Strange Brew: Shipfusion Spills the Beans on Key Trends in Online Coffee Sales

Report explores role of Third-Party Logistics in meeting demands of coffee consumers

CHICAGO, May 29, 2025 - Shipfusion Inc., a leading ecommerce fulfillment and third-party logistics provider with over a million square feet of warehouse space across North America, audited more than 40 U.S. coffee brands, revealing surprising insights into a centuries-old industry trying to grow online but making costly mistakes.

“Our team meticulously audited every step of the customer journey for over forty brands selling coffee direct-to-consumer (DTC), from checkout to unboxing,” says Shipfusion CEO Brandon Luft.

Online coffee, a sector worth several hundred million dollars, is growing steadily in DTC sales, driven by ecommerce, subscription services, and consumer preferences for convenience. Yet brands still have room for improvement, especially since coffee is a habitual purchase.

“Our research uncovered costly blind spots. Too many brands lose revenue to delays, damage, and silence after checkout. At a high level, the fix is building trust through better fulfillment, faster delivery, and smarter cross-selling. It’s not one size fits all; the report reveals distinct realities brands need to consider,” says Luft.

The “DTC Delivery Files: Coffee Edition” compiles data on these touchpoints:

• Checkout experience
• Fulfillment speed and accuracy
• Shipping timelines and carriers used
• Packaging quality and unboxing moments
• Post-purchase communication
• What brands are getting right and where they’re losing customers

The research objectively evaluates how brands manage logistics and where gaps may cost customer trust and growth. The result is a ground-level view of the customer journey based on first-hand data. Key insights provide a clear snapshot of the DTC coffee industry as consumer spending faces scrutiny, offering brands rare, competitive data not found on ChatGPT. 

Standout takeaways include:

1. Fulfillment Failures Are Hurting Customer Trust
   Nearly 1 in 5 coffee orders arrive damaged, and 1 in 10 arrive late (Pg. 24).
   58% of brands don’t communicate delivery timelines (Pg. 19), a major red flag since freshness is the top factor driving online coffee purchases.
   Without updates, shoppers turn to grocery stores, local cafés, or roasters instead.
   
   
2. Most Brands Drop the Ball After Checkout
   72% of coffee brands fail to complete basic post-purchase emails (Pg. 18), missing critical touchpoints like order, shipping, and delivery confirmations.
   Poor communication weakens retention, undermines brand trust, and increases avoidable support inquiries. An estimated $1.7M is at stake in lost repeat business for brands that fail to engage after checkout.
   
   
3. Brands Are Leaving Millions on the Table
   Only 21% of brands use cross-sells at checkout, despite 65% using them in-cart (Pg. 6). This oversight contributes to an estimated $2.5M in missed annual revenue, as most brands fail to boost average order value at the most effective funnel stage.
   
   
4. Third-Party Logistics (3PL) Is a Growth Accelerator
   Only 30% of brands fulfill in-house ship globally, compared to 50% using 3PLs (Pg. 15). 40% of brands don’t ship to Canada; 58% don’t ship internationally at all.
   Among brands shipping globally, 75% of those using a 3PL generate $5M+ in gross merchandise value (GMV), while most fulfilling in-house fall below that threshold.

As ecommerce matures, winning brands will treat fulfillment not as an afterthought but as a growth lever. This report shows how operational gaps in logistics and communication are holding back promising coffee brands. Shipfusion’s independent audit is more than a critique; it’s a blueprint for turning back-end efficiency into growth, loyalty, and long-term value.

For more information, media inquiries or interviews with CEO Brandon Luft, contact: Aimée Savard. See full report here, and an infographic for media use here.

About Shipfusion Inc

Shipfusion is a leading fulfillment partner for fast-scaling DTC brands, offering end-to-end logistics through fully owned warehouses and dedicated, on-site support teams. With award-winning, cloud-based software and tech-enabled facilities of over 1,000,000 square feet across North America, Shipfusion delivers real-time order tracking, handles growth surges with ease, and offers custom packaging, kitting, and flexible shipping to meet unique brand needs.

Blending boutique-level service with strategically located facilities in Las Vegas, Chicago, Toronto, and York, PA, Shipfusion helps brands grow without limits, ensuring logistics scale with the business. Shipfusion is one of only four 3PLs selected for Shopify’s Fulfillment Network, making them a preferred and trusted partner for Shopify to refer its merchants to. Winner of a 2025 Retail Tech Breakthrough Award for its innovative platform and recognized globally, Shipfusion has also been ranked among Canada’s Top 500 Growing Companies for the past three years in the Globe and Mail’s Report on Business. Learn more by visiting shipfusion.com.