We are an addicted nation when it comes to caffeine.

Eighty-three percent of the U.S. adult population now drinks coffee, according to a survey by the National Coffee Association of U.S.A.

We love our coffee and are willing to pay for it. But making it at home is the best option if you want to save money.

Houseware retailers such as Sur la Table have seen a double-digit increase in sales of coffeemakers and accessories over the last year.

“You can make a fantastic espresso at home, cappuccino, whatever your favorite drink is,” said Mary Janice Reisdorf of Sur La Table.
Price ranges and complexity have increased in recent years.

“You can go up towards, you know, $6,000 for these full-automatic bean-to-cut machines,” Reisdorf said. Alternatively, a manual press sells for about $35.

The true stars in the industry are the single-serve pods. Americans spent $1.8 billion on pods this year. That’s five times as much as three years ago.

“If you're really all about convenience you don't want to have to mess with any beans or grinds,” said Lisa Lee Freeman, the editor in chief of Consumer Reports’ SaveSmart site.

The pods are popular because of their ease, variety and speed. Each cup costs about 50 cents  to 80 cents.

But for a stronger cup of coffee, you will have to brew the old-fashioned way in a conventional drip pot, which requires more coffee and less water. It’s also a lot less expensive per cup when you brew your own.

"Before you choose any coffeemaker, make sure you have room for it in your kitchen, check out how easy it is to clean, and if buying a pod model, make sure you know which pods it will accept and how much they cost,” TODAY’s consumer correspondent Janice Lieberman said.

Freemen offered an overview of some of the best choices for homebrewing, based on Consumer Reports’ test of 110 models.

With a retail price of about $200, the Consumer Reports top choice overall was The Cuisinart Crystal SCC-1000 Limited Edition Perfec Temp, Freeman said.

Other options include a $40 Black & Decker CM4000S carafe-style coffee maker, which is the most economical choice for making multiple cups.

For the grind-and-brew crew, the Krups Grinder & Brewer KM7000 is a good option at  $180.

Freeman had several picks for good pod-style makers:

• Delonghi Nescafe Dolce Gusto Piccolo EDG200T - $100
• Mr. Coffee BVMC-KG5 - $80
• Starbucks Verismo 580 -  $200

Lieberman also showed off the Jura® GIGA 5 Automatic Coffee Center with Cup Warmer and Stand, which is on sale at Sur La Table for nearly $5,500.

Too much coffee can make anybody a little giddy.

Patrick Dempsey, best known as Dr. Derek “McDreamy” Shepherd on medical drama "Grey's Anatomy," sent out a celebratory Tweet late last night after his investment group made the highest single bid for Tully’s Coffee in a Seattle bankruptcy auction. “We met the green monster, looked her in the eye, and...SHE BLINKED! We got it! Thank you Seattle!” he wrote.

The “green monster” is Starbucks, and either it or the bankruptcy judge who still has to approve the deal at a hearing next week could throw a wrench into Dempsey’s white knighthood.

The investment group of which Dempsey is a member, Global Baristas LLC, beat out the other six bidders, including the coffee giant, with an offer of $9.15 million for the 47-store chain. In a statement, Scott Pearson, CEO and president of Tully’s parent company TC Global, Inc., called the auction outcome “a big win for Seattle.”

Tully’s, which filed for bankruptcy in October and closed 19 stores, has more than 500 employees. Dempsey said preserving those jobs was a top priority. “I’m thrilled that we won and I’m even more excited about saving Tully’s Coffee and its hundreds of jobs,” he said in a statement. “I am honored to have the privilege to own Tully’s.”

But his grand plans and talk of ownership are a little premature. “On its face, Dempsey won because he outbid everybody else, but they haven’t won yet,” said Anthony Michael Sabino, a bankruptcy attorney who specializes in corporate restructuring.

Global Baristas still has to get through a hearing on Jan. 11 and have a bankruptcy judge verify that its bid is the highest and best. “The reasonable expectation is very high that the Dempsey group will be the new owner of Tully’s, but it’s not an absolute certainty yet,” Sabino said.

One roadblock could be Starbucks. “We’ve made an offer for 25 locations and another bidder made an offer for all of the remaining assets and the combined amount of our bids is $10.56 million,” said spokesman Zack Hutson, who added that even though the auction is over, the judge hasn’t made her decision yet. 

