Iced coffee vs iced latte: the ultimate chilled showdown
When it comes to chilled coffee drinks, iced coffee vs iced latte is a topic that continues to captivate the food and beverage industry. Both beverages are experiencing a surge in popularity, driven by evolving consumer preferences and an expanding coffee culture.
According to Tastewise, iced coffee has grown by 6.25% in social discussions over the past year, and 16.05% of restaurants now include it on their menus. Meanwhile, iced latte boasts a higher growth rate of 9.73% in social discussions, though only 2.6% of restaurants offer it on their menus. These numbers reflect the growing importance of understanding trends and consumer behaviors to capitalize on opportunities in this space.
What is iced coffee?
Iced coffee is a chilled version of brewed coffee, served over ice. It can be made from hot coffee that’s cooled or through the cold brew method, where coffee grounds steep in cold water for 12-24 hours. This process enhances the natural sweetness and reduces acidity, creating a smoother flavor.
Customization is key with iced coffee. Consumers can add milk, cream, or syrups to suit their tastes. Popular options include cold brew, iced Americanos, and frappes. Current iced coffee trends show that ready-to-drink (RTD) products and nitro-infused options are becoming consumer favorites.
What is iced latte?
An iced latte is a twist on the classic latte, made with a creamy espresso-base that combines one or two shots of espresso with cold milk and ice. It is richer and smoother than iced coffee due to its higher milk content, with a standard milk-to-espresso ratio of 3:1.
Iced lattes are known for their versatility, with endless customization options ranging from plant-based milks like oat or almond to flavored syrups like vanilla and caramel. These choices make iced lattes particularly appealing to health-conscious and trend-savvy consumers. Latte trends highlight the rise of plant-based variations and seasonal flavors like pumpkin spice and peppermint mocha.
Key differences between iced coffee and iced latte
| Feature | Iced Coffee | Iced Latte |
| Main ingredient | Brewed coffee | Espresso |
| Milk content | Optional, usually minimal | Required, higher milk-to-espresso ratio |
| Texture | Light, refreshing | Creamy, indulgent |
| Caffeine content | Higher (due to larger coffee base) | Lower (espresso diluted with milk) |
| Customization | Milk, sweeteners, syrups | Syrups, plant-based milk options |
The coolest trends in iced coffee and iced lattes
Cold brew dominance
Cold brew continues to lead the iced coffee market due to its smooth, less acidic taste. The cold brew market is projected to reach $1.37 billion by 2027, fueled by its versatility and growing consumer interest in premium-quality RTD options.
Nitro iced coffee
Nitro coffee, infused with nitrogen gas, offers a creamy texture without added dairy. This visually appealing option is popular among millennials and Gen Z, with brands leveraging its luxurious feel to attract attention in cafes and grocery aisles.
Health-conscious options
The demand for low-calorie, plant-based iced coffee continues to rise. Functional benefits, such as added protein or vitamins, are especially appealing to younger consumers looking to align their beverage choices with a healthier lifestyle.
Plant-based innovation
Sustainability and dietary preferences are driving the adoption of plant-based milks in iced lattes. Oat milk leads the pack due to its creamy consistency and eco-friendly appeal, followed by almond and soy.
Flavored and seasonal lattes
Iced lattes are becoming more adventurous with flavors. Popular choices now include caramel, vanilla, and hazelnut, but unique flavors like ube (a purple yam) and mint are also gaining traction. These innovations allow consumers to enjoy a more indulgent experience while exploring new taste profiles56. Seasonal flavors, such as salted caramel and gingerbread, are particularly popular during specific times of the year3.
Social media-worthy aesthetics
The visual appeal of iced lattes, featuring artistic layers and vibrant syrups, has skyrocketed thanks to platforms like Instagram and TikTok. This trend elevates the iced latte’s status as a lifestyle drink, encouraging consumer engagement and brand visibility.
Popularity: iced coffee vs iced latte
Globally, iced coffee leads the way in terms of sheer consumption, with variations like frappes dominating in over 35 countries. In the U.S., iced coffee accounts for a significant share of the $96 billion coffee market, fueled by RTD options.
Meanwhile, iced lattes are carving out a niche among younger, health-conscious audiences. These beverages shine on social media, thanks to their photogenic qualities and customizable nature. Popular flavors and plant-based ingredients contribute to their steady rise in demand.
FAQs
How do I choose which trend to sell?
It depends on your audience. If they prioritize convenience, focus on RTD options like cold brew. For health-conscious buyers, highlight plant-based iced lattes. Tastewise helps identify trends tailored to your market.
Which drink has a lower calorie count?
Iced coffee typically has fewer calories since it contains little to no milk. For a low-calorie latte, opt for unsweetened plant-based milk and minimal syrups.
The debate between iced coffee vs iced latte ultimately comes down to consumer preferences and target demographics. Iced coffee attracts traditionalists and caffeine lovers, while iced lattes cater to those seeking creaminess and customization.
For food and beverage brands, understanding these nuances is key. Tastewise’s platform provides real-time insights into coffee trends, helping businesses make informed decisions and capitalize on market opportunities. From identifying growth areas like RTD cold brews to developing aesthetically appealing iced lattes, we empower brands to stay ahead of the curve.