GVR Report cover Disposable Cups Market Size, Share & Trends Report

Disposable Cups Market Size, Share & Trends Analysis Report By Product (Paper, Plastic, Foam), By End-use (Commercial, Institutional, Household), By Region, And Segment Forecasts, 2021 - 2028

  • Published Date: Mar, 2021
  • Base Year for Estimate: 2020
  • Report ID: GVR-2-68038-923-4
  • Format: Electronic (PDF)
  • Historical Data: 2016 - 2019
  • Number of Pages: 80

Report Overview                       

The global disposable cups market size was valued at USD 11.88 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 7.2% from 2021 to 2028. Increasing adoption of disposable cups to serve hot and cold beverages in quick service restaurants is likely to drive their demand in the coming years. In addition, the rising usage of such cups for drinking water in several commercial and residential parties is expected to drive their demand. The use of disposable cups has become quite popular over the past decade. The sense of convenience among consumers is anticipated to drive the product demand. Increasing demand for quick-service restaurants (QSRs) from the urban and semi-urban markets and water shortage to clean utensils are anticipated to drive the market. Rising disposable income, coupled with the changing food trends that favor convenience, is anticipated to further drive the product demand.

U.S. disposable cups market size, by end-use, 2016 - 2028 (USD Million)

Disposable cups are a great alternative to glasses, mugs, and steins, especially if consumers are worried about breaking them or carrying them around. Increasing usage of disposable cups at social gatherings and celebrations is likely to propel their demand in the coming years. Single-serving cups have a multitude of uses in the household. They are perfect for serving beverage samples, dishing out child-friendly portions to kids, and even for serving adult refreshments, such as espresso and cappuccino. Thus, several households across the globe are keeping a supply of small disposable cups in the cabinet to prevent the spread of germs when it’s time to rinse with mouthwash or chase back pill and gel-cap medications. Small cups are also handy when mixing paints, stains, or adhesives for home-improvement or craft projects. These factors are foreseen to fuel the market growth in the coming years.

With the ongoing outbreak of COVID-19, several food service companies across the globe have taken extra measures to ensure the safety and hygiene of their employees and consumers. For instance, fast food giants like Starbucks, Dunkin', and McDonald’s brands have swiftly announced the suspension of bring-your-own (BYO) container programs in the wake of the pandemic. Amid the pandemic, disposable products are considered to be highly hygienic when it comes to the packaging of food and drinks. Thus, several other small and big food operators lean on disposables more than ever as many of which are now limited to take-out or delivery only. As covid-19 persists, these practices are foreseen to remain prevalent in the coming years. This is likely to drive the demand for disposable cups in the coming years.

Despite the positive outlook, disposable cups made of plastic or foam materials are quite harmful to our planet. Even though they are quite convenient, the use of such disposable cups also implies serious problems. As plastic takes an extraordinary length of time to break down, pollutes the environment, and harms wildlife. Across the globe, more and more countries are pushing back on single-use plastics with fees and even sometimes outright bans on these plastics. For instance, at the end of August 2019, France introduced a new policy that would ban disposable, single-use utensils, cups, and plates. This follows the country's ban on plastic bags the previous year. Reusable alternatives to such wasteful single-use plastics are on the rise across the globe.

End-use Insights                                               

The commercial end-use segment dominated the market with a share of over 76.0% in 2020 and is expected to witness the fastest growth over the forecast period. This is attributed to the growing penetration of various quick-service restaurants and coffee chains, which are creating significant demand for disposables cups.

With an increasing number of consumers opting for take-away or home delivery services, many quick-service restaurants are considering disposable products, such as cups, plates, and cutlery, for serving and packaging. In addition, these disposable products are considered to be highly hygienic when it comes to the packaging of food and drinks, thereby driving the demand for disposable cups over the forecast period.

Following the coronavirus outbreak, confidence in programs for reusable and refillable containers has seemingly reached an all-time low. Refillable coffee cups can sacrifice public health and potentially worsen covid-19 spread, hence several food vendors and coffee shops are opting for disposable formats. For instance, in March 2020, Starbucks Corp. has announced that stores that remain open in North America would serve coffee only in disposable cups for takeout. Such scenarios are foreseen to drive demand for disposable cups in the coming years.

The institutional end-use segment is expected to expand at a CAGR of 6.3% from 2021 to 2028. The growth of this segment is due to the increasing use of disposable cups to serve hot and cold beverages as well as drinking water amongst several institutions across the globe. Drinking water from shared glasses at public places, such as schools and colleges, in various developing countries, leads to rising concerns over public health, thus generating demand for disposable cups.

