opting to enjoy their coffee at home to mitigate the impact of the rising cost of living. According to NielsenIQ data presented at the 1st Panhellenic Coffee Symposium, while coffee remains a staple, the way it is consumed is undergoing a structural transformation. Nearly two out of three consumers intend to reduce their spending on dining out, and 45.7% report they will visit cafes and coffee shops less frequently.
Despite these changes in frequency, coffee remains a dominant force in the 'out-of-home' environment. In Greece, coffee (both hot and cold) accounts for 57.9% of beverages consumed in hospitality venues, a figure comparable to beer. While the frequency of visits to cafes might be declining, the loyalty to the product remains high: 74% of people in these venues choose coffee as their primary beverage. Furthermore, 43% of consumers visit coffee establishments once or twice a week, and almost 90% of the population are regular cafe visitors.
This dual reality—reduced frequency but high loyalty—suggests that while the cafe is no longer a daily destination for everyone, it remains the primary social and physical space for coffee consumption. The data shows that even as budgets tighten, the ritual of coffee remains a non-negotiable element of the Greek lifestyle, even if the location of that ritual is shifting from the street to the living room.
The role of organized retail and FMCG
The shift toward home consumption is most evident in the organized retail sector. Approximately 60% of shoppers reported purchasing packaged coffee or tea during their most recent supermarket visit. Interestingly, coffee acts as a significant driver for store visits, with 22.6% of consumers stating it prompts them to go to the shop. The category is currently outperforming the broader Fast-Moving Consumer Goods (FMCG) market; while the total FMCG sector saw a 5.5% increase, the coffee category grew by 10.1% in organized retail.
The sheer scale of this importance is reflected in the turnover figures. Coffee currently ranks third among the 171 FMCG categories studied by NielsenIQ, trailing only behind cheese and milk. Furthermore, two specific coffee codes hold the top two positions among approximately 100,000 codes circulating in organized retail. This positioning underscores coffee's role as a cornerstone of the Greek consumer basket, providing a level of stability and growth that many other consumer goods categories lack.
Why is espresso gaining ground over traditional Greek coffee?
The market is seeing a steady migration from traditional Greek coffee toward more diverse espresso-based products. While traditional Greek coffee remains the most popular by volume, its market share has seen a notable decline. In the year-to-date period ending July 2026, traditional Greek coffee accounted for 44.4% of volume, down from 51.3% in 2019. In contrast, instant coffee is showing signs of recovery, reaching 27.1% of the market.
The most significant growth is occurring within the espresso segment, driven by a desire for a premium experience at home. The breakdown of espresso-related volumes includes:
- Ground espresso: 6.1%
- Coffee capsules: 7.6%
- Whole bean espresso: 1.3%
This trend is closely linked to the rise of specialized brewing equipment. Sales of hot beverage machines in Greece reached 403,000 units in 2025, representing a 17.5% increase compared to 2023. The average price for these machines stood at approximately €83. Currently, capsule-based espresso machines dominate the market, holding 43.2% of unit sales, though fully automatic and bean-to-cup machines are also seeing development. This indicates that Greek consumers are willing to invest in technology to replicate the professional cafe experience in their own kitchens, prioritizing convenience and consistent quality.
What are the economic challenges facing the Greek coffee industry?
Industry stakeholders are facing a complex economic environment characterized by rising operational costs and regulatory pressures. Anastasios Giaglou, President of the Greek Coffee Union (EEK), has highlighted that the industry is struggling with a combination of rising international raw material prices and increased domestic expenses. Key cost drivers include energy, rent, and payroll, which create significant sustainability concerns for businesses.
A major point of contention for the industry is the Special Consumption Tax (SCT) applied to coffee. The EEK is actively advocating for the abolition or reduction of this tax to provide relief to both businesses and consumers. Giaglou points to international precedents, such as Denmark, where taxes on coffee and chocolate were recently removed to alleviate the burden on households. The union argues that reducing these fiscal pressures is essential for maintaining a healthy, competitive environment and preventing temporary measures from becoming permanent economic burdens. Furthermore, the EEK emphasizes the need for a regulatory environment that fosters healthy competition without the imposition of interventionist measures that could stifle the sector's long-term viability.
How is the ready-to-drink coffee segment performing?
The ready-to-drink (RTD) coffee category serves a specific niche, primarily focused on 'grab and go' consumption through convenience channels. In 2025, the value of this category reached €16.8 million, a 6.3% increase compared to 2024. However, the market showed signs of stagnation in the first seven months of 2026. During this period, the value of the RTD segment grew by only 0.6%, as a 2.4% increase in prices was offset by a 1.8% decline in total volume.
This stagnation highlights the sensitivity of the 'on-the-go' segment to price fluctuations. While the convenience of RTD coffee remains an attraction, the combination of rising prices and a slight drop in volume suggests that consumers may be more selective about these premium-priced, ready-made options compared to traditional or home-brewed alternatives.
Key takeaways
- Organized retail coffee sales reached €501.4 million in 2025, a 13.7% annual increase.
- Traditional Greek coffee market share fell from 51.3% in 2019 to 44.4% in 2026.
- Coffee consumption in hospitality venues accounts for 57.9% of all beverages served.
- Hot beverage machine sales rose by 17.5% between 2023 and 2025.
- The coffee category's 10.1% growth significantly outpaces the 5.5% FMCG average.
FAQ: Greek Coffee Market
How much did coffee sales grow in Greece in 2025?
In 2025, sales in organized retail and convenience stores reached €501.4 million. This represented a significant growth of 13.7% compared to the sales figures recorded in 2024, demonstrating the sector's resilience despite economic pressures.
Is traditional Greek coffee losing popularity?
Yes, while it remains the most popular by volume, its market share is declining. It dropped from 51.3% of the volume in 2019 to 44.4% in the first seven months of 2026, as consumers move toward espresso and capsules.
What is driving the increase in home coffee machine sales?
The growth is driven by consumers seeking to replicate the cafe experience at home. Sales of hot beverage machines increased by 17.5% from 2023 to 2025, with capsule machines making up 43.2% of unit sales.
How does coffee performance compare to other FMCG products?
Coffee is performing exceptionally well compared to the broader market. According to NielsenIQ, the coffee category saw a 10.1% increase in organized retail, whereas the total FMCG category grew by only 5.5%.
What are the main concerns of the Greek Coffee Union?
The Greek Coffee Union is primarily concerned with rising operational costs, such as energy and rent, and the Special Consumption Tax. They are calling for tax reductions to support both businesses and household budgets.
Conclusion
The Greek coffee market is undergoing a profound structural shift rather than a decline. While the cost of living has forced many consumers to reduce their visits to traditional cafes, this has triggered a boom in the home consumption segment. The transition from traditional Greek coffee to espresso, capsules, and advanced brewing technology reflects a consumer base that values both convenience and a premium experience. Despite the challenges posed by rising costs and taxation, the industry's strong growth in organized retail suggests that coffee remains an essential and highly resilient component of the Greek economy and daily lifestyle.
