Coffee Concentrates Market Size, Share & Trends Analysis Report By Type (Caffeinated, Decaffeinated), By Packaging (Bottles, Cans, Pouches, Others), By Distribution Channel (B2B, B2C), By Region, And Segment Forecasts, 2024 - 2030

Coffee Concentrates Market Size & Trends

The global coffee concentrates market size was estimated at USD 2.24 billion in 2023 and is expected to grow at a CAGR of 6.6% from 2024 to 2030. One major factor driving this growth is the increasing popularity of ready-to-drink coffee products. Busy professionals and consumers are seeking convenient and time-saving caffeine options that fit into their fast-paced lifestyles. Coffee concentrates offer a quick solution, allowing users to easily mix concentrated coffee with water or milk to enjoy a flavorful beverage without the need for extensive preparation. This convenience aligns well with the on-the-go lifestyle of many consumers, making coffee concentrates an attractive choice.

Additionally, the growing awareness of health benefits associated with coffee consumption is contributing to the rise in demand for coffee concentrates. Many consumers perceive organic and concentrated coffee products as healthier alternatives due to their reduced chemical residues from synthetic pesticides and fertilizers. This perception is further supported by research indicating that coffee consumption may lower the risk of certain health issues, such as type 2 diabetes and depression, thus appealing to health-conscious consumers. Urbanization also plays a significant role in the increasing consumption of coffee concentrates. As cities expand and lifestyles become busier, there is a greater demand for convenient food and beverage options. The expansion of multinational retail brands offering diverse coffee concentrate products has made these beverages more accessible to consumers, further driving market growth.

Technological advancements in brewing and processing methods have also enhanced the appeal of coffee concentrates. Improved extraction techniques and preservation processes ensure that these products maintain their quality and freshness, making them more desirable to consumers. The versatility of coffee concentrates allows for customization in caffeine intake, catering to varying preferences and consumption habits. Moreover, the rise of e-commerce has facilitated easier access to a wide range of coffee concentrate products. Online shopping provides consumers with the opportunity to explore different brands and flavors without geographical limitations, contributing to increased market penetration.

Type Insights

Caffeinated coffee concentrates accounted for a revenue share of 76.5% in 2023. Caffeinated coffee concentrates offer a quick and efficient way to enjoy coffee. They eliminate the need for brewing, allowing consumers to easily mix their preferred strength and flavor, making them ideal for busy lifestyles. These concentrates provide a strong caffeine punch in a small volume, appealing to consumers seeking an immediate energy boost without the bulk of traditional coffee. This is particularly attractive to students and professionals who need a quick pick-me-up.

Decaffeinated coffee concentrates is expected to grow at a CAGR of 7.1% from 2024 to 2030. As more consumers become aware of their caffeine intake, decaffeinated coffee concentrates offer a way to enjoy coffee without the jitters or potential negative effects of caffeine. This appeals to health-conscious individuals looking for a flavorful coffee experience without the stimulating effects. Decaffeinated coffee concentrates often come in a variety of unique flavors and blends, attracting consumers who enjoy experimenting with different taste profiles. This versatility allows for creative uses in beverages and culinary applications.

Distribution Channel Insights

Sales through B2B channels accounted for a revenue share of 82.5% in 2023. Offline stores allow customers to engage with coffee concentrates products firsthand, offering opportunities for tasting and sampling. This sensory experience helps consumers make informed decisions about packaging, quality, and brand, encouraging immediate purchases. As the popularity of coffee concentrates rises, more specialty coffee shops and cafes are offering organic options. These establishments often emphasize quality and sustainability, driving consumers who value these aspects to purchase coffee concentrates directly from brick-and-mortar locations.

Sales through B2C channels are expected to grow at a CAGR of 7.1% from 2024 to 2030. B2C channels often offer a wide range of brands, flavors, and formulations of coffee concentrates, allowing consumers to explore different options and find products that suit their tastes. This variety helps cater to diverse preferences and encourages experimentation. B2C channels, including online retailers and grocery stores, provide easy access to coffee concentrates, allowing consumers to purchase products quickly without the need for wholesale or bulk orders. This convenience appeals to busy individuals looking for quick coffee solutions.

