Europe Coffee Market - Growth, Trends, and Forecast (2018-2023)
The Europe coffee market is expected to register a CAGR of 5.6%, during the forecast period, 2018-2023. Coffee is regarded as the highest consumed beverage in the European countries. The country imports around 45% of the exported coffee, worldwide.
Smaller players are finding increasing opportunities in the specialty coffee market. In this segment traders compete on quality and long-term relationships, rather than on price. Moreover, cold brew coffee and ready to drink coffee are the experiencing huge demand in the Europe coffee market.
The growing population, availability of wide range of coffee type, flavors, and brewing styles, is driving the Europe coffee market. Increased demand for specialty coffee, like signature blends, single origin and micro-lots, and others is being observed among high end customers and coffee lovers in Europe. Retailers of coffee in Europe are laying importance on innovative ways of presentation and brewing styles. Moreover, the wide application of coffee in the bakery products, chocolates, and others, also, mark the growth of coffee market in Europe.
It is estimated that the areas suitable for coffee cultivation will decrease substantially by 2020 due to climate change, prolonged droughts, rising temperatures, biodiversity loss, and heavy rains. Several coffee varieties are also endangered, raising concerns of roasters, importers, and other industry players.
Consumption of cold brew coffee is a growing trend in European coffee market. Costa, Starbucks, and Brew lab are some of the players expanding their cold brew product segment in the country. The Ready-to-Drink Coffee (RTD) demand is rising. The falling popularity of soft drinks including the caffeinated colas is driving sales of RTD coffee. Further, the on-the-go consumption pattern is increasing its demand. The consumption of specialty coffee is increasing as the shoppers are prioritizing experience over price. Moreover, competitors are looking for M&A opportunities to capture the Europe coffee market.
The Europe coffee market is segmented on the basis of source type, product type, flavor, process, and geography. Arabica holds the largest share of 70% in the Europe coffee market while Robusta and Liberica holds 27% and 3%, respectively. Instant coffee is a fast growing segment. Furthermore, the process category consists of two segments, caffeinated and de-caffeinated, where caffeinated coffee holds the largest market share of more than 80%.
Europe holds the largest share in the global coffee market where Germany holds a major share in the coffee market.
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.Download eBook