Format and Flavor, the Trends Fueling Specialty Coffee's Next Wave – CoffeeTalk

Specialty coffee is experiencing significant growth, driven by a younger and diverse consumer base, an increasing preference for espresso and cold coffee formats, and a heightened emphasis on flavor, customization, and innovation, according to the National Coffee Association’s 2026 NCDT Specialty Coffee report. Nearly 50% of U.S. adults are now consuming specialty coffee daily, surpassing traditional coffee consumption which stands at 42%. Specialty coffee drinkers, who prioritize variety, flavor, and perceived health benefits, also engage with a broader range of beverages including vitamin-enhanced waters, flavored waters, coconut water, and various teas.

The term “specialty coffee” has evolved to encompass a wide variety of products, going beyond traditional quality metrics to include premium brewed coffees made from higher-quality beans, espresso-based drinks such as lattes and cappuccinos, non-espresso options like cold brew, as well as ready-to-drink (RTD) formats in cans or bottles.

Younger consumers, particularly those aged 25 to 39, are notably leading the surge in specialty coffee consumption, with 69% having consumed it in the past week—this is the highest penetration of any age group. The 18 to 24 age cohort is also showing a preference for specialty coffee over traditional formats. Demographically, Hispanic Americans represent a highly engaged audience, with 67% consuming specialty coffee weekly, closely followed by Asian American consumers at 64%. Regionally, specialty coffee consumption is most prevalent in the Northeast (64%) and West (61%), followed by the Midwest (57%) and South (60%).

Espresso-based beverages are significantly contributing to this growth, with 45% of Americans consuming such drinks in the past week and 29% in the past day—the highest levels recorded. Classic offerings such as lattes, cappuccinos, and straight espresso underscore the influence of barista-style beverages. Concurrently, cold coffee options are becoming increasingly popular, with 60% of specialty coffee drinkers consuming cold coffee recently—a 6.6 percentage point increase from the previous year—while non-espresso cold drinks like cold brew and frozen beverages have reached 17% past-day penetration.

Flavor is a key determinant in the specialty coffee experience, with 35% of consumers identifying flavor as the defining characteristic of “specialty.” Indulgent flavors like chocolate, caramel, and brown sugar are most favored, but there is also an openness to innovative non-traditional flavors that include spices, floral, and herbal notes. This signals potential for growth in the specialty coffee category through new flavor profiles. Personalization also plays a critical role, with over 59% of drinkers adding sweeteners or syrups, and 60% using milk or cream, often combining both in a single cup.

The report further highlights the crossover between specialty coffee consumer habits and functional beverages, suggesting opportunities in innovative ingredients such as mushroom coffee. Despite low current awareness, 30% of consumers are willing to try it, while 41% of specialty coffee drinkers express interest, indicating a synergistic relationship between specialty coffee and functional beverages.

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