Th USA Coffee Market is Segmented by Product Type (Whole Bean, Ground Coffee, Instant Coffee, and Coffee Pods and Capsules) and Distribution Channel (Supermarkets/Hypermarkets, Convenience/Grocery Stores, Online Retail, and Other Off-Trade Channels). The Report Offers Market Size and Values (in USD Million) for the Above Segments.

U.S. Coffee Market size was valued at USD 69.82 Billion in 2023 and is projected to reach USD 106.23 Billion by 2031, growing at a CAGR of 6.18% from 2024 to 2031.

U.S. Coffee Market Outlook

The rising preference for premium coffee products has significantly boosted the demand for specialty coffee across the U.S. Consumers are gravitating toward high-quality coffee blends, single-origin beans, and artisanal roasts, driven by an increased awareness of diverse coffee profiles and brewing techniques. This trend has given rise to a burgeoning market for specialty coffee shops, independent roasters, and premium coffee brands that cater to these sophisticated tastes. According to the National Coffee Association’s Spring 2024 National Coffee Data Trends (NCDT) report, daily coffee consumption among American adults has reached its highest level in over 20 years, rising by 37% since 2004.

The US coffee market size was valued at USD 28.0 Billion in 2024. Looking forward, IMARC Group estimates the market to reach USD 39.20 Billion by 2033, exhibiting a CAGR of 3.69% from 2025-2033. The market is driven by the increasing demand for specialty coffee, with consumers seeking premium, ethically sourced products. Health consciousness is promoting healthier coffee options like plant-based milk and low-sugar beverages. Besides this, the U.S. coffee market share is influenced by technological innovations, such as smart brewing machines and coffee subscriptions, which offer convenience and customization.

IMARC Group provides an analysis of the key trends in each segment of the US coffee market, along with forecasts at the country and regional levels from 2025-2033. The market has been categorized based on product type and distribution channel.

The size of the US Coffee Market was valued at USD 28.06 Million in 2023 and is projected to reach USD 36.16 Million by 2032, with an expected CAGR of 3.69% during the forecast period. Coffee is one of the most popular beverages globally, celebrated for its rich flavors, aromatic qualities, and stimulating effects. It is derived from the roasted seeds of the Coffea plant, commonly known as coffee beans. The two most widely cultivated species are Coffea arabica and Coffea canephora (robusta). Coffee's history dates back centuries, with its origins traced to Ethiopia, where legend says a goat herder named Kaldi discovered the energizing effects of coffee beans after noticing his goats becoming lively after eating them. The coffee-making process begins with harvesting the coffee cherries, which contain the beans. After harvesting, the cherries undergo processing, where they are fermented, dried, and roasted to develop their unique flavors and aromas. The roasting process significantly influences the taste profile of the coffee, with varying degrees of roast (light, medium, or dark) producing different flavor notes. Recent developments include: November 2022: The Nestlé brand Nespresso launched plant-based home compostable coffee capsules. It offers premium quality coffee without compromising the taste. The capsules are made compatible with Nespresso Original machines., June 2022: Keurig Dr. Pepper Inc. and Intelligentsia Coffee launched Intelligentsia K-Cup Pods for the Keurig brewing system. The super-premium coffee brand will be offered to consumers in this format for the first time., August 2022: Tim Hortons unveiled four new varieties of espresso capsules compatible with Nespresso machines. These four varieties include classic, bright, bold, and decaf.. Key drivers for this market are: Demand for Specialty Coffee, Popularity of Clean Labeled Products. Potential restraints include: Emergence of Tea as a Healthier Alternative. Notable trends are: Working Youth Population Boosting the Market Growth.

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.

The Report Covers North America Specialty Coffee Market Growth and it is segmented by Product Type (Whole-Bean, Ground Coffee, Instant Coffee, Coffee Pods, and Capsules); by Distribution Channel (On-Trade and Off-Trade), and by Geography (United States, Canada, Mexico, and the Rest of North America). The Market Size and Values Are Provided in Terms of (USD Million) During the Forecasted Years for the Above Segments.

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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 depicts the annual growth rate of the coffee market in the United States from 2011 to 2016, broken down by segment. Between 2015 and 2016 the U.S. ready-to-drink coffee market grew by 11 percent.

The average roasted coffee import price stood at $16,566 per ton in Apr 2022, growing by 12% against the previous month.

