Arctic Coffee is the UK’s number one independent iced coffee brand. Its coffees are made from the dream team of Rainforest Alliance coffee beans and fresh milk from farms in Devon.
The beans are roasted using a system that produces highly aromatic coffees with less bitterness.
Jo Taylor, Brand Manager at Arctic Coffee, tells Grocery Trader what sets the brand apart from others and how retailers can maximise chilled coffee sales.
How much is the ready-to-drink coffee market worth?
The chilled RTD coffee category continues to perform strongly, delivering +15.1% YOYi growth and now reaching 21.5% of UK householdsi – that’s 6.1 million buyers in grocery. Within this, Arctic Coffee delivered £29m in value sales over the past 12 monthsi . This growth underlines the strength of consumer demand for chilled coffee and the brand’s ability to capture and sustain shopper interest in a competitive market.
Is the market in growth and what is driving growth?
Yes – and that growth is being fuelled by consumer appetite for high-quality, great-tasting coffee at an affordable price. Gen Z and Millennials remain central to the category’s expansion, with busy lifestyles and a preference for convenience driving on-the-go purchases. Larger take-home formats are meeting the increasing demand for at-home coffee occasions, while shoppers are actively seeking costeffective alternatives to coffee shop drinks without compromising on flavour or quality.
What are your key products that retailers should be stocking?
Arctic Coffee’s portfolio is designed to serve both on-the-go and take-home missions. Our 330ml range, including Café Latte, Caramel Latte and Vanilla, caters to impulse and convenience shoppers. For at-home consumption, our 1L range is a proven category driver – including Café Latte 1L, Caramel Latte 1L and the UK’s first Vanilla Latte 1L. These larger formats deliver value and taste, making them a must-stock for retailers looking to tap into the takehome coffee trend.
What sets your brand apart from others?
We’re proud to be the UK’s number one independent chilled coffee brand, with all products made in Devon using fresh local milk and Rainforest Alliance Certified coffee beans. We’ve built our reputation on delivering consistently great taste and value – the two most important factors driving purchase in the category. Arctic Coffee also has a history of leading innovation, from being first to market with 1L take-home formats to launching the UK’s first Vanilla Latte 1L.
What are the major trends and developments affecting your category and your customers, and how are you responding?
Convenience remains a key purchase driver, with all Arctic Coffee products featuring closable lids – a must-have for today’s on-the-go shopper. At the same time, the demand for value and taste has never been higher, driven by the cost-of living crisis. Arctic Coffee is uniquely positioned to meet both needs, offering coffee-shop quality at supermarket prices. We’ve also continued to grow our 1L range to meet the rising demand for at-home consumption, ensuring shoppers can enjoy their favourite chilled coffee in a format that suits their lifestyle.
What activity has supported Arctic Coffee this summer?
We brought real excitement to the category this summer through our partnership with Isuzu. Touring major UK festivals, towns and cities in a branded Isuzu D-Max Arctic Truck, we took a guerrilla-style approach to sampling, handing out free iced coffee to festivalgoers and shoppers. The campaign was designed to connect directly with Gen Z and millennial audiences in unexpected, memorable ways – no strings attached, just great coffee and good vibes.
This collaboration was all about celebrating a shared spirit of independence, adventure, and doing things your own way. As a brand, we’re not about chasing exposure through high-budget festival sponsorships or branded installations. We wanted to meet our consumers where they are, with no strings attached – just delicious coffee and a good time – and that’s exactly what we did.
Tell us about Arctic Coffee’s partnership with Isuzu — what does the campaign involve, what locations will the roadshow visit and who is the target audience?
The partnership with Isuzu brought together two brands with a shared spirit of independence and adventure. Our bold sampling tour saw the Isuzu D-Max Arctic Trucks AT35 visiting major UK festivals, surprising festivalgoers with free Arctic Coffee as they arrived. By avoiding high-cost sponsorships and instead focusing on direct, authentic interactions, we connected with our core audience – Gen Z and Millennials – in a way that was fun, memorable and true to our brand.
How can brands keep consumers focused on their product all year round?
Sustaining interest beyond the summer requires visibility, relevance and variety. We work to keep our products prominent in chillers, encourage the use of secondary displays to capture attention, and ensure our range covers both on-the-go and take-home needs. By linking chilled coffee to year-round moments – from commuting and working from home to social catch-ups – we help retailers maintain strong sales momentum in every season.
How can retailers maximise chilled coffee sales?
The most successful retailers’ stock both 330ml single-serve and 1L take-home formats, as they meet entirely different shopper missions. Offering variety across brands and flavours appeals to a broader audience, while secondary displays are ideal for promoting new products and seasonal favourites. Chiller placement near food-to-go areas encourages impulse purchase, particularly when linked to meal deals.
How do you work with retailers to grow sales?
We collaborate closely with our retail partners, sharing category insights and shopper data to inform ranging and merchandising decisions. Our proven 1L formats and core 330ml range offer strong rate of sale, while targeted promotions drive incremental uplift. By aligning activation plans to seasonal peaks and shopper needs, we help retailers maximise the chilled coffee opportunity all year round.
i Circana Total Market data to 06.07.25 and World Panel data to 15.06.25.
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