How Much Coffee is Costing us Across the Country

Global payments platform Square is celebrating the third anniversary of their Square Point of Sale in Australia. In honour of this milestone they’ve released the 2017 Square Australian Coffee Report.

The 2017 report summarises data collected and analysed from the millions of cups of coffee sold on the Square platform at hundreds of cafes and coffee bars across the country. It identifies the most popular drinks in each state and territory, the average price we’re paying for our favourite coffees, as well as the new flavour trends taking over menus.

Square also took an additional a deep dive on the latte capital of Australia — Melbourne — looking at different suburbs and surrounding regional towns to see what residents are spending on their favourite brew.

Here’s what Square found:


CoffeeGraph3_Pricing.jpg The report shows that customer demand and spend can vary dramatically by state, as seen by latte drinkers in the Northern Territory, spending on average almost $1 more than those in New South Wales.

Across the country the most expensive coffees were of the iced variety, tipping over the $5 mark in every state. While Aussies were also spending more on mocha and chai, the cheapest coffee across the board was the traditional long black, the only coffee with a national average spend of less than $4.  

Around Victoria the average spend for a latte in Bendigo, $3.80, is around 20% less than what residents are spending in Melbourne’s trendy northern suburbs on the same beverage.  

Popular brews

CoffeeGraph1-Popularity.jpg The latte is still the most popular coffee choice across the board, especially in Victoria where it made up almost half (47%) of all cups sold.

Across the country sales of flat whites have been steadily increasing, up by more than 22% since 2015, with cappuccinos (up 15%) and long blacks (up 6.6%) also on the rise.

The past two years have seen a surge in popularity of coffee infused with on-trend flavours, like chai and matcha. From October 2015 to October 2017, there was a 120% increase in the sales of chai lattes and a whopping 360% growth in matcha-infused brews.

This year also saw more adventurous latte flavours introduced on menus — including beetroot, taro and turmeric. While they all started to show signs of growth in 2017, the biggest spike was seen in turmeric lattes, more than doubling in popularity (120% growth) between April and July.

Melbourne’s Latte Lovers

With almost a $1 difference between the cheapest and most expensive latte in the city, Bendigo locals are saving the most pennies. The rest of the Melbourne don’t have to travel far from the city centre to get a Latte under $4 however, with Coburg averaging $3.80 a cup.

Surprisingly, Melbourne’s CBD isn’t the most pricy when it comes to the cost of latte’s, with the surrounding regions of North Melbourne, Carlton and Port Melbourne charging well over $4 per cup.

Technological innovation in Retail allows for greater and more in-depth data collection. These days with a rapidly adapting environment it is essential for retailers to have similar systems in place to be able to streamline services, increase profits, and grow as a brand while the industry changes with it, one coffee cup at a time.



MST Marquee – The impact of migration on retail

Retail businesses setting budgets and forecasting are understandably finding it difficult to navigate the uncertain economic conditions. Our research can help educate retailers about industry profitability benchmarks, wage growth and inventory levels, so that businesses can better prepare for the future.

Now more than ever

If business, and retail especially, must reflect the zeitgeist in order to remain relevant, then in this unique inflection point in history, the rights of Indigenous people must be incorporated

Retail Voice CEO Message: 8 May 2024

Achieving a unified voice for retail has been a compelling focus for our industry for many years. It is in the spirit of this endeavour that we are delighted to

Retail Voice CEO Message: 1 May 2024

Yesterday, the Australian Bureau of Statistics released retail trade data for March, with a modest increase of just 0.8% compared to the same month last year, despite being bolstered by