Product Insights                                                                                                    

Paper disposable cups dominated the market with a share of around 57.0% in 2020 and are expected to exhibit the fastest CAGR over the forecast period. This is attributed to their ideal nature to serve hot and cold beverages to on-the-go consumers. The paper cups are considered to be environmentally friendly and mostly made from natural substances, which are recyclable, and therefore are a great way to reduce carbon footprint. Most paper cups are microwave safe and come at a reasonable cost. The rising intolerance toward single-use plastic cups and several government initiatives to put a ban on such products are likely to create significant demand for paper cups in the coming years. Thus, the paper cup segment is foreseen to witness notable value and volume expansion over the forecast period.

Global disposable cups market share, by product, 2020 (%)

Plastic disposable cups are projected to expand at a CAGR of 5.8% from 2021 to 2028. The growth of this segment is attributed to their low cost and heavy-duty construction. Like paper, plastic disposable cups also come in a variety of green, eco-friendly options. For example, disposable cups made of PLA corn plastic are compostable and offer complete product visibility for enhanced marketability. Disposable cups made from materials, such as PET, are heavy-duty, flexible, and have a medium wall construction that flexes but still remains crack resistant. These factors are foreseen to boost the segment growth in the coming years.

Regional Insights                                                                                                  

Asia Pacific dominated the market by accounting for over 32.0% share in 2020 and is expected to expand at the fastest growth rate over the forecast period. This is attributed to the increasing urban population, changing food eating habits, growing disposable income, and opening of various international food chain restaurants and outlets. The western fast-food chain has been exhibiting a promising growth rate in emerging countries, such as India, and is likely to maintain its growth in the coming years. As per the article published by Financial Express in February 2020, India’s food-service industry is expected to expand at a CAGR of 9%. These factors are expected to create a significant demand for disposable cups in the coming years. 

The North American region is projected to expand at a CAGR of 6.5% over the forecast period. The growing number of cafes and food chains in the country is attracting billions of customers to consume coffee and other beverages on the go. As per the blog published by SinglePlatform, the average coffee drinker has around 3 cups per day. In the U.S. alone, there are 150 million daily drinkers of coffee. The opening of several restaurants and coffee shops after an ease in lockdown restriction and their expansion in the coming years are likely to generate significant demand for disposable cups.

Key Companies & Market Share Insights        

The market for disposable cups is characterized by the presence of various well-established players. These players are characterized by a diverse product portfolio along, with a vast distribution network. They account for a significant market share and serve their customers across the globe. Besides, the market comprises small-to-mid-sized players, which have a selected range of products and mostly serve local customers.

In order to strengthen their position and boost revenue growth, many market players are adopting strategies, such as innovative and eco-friendly product launches. For instance, in July 2019, Huhtamäki Oyj launched a new compostable Bioware® Impresso double-walled hot cup that adds to its existing Bioware® compostable range. The new cup utilizes the unique Impresso bubble emboss, which provides enhanced insulation and a tactile touch for the holder. The company’s hot cup is made of sustainable 100% PEFC certified paperboard and has a plant lining that is certified compostable. Some prominent players in the global disposable cups market include:

  • Huhtamäki Oyj

  • Dart Container Corporation

  •  Berry Global Group Inc.

  •  Pactiv LLC

  • DUNI AB

  • WestRock Company

  • Genpak, LLC

  • Go-Pak UK Ltd.

  • ConverPack Inc.

  • Benders Paper Cups

Disposable Cups Market Report Scope

Report Attribute

Details

Market size value in 2021

USD 13.33 billion

Revenue forecast in 2028

USD 20.76 billion

Growth Rate

CAGR of 7.2% from 2021 to 2028

Base year for estimation

2020

Historical data

2016 - 2019

Forecast period

2021 - 2028

Quantitative units

Revenue in USD million/billion and CAGR from 2021 to 2028

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Product, end-use, region

Regional scope

North America; Europe; Asia Pacific; Central & South America; MEA

Country scope

U.S.; Germany; U.K.; China; India; Brazil; South Africa

Key companies profiled

Huhtamäki Oyj; Dart Container Corporation; Berry Global Group Inc.; Pactiv LLC; DUNI AB; WestRock Company; Genpak, LLC; Go-Pak UK Ltd.; ConverPack Inc.; Benders Paper Cups

Customization scope

Free report customization (equivalent to up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope.

Pricing and purchase options

Avail customized purchase options to meet your exact research needs. Explore purchase options


Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2016 to 2028. For the purpose of this study, Grand View Research has segmented the global disposable cups market report on the basis of product, end-use, and region:

  • Product Outlook (Revenue, USD Million, 2016 - 2028)

    • Paper

    • Plastic

    • Foam

  • End-use Outlook (Revenue, USD Million, 2016 - 2028)

    • Commercial

    • Institutional

    • Household

  • Regional Outlook (Revenue, USD Million, 2016 - 2028)

    • North America

      • U.S.

    • Europe

      • Germany

      • U.K.

    • Asia Pacific

      • China

      • India

    • Central & South America

      • Brazil

    • Middle East & Africa (MEA)

      • South Africa

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