With a bid nearly $1.5 million higher than Global Baristas, Starbucks or the unnamed second bidder could challenge the results of the auction in next week's hearing. "We're evaluating our options," Hutson said.

Sabino said price isn’t everything in bankruptcy sales, though. “The quality of the bid can sometimes overcome higher [ ones],” Sabino said. The bankruptcy court has to weigh a variety of factors besides the dollar amount, such as how much of an offer is cash or assumption of debt versus equity, how quickly the deal is likely to close, whether or not there is likely to be any regulatory review that could delay the sale and which buyer’s plan for the company’s future will benefit stakeholders the most.

A Global Baristas spokesperson said via email it was confident it would prevail at the hearing “because of the loss of jobs and breakup of company if others were chosen.”

Hutson countered by saying Starbucks also would keep jobs. “If our bid is accepted along with the companion bid, we intend to invite Tully’s employees at the locations we acquire to apply for positions with us,” he said, adding that current Tully’s employees would get preference as long as they met Starbucks’ job requirements.

Despite his onscreen ability to resuscitate the ailing, Dempsey doesn’t have a background in corporate turnarounds, and he began making plans to buy Tully’s only about a week before Christmas. He seemed eager to get involved, sending out Tweets throughout the day on Friday chronicling his visits to different Tully’s shops. “Heading to Clyde Hill Tully's now to meet employees and our customers. Very exciting,” he wrote.

“I will be making Seattle my home away from home and spending a significant amount of time in the community,” he pledged.

Courtesy Starbucks

Starbucks's $450 gift card made of metal will go on sale this Friday at noon eastern. If you notice your stocking drooping a bit more than usual on its hook this year, perhaps it's holding one of these 20 gram cards made of etched stainless steel and available in a limited run of 5,000 through the luxury shopping site Gilt.com. Existing Starbucks cardholders will get first dibs at noon ET on Thursday.

The card is loaded with $400 worth of coffee purchasing value. It costs more than $50 to make each one, Starbucks senior manager of global brand PR Linda Mills told TODAY. The cards also grant the bearer instant Starbucks Rewards™ Gold Level, which lets them earn free food and drink after making 12 purchases. Usually a card holder would have to make 30 purchases in 12 months to gain that status.

The gift card offering comes on the heels of a $7 large "Costa Rica Finca Palmilera" coffee that Starbucks is selling in only 48 stores, nearly all in Seattle and Portland. Large regular brews normally go for $2.20.

While the market play of a luxe offering in a recessionary time can seem counterintuitive, or snobbish, it might actually be pretty smart. Usually in hard times, it's the sale of cheap creature comforts and vices that survive, like candy, cigarettes, and yes, coffee, along with the super-high end markets.

If you buy your daily $1.50 tall drip, you will be set for 266 days.

I also harbor a serious love for good design and like the idea of turning the humble gift card, a flimsy mechanism of semi-virtual money, into a coveted object of substance. Having such a hefty reminder in your wallet could also be a way to make sure this card, unlike most gift cards that die in desk drawers and the bottom recesses of purses, actually gets used.

Related story:

• Starbucks plans 3,000 new shops in the Americas

Courtesy Starbucks

A view of the Starbucks store at Brewery Blocks in Portland, Oregon, one of the 46 locations where you can sip the $7 Costa Rica Finca Palmilera coffee.

Fancy a $7 cup of Starbucks? 

In this day of skyrocketing gas, grain and food prices, only a select few do.

But that's the price for a special rare brew Starbucks is serving up in just a few locations.

If you want to sip this black elixir, you'll have to ask for "Costa Rica Finca Palmilera," and fork over $40 for a half-pound. Also, you'll need to live in Seattle or Portland.

Only 48 stores in the country have the beans, and 46 of them are in one of these two cities.

It's not just any Starbucks there that have them, either. Only locations boasting the $11,000 "Clover" coffee machine are worthy to brew the beans. The coffee doesn't have to be made in the Clover, though. It's also available as a pour-over.

Starbucks said Wednesday there's a very good reason for the premium price on this "exotic" blend from a rare "Geisha varietal" line, which comes from an ancient line of plants that traces its lineage back to Ethiopia.

They didn't make very much of it. 

It's simple supply and demand, created for demanding coffee fans in two of the nation's most coffee-centric cities. 

