Research Expert: Sarah Overall
  • Published: Mar 2025
  • Pages: 150
  • SKU: IRTNTR40524

  • Latest News- Instant Coffee Market: Spray-dried is expected to lead the Product segment during 2025-2029

    The Instant Coffee Market is being driven by Raising popularity of instant coffee among millennials

    The Instant Coffee Market is expected to grow at a CAGR of 6.9% during 2024 and 2029. During this period, the market is also expected to show a growth of USD 16.3 billion. In the instant coffee market, there is a growing trend towards preparing espresso coffee at home, despite the need for specialized espresso machines. This trend is particularly prevalent in developed countries such as the US, where consumers value convenience in food habits. According to recent statistics, one in seven Canadians owns a home espresso machine. Major players in the industry, including Nestle and Starbucks Coffee, have responded to this demand by introducing new espresso coffee pods for use in espresso machines. For instance, PEETS COFFEE recently launched four new espresso blend capsules, which are compatible with Nespresso OriginalLine machines. This development underscores the increasing popularity of instant espresso coffee among consumers seeking a convenient and authentic coffee experience at home. 

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    Which Factors Are Causing a Surge in Market Growth?

    The market is segmented based on

    • Product
      • Spray-dried
      • Freeze-dried
    • Distribution Channel
      • Offline
      • Online
    • Flavor
      • Flavored
      • Non-flavored
    • Packaging
      • Jars
      • Pouches
      • Sachets
      • Bulk packaging
    • Geography
      • APAC
        • China
        • India
        • Japan
        • South Korea
      • Europe
        • Germany
        • UK
        • France
      • North America
        • Canada
        • US
      • South America
        • Brazil
      • Middle East and Africa

      According to Technavio, There are several factors that are causing the market to flourish during the forecast period, which are as follows: 

      • Raising popularity of instant coffee among millennials
      • Increased Growth in organized retailing sector
      • Business expansion strategies by companies

      However, the market also witnesses some limitations, which are as follows:

      • Rising threat from substitute products
      • Distribution challenges in instant coffee sector
      • Possible health implications of caffeine present in instant coffee

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      Market Scope in Instant Coffee Market Research Report

      Market Scope

      Report Coverage

      Details

      Page number

      237

      Base year

      2024

      Historic period

      2019-2023

      Forecast period

      2025-2029

      Growth momentum & CAGR

      Accelerate at a CAGR of 6.9%

      Market growth 2025-2029

      USD 16.3 billion

      Market structure

      market_structure.ucfirst

      YoY growth 2024-2025(%)

      6.0

      Key countries

      US, China, Japan, India, South Korea, UK, Germany, France, Brazil, and Canada

      Competitive landscape

      Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks

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      Research Analysis Overview

      The Instant Coffee Market is experiencing growth due to the adoption of Freeze-Drying Technology, which preserves the taste of Specialty Coffee in Single-Serve Formats. Home Consumption is on the rise, driven by Packaging Innovations that cater to Busy Lifestyles. Consumer Preferences lean towards Unique Flavors and Functional Properties. Multinational players and Local Craft Brands are offering a wide range of Packaging Types, including Single-Origin Coffee and Premium Blends, for Online Retailing and Working Population's Coffee Consumption needs.

      Market Research Overview

      The Instant Coffee market is a niche segment within the broader Packaged Foods and Meats industry. Key players in this market include those specializing in the production of instant coffee utilizing advanced technologies such as Freeze-Drying. These vendors focus on Single-Serve formats for Home Consumption, catering to the growing demand for convenience and portability. Packaging innovations, including airtight containers and individual servings, further enhance the market's appeal. The Instant Coffee market's growth is driven by factors such as the health benefits associated with coffee consumption and the convenience offered by single-serve formats. Technavio projects the market's expansion, based on the combined revenue generated by these specialized vendors. This market excludes equipment manufacturers and producers of alcoholic and non-alcoholic beverages, except for instant coffee.. Industries are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.


      Contacts

      Technavio Research
      Jesse Maida
      Media & Marketing Executive
      US: +1 844 364 1100
      UK: +44 203 893 3200
      Email: media@technavio.com
      Website: www.technavio.com/

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