The Report Covers Europe Coffee Pods & Capsules Market Size and it is Segmented by Product Type (pods and capsules), Distribution Channel (on-trade and off-trade (supermarkets/hypermarkets, specialty stores, online retail, and other distribution channel types)), and Geography (Germany, United Kingdom, France, Russia, Spain, Italy, and the rest of Europe). The market size is provided in terms of value (USD million) during the forecasted years for the above segments.

The Europe coffee market is projected to grow at a CAGR of 4.50% between 2025 and 2034.

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Coffee Market Size 2025-2029

The coffee market size is forecast to increase by USD 37.7 billion, at a CAGR of 6.9% between 2024 and 2029.

The market is experiencing significant growth, driven by the rising consumption of this popular beverage. The trend toward specialty coffee and premiumization is also fueling market expansion. Consumers' increasing preference for high-quality, unique coffee blends is leading to increased demand for specialty coffee. Cold brew coffee, craft coffee, and ready-to-drink coffee have gained popularity, while coffee capsules and subscription services have transformed the convenience factor. Climate change and supply chain disruptions pose challenges to the industry, as extreme weather conditions and political instability in coffee-producing regions can impact production and availability. Despite these challenges, the market is expected to continue its growth trajectory, driven by consumer demand and innovation in the industry.

What will be the Size of the Coffee Market During the Forecast Period?

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The market encompasses the production, processing, and consumption of this popular beverage. With an estimated 25 million farmers cultivating coffee worldwide, production volumes continue to grow, driven by increasing consumer demand. Coffee's versatility, from traditional brews to gourmet roasts and innovative offerings like nitro coffee and herbal infusions, caters to diverse preferences. Coffee consumption is influenced by various factors, including age distribution, with a significant portion of consumers being millennials. Consumers seek out freshly roasted, single-origin, and sustainably produced beans, reflecting a trend towards higher quality and ethical sourcing. Health-conscious consumers are drawn to coffee's antioxidant properties, which contribute to brain health, heart health, and diabetes management.
Despite these positive attributes, coffee consumption may have negative health effects for some individuals, particularly those sensitive to caffeine. Alternatives, such as tea, matcha, and capsules, offer viable options for those seeking caffeine without the coffee experience. The market's growth is further influenced by cultural shifts, with coffee shops and high-end establishments becoming integral components of daily life in many parts of the world. Sustainability remains a key focus, with businesses and consumers alike prioritizing certified coffee and eco-friendly practices.

How is this Coffee Industry segmented and which is the largest segment?

The coffee industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Product

  Arabica coffee
  Robusta coffee
  Liberica coffee
  Excelsa coffee


Application

  Food and beverage
  Pharmaceuticals
  Cosmetic


Geography

  Europe



  North America

    Canada
    US


  APAC

    Japan
    South Korea
    Vietnam


  Middle East and Africa



  South America

    Brazil

By Product Insights

The arabica coffee segment is estimated to witness significant growth during the forecast period.

The market is led by Arabica coffee, accounting for over 60% of total production. Arabica beans, with their mild, sweet, and slightly acidic flavor profile, are favored for their fruit and sugar notes. Compared to Robusta, Arabica coffee contains less caffeine, resulting in a smoother and more refined taste. Arabica coffee is primarily cultivated in optimal climates and altitudes, such as Brazil, Colombia, Ethiopia, Honduras, and Peru. These regions are known for producing high-quality Arabica beans that cater to discerning coffee consumers worldwide. Prominent companies offer various Arabica coffee products to meet diverse consumer preferences. Coffee innovation continues to drive the market, with advancements in technology, brewing methods, and sustainability initiatives.

Coffee processing methods, roasting techniques, and packaging trends have also evolved, with a focus on premium quality and eco-friendly practices. Coffee culture and artistry have intersected, with coffee shops and cafes serving as social hubs and creative spaces. Coffee's health benefits, including energy boost and productivity enhancement, have been extensively researched. Sustainability initiatives, such as organic cultivation and fair trade practices, have become essential to the industry. Coffee regulations and climate change have significant impacts on the market, with regulations ensuring quality and sustainability, and climate change affecting production.