The coffee "only grows at extremely high altitudes, and because of the tree’s low yield allows for more of the soil's nutrients to reach each cherry, intensifying the coffee's vibrant flavors," said the Starbucks spokesperson. "A trained nose and palate might pick up delicate floral aromas, flavors of white peach and pineapple, and a juicy herbal complexity in this coffee."

 In addition, all the beans came from just 3 hectares out of a single 90 hectare estate, yielding a tiny amount, a mere 3,800 pounds.

Starbucks basic tall Blonde coffee, produced in bulk, sells for $1.50 a cup.

"Costa Rica Finca Palmilera" is part of the Starbucks "Reserve" line of coffees, previously known as their "Black Apron" line, where the company hunts down rare and flavorful beans in origin countries and makes them available at just a few stores for a brief period of time. 

"The Starbucks Reserve line of coffees allows us to offer our customers the opportunity to try rare, unique, exquisite coffees that they might not otherwise have the opportunity to experience," said Starbucks. That is, as long as they are ready to pay a higher price.

For instance, the Jamaica Blue Mountain coffee, when available, goes for $4.50 for a tall brewed cup. Other brews in the Reserve line go for $2.95-$6.00 for a tall cup.

That said, even for a Reserve cup, "It is the highest price we've ever had," a Starbucks spokesperson told TODAY. "It raises the bar."

Coinstar

"Hi. I'm your new robobarista. May I take your order?"

    Betting, perhaps, that Americans just can’t drink enough coffee, Coinstar announced Wednesday it would have 500 automated kiosks serving Seattle’s Best Coffee in the Northeast and West Coast by year's end and “thousands” across the country in the coming years.

Coinstar has experienced success with its Redbox movie rental machines in supermarkets and convenience stores. Seattle’s Best Coffee is owned by Starbucks.

The machines will also serve coffee drinks such as lattes and mochas. Prices will begin at $1.

It will be a new business model said Nick Montano of Vending Times, an industry trade publication. The coffee vending business is established, but no company yet has tried the placement Coinstar may use.

“The mainstream vending industry serves workplace locations,” Montano said. The operators are primarily regional.

“Is this something new? No. But how they are doing it? Yes,” he said. “They aren’t going outside of a 7-Eleven that sells coffee inside. But maybe inside a Wal-Mart or supermarket – places that have no coffee service.”

In a press release, Coinstar said the kiosks would be in “grocery, drug, and mass merchant locations. As Coinstar expands geographically with its coffee kiosk, it will also pursue additional channels as part of an ongoing roll-out.”

Coinstar CEO Paul Davis told CNBC the company has been testing the product for “a year-and-a-half to two years” and was optimistic about success.

“We’re convinced there’s a terrific business opportunity there,” he said.

Below, Davis discusses the company's moves and strategy with CNBC.

The Hamilton Beach Ensemble starts at $38.

Single-cup pod brewers are seducing a growing number of coffee drinkers with their convenience: Simply choose a coffee pod, pop it in, and press a button. But these instructions conveniently omit the first step: reaching into your wallet to pay the $100 or more such machines typically cost. On top of that, The New York Times has calculated that buying coffee in pods equates to spending more than $50 per pound of ground coffee. Stick with good, old-fashioned automatic-drip to stay caffeinated on a budget.

Below are Cheapism’s top picks for affordable coffee makers.

• The Black & Decker Brew 'n Go DCM18S (starting at $19) is a highly rated, low-priced alternative to a pod brewer. It uses ground coffee but brews a single cup directly into an included 15-ounce travel mug. (Where to buy)
• The Hamilton Beach Ensemble 43254 (starting at $38) is a more typical programmable, 12-cup coffee maker with a glass carafe that reliably delivers piping-hot coffee, according to online reviews. Many consumers also like how it looks on their countertops. This model is black and stainless steel; a red version (43253) is also available. (Where to buy)
• The Mr. Coffee JWX27 (starting at $35) is another standard 12-cup machine that boasts a few extra features, such as a brew-strength selector, a cleaning cycle, and a water filter. Experts credit this coffee maker with heating water to the high temperature required for optimum brewing. (Where to buy)
• The Hamilton Beach BrewStation Summit 48464 (starting at $47) appeals to many consumers with its distinctive design. Instead of brewing coffee into a carafe, like many other 12-cup models, this machine stores the coffee in an internal thermal tank and dispenses it on demand. (Where to buy)

Carafe-less coffee makers like the Black & Decker Brew ‘n Go and Hamilton Beach BrewStation Summit promise certain advantages over conventional machines. Other low-cost coffee makers typically come with breakable glass carafes and employ a hotplate to keep coffee warm. A brew that sits too long is apt to acquire a bitter, burnt taste. Coffee makers with thermal carafes are another alternative, but those are uncommon in this price range. While we did manage to find one, the Mr. Coffee TFTX85, we also found numerous complaints that it fails to keep coffee hot.

