Costa Coffee
Costa Coffee is a British multinational coffeehouse chain founded in 1971 and owned by The Coca-Cola Company, operating 2,700+ UK stores and a presence in 40+ countries with a 26% UK market share. It serves retail consumers, B2B partners, and loyalty members via stores, drive-thrus, and Costa Express machines.
- Company typePrivate
- Founded1971
- HeadquartersDunstable, United Kingdom
- Headcount5,001–10,000
- GTM typeB2B and B2C
- OfferingServices
What Costa Coffee does
Costa Coffee is a British multinational coffeehouse chain founded in 1971, operating 2,707 stores in the UK and a presence in 40+ countries via company-operated sites and master-franchise partners. It holds approximately 26% of the UK branded coffee market and has been named the UK's Nation's Favourite Coffee Shop for 16 consecutive years, anchored by a 400+ drive-thru estate that makes it the country's largest drive-thru coffee operator. The brand is owned by The Coca-Cola Company following a 2019 acquisition valued at ~$5.1B, and Coca-Cola ran a 2024 divestiture process that did not produce a bid meeting the ~£2bn asking price.
The company's core product is hot and iced coffee built around the proprietary Mocha Italia signature blend, supported by a B2B Costa Express self-serve machine platform and, more recently, a US-focused Smart Café B2B coffee solution. Its UK retail business generated £1.23bn in 2024 revenue with a widened operating loss of £13.5m (vs. £5.8m loss in 2023), while international markets are run through localized franchise partners — Devyani International in India (220+ stores, ~₹198 crore FY25 revenue, ~30.76% growth) and Emirates Leisure Retail in the UAE (160 stores, franchise extended to 2040). The Costa Club loyalty program and ~16,000 team members complete the operating stack.
Costa's business model combines UK company-operated retail, international master-franchise royalties, B2B machine placements (Costa Express and Smart Café), and grocery/supermarket partnerships including an expanding Sainsbury's in-store footprint (14 additional shops planned for 2026). The brand sits in a saturated UK coffee market with intensifying competition, while international franchising and channel diversification represent the principal growth mechanics.
Costa Coffee firmographics
Firmographics- Name
- Costa Coffee
- Legal name
- Costa Coffee
- Website
- https://costa.co.uk
- Company type
- Private
- Founded year
- 1971
- Operating status
- Operating
- Headcount range
- 5,001–10,000 employees
- Short description
- Costa Coffee is a British multinational coffeehouse chain founded in 1971 and owned by The Coca-Cola Company, operating 2,700+ UK stores and a presence in 40+ countries with a 26% UK market share. It serves retail consumers, B2B partners, and loyalty members via stores, drive-thrus, and Costa Express machines.
- Ownership category
- akta.pro rank
Costa Coffee industry classification
Industry- Product category
- Coffeehouse Chain
- NAICS
- Snack and Nonalcoholic Beverage Bars (722515), Food Services and Drinking Places (722), Coffee and Tea Manufacturing (311920)
- SIC
- Retail-Eating & Drinking Places (5810), Retail-Eating Places (5812)
- akta.pro primary industry
- Coffee Chains & Franchise Cafes (THAFADAB)
- akta.pro secondary industries
- Drive-Thru Coffee Stands & Coffee Kiosks (THAFADAK), Cafe-Bakeries (Coffee + Pastry Focus) (THAFADAG), Beverage (Non-Alcoholic) Foodservice Distribution (CRAOABAJ), Coffee, Espresso & Tea Appliances Retail (CRACADAC)
Keywords
Where Costa Coffee is headquartered
LocationHeadquarters
- HQ city
- Dunstable
- HQ country
- United Kingdom
- HQ region
- Europe
Offices14 records
Markets served
Costa Coffee business model
Business model- GTM type
- B2B and B2C
- Offering type
- Services
- Cost components
- Personnel, Supply Chain, Operations, Marketing or Sales, Technology or R&D, Infrastructure
Revenue model
- Physical Coffee Shop Sales: Traditional retail coffee shop sales through company-owned and franchise locations including drive-thru, airport, and high street stores. UK revenue reported at £1.23bn in 2024 with operating loss of £13.5m.
- Costa Express Machine Revenue: Revenue from automated coffee machine placements in third-party locations including airports, hotels, petrol stations, and convenience stores. Currently deploying Smart Café units in US and UK markets.
- B2B Coffee Solutions: Coffee supply and service agreements for offices, hotels, and corporate environments, positioning Costa as a B2B coffee provider rather than just retail locations.