The size of the North America Specialty Coffee Market was valued at USD XX Million in 2023 and is projected to reach USD XXX Million by 2032, with an expected CAGR of 5.90% during the forecast period. Specialty coffee refers to high-quality coffee that is carefully sourced, processed, and brewed to highlight its unique flavors and characteristics. This category of coffee is distinguished by its emphasis on exceptional quality at every stage of production, from the farm to the cup. Specialty coffee beans are often grown in specific regions known for their unique climatic and soil conditions, which impart distinctive flavor profiles. These beans are typically cultivated at higher altitudes and are hand-harvested to ensure only the ripest cherries are selected. After harvesting, the beans undergo meticulous processing methods, such as washed or natural processing, to preserve their flavor nuances. Roasting is another critical aspect of specialty coffee, with roasters employing precise techniques to enhance the beans' inherent flavors rather than masking them with excessive roast profiles. The brewing process is also highly controlled, with attention given to factors like grind size, water temperature, and brewing time to achieve the optimal taste. Specialty coffee is often scored and graded by coffee tasters, or "cuppers," who evaluate its aroma, acidity, body, and flavor complexity. Only coffees that achieve high scores in these evaluations are labeled as specialty. The industry promotes transparency and sustainability, often involving direct trade practices to support farmers and ensure fair compensation. This commitment to quality, ethical sourcing, and innovative brewing techniques has contributed to the growing popularity of specialty coffee among discerning consumers who seek a rich, nuanced coffee experience. Recent developments include: July 2022: Keurig Dr. Pepper announced the launch of Intelligentsia K-Cup pods for its Keurig brewing system to capitalize on the growing demand for specialty coffee in the United States. Intelligentsia K-Cups are available in two flavors: House and Organic El Gallo, and can be purchased for 90 cents per pod in a 60-count box from Keurig.com., January 2022: As decaffeinated coffee consumption increased, Peet's Coffee announced that the company has fully transitioned to water processing across its entire line of decaffeinated roasted beans, K-Cup® pods, and handcrafted decaf coffee beverages available in Peet's coffee bars. This process is chemical-free and naturally removes caffeine while ensuring the coffee beans' integrity, taste, and quality for an optimal sipping experience., April 2021: Nestlé plant experts created a new generation of low-carbon coffee varieties. The two new Robusta species produce up to 50% more yields per tree than regular variations. Because more coffee can be produced with the same amount of land, fertilizer, and energy, the CO2e (carbon dioxide equivalent) footprint of green coffee beans can be reduced by up to 30%.. Key drivers for this market are: Increasing Incidences of Food Allergies, Favorable Government Initiatives and Regulations for Food Safety. Potential restraints include: Inconsistencies Involved in Food Allergen Declarations. Notable trends are: Increase in Coffee Consumption Among Working Population.

The U.S. Liquid Coffee Market size was valued at USD 6.01 USD Billion in 2023 and is projected to reach USD 10.69 USD Billion by 2032, exhibiting a CAGR of 8.57 % during the forecast period. Liquide coffee is a packaged coffee product formed by extracting coffee from ground coffee beans and preparing the product in liquid form. It is particularly popular in food and beverages industries because it’s easy to use; it does not require brewing utensils, saving on preparation time, both in commercial and domestic use. Liquid coffee can be categorized into two, namely concentrated liquid coffee that requires the addition of water or milk and the ready to drink (RTD) that has added flavors and comes in a container made for consumption on the go. The composition of liquid coffee varies with water, coffee extract, and occasionally preservatives or favoring agents. Advantages of liquid coffee include consistent taste every time, convenience, and longevity of the product. Current market trends indicate that RTD coffee drinks are the new trend, especially from a convenience angle, and new specialty coffee flavors and cold brews. Key drivers for this market are: Increased Canned Seafood Adoption due to Its Higher Shelf Life to Drive Market Growth. Potential restraints include: Fluctuations in Raw Material Prices to Hinder the Demand for Coffee Products. Notable trends are: Rising Technological Advancements in Aquaculture Industry to Fuel Market Growth.

In 2023, after four years of growth, there was decline in the U.S. coffee and tea market, when its value decreased by less than 0.1% to $15.8B. The market value increased at an average annual rate of +1.6% over the period from 2013 to 2023; the trend pattern remained relatively stable, with only minor fluctuations in certain years. Coffee and tea consumption peaked at $15.8B in 2022, and then shrank in the following year.

The global take out coffee market was worth US$ 39,630.0 million in 2023, with a compound annual growth rate (CAGR) of 4.4 per cent predicted from 2023 to 2033.

