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Italian premium coffee brand specializing in espresso, Arabica blends, coffee equipment, cafés, and coffee culture.

Last updated August 31, 2026

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Overview

illy, legally Illycaffè S.p.A., is an Italian coffee company headquartered in Trieste and controlled by the Illy family. Founded in 1933 by Francesco Illy, the business developed around espresso and became known for combining coffee sourcing, technological innovation, packaging, hospitality, education, and design. Its core product is a carefully formulated blend of Arabica coffees, sold as whole beans, ground coffee, pods, and capsules, alongside single-origin and decaffeinated offerings when available. The company's early history is closely associated with Francesco Illy's interest in improving espresso preparation and preserving roasted coffee. In 1935 he developed the illetta, an automatic espresso machine that used pressurized water rather than steam. Illy also introduced nitrogen-pressurized, oxygen-reduced packaging, a system intended to protect roasted coffee from oxidation and preserve aroma. The company's characteristic metal cans, traditionally using silver and red visual elements, became a major part of its identity. After the Second World War, Francesco's son Ernesto Illy led the company and expanded its scientific and technical capabilities. Under Ernesto, Illy established a research laboratory, developed relationships with universities and research institutions, and promoted a model based on quality control from green-bean sourcing through roasting and preparation. Since the late 1980s, the company has purchased green coffee directly from producing countries rather than relying exclusively on international commodity markets. It focuses on Arabica beans from Brazil, Central America, Africa, India, and other producing regions, and has used training and premium purchasing relationships to encourage quality improvements among growers. illy's business extends beyond packaged coffee. The company operates or franchises cafés in locations including shopping streets, museums, airports, hotels, restaurants, and other hospitality settings. Its Università del Caffè, founded in 1999, provides education and training for growers, hospitality professionals, baristas, and coffee consumers. The program began in Naples and was later based at the company's Trieste offices, developing an international network of branches. The brand has also cultivated a strong design and cultural profile. The Illy Art Collection, launched in 1992 by Francesco Illy, commissions artists, designers, architects, and other creative figures to decorate cups, cans, machines, and promotional materials. Contributors have included Robert Rauschenberg, Francis Ford Coppola, David Byrne, Jeff Koons, Yoko Ono, James Rosenquist, Matteo Thun, and Luca Trazzi. This program helped position illy as a premium lifestyle and hospitality brand rather than solely a packaged-goods producer. Internationally, illy sells through retail, e-commerce, food-service, hotels, restaurants, cafés, airports, and company-related distribution operations. In 2009, it entered the coffee-flavoured energy-drink segment through illy issimo, a partnership with The Coca-Cola Company. The company has continued to identify the United States as an important expansion market, with emphasis on brand building, digital commerce, retail distribution, and hospitality channels. In 2022, Illycaffè reported revenue of €567.7 million, according to the cited Wikipedia reference material. The company remains privately held and family-controlled.

History

Francesco Illy founded the company in Trieste in 1933. Born in Temesvár, then part of Austria-Hungary and now Timișoara, Romania, he moved to Trieste after the First World War. His original business included cocoa and coffee, but the company increasingly concentrated on coffee and espresso. In 1935, Francesco developed the illetta, an automatic espresso machine that used pressurized water instead of steam. The invention addressed the technical challenge of producing a more consistent espresso and became an early precursor to modern espresso machines. Illy also developed a preservation system in which roasted coffee was packed in metal cans under nitrogen. By limiting exposure to oxygen, the system helped retain aroma and freshness during distribution. The company first expanded beyond the Trieste area and then across Italy. Following the Second World War, management passed to Francesco's son Ernesto Illy. Ernesto strengthened the company's scientific orientation by creating a research laboratory and building cooperative relationships with universities and research centers. Research and quality control became central to the company's identity, covering green coffee selection, roasting, packaging, brewing equipment, and professional preparation. From the late 1980s, illy increasingly bought green Arabica coffee directly from producing countries rather than sourcing only through international commodity markets. Its sourcing has included Brazil, Colombia, India, and countries in Africa and Central America. The company has supported producer education through the Università del Caffè, which provides training in agronomy, quality, and coffee preparation. In Brazil, the reference material describes a nine-month course totaling 360 hours of instruction. Illy has purchased some coffee from trained growers at premium prices without requiring exclusivity. The company was also identified as the first recipient of Det Norske Veritas's Responsible Supply Chain Process sustainability certification. The company expanded its cultural and educational activities in the 1990s. In 1992, Francesco Illy launched the Illy Art Collection, commissioning artists and designers to reinterpret the company's espresso cups and later its cans and other promotional objects. In 1999, illy founded the University of Coffee, initially in Naples. It was subsequently moved to the company's Trieste offices and developed an international branch network serving growers, hospitality workers, baristas, and consumers. Illy's international business includes packaged coffee, professional coffee service, cafés, coffee machines, capsules, pods, and related products. The brand has operated in or supplied venues such as shopping streets, museums, airports, hotels, restaurants, and cafés. In 2009, the company entered the coffee-flavoured energy-drink category through illy issimo, a partnership with The Coca-Cola Company. The family-controlled company continued to develop international distribution during the 2010s and 2020s. In late 2019 it explored a minority investment to support United States expansion. In 2021, chairman Andrea Illy described the United States as a strategic growth market, emphasizing brand awareness and stronger online, retail, hotel, restaurant, and café distribution. The company remained privately held, with the Illy family represented in governance. Reference material states that it employed 1,188 people worldwide in 2023 and generated €567.7 million in revenue in 2022.

