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Coffee Capsule Market Set to Reach $23.55 Billion by 2029 with 8.8% Yearly Growth

03-07-2025 07:43 AM CET | Food & Beverage

Press release from: The Business Research Company

Coffee Capsule Market Size

Coffee Capsule Market Size

What market dynamics are playing a key role in accelerating the growth of the coffee capsule market?
The surge in the coffee capsule industry is driven by the rising preference for immediate non-alcoholic drinks such as coffee in eateries and workplace cafeterias. Using coffee capsules in conjunction with coffee machines, whether it be in coffee shops or office canteens, eliminates much of the time and labor that usually goes into preparing a coffee cup. The burgeoning demand for non-alcoholic drinks amongst millennials, better-informed consumers opting for less sugar and non-alcoholic beverages, hectic work schedules, and evolving consumer preferences are just some of the factors that have contributed to the growing popularity of instant non-alcoholic beverages like coffee. To illustrate, data from the International Coffee Organization (ICO), released in April 2024, showed a 4.2% jump in global coffee consumption to 175.6 million bags in the 2021/22 coffee year, improving on a 0.6% rise in the previous year. As such, to cater for the burgeoning demand for instant non-alcoholic beverages like coffee, coffee machines are being used more frequently in restaurants and office cafeterias, consequently driving up the demand for coffee capsules and propelling the growth of the coffee capsule market.

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How will the growth rate of the coffee capsule market shape industry trends by 2034?
The size of the coffee capsule market has seen a substantial increase in recent years. The projected growth estimates an expansion from $15.21 billion in 2024, climbing to $16.83 billion in 2025 with a compound annual growth rate (CAGR) of 10.6%. Factors contributing to this notable growth during the historic period include retail and online distribution, the emergence of Nespresso in the market, the influence of Keurig, patent expirations, alongside a diverse variety of flavors and blends.

In the coming years, the coffee capsule market is projected to experience substantial expansion, ultimately achieving a value of $23.55 billion in 2029 with a Compound Annual Growth Rate (CAGR) of 8.8%. Various factors such as developments in capsule design, broadening flavor options, sustainable practices, health and wellness trends, as well as premium and luxury offerings are contributing to this forecasted growth. Key trends to watch out for during this forecast period include advancements in capsule technology, convenience, portability, ethical sourcing, transparency, limited edition capsules, and environmentally friendly packaging.

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What are the emerging trends shaping the future of the coffee capsule market?
Key players in the coffee capsule industry are making concerted efforts to launch game-changing coffee capsules that take the brewing experience to another level, cater to diverse palette preferences and uphold environmental friendliness. This strategy is poised to rope in more clients who value sustainability and enjoy a plethora of flavors. For example, McCafé, a coffee-house-style food and beverage company based in the US, unveiled its new Espresso Coffee Capsules in August 2024. This new range, designed specifically for Nespresso Original Machines, is crafted from Arabica beans certified by the Rainforest Alliance and is commercially compostable, thanks to its collaboration with TerraCycle, a renowned US waste management firm. Offered in three roast intensities, these capsules strive to offer a rich, tasteful coffee adventure while accentuating sustainability via recycling projects.

Which primary segments of the coffee capsule market are driving growth and industry transformations?
The coffee capsule market covered in this report is segmented -

1) By Product: Closed Source System, Open Source System
2) By Material: Conventional Plastic, Bio plastics, Fabric, Other Materials
3) By Application: Household, Commercial

Subsegments:
1) By Closed Source System: Proprietary Coffee Capsules, Single-Brand Coffee Machines
2) By Open Source System: Compatible Coffee Capsules, Multi-Brand Coffee Machines

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Which geographical regions are pioneering growth in the coffee capsule market?
Asia-Pacific was the largest region in the coffee capsules market in 2024. Western Europe was the second-largest region of the global coffee capsules market share. The regions covered in the coffee capsule market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

Who are the influential players reshaping the coffee capsule market landscape?
Major companies operating in the coffee capsule market include Nestle Nespresso SA, Starbucks Corporation, Keurig Dr. Pepper Inc., JDE Peet's N.V., The J.M. Smucker Company, Kiss me Organics LLC, Tim Hortons Inc., Luigi Lavazza SpA, Dunkin' Brands Group Inc., illycaffe S.p.A., Coffeeza Trading Private Limited, Caffitaly System S.p.A., Gloria Jean's Gourmet Coffees Corp., Vittoria Food & Beverage Pty Ltd., Fresh Brew Co., Dualit Limited, Belmoca NV, Bestpresso Inc., Gourmesso USA Inc., Coffee Nirvana Co., Halo Coffee Ltd., JAB Holding Company, Jacobs Douwe Egberts B.V., Maxingvest AG

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What Is Covered In The Coffee Capsule Global Market Report?

• Market Size Forecast: Examine the coffee capsule market size across key regions, countries, product categories, and applications.
• Segmentation Insights: Identify and classify subsegments within the coffee capsule market for a structured understanding.
• Key Players Overview: Analyze major players in the coffee capsule market, including their market value, share, and competitive positioning.
• Growth Trends Exploration: Assess individual growth patterns and future opportunities in the coffee capsule market.
• Segment Contributions: Evaluate how different segments drive overall growth in the coffee capsule market.
• Growth Factors: Highlight key drivers and opportunities influencing the expansion of the coffee capsule market.
• Industry Challenges: Identify potential risks and obstacles affecting the coffee capsule market.
• Competitive Landscape: Review strategic developments in the coffee capsule market, including expansions, agreements, and new product launches.

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