Who loves coffee? Everyone, right? Well, not exactly. The target market for coffee makers is actually a little bit narrower than that because not only are there people who do not like coffee but amongst those who do not everyone will want a coffee maker to make the coffee by themselves.

Having said that, the target market for coffee makers is still quite immense and is growing as is evidenced by the successes of coffee-making machines from Nespresso, Cuisinart and DeLonghi, and even tech companies like Panasonic.

In this article, we will review this portion of the coffee-loving market and discuss the factors that influence their decision to purchase one coffee maker over another.


Who Is The Target Market For Coffee Makers?

One of the best ways to understand the target market for coffee makers is to understand people’s motivations for using a coffee maker to make coffee by themselves instead of going to a cafe or a coffee shop.

Once we understand the customers’ needs and therefore their motivation, we can segment the market and study each segment to see what attracts them to a coffee maker.

Such an analysis gives us the following segments of the target market for coffee makers:

  1. People who want to save money by making coffee at home
  2. People who appreciate fresh, high-quality coffee
  3. People who have time constraints and don’t have time to go to a cafe
  4. People looking for consistency in their coffee
  5. People who want to experiment with different coffees and brewing methods
  6. Offices and businesses that want to provide coffee for their employees
  7. People looking for a gift for someone else

Let’s look closely at the needs of each of these segments.

1. People who want to save money by making coffee at home

The quickest way to see the financial benefit of saving money by making coffee at home is to do a return on investment calculation.

Let’s say that a middle-of-the-road coffee machine costs $200. Let’s say that you can make coffee with this machine using a coffee capsule. Most capsules cost around $0.30 each.

Let’s also say that the person who buys this machine has a cup of coffee each morning. Let’s assume that this same coffee costs them $3 at their local coffee shop.

To see the ROI with a coffee machine, we’ll compare costs between using the coffee machine with capsules and the coffee shop over a period of 3 months.

Over 3 months, or about 90 days, the coffee shop will cost the person 90 days X $3 = $270.

Over the same 3 months, or 90 days, the coffee at home will cost 120 X $0.3 = $36 in capsules. To this, we add the cost of the machine which was $200. That gives us a total cost of $236.

What this calculation shows is that within 3 months, a person who has just 1 coffee per day can recover their investment in a coffee machine.

And so clearly one of the key segments of the target market for coffee machines are people looking to save money!

2. People who appreciate fresh, high-quality coffee

Money aside, people also buy coffee machines because they can fresh, high-quality coffee anytime they want, without leaving their home.

Of course, they can also get this same coffee from a cafe. But what if it’s late at night and they want a coffee? Or, what if they want to enjoy a quiet cup of coffee in their own home?

For people who appreciate fresh, high-quality coffee, a coffee machine is the perfect solution.

3. People who have time constraints and don’t have time to go to a cafe

Many people just don’t have the time to go out for coffee. They might be busy with work, taking care of their family, or have other commitments that mean they can’t leave their home.

For these people, having a coffee machine at their disposal means they can have a fresh cup of coffee without having to leave their homes or offices.

Many busy people will put a portable coffee machine in their offices for this very reason.

4. People looking for consistency in their coffee

Each time someone goes to a cafe, they might get a different tasting coffee. This is because each barista makes coffee slightly differently.

Sometimes, people don’t get the chance to go to the same coffee shop each time. In this case, they are almost sure to get a coffee that tastes different.

Some people like this variety. But prefer to have a consistent coffee taste. For such people buying a coffee machine and using the same brand and make of coffee or coffee capsule is the answer.

5. People who want to experiment with different coffees and brewing methods

While some people cherish consistency and predictability in their coffee, others like to experiment.

For these people, a coffee machine can be very practical because it gives them the ability to experiment with different coffees and brewing methods.

Some people might want to try a new coffee each week. Others might want to experiment with different brewing methods to find the one that works best for them.

There are people who order coffee beans from all over the world and one of the easiest ways for them to try out their newest coffee is with a coffee machine at home.

6. Offices and businesses that want to provide coffee for their employees

This segment of the target market for coffee makers is office managers who are generally responsible for stocking the office kitchen with supplies.

They might not be looking for a specific coffee maker but they will want to provide their employees with good quality coffee while saving money for the company.

One of the easiest (and cheapest) ways to provide coffee for employees is to have a coffee machine in the office.

Many businesses choose to do this because it is a cost-effective way to keep employees happy and productive. It’s also a good way to show employees that they care about them and want to provide them with amenities that make their lives easier.

And if employees don’t have to leave the building or even their offices to get coffee, they will stay in the office longer and perhaps be more productive.

Some businesses use sell coffee in addition to other food items. For instance, bakeries try to improve their profitability by offering high-margin products like coffee. As we saw earlier in this article, the unit cost of a coffee can be as low as $0.30 but can be sold for $3 – that’s 10X!

7. People looking for a gift for someone else

Finally, a coffee machine can be a perfect gift for someone who loves coffee but doesn’t have a machine at home.

Most good coffee makers are reasonably priced and so giving one as a gift is not a huge financial investment.

It’s also a practical gift that the recipient can use every day. So, for coffee lovers, a coffee machine is a gift that keeps on giving. And many modern coffee machines can last for many years.


Conclusion

The target market for coffee makers generally includes those who love coffee and don’t always have the time or desire to get to a coffee shop when they feel like a coffee.

One of the interesting reasons why people buy coffee machines is to save money. A coffee made from a coffee machine costs a fraction of what it costs in a coffee shop and sometimes even tastes better. And sometimes even in a few months, the investment in a coffee maker can be recuperated.

Another segment of the market includes those who love fresh, high-quality coffee and want it when they want it. Regardless of the reasons why they cannot go to a coffee shop, a coffee machine can give them great coffee on-demand.

People who look for consistent taste in their coffee also prefer to use coffee machines. Similarly, those who like to experiment with different coffees also find a coffee machine an attractive solution.

Offices that want to provide coffee to their employees will often put a coffee machine in the common area or the company kitchen.

And finally, a coffee maker can be a great gift for someone who loves coffee. And best of all, it’s a reminder of who gave the gift each time someone makes coffee.