Americans wake up and smell the coffee price surge—skipping Starbucks, brewing at home, and drinking Diet Coke for caffeine
Fortune
by Matt Sedensky, The Associated PressFebruary 14, 2026
AI-Generated Deep Dive Summary
Americans are grappling with a significant rise in coffee prices, leading to shifts in their morning routines. Over the past year, coffee prices in the U.S. surged 18.3%, while a five-year increase has seen prices climb by 47%. This surge has prompted many to reconsider their coffee habits—whether it’s skipping Starbucks visits, opting for cheaper alternatives like home-brewed coffee or Diet Coke, or cutting back on consumption altogether.
The steep price increases are attributed to a combination of factors: climate issues such as droughts in Vietnam and Brazil, which have reduced crop yields, and lingering effects from tariffs on coffee imports. These challenges have driven up global prices, with the median cost of a regular hot coffee now at $3.61, up from previous years. Despite these increases, many Americans remain loyal to their coffee routines, with two-thirds still drinking it daily.
Individuals are finding creative ways to cope with rising costs. Some, like Chandra Donelson, a former Starbucks addict, have turned to cheaper home-brewed options or alternative beverages like Diet Coke. Others, such as Liz Sweeney and Dan DeBaun, have reduced their coffee intake and switched to private-label brands like Lavazza, which can be significantly more affordable than café visits. These changes reflect a broader trend of consumers reevaluating expenses in the face of inflation and economic uncertainty.
For businesses, this shift presents both challenges and opportunities. While coffee shops are seeing declining foot traffic, there’s potential for growth in offering
Verticals
businessfinance
Originally published on Fortune on 2/14/2026