Global Coffee Concentrate Market - 2023-2030

Overview

Global Coffee Concentrate Market reached US$ 2.7 billion in 2022 and is expected to reach US$ 3.9 billion by 2030, growing with a CAGR of 4.7% during the forecast period 2023-2030.

Coffee concentrates are the concentrated form of the coffee that is brewed priorly and needs to be diluted before use. Coffee concentrates are a convenient mode of coffee use for people with a preference for easy and ongoing product usage. The availability of coffee concentrate in multiple forms such as in liquid and powder forms in different varieties helps the consumer to deal with various preferences and needs.

The versatility offered by the coffee concentrates for its use in multiple ways by diluting them with water or milk, consuming them hot or cold and its use in multiple recipes such as cocktails, smoothies and other product preparations boost the market expansion in the global level. In addition, with the increasing income and purchasing power of the consumers, they attract more of the premium range of products in daily life.

The increasing coffee consumption preference in North America positively impacted the coffee concentrate market growth in the region with new product launches from major players. For instance, in June 2020, Starbucks added a new product to its portfolio with the introduction of the Cold Brew Concentrate line in U.S. market that is available in nationwide groceries. The producer focussed on the interest of consumers preference for preparing barista-style drinks at home.

Dynamics

Increasing Global Coffee Consumption

Coffee is a widely preferred beverage in the world due to its functional benefits to the human body and health. Coffee is preferred by consumers to deal with their tiredness and increase their energy levels due to its caffeine content. It also provides health benefits by lowering the risk of type 2 diabetes and depression and helps in weight management.

With the increased consumer awareness regarding the benefits of coffee, there is a rapid increase in coffee consumption globally. According to the International Coffee Organization, world coffee production reached 168.5 million bags in the coffee year 2021-22 and is expected to reach 171.3 million bags in 2022-23. Further, the organization also reported that world coffee consumption increased by 4.2 % to 175.6 million bags in 2021-2022.

The convenient and easy-to-use nature of concentrated coffee makes it popular among people in search of a comfortable coffee experience anywhere and everywhere. The high quality and premium coffee experience offered by the coffee concentrate conveniently positively drives the market growth.

High Demand for Convenient Products Among Consumers

With the increasing working population and hectic lifestyle of consumers, the need and demand for products that are easy to use is increasing rapidly. Consumers with busy lifestyles opt for coffee concentrates due to their convenient and readily available nature. Irrespective of the traditional brewing methods, coffee concentrate is easy to prepare and is considered an on-to-go option.

The coffee concentrate is used instantly without any preparation from scratch. The availability of the coffee concentrates in convenient options such as single-serve packets, portable pouches and bottles make it easy to carry it along anywhere without any prior preparations and enjoy the coffee experience instantly according to one preferences over coffee taste and strength.

Price Sensitivity and Consumer Preference Towards Freshly Brewed Coffee

The coffee concentrate is highly preferred by a huge population base, but at the same time, the market also faces challenges with lower consumer awareness and less consumer preference towards the product due to its high price compared to regular coffee and demand for high demand for freshly brewed coffee experience. Most of the coffee lovers prefer coffee that is freshly brewed instead of readily available. The need for fresh and hot coffee consumption reduces the product demand.

Globally, consumers prefer visiting coffee shops and cafes for a fresh coffee feel and to maintain socialization with friends and family. The Spring 2022 National Coffee Data Trends reported that there is an increase of 8% of Americans who have increased their coffee consumption away from home. Further, according to the National Coffee Data Trends report, in U.S. there is a total of 20% increase in consumer visits and coffee consumption in coffee shops.

Segment Analysis

The global coffee concentrate market is segmented based on bean, roast, brew, form, type, product, distribution channel and region.

Superior Taste and Texture of Arabica Beans

The global coffee concentrate market is segmented based on beans into Robusta, Liberia, Arabica and others. The Arabica bean segment of the global coffee concentrate accounted for the largest share due to its superior taste and texture. Arabica beans are highly preferred by consumers due to their delicate and fruity flavors. The low caffeine content in the Arabica bean compared to that of others increases its demand among people wanting to control their caffeine intake considering the taste of the coffee.