The coffee industry outlook remains positive, with a growing wealthy population and increasing coffee consumption. Coffee continues to inspire various industries, from fashion and literature to film and music. Cof

This statistic shows the compound annual growth rate (CAGR) of coffee market revenue in selected countries in Europe between the years 2020 and forecast to 2025. The coffee market in Sweden is poised to experience the most growth at 8.1 percent in the five year period, followed by Spain at 7.5 percent. For the full consumer market outlook on the coffee market in Europe, please see the following.

The report covers Coffee Machine Manufacturers in Europe and the market is segmented Distribution channel( Multi-brand store, Specialty Store, Online store, another distribution channel), Product type(Filter Coffee Machine, Capsule or pod coffee machine, Traditional Espresso machine, Bean to cup coffee machine), operational category( Semiautomated, Fully Automated), geography(Sweden, France, Netherlands, Spain, Italy, Germany).

European Decaffeinated or Roasted Coffee Market Size Value by Country, 2023 Discover more data with ReportLinker!

Europe's Takeout Coffee market dominated the market in 2023 and accounted for a share of more than 35% of the global revenue due to several variables.

The EU green coffee market expanded rapidly to $10.1B in 2024, increasing by 9.3% against the previous year. The market value increased at an average annual rate of +1.3% over the period from 2012 to 2024; the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. As a result, consumption reached the peak level of $10.4B. From 2023 to 2024, the growth of the market remained at a lower figure.

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Espresso Coffee Market Size 2024-2028

The espresso coffee market size is forecast to increase by USD 4.55 billion at a CAGR of 5.58% between 2023 and 2028.

The market is witnessing significant growth due to the increasing popularity of flavored espresso drinks, such as those with chocolate and vanilla, In the US. The convenience offered by espresso machines and the rising trend of e-commerce sales are also driving market growth. However, the market is faced with challenges including the use of preservatives in coffee and the high cost of filters. Moreover, the price volatility of raw materials like coffee beans and the increasing use of fertilizers in coffee production are other factors impacting the market. Antioxidant properties of espresso coffee make it a preferred choice among health-conscious consumers, further boosting market growth.The increasing number of franchise and chain coffee shops in convenience stores also contributes to the market's expansion. Overall, the market is expected to continue its growth trajectory In the coming years.

What will be the Size of the Espresso Coffee Market During the Forecast Period?

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The market encompasses a wide range of products and channels, centered around the concentrated, richly flavored coffee beverage prepared using high pressure and finely ground beans. This market exhibits robust growth, driven by the global population's increasing appreciation for the unique taste and convenience of espresso-based drinks. Key product categories include pure espresso, double espresso, ristretto, cappuccinos, lattes, mochas, macchiatos, and Americanos, among others. The market is segmented into store-based and non-store segments, with cafes and commercial spaces such as hospitals and airports being significant contributors to the store-based segment. The non-store segment, which includes home and office delivery and vending machines, is also experiencing substantial growth due to the demand for convenient, on-the-go options.The market's expansion is influenced by the healthy lifestyle trend, with many consumers turning to espresso as a caffeine source that can be enjoyed as part of a balanced diet. Additionally, the use of preservatives and synthetic fertilizers in coffee production remains a topic of debate, with a growing number of consumers expressing a preference for organic, sustainably sourced beans, such as Arabica and Robusta. The market's size and direction are influenced by various factors, including consumer demographics, lifestyle trends, and technological advancements. Student populations and office employees are significant consumer groups, with franchise retailers and cafes catering to their unique needs and preferences.Shelf life and coffee shot innovations are also driving market growth, as consumers seek more convenient and portable options.

How is this Espresso Coffee Industry segmented and which is the largest segment?

The espresso coffee industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments. End-userHome and officesOthersTypePure espressoDouble espressoLatteMochaOthersGeographyNorth AmericaUSEuropeGermanyFranceItalyAPACChinaSouth AmericaMiddle East and Africa

By End-user Insights

The home and offices segment is estimated to witness significant growth during the forecast period.