  • 2023

    Worldwide employment reported at 1,188

    [1]

    Reference material reports 1,188 employees worldwide in 2023.

  • 2022

    Revenue reported at €567.7 million

    [1]

    Reference material reports total company revenue of €567.7 million for 2022.

  • 2019

    Minority investment considered for United States expansion

    [1]

    Illycaffè explored offering a 20% stake to potential investors to support growth in the United States.

  • 2012

    Ernesto Illy Trieste Science Prize period ends

    [1]

    The company-funded science prize, which ran from 2004 to 2012, concluded after recognizing researchers from developing countries.

  • 2009

    illy issimo introduced

    [1]

    Illy and The Coca-Cola Company launched a coffee-flavoured energy-drink line.

  • 2004

    Ernesto Illy Trieste Science Prize begins

    [1]

    Illy began funding the Ernesto Illy Trieste Science Prize in collaboration with The World Academy of Sciences.

  • 1999

    University of Coffee established

    [1]

    Illy founded the Università del Caffè in Naples to support coffee education, research, and innovation.

  • 1992

    Illy Art Collection launched

    [1]

    Francesco Illy began collaborations with artists and designers to create collectible coffee cups and later other branded objects.

  • 1935

    Illetta espresso machine developed

    [1]

    Francesco Illy developed an automatic espresso machine using pressurized water rather than steam.

  • 1933

    Company founded in Trieste

    [1]

    Francesco Illy established a cocoa and coffee business in Trieste, later concentrating on espresso and roasted coffee.

Products and positioning

Premium Italian espresso and coffee-culture brand emphasizing Arabica quality, technical preparation, design, hospitality, and responsible sourcing.

  • Packaged coffee

    illy Arabica blend

    The core illy coffee is a blend of Arabica beans sourced from several producing regions. It is sold as whole beans and ground coffee, with roast profiles including medium, dark, and decaffeinated versions. The blend is designed primarily for espresso but is also used in other brewing methods and professional food-service settings.

  • Specialty coffee

    illy single-origin coffees

    The company offers single-origin Arabica coffees from producing countries including Brazil, Guatemala, Ethiopia, Colombia, Costa Rica, Nicaragua, Tanzania, and India, subject to availability. These products allow consumers to compare regional flavor characteristics with the company's signature blend.

  • Decaffeinated coffee

    illy Decaf

    illy's decaffeinated format provides the brand's espresso-oriented coffee experience with substantially reduced caffeine. It is available in packaged forms such as ground coffee and, depending on market, capsules or pods.

  • Seasonal coffee

    Idillyum

    Idillyum is a seasonal low-caffeine Arabica offering associated with beans grown in El Salvador. It broadens the portfolio beyond the standard blend while maintaining the company's focus on premium Arabica sourcing.

  • Single-serve coffee

    ESE pods

    illy packages espresso coffee in Easy Serving Espresso pods for compatible pod machines. The format provides a pre-portioned dose intended to simplify preparation while supporting consistent espresso extraction in homes and professional environments.

  • Capsule coffee

    IperEspresso capsules

    IperEspresso capsules are illy's proprietary capsule format for compatible machines. They extend the company's espresso system into convenient single-serve preparation and are sold in several roast, decaffeinated, and origin profiles depending on market.

  • Coffee equipment

    illy coffee machines

    illy-branded machines support espresso preparation for home, office, and hospitality use. The range has included equipment designed for the company's capsule and coffee systems, linking packaged coffee sales with controlled brewing technology.

  • Ready-to-drink beverage · 2009

    illy issimo

    illy issimo is a coffee-flavoured energy-drink and ready-to-drink beverage line launched in 2009 with The Coca-Cola Company. Reported variants included caffè, caffè no sugar, cappuccino, latte macchiato, and mochaccino.

