Coffee giant Starbucks is undergoing a major shift with cold drinks now accounting for three out of every four beverages sold a trend driven largely by Gen Z consumers who favor customizable also visually appealing drinks over traditional hot coffee.
Elaine Ling 21, exemplifies this shift. She avoids Starbucks coffee finding it too sweet and instead opts for cold "refreshers." Her preference reflects a broader pattern among young Americans who increasingly view drinks as personal expressions rather than simple beverages.
According to Tristan Höver of Euromonitor International, younger consumers value customization because it gives them a sense of control. While price-sensitive, Gen Z is willing to spend more on drinks that feel special, oversized, or functional qualities cold drinks deliver through layers, size and visual appeal.
Analysts say this reflects a cultural shift beyond taste. Jerry Sheldon of IHL Group compares cold drink choices to fashion with calling them a form of self-expression. Marketing professor Kelly Goldsmith adds that customers are increasingly paying for image rather than content, likening Starbucks' appeal to affordable luxury brands.
Social media amplifies these trends. Starbucks' limited-time Unicorn Frappuccino, heavily promoted on TikTok boosted store traffic by 44% during its brief release in August.
Competitors are following suit. Dunkin' Donuts has introduced protein-based and customizable cold drinks partnering with celebrities like Kylie Jenner to attract younger customers. Fast-food chains including McDonald's, Chick-fil-A, and Taco Bell have also launched fruit-based refreshers targeting the same demographic.
The trend extends beyond the US. In the UK over 60% of drink purchases by shoppers under 25 are cold compared to just 30% among those over 55.
Experts say cold drinks through flavors, foams and add-ons offer high profit margins also making them central to Starbucks' recent turnaround with cold beverages now driving over 70% of its US drink sales.
Source: BBC