The market is experiencing significant growth in both home and office consumption. This trend is driven by the increasing number of offices incorporating coffee vending machines for employee convenience and the rise in work-from-home culture due to COVID-19. In 2021, 79% of Canadian households owned espresso coffee machines. The preference for espresso coffee is attributed to its ability to provide an instant energy boost, making it a popular choice among the working population. The long shelf life and higher nutritional value of espresso coffee, including natural oils, minerals, and antioxidants, contribute to its appeal. Strategic marketing efforts, promotion of novel products such as vanilla, caramel, and chocolate flavors, and the availability of espresso coffee in various channels including supermarkets, hypermarkets, convenience stores, e-commerce platforms, and coffee shops, further fuel market growth.The health benefits of espresso coffee, including boosting the immune system and reducing the risk of cardiovascular diseases, diabetes, and inflammation, also contribute to its popularity.

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The Home and offices segment was valued at USD 5.29 billion in 2018 and showed a gradual increase during the forecast period.

Regional Analysis

Europe is estimated to contribute 41% to the g

Forecast: Coffee Market Size Volume in Western Europe 2022 - 2026 Discover more data with ReportLinker!

The Global Coffee Market Report is Segmented by Product Type (Whole-Bean, Ground Coffee, Instant Coffee, and Coffee Pods and Capsules), Distribution Channel (On-Trade and Off-Trade), and Geography (North America, Europe, Asia-Pacific, South America, and Middle East & Africa). The Report Offers the Market Sizes and Forecasts in Terms of Value (USD) for all the Above Segments.

Europe Aircraft Coffee Market is Growing at Compound Annual Growth Rate (CAGR) of 4.8% from 2023 to 2030.

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Functional Coffee Market Size 2024-2028

The functional coffee market size is forecast to increase by USD 1.76 billion at a CAGR of 4.5% between 2023 and 2028.

The market is experiencing significant growth due to various factors. One key driver is the increasing awareness of coffee's benefits for digestion and weight loss. This has led to the popularity of coffee infused with Medium Chain Triglyceride (MCT) oil, which is known to aid in weight loss and healthy hydration. Another trend is the rise of single-serve coffee and ready-to-drink coffee, providing convenience for consumers. Additionally, the market is witnessing an increase in coffee consumption among millennials, who are more health-conscious and prefer functional beverages. Furthermore, the inclusion of nootropic L-Theanine in coffee is gaining traction, as it enhances focus and mental clarity.

Additionally, the rising popularity of coffee and non-alchoholic beverages among millennials, who are more health-conscious and prefer functional beverages, is contributing to market expansion. Furthermore, fluctuating prices of coffee beans, which can impact the market, are being closely monitored by industry players. However, challenges such as obesity and diabetes concerns associated with high coffee consumption remain. Overall, the market is poised for continued growth, offering innovative solutions for health-conscious consumers.

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Functional coffee, a beverage category that goes beyond the traditional hot or iced coffee experience, has gained significant traction in the US market. This segment of the coffee industry is characterized by the inclusion of functional ingredients, such as turmeric, ginger, cardamom, cinnamon, and MCT oil, to provide additional health benefits. The increasing health consciousness among consumers is driving the demand for functional coffee. These consumers are seeking beverages that not only provide energy but also contribute to their overall well-being. Functional coffee caters to this demand by offering antioxidants, anti-inflammatory benefits, anxiety relief, and immune system support.
Additionally, the millennial demographic is a key market for functional coffee. This generation is known for their preference for convenient, on-the-go options, making single-serve coffee and ready-to-drink coffee popular choices. Furthermore, their vegetable eating habits and online industry engagement have paved the way for the growth of functional coffee. Technological advances in the coffee industry have enabled the production of innovative flavors and personalized nutrition. Online platforms have made it easier for consumers to access a wide range of functional coffee options, further fueling market growth. However, the market is not without challenges. Supply chain disruptions, inflation, and the emergence of plant-based alternatives pose threats to market growth.
In conclusion, producers must navigate these challenges while maintaining the quality and integrity of their products. Specialty roasters are capitalizing on the growing demand for functional coffee by introducing new and unique offerings. For instance, some roasters are experimenting with cannabinoids, which are known for their potential health benefits. These developments demonstrate the dynamic nature of the market and its potential for continued growth. In conclusion, the market in the US is poised for growth, driven by increasing health consciousness, the millennial demographic, and technological advances. Despite challenges, specialty roasters are innovating to meet consumer demands and capitalize on this trend.