The South America Coffee Market offers a comprehensive range of products: Whole Bean: Roasted but unprocessed coffee beans provide customizable grinding and brewing methods, catering to coffee enthusiasts. Ground Coffee: Convenient and ready-to-use, pre-ground coffee meets the needs of households and cafes, ensuring quick and effortless preparation. Instant Coffee: Soluble coffee crystals dissolve quickly, offering instant hot beverages with a distinctive flavor profile, appealing to time-conscious consumers. Coffee Pods and Capsules: Single-serve coffee systems utilize pre-portioned pods or capsules, delivering convenience, consistency, and an extensive flavor range. Specialty Coffee: Premium coffee beans originating from specific regions with unique flavor profiles and processing techniques, attracting sophisticated palates. Recent developments include: In May 2022, AriZona Beverages announced its foray into the coffee space with Sun Brew with its new line of 100% Arabica coffee made with hand-selected beans from Central and South America. Sun Brew is available in three roast styles, namely, Snake Bite Blend, Cactus Blend, and Sedona Blend. The coffees are sold online at DrinkAriZona.com, Amazon.com, and at select grocery stores across South America., In April 2022, Starbucks and Nestlé, through their global coffee alliance collaboration, launched an e-commerce site for Starbucks packaged coffee products. The site showcases items ranging from Starbucks by Nespresso espresso capsules to Starbucks roast and ground coffees, featuring a complete portfolio of Starbucks packaged coffee product options available to customers across Brazil for enjoyment in the comfort of their own homes., In December 2021, the coffee giant, Startbucks Corporation, planned to expand its café outlets in the world's top coffee-producing region of Brazil, Minas Gerais. The company opened eight new cafe stores in Brazil.. Key drivers for this market are: Innovation in Vanillin Synthesis, Diverse Functionality of Vanillin In End-use Industries. Potential restraints include: Supply Chain Variability Impacting Vanilla Bean Availability For Flavor Production. Notable trends are: Increasing Spending Power Augmenting the Growth for Specialty Coffee.

The U.S. Instant Coffee Marketsize was valued at USD 5.78 USD billion in 2023 and is projected to reach USD 7.75 USD billion by 2032, exhibiting a CAGR of 4.28 % during the forecast period. Instant coffee is a coffee produced from coffee beans that have been brewed and processed with spray drying technology to create a dry product in powdered or granular forms that can be easily soluble in hot water. It has a long shelf life, and it is characterized by light packing; it easily dissolves in water. These characteristics render it appropriate, given that it is convenient and can be used by travellers, people with hectic schedules, and anyone with poor access to a well-equipped kitchen. One of the main selling points of instant coffee is how quickly it is prepared; it provides a hit of caffeine as quickly as in minutes without the bother of brewing. factors such as population growth, changing consumer preferences, and economic conditions in major coffee-consuming countries play a significant role in creating demand for U.S. markets. Recent developments include: August 2023 – Tim Hortons announced the launch of its new seasonal instant coffee products with all unique seasonal flavors, such as maple pumpkin cold brew soluble coffee, to increase its product portfolio and cater to the growing demand., December 2022 – Dunkin Donuts LLC announced its plans to launch its new liquid concentrate range in the retail market to expand its market presence further and cater to the rising demand in the country for specialty coffee., October 2022 – Blue Bottle Coffee, Inc. announced the launch of its all-new espresso instant coffee in the U.S. market. As per the company, the new product launch is owing to the country's higher demand for espresso-based beverages., August 2022 – Pop & Bottle announced the launch of its all-new instant coffee product exclusively at Walmart, owing to the higher penetration of the supermarket chain in the country., June 2022 – Jacobs Douwe Egberts, one of the major players in specialty instant coffee products, announced its plans to launch its all-new L’OR ranges across multiple product categories globally. The new products are available across all retail distribution channels in innovative packaging to cater to the rapid demand growth for specialty coffee., January 2021 –Boomi Coffee, an India-based company, announced the launch of its Araku Boomi instant coffee in the U.S. retail market. The product is said to be produced without artificial ingredients, flavors, or additives. Thus, the product is marketed as 100% pure. With this launch, the company aims to expand its U.S. market presence and cater to consumers' increasing demand for additive-free products.. Key drivers for this market are: Increased Canned Seafood Adoption due to Its Higher Shelf Life to Drive Market Growth. Potential restraints include: Availability of Variety of Coffee May Hamper Market Growth of Instant Coffee. Notable trends are: Rising Technological Advancements in Aquaculture Industry to Fuel Market Growth.

The Latin America Coffee Market Report is Segmented by Product Type (Whole Bean Coffee, Ground Coffee, Instant Coffee, Coffee Pods and Capsules, and Ready-To-Drink Coffee), Distribution Channel (On-Trade and Off-Trade (Supermarkets/Hypermarkets, Convenience/Grocery Stores, Online Retail, and Other Off-Trade Channels)), and Geography (Brazil, Argentina, and Rest of Latin America). The Report Offers Market Sizes and Forecasts in Value (USD) for the Above Segments.

The North America coffee market reached USD 25.19 Billion in 2024. The market is expected to grow at a CAGR of 4.70% between 2025 and 2034, reaching USD 39.87 Billion by 2034.

North America's Takeout Coffee market dominated the market in 2023 and accounted for a share of more than 31% of the global revenue due to several variables.

Expert industry market research on the Coffee & Snack Shops in the US (2005-2031). Make better business decisions, faster with IBISWorld's industry market research reports, statistics, analysis, data, trends and forecasts.

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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.

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

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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