With the exception of the Black & Decker Brew ‘n Go, these are programmable machines that can be set the night before and have coffee waiting when you wake up. They not only turn on but also shut off automatically, typically after two hours. The Hamilton Beach BrewStation Summit can be adjusted to keep coffee hot for up to four hours.

A couple of our picks -- the Mr. Coffee JWX27 and Hamilton Beach BrewStation Summit -- feature a specialized brewing mode for producing bolder flavor from the same amount of coffee. The BrewStation Summit also offers a setting for iced coffee and a small-batch option for brewing one to four cups instead of a full pot.

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The DeLonghi EC155 is an entry-level espresso machine that costs around $80.

By Kara Reinhardt, Cheapism.com

Home espresso machines perch haughtily on store shelves, attachments gleaming, seemingly out of reach for anyone not wielding a gift registry gun. Look more closely, however, and you’ll see that models bearing respected Italian brand names may also bear price tags of less than $250. Even a top espresso maker under $100 is capable of yielding a robust cup topped with a rich crema.

Below are Cheapism’s picks for frugal espresso drinkers.

• The DeLonghi EC155 (starting at $80) turns out espresso shots quickly and reliably, according to online reviews by consumers and experts. It features a stainless-steel boiler and a swiveling milk frother for making lattes or cappuccinos. (Where to buy)
• The Nespresso Citiz C110 (starting at $230) can brew both a regular espresso shot and a lungo or larger shot made with more water, although it has no steamer wand for other espresso drinks. Reviewers marvel at how easy it is to use and clean this machine. (Where to buy)
• The Capresso EC100 (starting at $135) features a dual frother that can be positioned to produce either steamed milk for a latte or frothed milk for a cappuccino. Reviewers appreciate that this espresso maker can brew two tasty shots at the same time. (Where to buy)
• The Saeco Aroma 00347 (starting at $219) has a stainless-steel boiler and earns kudos in online reviews for its quality. It boasts an 85-ounce water tank for making multiple shots in succession and offers the option to upgrade the portafilter (which holds the coffee grounds) as you establish your barista bona fides. (Where to buy)

These are semi-automatic machines, the most popular type for at-home brewing. They require a bit more skill to operate than fully automatic espresso makers that grind the beans, tamp down the grounds, and force a preset amount of water through the tightly packed coffee. However, they have a gentle learning curve and certainly outstrip expensive and demanding manual machines.

Many espresso makers accept either loose coffee grounds or standard E.S.E. (Easy Serving Espresso) pods. Nespresso machines use only the brand’s proprietary capsules, which come in 16 varieties. Capsules or pods promise unparalleled consistency and ease of use, but plenty of espresso lovers insist that the best -- and cheapest -- brew comes from loose grounds. By one estimate, Nespresso capsules cost about 20 cents more per serving than a good specialty blend of ground beans. You also can’t go out and buy them just anywhere; they’re available from only a few select retailers and generally must be ordered online or by phone through the company’s Nespresso Club.

While manufacturers tend to ballyhoo the maximum pressure of a given espresso maker, all the models on our list generate at least 15 bars -- more than enough for optimum brewing, experts say. The DeLonghi, Capresso, and Saeco machines each feature a warming tray to temper the chill of those tiny ceramic cups and keep them from subduing piping-hot shots.

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For some consumers, coffee ranks right up there with the mortgage payment and the electric bill as a vital expense. Of course, the surest way to shrink that slice of your budget is to forgo any trips to the coffee shop. It’s the infamous “latte factor,” a term originated (and trademarked) by David Bach and perpetuated by other personal finance gurus to illustrate the big savings that can result from resisting small, repeated purchases.

