Australia Cafe and Bars Market Report and Forecast 2025-2034

Australia Cafe and Bars Market Outlook

The Australia cafe and bars market size is projected to grow at a CAGR of 5.8% between 2025 and 2034.

Key Takeaways

• Some popular cafes and bars in Australia include Starbucks Corporation and Customs House Café Pty Ltd.

• Currently, there are 23 Starbucks in Australia, primarily in major cities and transport hubs.

• As per industry reports, 33% of all cups of coffee sold in coffee bars are lattes, which costs an average of AUD 3.96 per cup.

• More than a quarter of Australians say they cannot survive the day without a coffee.

• A massive 95% of coffee shops are independent.

Factors driving the Australia cafe and bars market growth include the increasing number of cafes due to the growing concept of socialising over coffee and dining experiences, the influx of people to urban areas leading to a rise in white-collar workers seeking premium coffee options, and the emergence of specialty coffee trends catering to varied tastes. Additionally, the growth in infrastructure like new airports and expressways, coupled with frequent travel, provides opportunities for major coffee chains to establish outlets, positively impacting Australia cafe and bars market development. 

Moreover, the demand for gluten-free food and the support from organisations like Coeliac Australia are driving the adoption of gluten-free options in cafes, reflecting a trend towards catering to diverse dietary needs and preferences in the Australian cafe and bars market. Additionally, a surge in demand for non-alcoholic beverages, with alcohol-free beer, wine, and spirits gaining popularity among consumers, especially the younger demographic, which has provided opportunity for many bar owners. 

Furthermore, the remote working trend has influenced consumer behaviour, with a significant proportion of Australians spending time outside their homes to work in locations like cafes. The shift towards remote work arrangements presents opportunities for cafes to attract customers during work hours, drive foot traffic, and enhance revenue streams by offering conducive environments for remote work and socialising. Additionally, market players are focusing on creating pleasant ambiance cafes, offering authentic snacks, and introducing tech-based services like self-ordering touchscreen kiosks and mobile apps for customisable orders to enhance customer experience and drive market revenue.

Also, the key players in market are focusing on product innovations to maintain a competitive edge. For instance, Nestlé SA launched ready-to-drink iced coffee in Australia to cater to changing consumer preferences. Additionally, the introduction of bubble tea in various flavours have highly been beneficial for cafe owners, as it is quite popular among the millennials.

Market Segmentation

Australia Cafe and Bars Market Report and Forecast 2025-2034 offers a detailed analysis of the market based on the following segments:

Market Breakup by Service Type

• Cafes

• Coffee Shops

• Bars

Market Breakup by Outlet

• Independent Outlets

• Chained Outlets

Market Breakup by Location

• Lodging

• Retail

• Leisure

• Standalone

Market Breakup by Region

• New South Wales

• Victoria

• Queensland

• Western Australia

• Australian Capital Territory

• Others

Competitive Landscape

Market players are merging with other giant brands, launching new outlets in regional and international markets, and innovating new beverage products to maintain their leadership position.

• Starbucks Corporation

• JC EDOXA PTY LTD

• Noshlife Pty Ltd

• Customs House Café Pty Ltd

• Teixton Pty Limited

• Others

Key Highlights of the Report