- Franchise and Licensing Fees: Revenue from master franchise arrangements in international markets including UAE (through Emirates Leisure Retail) and India (through Devyani International). Franchise partners operate stores and pay licensing fees.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Unit Pricing | Pay-as-you-go | Breakfast Deal |
| Unit Pricing | Pay-as-you-go | Lunch Deal |
| Unit Pricing | Pay-as-you-go | Protein Latte Range |
| Unit Pricing | Pay-as-you-go | Costa Coffee India Pricing |
Go-to-market motion4 records
Distribution channels9 records
Marketing channels7 records
Costa Coffee product offering
Product offeringCore offering
Costa Coffee operates a multi-format coffeehouse chain selling handcrafted espresso-based beverages, cold drinks and food items through company-owned and franchised retail stores, drive-thru locations, airport terminals, supermarket in-store cafés, Costa Express automated machines, and the Costa Coffee Professional B2B channel. The company also operates the Costa Club digital loyalty program and a mobile app for Click & Collect, mobile ordering and delivery, with international expansion driven by master franchise partnerships in markets such as India and the UAE.
Product overview
Costa Coffee operates as a multi-format coffeehouse chain under The Coca-Cola Company, offering handcrafted beverages, food items, and ready-to-drink products through traditional stores, drive-thru locations, airport terminals, and self-service Costa Express machines. The core customer-facing products include the Costa Club loyalty program with a companion mobile app for ordering, payment, and reward tracking, supported by delivery partnerships with Uber Eats, Deliveroo, and Just Eat. The business also serves corporate clients through Costa Coffee Professional B2B solutions and reaches at-home consumers via ready-to-drink products.
Differentiator
Problem solved
Functional benefit
Brands
- Costa Club: Loyalty program offering beans for purchases, free drinks, birthday rewards, and exclusive offers
- Costa Express
- Costa at Home
Products and services
- Handcrafted Coffee Beverages Range of espresso-based hot and cold beverages made with Costa's signature Mocha Italia blend, including Signature Latte, Flat White, Americano, Cappuccino, Mocha, Espresso, Cortado, Spanish Latte, Chai Latte, and seasonal specialty drinks. Sold to individual consumers across all store formats and via delivery.
- Food Menu Food items sold alongside beverages, including breakfast baps (pork sausage, smoked bacon, egg & mushroom), toasties (ham & cheese, vegan ham & cheeze, beanz & cheese), scones, snacks, and pastries. Consumed in-store or via delivery for individual consumers.
- Costa Club Loyalty Program Digital loyalty program where members earn 1 bean per handcrafted drink, redeem 10 beans for a free drink, and access birthday rewards, free cake, Swaps customizations (2 beans for syrup, cream, extra shot, or dairy alternative), and exclusive app-only offers. Available to individual consumers via mobile app.
- Costa Coffee Mobile App Mobile application enabling Costa Club loyalty tracking, Click & Collect ordering, mobile ordering, payment, and access to exclusive app-only rewards and offers. Targets individual consumers across the UK.
- Costa Delivery Home delivery service for handcrafted drinks and food ordered through third-party delivery platforms Uber Eats, Deliveroo, and Just Eat, with ordering facilitated through the Costa Club app. Targets individual consumers across the UK.
- Costa Express Self-service Smart Café automated coffee machine format deployed in convenience stores, petrol stations, airports, hotels, college campuses, hospitals and offices, providing barista-quality espresso drinks without traditional café staff. Targets both B2B venue operators and on-the-go consumers.
- Costa Coffee at Home (Ready-to-Drink) Ready-to-drink coffee products sold at retail for at-home consumption, including limited-edition co-branded RTDs such as the McVitie's Jaffa Cakes Chocolate Orange Frappe. Targets individual retail consumers.
- Costa Coffee Professional (B2B) Costa's business-to-business coffee solutions offering Smart Café automated coffee machines, pod-based machines, coffee supplies, and service support for offices, hotels, and other commercial establishments. Targets enterprise B2B customers seeking quality barista-style coffee without operating full cafés.
Quantifiable outcome
- Costa Coffee maintains 26% UK market share as Britain's biggest coffee chain
- +1 more outcomes
Companies that use Costa Coffee
Customer profileNamed customers7 records
Segments5 records
Ideal customer profiles4 records
Costa Coffee technology and API
TechnologyTechnology focussed No
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
Feature4 records
Costa Coffee partnerships and signals
Strategic signalPartnerships
Six partnerships are on record, tiered core and minor.
- Sainsbury'scoreCosta Coffee and Sainsbury's expanding partnership to open 14 more Costa cafés inside Sainsbury's stores across the UK in 2026, following opening of the 50th in-store café. Investment of nearly £16 million creating over 400 jobs.
- Premcor EstatesminorPremcor Estates (developer) signed Costa Coffee as occupier for new 45-acre roadside development at Rossington site near Doncaster. Costa will operate a drive-thru restaurant outlet as part of Mode 18 scheme.
- Soudal Quick-Step Pro Cycling TeamminorCosta Coffee partnership to supply pod-based coffee machines across the cycling teams' fleet, providing barista-quality coffee for riders and staff throughout the racing season. Riders gain access to coffee from race start to finish.
- Buc-ee'sminorCosta Coffee installing automated coffee machines at Buc-ee's Texas mega gas stations across the US, bringing barista-quality espresso drinks to nearly 70 existing locations across 11 states. This expands Costa's US footprint without traditional café locations.
