Coffee Machine Market Size, Share & Trends Analysis Report By Product (Bean-to-Cup, Drip Filter, Capsule, Espresso), By Application (Residential, Commercial), By Region, And Segment Forecasts, 2019 - 2025

Report Overview

The global coffee machine market size to be valued at USD 7.59 billion by 2025 and is expected to grow at a compound annual growth rate (CAGR) of 3.7% during the forecast period. Increased consumption of coffee in Asian countries is one of the key factors driving market growth. In addition, the introduction of new products, such as green and organic coffee, is expected to result in high consumption, thereby contributing to the market growth. Moreover, increasing awareness about the health benefits of coffee, such as the reduced risk of type 2 diabetes, liver cancer, and liver diseases, and protection against heart failure, is expected to result in high consumption. This will also contribute to the increasing demand for coffee machines. In addition, rapidly growing market for Ready-to-Drink (RTD) beverages, particularly coffee infused beverages, is boosting the market development.

Moreover, manufacturers are investing in R&D to introduce advanced machines featuring the latest technologies. For instance, in 2018, Nestlé Nespresso S.A. invested USD 43.03 million in the creation of new production lines for its coffee system, Vertuo. Drip filter segment led the global market. In 2018, Dualit Ltd. introduced a new CaféPro Capsule Machine.

Europe led the global market in 2018 due to the high consumption of coffee. Moreover, the presence of commercial infrastructure and offices also results in increasing demand for coffee machines, thereby augmenting the market growth. In addition, the rising number of cafes in the region will boost the growth further.

Coffee Machine Market Trends

The rapid increase in the amount of coffee consumption is the primary factor driving the market. This can be attributed to an increase in demand for specialty beverages, including coffee, in recent decades due to a rising number of affluent consumers and an expanding palate for gourmet variants. According to the National Coffee Association (NCA), in the United States, over 62% of the total population consumes coffee every day.

Consumers prefer coffee machines over hand-made coffee due to the increased demand for coffee and the desire for gourmet coffee variants. This trend has resulted in a significant increase in coffee machine sales. According to an NCA report, out of the total coffee consumed in the United States, nearly 60% is gourmet.

Convenience stores are popular coffee-buying locations among coffee enthusiasts. These convenience stores' viability is determined by their quick service and automated machines that serve high-quality coffee. While coffee shops cater to a specific demographic of coffee enthusiasts, F&B chains cater to a broad range of customers with varying levels of expertise. Market participants are expected to benefit greatly from penetration in this area. However, health problems such as anxiety and restlessness due to excessive intake of caffeine act as restraints for the market.

Product Insights

Drip filter coffee machines led the market in 2018. The components of the drip filter machine, such as filter and cone, are reusable. This has played an important role in increasing its demand. In addition, manufacturers are introducing drip machines with advanced technological features, which is also likely to propel segment growth. For instance, the advent of smart drip coffee machines. These can be accessed through smartphones or devices. Capsule coffee machine is expected to be the fastest-growing segment at a CAGR of 4.8% from 2019 to 2025. These machines are easy to use, which drives their demand.

Application Insights

Commercial applications accounted for more than half of the global coffee machine market share in 2018. Increasing number of cafes and restaurants across the globe is boosting the product demand in commercial applications. Furthermore, the rapidly growing corporate sector will fuel the demand further. Residential applications will also have significant growth in the years to come.

Demand for specialty coffee induced with different flavors is driving the segment. In addition, countries, such as the U.S., witness a high demand for household coffee machines owing to higher coffee consumption. According to the National Coffee Association trends, 29% of U.S. households purchased single-serve brewers in the year 2017. Moreover, technological advancement in coffee machines also acts as a key driver for segment growth.

Regional Insights

Europe led the global market accounting for 33.0% of the global share in 2018. High consumption of coffee in the region is the main factor driving the market. Moreover, the presence of a number of commercial complexes and offices results in increased product sales. Asia Pacific will be the fastest-growing regional market from 2019 to 2025.

Developing countries including India, China, and Australia are expected to be the major contributors to the region’s growth. Moreover, the rising number of cafes and coffee shops, particularly in emerging countries, will drive the demand. Major cafe chains, such as CCD and Starbucks, are investing in the region owing to its high growth potential, which is likely to support market development.

Key Companies & Market Share Insights

The global market is highly competitive in nature. Prominent companies are Keurig Green Mountain, Inc.; Panasonic Malaysia; Nestlé Nespresso S.A.; De’Longhi Appliances S.r.l.; Electrolux; Morphy Richards India; Koninklijke Philips N.V.; Hamilton Beach Brands, Inc.; Schaerer; and Robert Bosch GmbH. Most of these companies have undertaken several marketing strategies, such as M&A, technological developments, and capacity expansion, to increase their consumer base.

Recent Developments:

• In February 2022, Nestle Nespresso S.A. and OpenSC collaborated and announced the launch of a new technology that would increase transparency in the supply chain of the KAHAWA ya CONGO coffee

• In July 2021,Keurig launched the company’s new connect technology platform named BrewID. This technology provides a feature that will give customers a properly tailored, full-flavored coffee. In this respect, the technology understands the specific roast and brand of the K-Cup pod to customize brew settings as per the creator’s recommendations

• In May 2021,De’ Longhi S.p.A. acquired Eversys, a notable name in the professional espresso coffee machine space, based in Switzerland

Coffee Machine Market Report Scope

Global Coffee Machine Market Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For the purpose of this study, Grand View Research has segmented the global coffee machine market report on the basis of product, application, and region.

• Product Outlook (Revenue, USD Million, 2015 - 2025)

  • Drip Filter

  • Capsule

  • Espresso

  • Bean-to-Cup

• Application Outlook (Revenue, USD Million, 2015 - 2025)

  • Residential

  • Commercial

• Region Outlook (Revenue, USD Million, 2015 - 2025)

  • North America

    • The U.S.

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • Japan

    • China

    • India

  • Central & South America

    • Brazil

  • Middle East & Africa