- As coffee roasters grow, many want to expand into new markets to increase their reach and diversify their customer base.
- Emerging specialty coffee markets, such as Southeast Asia, offer roasters the chance to capitalise on burgeoning growth.
- Coffee consumption in Southeast Asia is expected to exceed 640 million kg by the end of 2025, with continued growth projected into 2026.
- But scaling into untapped markets often requires a strategic approach, understanding local preferences and needs.
- Building strong partnerships with established local coffee brands and creating vibrant community hubs are essential for long-term success.
As coffee roasters grow, many consider expanding beyond their local communities, either nationwide or internationally. But the process is often easier said than done.
Entering new and unfamiliar markets requires a significantly different approach from what works on a local level, especially when navigating different coffee-drinking cultures.
Some emerging specialty coffee markets, like Southeast Asia, are offering roasters the chance to capitalise on burgeoning growth. According to data from Euromonitor, foodservice sales of specialty coffee and tea in the region are set to grow 8% year-on-year until 2028.
As roasters look to grow into these lucrative markets, understanding local preferences and how to build community are vital to long-term success.
I spoke to Danial Akram Bakri and Barrie Nasim at CC: Roasters, a Malaysian specialty coffee roaster, to understand how they are scaling their business.
You may also like our article on why emerging markets show promise for specialty coffee amid high prices.
The growth of specialty coffee in up-and-coming markets
Specialty coffee consumption has been rising in emerging coffee markets worldwide. This growth presents an exciting opportunity for established roasters to reach new consumers and bolster their business growth.
The Southeast Asian specialty coffee market is a prime example of a market on the rise. Coffee consumption in the region is expected to exceed 640 million kg by 2025, with continued growth projected into 2026.
Southeast Asia traditionally has a tea-drinking culture. However, the region saw a shift in the early 2000s with the introduction of second-wave coffee and an increased presence of larger international coffee chains.
Initially, specialty coffee remained a luxury, costing more than 30% of the median income in Indonesia. As domestic coffee chains expanded in the following years, high-quality coffee became increasingly affordable, fueling its wider adoption across countries such as Vietnam, Thailand, and Malaysia.
“The specialty coffee markets in Southeast Asia, particularly Malaysia, have seen significant growth and transformation, which are driven by evolving consumer preferences and the rapid rise of specialty coffee shops that also correlate with Asia’s emerging markets,” explains Barrie Nasim, the director at CC: Roasters, a specialty coffee roaster in Malaysia.
This market shows no sign of slowing down, either. A growing middle class with higher disposable incomes is driving demand for more local, higher-quality coffee.
“Southeast Asia is home to major coffee-producing countries such as Indonesia, Vietnam, Thailand, and, more recently, China,” says Barrie. “There’s been a shift toward showcasing locally grown beans rather than relying on imports due to the rapid improvements in terms of quality and also pricing.”
Additionally, the acceptance of specialty coffee in Southeast Asia, particularly Malaysia, has continued to grow steadily due to more discerning customers.
“We have experienced customers demanding more value-driven businesses such as ethical and sustainable sourcing practices by roasters, new coffee creations and mocktails in cafés, and a more diverse range of high-scoring specialty coffees,” says Danial Akram Bakri, the head roaster at CC:Roasters. “This has shown that consumers have become more knowledgeable about coffee origins, processing methods, and brewing techniques, which displays greater attention and appreciation for specialty coffee.”
Beyond cafés, many Southeast Asian coffee consumers have home coffee setups and source their beans from local suppliers. This trend has helped strengthen specialty coffee culture as consumers prioritise quality, sustainability, and the overall coffee experience.
Understanding the local consumer base is key to expansion
As specialty coffee roasters seek to expand beyond their traditional market, success hinges on capturing the loyalty and attention of local consumers. Understanding the local consumer base is essential, whether expanding nationwide or internationally.
“It is important to understand the needs and wants of the community that roasters would want to work with, such as knowing the demographics, spending habits, what sort of events are held, the area’s local businesses, and their segments and offerings,” says Barrie.
Danial adds, “Understanding these demographic variations allows for a more targeted and effective approach to reaching potential customers.”
For example, with rising disposable incomes, Southeast Asian consumers are willing to pay more for diverse flavours, artisanal beverages, and ethically sourced beans.
Cold coffee has also become a regional favourite. The growing younger population and increased demand for speed and convenience have fueled the growth of ready-to-drink (RTD) beverages in Southeast Asia.
The relationship between roasters and the local community is symbiotic, as they mutually benefit from one another’s growth. Roasters must engage with the community to connect and understand their needs, develop a reputation, and encourage repeat customers.
“Organising events or campaigns to educate the public about specialty coffee is essential for engaging local consumers,” explains Danial. “Such initiatives not only raise awareness of specialty coffee but also foster a deeper understanding of its broader value, including the positive economic impact it can have on the local community.”
Barrie agrees, emphasising that roasters are not just sellers but also educators and ambassadors of specialty coffee.
