Coffee Machine Market Size, Share & Trends Analysis Report By Product (Drip Filter, Pod/Capsule, Espresso, Bean-to-Cup), By Application (Commercial, Residential), By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global coffee machine market size was valued at USD 6.20 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 4.7% from 2022 to 2030. Increased consumption of coffee in Asian countries is one of the key factors driving the growth. In addition, the launch of new products, such as green and organic coffee, is anticipated to result in major consumption, thus contributing to the growth. The growing awareness related to the health benefits of coffee, such as liver cancer, minimum risk of type 2 diabetes, and liver diseases, and protection against heart failure, is likely to result in large consumption. This will also contribute to the growing demand for coffee machines. Apart from that, the fast-growing market for Ready-to-Drink (RTD) beverages, mainly coffee-infused beverages, is increasing market development.

The rapid rise in the amount of coffee intake is the major factor driving the industry’s growth. This is owing 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 U.S., over 62.0% 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 U.S., nearly 60.0% is gourmet.

The COVID-19 pandemic negatively impacted the industry. Due to the COVID-19 pandemic government imposed a strict lockdown and stopped production units. Sales crumpled to the lowest levels during the pandemic, as global demand fell amid the lockdown. The lockdown in China has forced coffee machine manufacturers based in the U.S. and Europe to halt production as they export several input supplies temporarily. The expansion of commercial infrastructure and mushrooming offices may guarantee growth despite the temporary lull experienced amid the pandemic. The market regains its pre-COVID-19 position after the government removed the restrictions and all activities come to normal in 2021.

Coffee machines are small electrical machines used for coffee making. Coffee machines reduce the time and effort required to prepare coffee in coffeehouses and office cafeterias. The advent of coffee capsules that offer enhanced tasting coffee and the introduction of smart coffee machines integrated with Bluetooth, Wi-Fi, voice assistance, etc., which can be accessed, operated, and controlled through smartphones from anywhere inside the house, are the most recent advancements in the market. The rising demand for such smart coffee machines by consumers due to their high inconvenience is expected to significantly aid in the expansion of the global coffee machine market during the forecast period.

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 industry’s growth.

Product Insights

The pod/capsule segment is projected to expand at the fastest CAGR of 5.3% over the forecast period. Convenience in the workability of automatic coffee machines coupled with consistent brewing has driven the middle-class population towards pod coffee machines. Consumer preference for coffee pods has been tarnished due to the high environmental footprint of used coffee pods. The adoption of sustainable coffee pods by manufacturers is likely to boost the prospects of the coffee pods landscape and help alter consumer perception regarding coffee pods. Thus, it is expected that the pod/capsule segment will grow at the fastest CAGR over the forecast period.

The drip filter segment is projected to grow at a CAGR of 4.6% over the forecast period. The components of the drip filter machine, such as the 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. Therefore, it is largely used all over the world and generated large revenue in 2021.

Application Insights

The residential segment is projected to grow at the fastest CAGR of 4.9% over the forecast period. 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. Moreover, technological advancement in coffee machines also acts as a key driver for segment growth. Therefore, it is expected that the segment will grow at the fastest CAGR over the forecast period. 

The commercial segment is projected to grow with a CAGR of 4.5% over the forecast period. An increasing number of cafes and restaurants across the globe is boosting product demand in commercial applications. Furthermore, the rapidly growing corporate sector will fuel the demand further. The demand for coffee machines is expected to grow substantially because of the rise in investment in commercial spaces such as airports, hospitals, and hotels, among others. Thus, the segment generated large revenue in 2021. 

Regional Insights

Asia Pacific is anticipated to grow at the fastest CAGR of 5.6% over the forecast period. According to the International Coffee Organization (ICO), in 2019, coffee consumption volume in the Asia Pacific was estimated to be 37.51 million bags and increased by 2.9% over the previous year. Additionally, a large presence of a retail chain of prominent brands such as Croma, Big Bazaar, Easyday, Reliance Digital, Dashang Group, and many others has largely been supported by the consumption rate of coffee machines in countries like China and India. The increasing popularity of international cafe brands and an increasing number of restaurants, hotels, homes, and companies are expected to fuel demand for coffee machines in the near future. Thus, the region is likely to grow at the fastest CAGR over the forecast period.

Europe accounted for the highest market share of 32.7% in 2021. The 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.A large import of green coffee beans in the region as well as rising demand for espresso blend drinks is likely to drive the demand for the coffee machine in the region. Moreover, The European espresso machine market is the largest in the world, with about 185,000 units sold every year. Thus, the region generated large revenue in 2021.

Key Companies & Market Share Insights

Major players are investing in R&D to introduce machines featuring the latest technologies in the machine. Considering the distinct needs of F&B chains and specialty coffee shops, manufacturers in the coffee machine market are introducing multiple models of coffee machines. For instance:

• 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

• In October 2020, Nestlé's coffee brand, Nespresso, launched new touchless functionalities. Nespresso launched three new options for its Nespresso Momento machines to enable employees to maintain social interactions around a cup of coffee more safely

• In January 2020, Starbucks Corporation introduced AI-enabled coffee machines in their different U.S., and U.K. stores. This machine is consist of AI-enabled sensors that help to provide an efficient coffee brewing experience to the users

Some prominent players in the global coffee machine market include:

• 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

• Robert Bosch GmbH.

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 and opportunities in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global coffee machine market report based on product, application, and region:

• Product Outlook (Revenue, USD Million, 2017 - 2030)

  • Drip Filter

  • Pod/Capsule

  • Espresso

  • Bean-to-Cup

• Application Outlook (Revenue, USD Million, 2017 - 2030)

  • Commercial

  • Residential

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

  • Europe

    • U.K.

    • Germany

  • Asia Pacific

    • China

    • Japan

    • India

  • Central & South America

    • Brazil

  • Middle East & Africa