- ENOC (Emirates National Oil Company Group)coreENOC partnership through ELR to expand Costa Coffee across ENOC's Zoom convenience-store network in UAE, competing directly with Starbucks in the UAE convenience retail segment.
- ColliersminorCosta Coffee appointed Colliers as its estates management partner for more than 1,600 UK sites under a five-year agreement. Colliers will support property management, lease administration, and data analytics.
Scale indicators17 records
Recent moves6 records
Expansion highlights6 records
Costa Coffee competitors and assessment
Company assessmentDirect peers
- Pret a Manger: UK-based café/sandwich chain competing with Costa for breakfast and lunch occasions in city centres and transport hubs. Comparable on format, daypart mix, and UK high-street real estate.
- Tim Hortons: Drive-thru-led coffee and food chain, the North American archetype of the format Costa is rapidly scaling in the UK. Highly comparable on drive-thru unit economics and brand-driven coffee leadership.
- Caffè Nero: UK-founded coffee chain with a comparable store count and café format, competing head-to-head with Costa on UK high streets and premium positioning. Closest direct UK peer by operating model and target consumer.
- Starbucks: Global coffeehouse chain and Costa's most direct worldwide competitor, operating company-owned and licensed cafés with a comparable loyalty programme and beverage-led model. Directly comparable on product, customer base, and multi-format strategy.
Emerging players
- Blue Bottle Coffee: Specialty/third-wave coffee operator with strong digital ordering and subscription model; relevant benchmark for Costa's premium-beverage positioning, app-driven loyalty, and Click & Collect digital infrastructure.
- Dutch Bros Coffee: US-based, drive-thru-focused coffee chain that has demonstrated the equity value of a pure-play drive-thru coffee model — directly relevant to Costa's 400+ UK drive-thru base and 2026 expansion plans.
- Greggs: UK food-on-the-go retailer that has overtaken Costa on store count and now holds 22% of the branded coffee market; comparable as a low-price UK high-street and roadside food-and-coffee competitor attacking Costa's premium positioning.
Broad incumbents
- McDonald's (McCafé): Global QSR incumbent whose McCafé line directly competes with Costa on coffee quality perception and price points. Comparable as a broad incumbent extending into premium coffee via established drive-thru footprint.
- Lavazza: Italian coffee brand with B2B/professional and foodservice coffee operations that overlap with Costa Coffee Professional and Costa Express; comparable on coffee supply, B2B machine deployment, and ready-to-drink retail.
Regional players
- Café Coffee Day: India's largest coffee chain and a direct competitor to Costa's India franchisee (Devyani International). Comparable on India café format, consumer demographic, and growth-stage unit economics.
Market position
Strengths5 records
Weaknesses5 records
Competitive moat4 records
Key risks5 records
Key highlights6 records
Customer concentration
Costa Coffee social profiles
Digital presenceCosta Coffee financial estimates
Financial estimateRevenue estimate
Valuation estimate
Costa Coffee leadership team
Management profileNumber of profiles
Profiles6 records
Costa Coffee subsidiaries and ownership
Company hierarchySubsidiaries3 records
Costa Coffee funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Costa Coffee M&A and investment
M&A and investmentM&A2 records
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Costa Coffee
What does Costa Coffee do?
Costa Coffee operates a multi-format coffeehouse chain selling handcrafted espresso-based beverages, cold drinks and food items through company-owned and franchised retail stores, drive-thru locations, airport terminals, supermarket in-store cafés, Costa Express automated machines, and the Costa Coffee Professional B2B channel. The company also operates the Costa Club digital loyalty program and a mobile app for Click & Collect, mobile ordering and delivery, with international expansion driven by master franchise partnerships in markets such as India and the UAE.
Is Costa Coffee a public or private company?
Costa Coffee is a private company. It is classified as corporate owned and is currently operating.
When was Costa Coffee founded?
Costa Coffee was founded in 1971. It employs 5,001 to 10,000 people.
Where is Costa Coffee based?
Costa Coffee is headquartered in Dunstable, United Kingdom, in the Europe region.
How does Costa Coffee make money?
Four revenue lines are on record. Physical Coffee Shop Sales are the primary driver. The others are costa Express Machine Revenue, B2B Coffee Solutions and franchise and Licensing Fees.
Who are Costa Coffee's main competitors?
Direct peers on record are Pret a Manger, Tim Hortons, Caffè Nero and Starbucks. Emerging players are Blue Bottle Coffee, Dutch Bros Coffee and Greggs. Broad incumbents are McDonald's (McCafé) and Lavazza. Café Coffee Day is listed as a regional player.
Does Costa Coffee have an API?
No public API is recorded for Costa Coffee.
What industry is Costa Coffee in?
Costa Coffee's product category is Coffeehouse Chain. Its primary akta.pro industry code is THAFADAB, Coffee Chains & Franchise Cafes, with a secondary code of THAFADAK, Drive-Thru Coffee Stands & Coffee Kiosks. Its NAICS code is 722515 and its SIC code is 5810.