How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Product

  Whole bean coffee
  Ground coffee
  RTD coffee


Geography

  Europe

    Germany
    France
    Italy


  APAC



  North America

    US


  South America



  Middle East and Africa

By Product Insights

The whole-bean coffee segment is estimated to witness significant growth during the forecast period.

Whole bean coffee, which remains unground after roasting, is preferred by many for its superior taste and freshness. The beans are ground immediately before brewing, ensuring a more flavorful cup of coffee. For optimal freshness, roasted coffee beans should be stored in airtight containers or bags. Compared to ground coffee, whole beans maintain their freshness longer due to the reduced surface area exposed to air after grinding. Coffee beans offer numerous health benefits, including antioxidants and unique flavor profiles. Functional coffee, a popular trend in the c

Costa Coffee ranked as the leading coffee shop chain in Europe in 2022. The British coffee store chain accounted for a total of 3,122 establishments across Europe. Meanwhile, Starbucks and McCafé placed second and third, respectively.

The top coffeehouse players in Europe

Costa Coffee, McCafé, and Starbucks were the three top players in the European coffee shop and café market, however, the presence of each brand varies widely by country. For instance, Costa’s leading market was by far the United Kingdom, where the vast majority of stores are based. Similarly, most of the Starbucks stores in Europe were also in the UK. However, McCafe’s presence in Europe was spread across the mainland, with their biggest market in Germany.

Where are the main coffee shop markets in Europe?

Although there are many coffee loving nations within Europe, the coffeehouse culture varies by country. While the UK is a big market for coffee-focused stores that follow a Starbucks-style format, cafés are the primary locations for coffee lovers in Italy, Portugal and Turkey. The number of cafés and coffee shops in such European countries therefore varies, with Italy in the lead overall.

In 2024, after three years of decline, there was significant growth in the Europe roasted coffee market, when its value increased by 13% to $20.9B. Overall, consumption saw a relatively flat trend pattern. Over the period under review, the market reached the maximum level at $26.5B in 2020; however, from 2021 to 2024, consumption failed to regain momentum.

The report covers Global Out-of-Home Coffee Market Consumption and it is segmented by category (regular coffee and gourmet/specialty coffee) and by geography (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa). The market size and values are provided in terms of (USD Million) during the forecasted years for the above segments.

Discover the projected growth of the coffee market in the European Union over the next decade, driven by increasing demand for green coffee. Market performance is expected to decelerate but still expand, with a forecasted increase in both volume and value terms by the end of 2035.

This statistic shows the market share of Nespresso and Dolce Gusto in the coffee-capsules market in Western Europe in 2010 and 2015. Although both products are owned by Nestle, the newer Dolce Gusto brand is eating into the market share of Nespresso, from only eight percent of the market in 2010 to 12 percent by 2015.

Europe Ready To Drink Coffee Market size was valued at USD 3.45 Billion in 2024 and is projected to reach USD 6.29 Billion by 2032, growing at a CAGR of 7.8% from 2026 to 2032.

Key Market Drivers

Busy Urban Lifestyles and Convenience: Demand for useful, on-the-go coffee alternatives is increasing as cities grow and work situations get more hectic. With 75% of Europeans living in cities in 2020, and that proportion expected to rise to 84% by 2050 (Eurostat), urban professionals are increasingly seeking rapid time-saving beverage options such as ready-to-drink coffee to accommodate their hectic schedules.

The East European green coffee market rose significantly to $1.1B in 2024, growing by 11% against the previous year. The total consumption indicated a noticeable expansion from 2012 to 2024: its value increased at an average annual rate of +2.2% over the last twelve years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2024 figures, consumption decreased by -11.5% against 2022 indices.