GVR Report cover Roasted Coffee Market Size, Share & Trends Report

Roasted Coffee Market Size, Share & Trends Analysis Report By Type (Arabica, Robusta), By Distribution Channel (B2B, B2C), By Region (North America, Europe, Asia Pacific, Central & South America, MEA), And Segment Forecasts, 2023 - 2030

  • Report ID: GVR-4-68040-015-6
  • Number of Report Pages: 100
  • Format: PDF, Horizon Databook
  • Historical Range: 2017 - 2021
  • Forecast Period: 2023 - 2030 
  • Industry: Consumer Goods

Report Overview

The global roasted coffee market size was valued at USD 42.7 billion in 2022 and is expected to register a compound annual growth rate (CAGR) of 5.7% from 2023 to 2030. A significant increase in the consumption of coffee by all age groups has been seen due to the association of health benefits such as lowering the chance of diabetes, reducing the chance of getting Alzheimer’s and Parkinson’s, preventing heart failure, aiding in the good health of the liver and stomach, and others. Moreover, the growing preference for coffee over other beverages among Gen Z and millennials in emerging countries is further driving the market growth over the forecast period.

 U.S. roasted coffee market size, by type, 2020 - 2030 (USD Billion)

The outbreak of the COVID-19 pandemic had severely impacted various industries including the food and beverages industry majorly due to disruption in supply chain and distribution channels. However, the global roasted coffee market remained unaffected by the pandemic since consumption of coffee at home surged during the pandemic due to the temporary closing of commercial places such as cafes, restaurants, and others. In November 2021, a report was published by the National Coffee Association (NCA) that states that the consumption of coffee at home was led by the COVID-19 pandemic, and approximately 85% of beverage drinkers in the U.S. consumed at least one cup at home, whereas the average daily consumption per capita was around 2 cups.

Coffee is one of the most popular and consumed beverages across the globe and its consumption is also rising which is surging the market growth. As per a consumer poll released by National Coffee Association (NCA) (U.S.) in March 2022, the daily consumption of coffee by the U.S. population has increased by 14% since 2021 to reach 66% of the total population. Moreover, according to the same survey, approximately 517 million cups of coffee are consumed per day in the U.S. Furthermore, due to changing work patterns, product innovation, and drinking coffee as a social activity are boosting the intake of coffee among the younger generation which is further expected to fuel the roasted coffee market growth.

The presence of high numbers of coffee shops and the increasing trend of visiting such places is surging the use and consumption of roasted coffee thus fueling the market growth. As per the National Coffee Data, around 65,410 coffee shops are present in the U.S. as of 2022. In addition, the increasing number of coffee retail chains along with their growing international penetration is further due to the growing product demand is further expected to drive the market growth over the forecast period. For instance, Starbucks Coffee Company, one of the leading brands has a presence in approximately 80 countries and has around 35,711 licensed and company-operated stores across the globe. As of October 2022, the company also opened around 18,253 company-operated stores in its international market including countries China, Japan, the U.K., and others.

The increasing favorable preferences and demand for fresh coffee among consumers have propelled its consumption across the globe. Moreover, the increase in the production of coffee to meet the increasing consumer demand across the globe is further fueling market growth.  As per the reports by the International Coffee Organization, the production of coffee increased by 0.3% from 2019 to reach 169 million in 2020. Moreover, the high consumption of coffee per day is boding well for market growth. As per the International Coffee Organization coffee sales statistics, approximately 1.4 billion cups of coffee are consumed per day across the globe.

Roasted coffee gets highly impacted by light, heat, moisture, and oxygen due which causes loss of taste and aroma. Thus, the product has a lower shelf life which is expected to challenge the market growth over the forecast period. However, various players are taking various measures against such problems such as freezing the beans and sealing the product in nitrogen-sealed packets to make them last longer. Moreover, the growing number of product launches by various players operating in the market is further expected to contribute to the market growth. For instance, in October 2021, Four Sigmatic, launched two new products, Perform and Immune Support ground coffee, consisting of mushrooms to offer functional benefits.

Type Insights

The arabica segment dominated the market and held a share of over 55% in 2022 and is expected to remain the leading segment over the forecast period. The large share of the segment is attributed to its major production and consumption across the globe. According to a report by the International Coffee Organization, the total arabica production in 2019 was approximately 168 million bags, each bag weighing 60 kg. Arabica is highly popular and appreciated by coffee enthusiasts and experts as the beans are the most flavorful and sweet of all. Moreover, arabica has a moderate and subtle taste along with being low in caffeine content due to which they are highly consumed thus contributing to the segment growth.     

The robusta segment is expected to expand at a higher CAGR of 5.5% over the forecast period from 2023 to 2030. The growing consumption of robusta due to its deep and bold flavor is a primary factor contributing to the faster growth of the segment in the coming years. Moreover, the caffeine content in robusta is comparatively more than the arabica due to which its consumption is growing among caffeine lovers. Furthermore, farming robusta is easier and has a higher yield and its global production is also growing which is further surging the segment growth over the forecast period. According to a report by the International Coffee Organization, the total robusta production in 2016 was approximately 69 million bags and reached approximately 70 million bags in 2019 and each bag weighs around 60 kg.  