Packaging Insights

Bottled coffee concentrates accounted for a revenue share of 43.5% in 2023. Bottled coffee concentrates offer a ready-to-drink option that fits seamlessly into busy lifestyles. Consumers appreciate the convenience of grabbing a bottle for a quick caffeine fix without the need for preparation or brewing. These products are easy to transport, making them ideal for people who are traveling, commuting, or engaging in outdoor activities. The compact packaging allows for easy storage in bags or vehicles, appealing to those seeking coffee solutions while on the move.

Canned coffee concentrates are expected to grow at a CAGR of 7.1% from 2024 to 2030. Canned coffee concentrates offer a convenient, ready-to-drink option that fits easily into busy lifestyles. Their compact size makes them easy to carry, allowing consumers to enjoy coffee on the go without the need for preparation. Canned products typically have a longer shelf life compared to bottled options, appealing to consumers who appreciate the ability to stock up and store them for extended periods. This durability makes canned coffee concentrates a practical choice for many households.

Regional Insights

The North America coffee concentrates market is expected to grow at a CAGR of 7.0% from 2024 to 2030. Cold brew coffee has become hugely popular in North America, and coffee concentrates are often used to create cold brew at home or in commercial settings, contributing to their rising demand. Many consumers in North America are increasingly health-conscious, and coffee concentrates are often perceived as a cleaner option with fewer additives compared to pre-bottled coffee drinks, aligning with the trend toward cleaner, simpler ingredients.

U.S. Coffee Concentrates Market Trends

The coffee concentrates market in the U.S. is facing intense competition and innovation. With more people seeking café-quality coffee at home, coffee concentrates provide an easy way to make premium beverages without specialized equipment, appealing to convenience-focused consumers. Cold brew coffee has become hugely popular in the U.S., and coffee concentrates are often used to create cold brew at home or in commercial settings, contributing to their rising demand.

Europe Coffee Concentrates Market Trends

The coffee concentrates market in Europe is expected to grow at a CAGR of 7.4% during the forecast period. The rising popularity of specialty coffee and café-style beverages has driven demand for coffee concentrates, which allow consumers to replicate high-quality coffee drinks at home. Coffee concentrates are often used in cold brew coffee, which has gained significant popularity across Europe. Cold brew’s smooth taste and lower acidity appeal to younger consumers and health-conscious individuals.

Asia Pacific Coffee Concentrates Market Trends

The coffee concentrates market in Asia Pacific accounted for a revenue share of 40.5% in 2023 of the global market.  There is a burgeoning interest in coffee, especially among younger consumers, who are embracing café culture and seeking convenient ways to enjoy high-quality coffee at home or on the go. As urban populations grow, busy lifestyles lead to a demand for quick and efficient solutions. Coffee concentrates fit this need by providing an instant way to prepare coffee without the hassle of brewing.

Key Coffee Concentrates Company Insights       

The market is characterized by dynamic competitive dynamics shaped by a combination of factors including product innovation, regional production capabilities, and evolving consumer preferences. Leading manufacturers invest in R&D and technological advancements to provide cost-effective and quality products.

Market players are entering into joint ventures, partnerships, mergers, agreements, and acquisitions to strengthen their market position and expand their geographical reach. Companies are also focusing on raising consumer awareness of the ambiguity of the ingredients used while strictly adhering to international regulatory standards.

Recent Developments

• In May 2024, Nescafé introduced its new Premium Espresso Concentrate Coffee, designed to provide a rich and authentic espresso experience in a convenient format. This innovative product is crafted from high-quality Arabica beans, ensuring a smooth and flavorful coffee that caters to the growing demand for premium coffee options. This launch aligns with Nescafé's commitment to enhancing coffee experiences while meeting consumer preferences for convenience and quality.

Coffee Concentrates Market Report Scope

Global Coffee Concentrates Market Report Segmentation

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 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global coffee concentrates market report based on type, packaging, distribution channel, and region:

• Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Caffeinated

  • Decaffeinated

• Packaging Outlook (Revenue, USD Million, 2018 - 2030)

  • Bottles

  • Cans

  • Pouches

  • Others

• Distribution Channel Outlook (Revenue, USD Million, 2018 - 2030)

  • B2B

  • B2C

    • Supermarkets & hypermarkets

    • Specialty Stores

    • Online

    • Others

• Regional Outlook (Revenue, USD Million; 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • UK

    • France

    • Germany

    • Spain

    • Italy

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

    • Australia & New Zealand

  • Central & South America

    • Brazil

  • Middle East & Africa

    • South Africa