Despite the challenges presented by the COVID-19 pandemic throughout much of 2020, the coffee business at Keurig Dr Pepper enjoyed a strong year.
The company’s Coffee Systems segment, which includes Keurig coffeemakers, saw yearly net sales increase 4.7% to $4.43 billion. The growth was driven by sales of brewers and coffee pods. In 2020, Keurig officials said the company shipped a record 11 million brewers.
Brewer growth was driven by continued innovation, marketing investments designed to grow household penetration and a strong holiday season, company officials said.
For the full year, U.S. households regularly using a Keurig brewer increased approximately 10% to 33 million households. Pod growth was driven by double-digit at-home consumption.
Robert Gamgort, executive chairman & CEO of Keurig Dr Pepper, said growth in brewer sales was the result of a combination of households purchasing a Keurig brewer for the first time and existing consumers upgrading to a new coffeemaker.
“We have another strong lineup of new brewers planned for this year, including our first connected brewer for the broader consumer market,” Gamgort said during an investor conference call. Additional details on the new brewers will be forthcoming
Offering a glimpse into new coffee selection on the launch pad for 2021, Keurig will debut its Green Mountain Coffee Roasters Brew Over Ice pods, which taps into the continued popularity of cold coffee. The company will also expand its popular Original Donut Shop One Step Lattes introduced in 2020 into One Step cappuccinos.