Coffee Pods Market has skyrocketed in the last two years. The similar increase has been seen in the demand for premium coffee. The availability of several brands and high-quality beans has fueled the rise of the coffee business. Unlike the general expansion of the coffee market, the coffee pods market has experienced little change. The enormous environmental burden of used coffee pods has tainted consumer fondness for coffee pods.
Regulators and manufacturers have also highlighted concerns about coffee pods. To address the reasons that contribute to market losses, producers have welcomed the use of biodegradable coffee pods.
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Cannabis-infused Coffee Pods to Aid in Long-Term Growth
The legalization of cannabis use in certain countries has resulted in a slew of new inventions in the worldwide food and beverage business. The introduction of cannabis-infused coffee pods is one of the most recent breakthroughs in the coffee business.
When made at home, these cannabis-infused pods are said to provide the same benefits as café-brewed cannabis coffee. Because of the stigma associated with public use of cannabis coffee, brew at home cannabis coffee capsules have grown popular.
Competitive Landscape:
For the past several years, the coffee pods industry has been largely fragmented. However, the likelihood of more market concentration in the coffee pods industry has grown in the last year. Nestlé S.A. and Starbucks brands in Consumer Packaged Goods (CPG) and Foodservice created the Global Coffee Alliance on August 28, 2018.
Nestlé S.A. was granted the exclusive right to promote, sell, and distribute Starbucks packaged coffee and tea in all at-home and away-from-home channels. The collaboration has accelerated the expansion of both Nestlé S.A. and Starbucks.
Nestlé S.A. reported a 2.9% gain in stock price. Since this collaboration, the popularity of Starbucks BY NESPRESSO for coffee at home has increased.
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Regional Analysis:
According to the United States Department of Agriculture (USDA), global coffee production, which was estimated at 169 million, 60 kilogram bags in 2018-19, is likely to fall slightly in 2019-2020, owing primarily to Brazil’s Arabica trees entering the off-year of the biennial production cycle. For the year 2019, the worldwide market for coffee beans is expected to increase at a modest pace.
However, based on prior trends in the coffee industry, the coffee market is predicted to demonstrate a bullish comeback trend following the dip in 2019. The shortfall in traditional coffee demand and supply is anticipated to complement the emergence of new cannabis-infused coffee and drinks, which will support the developing trend of cannabis-infused coffee and beverages.
Key Segments of Industry:
- Product Type
- Soft Pods
- Hard Pods
- Caffeine Content
- Regular
- Decaffeinated
- Roast Type
- Dark
- Medium
- Light
- Flavour
- Regular
- Flavoured
- Distribution Channel
- Business to Business
- Hypermarkets/Supermarkets
- Speciality Stores
- Food & Drink Specialty
- Independent Retail
- e-Commerce
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