Market Definition
Coffee is considered the most extensively consumed hot beverage globally owing to its aroma, taste, caffeine content, & extensive availability. The increasing consumer inclination toward coffee has cited rising demand for automatic coffee makers for domestic & commercial purposes. It, in turn, has escalated the sales of coffee in the form of capsules & pods, which are pre-packaged & measured and are available in different flavors, quantities, & shapes compatible with coffee machines.
Coffee capsules are cylindrical vacuum-sealed containers, usually made of plastic & sealed with aluminum foil, containing grounded coffee powder and are used in automatic coffee machines. Different coffee machines require varied sizes of these capsules, yet most of these follow a standard size. On the other hand, coffee pods are round-packed powdered coffee that works like a teabag, used for preparing hand-brewed coffee, and need a low-pressure drip of hot water to work. Since coffee pods involve high-pressure functioning, they are not used in coffee machines.
Market Insights
The Global Coffee Pods and Capsules Market is projected to grow at a CAGR of around 7.4% during the forecast period, i.e., 2022-27. The growth of the market is likely to be driven primarily by the growing demand for instant non-alcoholic beverages in restaurants & cafeterias, the surging popularity of different coffee varieties, and the convenience of using pods & capsules.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2017-20 |
| Base Year: 2021 | |
| Forecast Period: 2022-27 | |
| CAGR(2022-27) | 7.4% |
| Regions Covered | North America: The US, Canada, Mexico, Rest of North America |
| South America: Brazil, Argentina, Rest of South America | |
| Europe: Germany, The UK, France, Spain, Italy, Rest of Europe | |
| Asia-Pacific: China, Japan, India, Rest of Asia Pacific | |
| Middle East & Africa: GCC, South Africa, Rest of Middle East and Africa | |
| Key Companies Profiled | Gloria Jean's Coffees, Gourmesso, Inspire Brands Inc. (DUNKIN' BRANDS), JAB Holding Company, Luigi Lavazza SpA, Nestle SA, Starbucks Corporation, Strauss Group, The Kraft Heinz Company, Trilliant Food & Nutrition, LLC, Others |
| Unit Denominations | USD Million/Billion |
Since coffee pods & capsules require minimal effort and time to prepare and are available easily at affordable prices, the consumer inclination toward these products is growing significantly worldwide, thereby driving the market. Besides, the rising demand for organic coffee has led to the development of low-sugar or sugar-free coffee capsules and oxidants in coffee to boost the immune system, i.e., another prominent aspect promulgating the popularity of coffee pods & capsules globally.
Moreover, the advent of Covid-19 that induced lockdowns & stringent movement restrictions showcased an increased demand for coffee & coffee machines and, in turn, positively infused the sales of coffee pods & capsules worldwide. It was principally due to the urge & preferences of people toward making cafe-style served coffee with the same sophistication, quality, and taste. Additionally, the massive diversity in choices by coffee pods & capsules is another notable reason behind their growing demand since then.
Furthermore, the growing population of coffee drinkers worldwide has led to the establishment & expansion of various coffee chains & retail sellers and portraying their active participation through developing innovative formulations in coffee pods & capsules. These players are also working on expanding their brand visibility & customer base, thereby augmenting the overall market growth.
Nonetheless, there has been significant growth in the number of coffee manufacturers introducing a variety of coffee capsules & pods of different prices, quality, quantity, machine compatibility, and organic & medicinal properties, among others, and witnessing a large customer influx, i.e., another crucial aspect projecting remunerative prospects for the Global Coffee Pods and Capsules Market in the years ahead.
