Doutor Coffee Co., Ltd.
Investor Relations

Marlet Data

Decreasing owner-operated coffee shops, increasing self-service and chain coffee shops

The scale of the Japanese coffee shop industry has continued to shrink since the market peaked in 1982 at ¥ 1739.6 billion. Store numbers hit a high in 1981, when 154,630 shops were in business. The decrease is most significant in owner-operated locations due to the aging of owners and changes in modern lifestyles, and these trends continue.

Doutor Coffee Shop opened for business in 1980 and has continued to grow, offering reasonable prices and a casual atmosphere. In recent years, new companies have entered the self-service coffee shop market. Many business styles have been established, including coffee shop chains, with advantages such as skills in menu development and greater operational resources compared with owner-managed coffee shops.

Currently, there are approximately 3,000 self-service coffee shops among approximately 82,000 coffee shops in Japan, occupying only about 3% of the total market share. It is expected that the evolution of the coffee shop structure will accelerate, and that the self-service coffee shop market has significant potential.

Number of Coffee Shops and Doutor Establishments, in Japan

Sales by Coffee Shops and Doutor Establisments, in Japan

Doutor boasts an extraordinary number of shops in the self-service coffee shop market

Doutor Coffee Shops occupy the largest share of the self-service coffee shop market and are most closely tied to the daily lives of Japanese consumers. Doutor leads in the number of shops and continues to increase the number of franchise shops in various locations. The Excelsior Caffe segment offers a Italian bar concept and is expanding its national coverage. The total number of Doutor Coffee Shops and Excelsior Caffes reached approximately 1,310 at the end of March 2007, representing more than one-third of the domestic self-service coffee shop market.

Number of Stores in Major Coffee Shop Chains (Partial forecasts)

Stabilizing supply and produciton by considering increases in consumption and decreases in shipping

1. Total Coffee Consumption in Japan

Unit: Tons

  2003 2004 2005 2006
(expectation)
2007
(forecast)
Regular Coffee 230,000 234,800 239,000 244,000 246,600
Instant Coffee 42,517 41,648 41,774 43,650 43,000
Total 272,517 276,448 280,774 287,650 289,500

2.Regular Coffee Sales in Japan by Market Category

Unit: Tons

  2003 2004 2005 2006
(expectation)
2007
(forecast)
Food service 69,000 70,000 71,000 72,000 73,000
Maker shipping (¥ 100 million) ¥ 1,270 ¥ 1,280 ¥ 1,310 ¥ 1,370 ¥ 1,390
Consumer 67,000 68,300 70,000 72,000 73,500
Maker shipping (¥ 100 million) ¥ 1,070 ¥ 1,093 ¥ 1,135 ¥ 1,200 ¥ 1,250
Food processors 94,000 96,500 98,000 100,000 100,000
Maker shipping (¥ 100 million) ¥ 420 ¥ 430 ¥ 440 ¥ 470 ¥ 480
Total 230,000 234,800 239,000 244,000 246,600
Maker shipping (¥ 100 million) ¥ 2,760 ¥ 2,803 ¥ 2,885 ¥3,040 ¥ 3,120

Note: Data in these two tables are from the Food and Beverage Statistics Monthly, published by Nikkan Keizai Tsushin Co., Ltd. All forecasts are also based on data from Nikkan Keizai Tsushin.

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