“Creating awareness and educating customers has to be a natural habit while being able to adapt to coffee flavours, roast profiles, and product offerings based on communities’ local preferences,” he says. “This will create synergy in growing the business as well as the communities we are in.”
Creating community hubs to support and engage local consumers
For centuries, coffee shops have been social spaces and community hubs. Today, consumers expect more than just a drink – they want an experience, especially as their knowledge of specialty coffee grows and their focus on education deepens.
To succeed in new coffee markets, roasters must create dynamic spaces that support and engage local consumers through community-building and sharing industry knowledge.
“By transforming the coffee shop into a vibrant community hub, we can create a space that not only serves high-quality coffee but also fosters learning, connection, and collaboration,” says Danial.
CC:Roasters plans to open a new physical store in Malaysia, serving as a versatile space and community hub for specialty coffee lovers, professionals, and young consumers alike.
“For families and discerning customers, we aim to provide a welcoming atmosphere where they can enjoy quality time together while savouring specialty coffee and thoughtfully curated food offerings,” says Danial.
Barrie explains that CC:Roasters intends to create a “fourth space,” a hybrid environment that combines elements of home, work, and the third space.
“Communal spaces and furniture, flexible seating, and open floor plans would help us create workshops, event spaces, and social gatherings that we intend to host at our store,” he says.
Danial emphasises that roasters can achieve an authentic community hub by transforming the café into a coffee education centre. For instance, CC:Roasters plans to host classes and events that will help deepen consumers’ appreciation for the craft of coffee.
“We want to bridge a gap in the community by connecting consumers with our specialty coffee value chain, from traceability at origin and transparency at our roastery to the drinks they can have at our store,” says Barrie. “This entails bringing awareness on how we source, roast, and brew ethically and sustainably.”
By creating a welcoming, education-driven space, roasters can help strengthen coffee culture, support the local economy, and foster a genuine gathering place for the community.
Partnering with local coffee brands to scale products and services
To successfully scale and understand the needs of their new market, roasters can partner with established local coffee brands that are already familiar with the market.
For example, roasters looking to expand into the Southeast Asian coffee market can partner with a leading Malaysian coffee brand and wholesaler, like CC:Roasters, which has in-depth knowledge of the country’s coffee culture.
“Brand building can be achieved through partnering with local businesses, markets, sponsoring and hosting events by showcasing our offerings and how we can contribute to the community’s economic and social well-being,” explains Barrie.
Strategic partnerships enable roasters to achieve long-term success while maintaining full control over their supply chain, thereby ensuring quality and consistency. Barrie recommends that roasters look for brands with shared values and goals to ensure a successful collaboration.
“We look into their unique selling proposition and its potential for growth in our market and how we can bridge and further innovate these propositions,” he adds.
CC:Roasters recently helped California-based Reborn Coffee open its first international outlet, Reborn Coffee Malaysia, which will serve as a launchpad for further expansion in Southeast Asia.
“Reborn Coffee, with its dedication to high-quality, sustainable coffee, aligns well with the mission to offer an exceptional coffee experience while educating consumers about the value of specialty coffee,” explains Danial.
Additionally, Reborn Coffee has won America’s Best Cold Brew award for two consecutive years and continues to innovate in the cold brew and ready-to-drink (RTD) sectors.
“This sector has not kicked off in Malaysia, and we see it as having huge potential to be successful,” says Barrie. “Other product developments are also being done together to see what offerings work best in the US and what works best in Southeast Asia.”
Daniel adds that the partnership with Reborn Coffee aligns with the brand’s broader vision of creating a community hub with enhanced educational opportunities.
“This collaboration can raise the standards of coffee offerings, educating local consumers about the craft of specialty coffee and its intricate flavours,” he says. “By introducing Reborn Coffee, this partnership can help nurture a more sophisticated coffee culture, attracting a wider audience of coffee enthusiasts and fostering appreciation for sustainability.”
Beyond this, Barrie mentions that such partnerships also enable brands to collaborate with diverse origins and share insights on improving processing methods. This, in turn, helps both parties improve their processing methods, support fair trade and wages for farmers, and optimise logistics to reduce costs and waste.
As less mature coffee markets, such as those in Southeast Asia, continue to grow and develop, so will the opportunities for roasters to expand their reach and scale their business. However, to do so successfully, roasters must first understand the needs, preferences, and demographics of their new market.
Building strong partnerships with established local coffee brands and creating vibrant community hubs will be essential to long-term success. By offering educational experiences, nurturing community engagement, and delivering high-quality specialty coffee, roasters can cultivate strong relationships with local consumers, foster brand loyalty, and position themselves for sustainable growth.
Enjoyed this? Then read our article on why more coffee events are expanding into Asia.
Photo credits: CC:Roasters
Perfect Daily Grind
Please note: CC:Roasters is a sponsor of Perfect Daily Grind.
Want to read more articles like this? Sign up for our newsletter!
