Dublin, Sept. 19, 2023 (GLOBE NEWSWIRE) -- The "Global Instant Coffee Market (by Type, Packaging Type, Application, Distribution Channel, & Region): Insights & Forecast with Impact Analysis of COVID-19 " report has been added to ResearchAndMarkets.com's offering.
The global instant coffee market is on track to achieve significant growth, with projections indicating a value of USD 35.97 billion and a volume of 1.91 million tonnes by 2023.
This growth is expected to occur at a Compound Annual Growth Rate (CAGR) of 5.11% in terms of value and 2.88% in terms of volume during the forecast period.
Understanding Instant Coffee:
Instant coffee is produced by removing most of the water from brewed coffee, resulting in a product that requires no chemical alteration. Unlike more expensive Arabica coffee beans, instant coffee is often made from Robusta beans.
Market Segmentation:
The global instant coffee market is segmented based on type, packaging type, distribution channel, and application.
- Type: The market includes four segments: roast and ground, soluble, ready to drink (RTD), and portioned. Roast and ground coffee accounted for approximately 34% of the market in 2021, driven by health benefits associated with vitamin B3 found in roast and ground coffee powder.
- Packaging Type: The market comprises four packaging segments: jar, pouch, sachet, and others. The jar segment held over half of the market share in 2021, while pouches are the fastest-growing segment during the forecast period due to cost-effectiveness.
- Distribution Channel: The market is divided into offline and online segments. Offline channels dominated in 2021, but online channels are growing rapidly due to convenience and attractive discounts.
- Application: The market includes commercial and residential segments. Commercial establishments such as offices, restaurants, and cafes accounted for approximately 77% of the market share in 2021.
Geographic Coverage:
The global instant coffee market is categorized into five major regions: Asia Pacific, North America, Europe, Latin America, and the Middle East and Africa. Asia Pacific holds the largest market share, driven by the economic growth and expansion of India and China, two of the region's fastest-growing economies.
Top Impacting Factors:
Growth Drivers:
- Increased Use of the Internet.
- Growth of High-End Cafe Chains and Coffee Capsules.
- Increasing Popularity of Instant Coffee among Millennials.
- Increase in Disposable Income.
Challenges:
- Fluctuations in Raw Material Prices.
- Threat of Substitutes.
Trends:
- Increasing Demand for Flavored Coffee.
- Premiumization of Instant Coffee in Food and Beverages.
- Healthy Coffee and Additives.
- Specialty Drinks and Artisan Coffee on the Rise.
Driver:
Increase in Disposable Income: Rising disposable income in developing countries, including China, India, and Brazil, has fueled demand for instant coffee. As people's lifestyles become busier, caffeine consumption increases, boosting demand for convenient instant coffee. Increased disposable income empowers consumers to spend on leisure activities such as visiting cafes and restaurants, contributing to instant coffee's growth.
Challenge:
Threat of Substitutes: The coffee industry faces competition from various substitutes, including tea, which poses a significant threat. Tea is preferred over coffee in many regions worldwide. Additionally, other beverages like soft drinks, energy drinks, green tea, and iced tea are gaining popularity, challenging the global instant coffee market.
Trend:
Specialty Drinks and Artisan Coffee on the Rise: Specialty coffee drinks and local roasters are gaining popularity, offering unique flavors and brewing methods. Cold and Nitro brewing methods are becoming more widespread. This trend promotes instant coffee as consumers seek new and innovative coffee experiences.
Analysis of Key Players:
The global instant coffee market features numerous players, and key market participants include Starbucks Corporation, Unilever Plc, Tata Consumer Products, Nestle S.A, The Kraft Heinz Company, Ajinomoto Co. Inc, Strauss Coffee Ltd, Jacobs Douwe Egberts, PT Java Prima Abadi, Douwe Egberts Companies Inc, PT Mayora Indah TBK, JM Smuckers Company, and Tchibo Coffee International Ltd.
For more information about this report visit https://www.researchandmarkets.com/r/7ogq8p
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