Generation Z refers to the segment of the population born between the mid-1990s and the late 2000s. Some more specific sources state the hard cut-off years of 1997 and 2012.
A specific birthdate window may be the de jure definition. Still, Gen Z – or Zoomers, iGen, post-millennials, or centennials – is more accurately defined by a shared zeitgeist, the spirit or mood of a particular period of history. In de facto terms, Gen Z is defined by its dynamic, unpredictable, and revolutionary characteristics.
Soon, today’s 15 to 28-year-olds will hold the most significant portion of global spending power. A 2024 Nielsen report, Spend Z, forecasts that this value will exceed $12 trillion by the end of the decade and suggests that companies should take note.
In the coffee world, they already are. Innovation in the space is developing at a sensational rate, with more new product development, new product launches, and new format conceptions recorded than ever before. One such channel of creativity is the world of RTD coffee.
Private label cold brew can coffee, and other similar products are uniquely positioned to capture younger generations’ attention.
We spoke to Marie Green, founder of Dome Arome, to learn more.
How does Gen-Z spend its money on coffee?
According to Bloomberg, those born between 1997 and 2012 have an estimated $360 billion in disposable income, far above their Millenial and Boomer predecessors. The average household income of a Zoomer is about 40,000 USD, more than double the average in the late 1980s.
More disposable income means more spending. One theory behind this behaviour is that Gen Z inadvertently learned to spend from their parents (Gen X). Dual-income households mean less parental time at home, which is compensated for by increased financial support or gifts out of guilt.
Whatever the reason, Gen Z deploys its disposable income in ways specific to its peer group. They are digitally native, appreciate on-demand and convenient purchasing, and value customised experiences and products that tout authenticity, sustainability, and personalisation.
In the coffee setting, this means high-quality products that are fun, accessible, innovative, and varied. 46% of Gen Z’ers surveyed by a recent Mintel study indicated that they drink RTD coffee and less traditional ground coffee.
Further, just 33% report sticking to the same brand for their coffee purchases, compared to 44% of Gen X and 50% of Boomers: young people are less loyal to their favourite logos.
In order to retain young customers, brands need to be in a state of perpetual innovation. Flavour varieties, seasonal options, limited edition products, and alternative beverages may keep them coming back, but resting on your well-established brand laurels is not the recipe for success it once was.
Convenience – offered by private label cold brew can coffee – is a hygiene factor at this point: they simply must be provided to Zoomers. If a product does not suit their increasingly transient, on-the-go lifestyles, it won’t survive in the retail setting.
Why private label cold brew can coffee is the right option for modern coffee businesses
Tomorrow’s coffee consumers want convenience, product variety, quality, and accessibility. Private label cold brew can coffee ticks all the boxes.
As a private label product, coffee or RTD companies can source a portfolio of products and outsource the technically and mechanically demanding processes to an expert in the field. At Hardtank, for example, we offer our clients a range of 10 private label cold brew can coffee options, customised to their preferences or designs and turned around in less than six weeks.
To properly manufacture private label cold brew can coffee, you need a unique set of skills, expertise, and experience. As a smaller business, manufacturing your own is rarely an option financially or labour-wise. Even larger enterprises opt for private-label services for RTD cold brew.
Nevertheless, RTD coffee is what the consumer wants, and offering a line-up of high-quality, beautifully customised private label cold brew can coffee to market will future-proof your business as your customer base grows younger.
“From my experience, packaging plays a big role,” says Marie. “Packaging is strongest when it works hand-in-hand with the brand story.”
“If the message is strong and resonates with people, the packaging reinforces it rather than being the sole driver.”
One product won’t cut it, either. Customers are already seeking nitro coffee, flash-chilled coffee, functional coffee drinks, and coffee alternatives like cascara and cold brew tea. Pick a partner that can offer more than a basic canned iced coffee.
Functional private label cold brew can coffee, for example, speaks to multiple younger consumer trends simultaneously: cold, healthy, lighter, customisable, and sustainable. At Hardtank, we offer a Super Focus Nitro canned coffee with added L-theanine for improved concentration and focus.
Cold brew is endlessly customisable. It can be mixed with plant-based milk for vegan or other dietary appeal. It can be sweetened with natural flavours, served black for minimum caloric impact, dosed with nitrogen for a smoother mouthfeel, or boosted with added nootropics.
When choosing a private label cold brew coffee partner, make sure they are experts in cold brew production. Convenience and quality are non-negotiables, even when masked by beautiful aesthetics, compelling brand storytelling, or sustainable packaging.
To source your own line of private label cold brew can coffee, visit our website or get in touch with us directly.
You can still catch a recording of our recent RTD masterclass here.
Private label cold brew can coffee