The high demand for Arabica beans in the market results in the new and improved product launches of coffee concentrate with the use of Arabica beans. For instance, in May 2023, Estate '98, an American launched Ultra-Concentrated Coffee which is made from made from 100% Arabica beans. The product offers a sustainable and convenient way to make tasty and quality coffee in less time.

Geographical Penetration

Increasing Demand for the Convenient Coffee Products in North America

North America dominated the global coffee concentrate market. The regional market demand is primarily driven by the increasing adoption of coffee culture among regional consumers. In addition, the high demand for convenient and ready-to-use products in this region due to hectic lifestyles helps in expanding the growth of coffee concentrate with its simple and easy-to-use nature.

According to USDA December 2023 statistics, 24,000 60-kg bag beans were imported into U.S. during 2023-2024 as the domestic consumption was reported to be 25,475 60-kg bean bags. According to the National Coffee Association, more than any other beverage, 66% of Americans drink coffee each day as of March 2022. With the increasing coffee consumption, the imports of coffee beans for the region also increasing to meet the demand.

The new product launches in the regional retail market are expanding the market size. For instance, in August 2023, Tim Hortons, North America's largest restaurant chain introduced Tim Hortons Cold Brew Concentrate in the U.S. The new product coffee concentrate is available in four new flavors such as Medium Blend Black, Birthday Cake, Cinnamon Swirl, and Mocha Cereal. The product is available in almost 50 states in U.S. retail market.

Competitive Landscape

The major global players in the market include Tata Nutrikorner, Javy Coffee Company, Grady's Cold Brew, Kohana Coffee, The J.M. Smucker Company, Nestle, MONIN INCORPORATED., Climpson & Sons, Beangood Private Limited and Kerry Group plc.

COVID-19 Impact Analysis

The COVID-19 pandemic has both positive and negative impacts on the global coffee concentrate market. The market faced challenges during the pandemic situation due to sudden lockdown conditions and interrupted industrial and retail processes. The disrupted supply chain activities reduced the raw material procurement for product production.

The production plants were temporarily shut down causing a greater loss for the manufacturers. The pandemic resulted in the shutdown of cafes and coffee shops due to strict lockdown restrictions by government organisations. The unavailability of fresh rewed products in the lockdown condition created a greater need and demand for readily available and convenient products.

The new products during the pandemic time to meet the increased demand of the product expanded the market size. For instance, in September 2020, in mid-pandemic time, a Singapore-based startup, Wake The Crew was established with a vision to provide high-quality coffee concentrates to customers through an e-commerce platform.

By Bean

• Robusta
• Excelsa
• Liberica
• Arabica

By Roast

• Dark
• Medium
• Light

By Brew

• Cold
• Drip
• French Press
• Espresso
• Pour Over

By Form

• Liquid
• Powder

By Type

• Caffeinated
• Decaffeinated

By Product

• Dolce Iced Coffee Concentrate
• Black Coffee Concentrate
• Cold Brew Coffee Concentrate
• Top Roast Coffee Concentrate

By Distribution Channel

• Supermarket/Hypermarket
• Cafes and Foodservice
• Convenience Stores
• Specialty Stores
• Other

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In April 2023, Wake the Crew, a Singapore-based coffee concentrate startup announced its plans to expand into the South East Asia region through supermarkets to incraese their retail sales.
• In June 2023, Monin, a French-based company announced the introduction of its new seasonal coffee concentrate products into the market to keep the growing demand for the products in the market. The new product launches are with various flavours including maple pumpkin cold brew coffee concentrate.
• In May 2021, Finlay, one of the leading manufacturers of powdered and liquid soluble coffee, announced to expansion into the European region by helping European brand owners capitalize on the cold brew coffee opportunity with a major investment in its U.K. facility.

Why Purchase the Report?

• To visualize the global coffee concentrate market segmentation based on the bean, roast, brew, form, type, product, distribution channel and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of coffee concentrate market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as Excel consisting of key products of all the major players.

The global coffee concentrate market report would provide approximately 94 tables, 96 figures and 246 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies