Nitro cold brew coffee has never been more popular, and its consumption is projected to only grow further in the coming years. 

However, the significant upfront investment required to enter the market is a barrier for many businesses. This means you don’t turn a profit for months or even years – despite matching the growing demand for nitro.

We spoke to Adam Holliefield, Director of Cold Brew at Coffee Support, to find out more about nitro cold brew and the benefits for your business. Read on to find out what he said.

Capitalise on growing demand

Cold coffee is booming. It has long been hailed as the future of the sector, with demand driven primarily by Gen Z and millennial consumers. These generations are “significantly” more likely to drink RTD and other cold coffee products than pour over or espresso. 

One of the main factors behind this growth is customisation. RTD allows you to stock shelf-stable coffee beverages to meet a range of consumer tastes. With demand for low-calorie, vegan, and decaffeinated options all growing, this allows you to cater to a broader and more diverse range of consumers. 

Nitro in particular has become extremely popular in recent years. As well as boasting a unique texture, the infusion also creates a cascading effect when the coffee is poured, creating the distinctive foamy head. 

Alongside the mouthfeel, the aesthetic is also popular among younger consumers. This appeals to their search for “Instagrammable” products who put as much emphasis on the visual aspect of the experience as the taste.

Customisation is key for reaching new audiences

As mentioned above, customisation is a major factor behind the growth of RTD and cold coffee. Younger consumers expect a wide range of convenient coffee options at their fingertips – whether that’s a vegan oat latte or a decaf nitro cold brew. 

RTD is a great way to meet this demand, as it allows you to provide consumers with an instant, high-quality solution. There’s no need to spend several minutes preparing a unique, one-of–a-kind drink – instead, you can offer consumers exactly what they want in a fraction of the time. 

“Cold brew’s popularity stems from its versatility,” Adam says. “It is an approachable beverage that one can add cream or sugar to if needed. Thanks to its smooth and less bitter taste, you can even drink it black.”

Adam adds that stocking cold brew also gives you the opportunity to use it as an ingredient – either in food or other drinks. 

“Outside of its intended use, shops can use it as an ingredient to craft fun and creative drinks that would normally not be possible with regular cold brew or espresso,” says Adam.

Why a longer shelf life helps you meet this demand

Many RTD products are shelf-stable, which means that you don’t have to contend with the same wastage timeline as standard cold brew (which can only be refrigerated for a couple of days). 

Our RTD range at Hardtank, for instance, is shelf-stable for up to 12 months. This means you can stock up on a range of drinks ahead of time. This means you can stock oat lattes, decaf cold brew, and even cold steeped RTD tea without worrying about potential waste.

How profitable is nitro cold brew coffee for businesses?

With popularity still on the rise, many businesses think nitro cold brew coffee is guaranteed to be profitable. But it isn’t that simple – it depends how you enter the market.

Creating your own line of nitro drinks requires a significant upfront investment in equipment, space, and training. After that, there are other issues to consider, such as food safety regulations, energy costs, and more.

This is why many businesses work with a private label partner. This significantly reduces your cost per can and means you can generate profit from the very first pallet you order. As opposed to paying off your overheads for months or years first.

“Cold brew, in the past, was your highest cost item on your menu. Now it is almost the same as everything else. So, it’s really a huge opportunity to enter the industry,” says Adam.

Demand for RTD is booming. What’s more, consumers want RTD drinks made their way, and that is becoming easier than ever to achieve with the customisation options available through RTD. However, entering the market yourself is costly, requiring a significant upfront investment. 

Working with a private partner lowers the barriers to entry and means that you can start turning a profit more quickly. 

At Hardtank, we offer two options: you can choose beverages from our existing range (such as our classic nitro cold brew coffee) or provide a custom formula to create a signature RTD beverage 

To find out more about sourcing nitro cold brew for your business, contact the Hardtank team, or receive regular updates by signing up for our newsletter here. 

Hardtank nitro cold brew coffee.