If you’ve already bought into this idea and started brewing at home, as do 86 percent of Americans (although not necessarily exclusively), according to the National Coffee Association, you can still cut down on your coffee expenditures without sacrificing taste.

Below are Cheapism’s top picks for affordable coffee, ranging from about 11 to 22 cents a cup.

• Folgers Black Silk (starting at $7.64 for a 27.8-ounce canister) is the best-selling brand’s darkest roast. Coffee drinkers posting reviews online note the strong, bold flavor, which may be too much for consumers used to milder brews but stands up well to the addition of milk and sugar. (Where to buy)
• Eight O’Clock Original (starting at $4.98 for 12 ounces of whole beans) has been around for more than 150 years and continues to appeal to coffee drinkers with its mellow medium roast. It’s also available as ground coffee, but experts recommend grinding whole beans yourself just before brewing for optimal taste. (Where to buy)
• Café Bustelo (starting at $3.79 for a 10-ounce can) is Cuban-style coffee intended for coladas, café con leche, and other drinks that incorporate milk and sugar. Dark roast drinkers have embraced it as a way to get bold flavor on a budget. (Where to buy)
• Melitta coffee (starting at $5.99 for an 11-ounce can) is more expensive but requires less coffee per cup, because it’s finely ground for use in the company’s manual, pour-over coffee makers (but also can be made with an automatic-drip machine). Consumers posting reviews find the 100 percent Colombian medium roast a smooth, affordable approximation of a pricier premium blend. (Where to buy)

Americans traditionally favor lighter roasts, but Starbucks and other specialty coffeehouses have popularized darker coffee in recent decades. The longer roasting process yields a richer, more intense brew -- but not necessarily a better one. Plenty of consumers, particularly those who drink their coffee black, prefer the more nuanced flavor and aroma of a light or medium roast.

Both medium roasts on our list are made from 100 percent arabica beans, which are prized for their delicate flavor. They are typically expensive because they come from finicky plants that thrive only in particular conditions. Many cheap blends incorporate robusta beans, which don’t require as much care to cultivate. They also contain more caffeine.

If you’re wondering about the price difference between beans and ground coffee, Daily Finance did the math and found that whole beans are only marginally more expensive -- if you already own a coffee grinder. The question is whether you consider a superior brew worth the extra step of grinding the beans.

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Getty Images / Getty Images file

A man eats his lunch at a Burger King in London.

The next time you stop in for a morning latte or head out for a restaurant lunch, take a look around – and don’t be surprised if you see a lot of young men standing in line.

A new survey of workers finds that men spend significantly more on coffee and lunch than women.

The survey, from staffing firm Accounting Principals, also found that younger workers spend more than older workers on lunch and coffee during the workday.

Overall, those lunches out and coffee breaks are costing workers a bundle.  American workers who buy coffee and lunch spend an average of $1,000 a year on coffee and $2,000 a year on lunch, based on the survey of 1,000 workers.

About two-thirds of workers buy lunch and half buy coffee during the week.

Men were slightly more likely than women to go out to eat, but they spent a lot more. The men who buy their lunches spend an average of $46.30 on lunch each week, compared with $26.50 for women who go out to eat.

Men who buy coffee spend an average of $25.70 vs. $15 for women.

The caffeine fix is a bigger hit on the wallets of 18- to 34-year-old workers. Younger workers who buy coffee spend an average of $24.74 a week on coffee, compared with $14.15 for workers 45 and older who buy coffee during the work week. Younger workers also spend far more on lunch than older workers: about $45 a week vs. $32.

Not surprisingly, a third of those surveyed said one of their goals for 2012 was to bring their own lunch more often.

Accounting Principals, a unit of Adecco, commissioned the survey in December.

Tip of the hat to Consumerist, which first reported on the study.

Related:

Frugal food: Brown bag options that won't break the bank

Starbucks raising prices in Northeast, Sunbelt

Featurepics stock

Need a java jolt? Well, you’re in luck because it’s National Coffee Day!

Many of your favorite purveyors are giving away free or discounted coffee, so if you haven’t gotten your fix yet (or are ready for round two or three), check out these deals rounded up by our partner Hip2Save.

If you want to get really crazy with coffee appreciation, try some of these recipes:

• Mexican style coffee: Café de la olla
• Frozen toffee coffee crunch
• Coffee liqueur marshmallows and white chocolate s'mores 
• Espresso martini