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The secret behind why people are drinking less coffee

Jun 22, 2015, 23:23 IST

Getty Images/Sergi Alexander Single-serve pods are changing the amount of coffee people drink.

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Coffee consumption by volume is down even though people are spending more money on the beverage, according to Reuters.

This can be attributed to the emergence and popularity of single-serve coffee brewers such as the Keurig.

More than a quarter of American households own a single-serve brewing machine, according to a National Coffee Association survey.

US consumption is expected to drop from 24 million bags to 23.7 million this year, according to a the biannual coffee report from the U.S. Department of Agriculture.

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"The nation will be the only one of the top eight global coffee-drinking countries to see a decline in consumption, with overall global demand rising by nearly 2 million bags to 147.6 million bags," according to Reuters.

People might be drinking less but definitely not spending less.

Americans are expected to spend $12.8 billion on coffee in 2015 and $13.6 billion in 2016, according to Reuters.

In the past, one might have brewed a pot of coffee and discarded the leftovers. With the Keurig, that waste is eliminated.

Many think the pods are wasteful and harmful for the environment, which is why the company is planning to make all K-Cups recyclable by 2020.

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Keurig has propelled the pod-based coffee concept forward through its partnership with popular brands like Starbucks, Dunkin' Donuts, Swiss Miss, and Snapple.

Keurig's pod sales increased by 7% in the most recent quarter.

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