The German coffee industry is currently facing a paradox: Green coffee prices have reached a historic high—generally a welcome development, as it can translate into better incomes for farmers in producing countries. Yet, at the same time, discount coffee chains styled after China’s “Luckin Coffee” are rapidly multiplying in German cities. The German Roasters Guild (Deutsche Röstergilde), representing the country’s medium-sized coffee roasters, warns of dangerous displacement competition and potential job losses in the sector.
Growth of Discount Coffee Chains in Germany
Fueled by venture capital and a strong online presence, these new low-cost coffee shops are increasingly challenging owner-operated cafes and specialty roasters with in-house cafés. “Whether these types of fully automated discount shops will prove economically viable in the long term, especially in the age of apps like Temu, remains to be seen,” says Christian Haase, board member of the Deutsche Röstergilde. “What is already clear is that they are causing significant damage to small independent cafés and influencing consumers’ perception of coffee quality.”
Market Dynamics and Consumer Trends
The discount “coffee-to-go” trend—often priced at 2.50 euros per cup—originated in large metropolitan areas and is now spreading rapidly to smaller cities. However, over the past year, consumer education in these urban centers has successfully steered public awareness back toward high-quality specialty coffees at fair prices. While economic pressures may influence some consumers to opt for cheaper offerings, whether the trend will persist remains speculative.
Sustainability Versus Price: The Future of Local Roasters
According to Haase, “Only a commitment to fair compensation and an appreciation for quality will ensure the survival of Germany’s many independent roasters and cafés in the long run.” The Deutsche Röstergilde advocates for sustainable and fair coffee trading, artisan roasting methods, and high standards in specialty coffee.“
Industry Background: About the Deutsche Röstergilde
The Deutsche Röstergilde is the Federal Association for independent medium-sized coffee roasters in Germany. It is committed to sustainability, fair trade practices, artisan roasting, and the promotion of quality in the specialty coffee sector.
For more details, visit: www.deutsche-roestergilde.de (German)
The article was first published on espressomaschine.de