  • Branded design objects · 1992

    Illy Art Collection

    The Illy Art Collection consists of coffee cups and related objects decorated by artists, designers, architects, and other cultural figures. The program began in 1992 and later expanded to coffee cans and promotional materials, making collectible design part of the brand experience.

Marketing campaigns

  • 2009illy issimo launch

    United States · International

    illy and The Coca-Cola Company launched illy issimo coffee-flavoured energy drinks and used distribution channels including AirTran Airways.

    Outcome. The partnership extended the illy name beyond roasted coffee and espresso products.

  • 2006Black Gold documentary visibility

    International

    Illy was featured in the documentary Black Gold in the context of coffee sourcing and the economics of Ethiopian coffee.

    Outcome. The appearance connected the brand with broader public discussion about coffee supply chains.

  • 2004Ernesto Illy Trieste Science Prize

    Developing countries · International

    In cooperation with The World Academy of Sciences, illy funded a prize recognizing scientific researchers from developing countries.

    Outcome. The initiative operated from 2004 through 2012.

  • 1999Università del Caffè

    Italy · Global

    The company created a coffee education network for growers, baristas, hospitality professionals, and consumers, combining technical instruction with coffee-culture promotion.

    Outcome. The network expanded internationally and is described in the reference material as having 27 branches.

  • 1992Illy Art Collection

    Global

    illy collaborated with prominent artists and designers to produce collectible cups and later cans, using art and design to reinforce its premium identity.

    Outcome. The program became a long-running cultural and design platform associated with the brand.

Brand decisions

  • 2021

    Prioritize United States distribution and brand buildingStrategy

    Background

    Chairman Andrea Illy identified the United States as the world's largest coffee market and a key opportunity for the company.

    Action taken

    Management emphasized brand development and stronger distribution through online channels, larger retailers, hotels, restaurants, and cafés.

    Aftermath

    The approach positioned hospitality and omnichannel distribution as central elements of illy's international growth strategy.

  • 2019

    Consider minority investment for United States growthStrategy

    Background

    illy sought additional scale in the United States, a strategically important coffee market.

    Action taken

    Illycaffè explored offering a 20% stake to potential investors.

    Aftermath

    The supplied material does not establish whether a transaction was completed.

  • 2009

    Enter coffee-flavoured energy drinksProduct launch

    Background

    The company pursued a wider ready-to-drink beverage presence beyond packaged beans, ground coffee, and espresso service.

    Action taken

    illy partnered with The Coca-Cola Company to launch illy issimo.

    Aftermath

    The partnership created a new beverage category for the brand, although the current status of the line is not established in the supplied sources.

  • 1999

    Establish a coffee education institutionStrategy

    Background

    illy viewed grower knowledge, professional preparation, and consumer education as important to coffee quality and brand development.

    Action taken

    The company founded the Università del Caffè and later relocated its central base to Trieste.

    Aftermath

    The initiative developed into an international training network.

  • 1989

    Move toward direct green-coffee sourcingStrategy

    Background

    The company sought greater control over raw-material quality and producer relationships.

    Action taken

    illy began purchasing green Arabica beans directly from source countries rather than relying solely on international commodity markets.

    Aftermath

    Direct sourcing became part of the company's quality, training, and premium-payment model.

  • 1935

    Develop the illetta automatic espresso machineProduct launch

    Background

    Francesco Illy sought to make espresso preparation more consistent and less dependent on steam-based equipment.

    Action taken

    The company introduced an automatic machine using pressurized water, an early predecessor of contemporary espresso machines.

    Aftermath

    The invention established espresso equipment and preparation technology as part of the company's long-term business identity.

  • 1930

    Adopt nitrogen-pressurized coffee packagingOther

    Background

    Roasted coffee loses aroma and quality when exposed to oxygen during storage and distribution.

    Action taken

    illy developed metal cans filled with coffee and pressurized with nitrogen rather than air.

    Aftermath

    The packaging became a recognizable feature of the brand and supported distribution beyond the local Trieste market.

Recent events

  • Reported

    illy announces a Stefan Sagmeister-designed Art Collection[4]

    illy announced a new Art Collection designed by Stefan Sagmeister. The special-edition cups were planned to go on sale from January 2021 on illy’s Tmall flagship store and illy Shop.

  • Reported

    Cocabel wins both categories of the 2020 Ernesto Illy International Coffee Award[5]

    illycaffè announced that Cooperativa Cocabel won both the Best of the Best and Coffee Lover's Choice categories of the 2020 Ernesto Illy International Coffee Award.

Read more

Sources5 sources

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