Beverages is the only food that fits into every single band of the taste, color and texture spectrum.  There are more options in every beverage niche ranging from coffee to carbonated to cocoa and water.  Apart from carbonated, there are seven major beverage categories.  Coffee beverages, including hot and cold and including specialty and regular account for over one third (35.3%) of menu listings on restaurant menus.  Coffee beverages are the fastest growing beverage category.  MenuMine, the foodservice industry's menu information database, indicates growth is greatest for coffee (4.7 pts), tea (3.2 pts) and bottled water (2.4 pts).

Hot and Cold Options

When cold, chilled and iced versions of beverages (not including carbonated) are aggregated, Cold Beverages have a greater menu presence, with 58.1% of menu listings, but there is a net loss of 3.5 menu share points when compared to a benchmark MenuMine survey conducted in 1996.  Hot Beverages, with 41.9% of menu listings, have shown a 3.5 menu point share gain. 

Coffee

Specialty coffee now accounts for over half of all coffee on the menu.  Currently, 55% of all coffee menu listings are specialty coffee varieties. Regular and decaffeinated coffee, account for 31% of menu listings and chilled or iced coffee 14%.  Any restaurant that does not serve a Specialty Coffee is locking itself out of a profit bonanza.  At an average menu price (median) of $2.95, the market for Specialty Coffee will bear a price that is double that of Regular Coffee at $1.45.  Selling Chilled or Iced Coffee is an even better idea, because there is a willingness to pay a premium price ($3.55) that is almost two and one half times more than regular hot coffee.

Specialty Coffee

Specialty Coffee is really any coffee other than normal-typical-regular (or decaffeinated coffee).  Flavors and types abound and overlap, but there seem to be eight definable groupings of Specialty Coffee.  Cappuccino, which is a shot of Espresso with steamed and frothed milk is very popular on menus.  Cappuccino makes up one of every four specialty coffee menu listings (24%).  Mocha, or chocolate flavored espresso, adds up to 22% of all specialty coffee menu listings.  Lattes have a little bit more steamed milk and more froth and account for 19% of all listings.  For those consumers preferring a more subdued espresso, the Americano is a good choice and for those who like caramel flavoring, Machiato is recommended.  Cafe Au Lait is made more with brewed than with espresso.  There are numerous flavors, but the most popular seem to be hazelnut, french vanilla, almond, almond mocha, mint, butter pecan, cinnamon, mocha, chocolate and mint.

What Chains Are Doing

Chains have reasoned it is best to be prepared when it comes to satisfying specialty coffee tastes.

Iced/Chilled Coffees

There are now three times as many chains offering Iced/Chilled Coffee on the menu as there were when tracking began in 1996.  Almost half (47%) of these beverages use the term Iced. Other popular terms are Mocha (15% use), Latte (10%), Cappuccino (9%), Cool (9%), Espresso (5%), Chill (5%) and Drink (5%).

Fruit Juice and Drinks

Juices and Drinks have a huge presence on menus.  Leading flavors are shown below 

Dessert Drinks

There are four types of Dessert Drinks.  Ice Cream based Dessert Drinks account for 47% of all menued Dessert Drinks, however, there was a time when Ice Cream based drinks accounted for almost four of every five dessert Drinks menued in foodservice.  Shakes/Malts and Smoothies are the leading categories and each has a 37% menu item share.  Ice Cream Floats/Sodas/Frappes/Coolers, which include sodas or other drinks as an ingredient, have a current 10% menu item share.  The fourth category, Iced Freezes/Slushes/Shivers/Chillers, use chipped ice and flavored syrup or soda as ingredients.

Iced Tea

Almost all chains list Iced Tea on the menu.  Most of the time, the menu item name is simply Iced Tea, or a brand of tea is mentioned or a flavor such as Chai, Raspberry, Peach or other.  Shown below are fanciful ways to draw attention to iced tea and thereby make it a signature item.

Hot Cocoa/Hot Chocolate

Hot Cocoa is listed on 16% of chain menus that list a Hot Cocoa/Chocolate beverage. The remainder (84%) list the item as Hot Chocolate. 

Hot Specialty/Specialty Tea

Hot tea is available in all restaurants that serve coffee.   More than half (54%) of all hot tea listings on menus are for specialty teas including herbal, flavored and gourmet

Bottom Line

Beverages are profitable.  Iced/Chilled beverages are more profitable.