Distribution Channel Insights

The B2B segment held a dominating share of over 50% in 2022 and is expected to witness a significant CAGR of 5.5% over the forecast period from 2023 to 2030. The larger share of the segment is attributed to the major use of the product in restaurants and cafes. The sales of the product are boosting across the globe due to the growing number of cafes and coffee outlets. Moreover, roasted coffee is highly served by various businesses in the hospitality industry including hotels, restaurants, and others which is expected to propel the industry in the coming years.

 Global roasted coffee market share, by distribution channel, 2022 (%)

The B2C segment is anticipated to witness a faster CAGR of 5.9% over the forecast period from 2023 to 2030. Growing preferences of consumers for homemade coffee with fresh taste and aroma have been driving the product's sales through B2C channels. Moreover, the growing popularity of dark-roasted, medium-roasted, and light-roasted coffee beans among coffee enthusiasts is further driving market growth. In addition, the rising interest of consumers in product varieties and growing access to those varieties through various retail channels is expected to contribute to the market growth over the forecast period.  

Regional Insights

Europe dominated the market in 2022 with a share of over 30.0% in 2022 and is expected to expand at a significant CAGR of 5.5% over the forecast period. Europe is the major consumer of coffee across the globe. According to a report by the Centre for the Promotion of Imports from developing countries (CBI), in 2021 Europe is the highest consumer of coffee and consumed approximately 32% of the global production which equals 54 million bags, each bag consisting of 60 kg. Thus, the high consumption of roasted coffee along with increased interest of consumers in both robusta and arabica coffee is contributing to the regional growth.

Roasted Coffee Market Trends by Region

Asia Pacific is expected to witness the fastest CAGR of 6.6% over the forecast period from 2023 to 2030. The high preference of consumers in the region to drink coffee at home is a key factor driving the market growth in the region. According to a report published by the: International Trade Centre, Japan is one of the top consumers of coffee in the region in 2019. Moreover, the growing demand and consumption of the product owing to rapid urbanization and westernized lifestyles is further surging the market growth. As per the data published by the International Coffee Organization, the consumption of coffee in Asia increased by 0.5% in the past five years. 

Key Companies & Market Share Insights

Key players operating in the market are adopting various steps to increase their presence in the market. These steps include strategies such as partnerships, mergers & acquisitions, development & launch of new products, global expansion, and others. Some of the initiatives include:

  • In April 2021, Foodtastic, a multiple restaurant concept franchisors based in Canada, announced the completion of the acquisition of Second Cup Coffee Co, a specialty coffee brand from Aegis Brands

  • In February 2020, Westrock Coffee Company, LLC announced the acquisition of S&D Coffee & Tea from Cott Corporation. The company took the initiative to create quality and innovative products for consumers

  • In February 2020, Três Corações Group announced the acquisition of the Roast and Ground Coffee Business of Mitsui & Co. (Brasil) S.A. to strengthen the leadership position of the company in the Brazilian coffee market

Some of the prominent players in the roasted coffee market include:       

  • Nestlé

  • Starbucks Coffee Company

  • JDE Peet's

  • Tchibo Coffee

  • LUIGI LAVAZZA SPA

  • Strauss Coffee BV

  • The J.M. Smucker Company

  • Melitta, UCC UESHIMA COFFEE CO., LTD.

  • Massimo Zanetti Beverage USA

Roasted Coffee Market Report Scope

Report Attribute

Details

Market size value in 2023

USD 44.98 billion

Revenue forecast in 2030

USD 66.41 billion

Growth rate

CAGR of 5.7% from 2023 to 2030

Base year for estimation

2022

Historical data

2017 - 2021

Forecast period

2023 - 2030

Quantitative units

Revenue in USD Million and CAGR from 2023 to 2030

Report coverage

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

Segments covered

Coffee type, distribution channel, region

Regional scope

North America; Europe; Asia Pacific; Central & South America; Middle East & Africa

Country scope

U.S.; Canada; Mexico; U.K.; Germany; France; Italy; Spain; China; Japan; India; Brazil; Ethiopia

Key companies profiled

Nestlé; Starbucks Coffee Company; JDE Peet's; Tchibo Coffee; LUIGI LAVAZZA SPA; Strauss Coffee BV; The J.M. Smucker Company; Melitta; UCC UESHIMA COFFEE CO., LTD.; Massimo Zanetti Beverage USA

Customization scope

Free report customization (equivalent 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

 

Global Roasted Coffee Market Segmentation

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For the purpose of this study, Grand View Research has segmented the global roasted coffee market report on the basis of type, distribution channel, and region:

Global Roasted Coffee Market Segmentation

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

    • Arabica

    • Robusta

  • Distribution Channel Outlook (Revenue, USD Million, 2017 - 2030)

    • B2B

    • B2C

      • Hypermarkets & Supermarkets

      • Convenience Stores

      • Online

      • Others

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

    • North America

      • U.S.

      • Canada

      • Mexico

    • Europe

      • U.K.

      • Germany

      • France

      • Italy

      • Spain

    • Asia Pacific

      • China

      • Japan

      • India

    • Central & South America

      • Brazil

    • Middle East & Africa

      • Ethiopia

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