According to IBISWorld 25,406 coffee shops and cafes operate in Australia, and that’s on the rise. The number of businesses has grown 4.2 per cent on last year.

It estimates the industry revenue of the cafes and coffee shops sector will be $9.6 billion in 2023.

It’s a diverse marketplace with boutique independents vying for attention with the national chains – which are usually franchised.

The Coffee Club, Gloria Jean’s, Jamaica Blue…just some of the big players in the Aussie coffee scene.

Retail Food Group

Coffee has been the star product for multi-brand franchisor Retail Food Group, which includes Gloria Jean’s, Donut King, Cafe2U, Michel’s Patisserie and The Coffee Guy in its portfolio.

Retail Food Group (RFG) says all of its brands enjoyed positive same-store sales growth in the December half but Donut King was the standout performer.

Across the group, for the six months to 31 December, same-store sales (SSS) rose 17.9 per cent compared to the previous year.

Donut King contributed 40.7 per cent of SSS growth in this period due to a significant rise in customer visits (up 32.5%) and a higher average spend.

RFG also owns the Di Bella Coffee roasting business, which has helped drive revenue.

RFG’s overseas business is taking off in the US, with the first of three Gloria Jean’s drive-thru outlets launched in Texas and plans for a significant footprint in the US within three years.

The Coffee Club

Also overseas, Australian coffee chain The Coffee Club is set to unveil its first Indian outlet this year.

Local franchiser CK Israni Group plans a spread of 100 coffee shops across the country by 2028. 

The Coffee Club was established in Brisbane in 1989 and is owned by the Minor DKL Food Group, which also owns the coffee roasters Veneziano and Coffee Hit in Australia.