The coffee machine market is anticipated to exhibit a positive CAGR of 4.7% over the decade, according to the latest research study by Fact.MR, a market research and competitive intelligence provider. The industry is expected to top a valuation of US$ 25 Bn by the end of 2031.
As coffee machines gain prominence in traditional as well as non-traditional coffee drinking markets, the growth trajectory of the market will witness a steady rise. Evolving demand trends in the coffee machine market can be attributed to:
- Dissemination of knowledge regarding coffee varieties and coffee making processes among consumers
- Growing palate for specialty beverages including coffee
- Intelligent innovations by coffee machine industry titans
- Mushrooming of F&B and coffee shop chains
Fact.MR study finds that drip coffee machines are expected to account for nearly 2/5 of the total coffee machine sales in 2031. Easy operation, simple design, and quality brewing are key factors responsible for significant demand for drip coffee machines. Fact.MR also finds that a good price point of drip coffee machines is another reason that maintains the machine’s popularity.
While drip and steam coffee machines continue to be lucrative pockets, sales of capsule-based coffee machines are expected to increase against the backdrop of increasing preference for specialty coffee varieties among consumers.
Semi-automatic Technology Remains Highly Preferred; Sales of Automatic Machines Increasing Rapidly
Semi-automatic coffee machines will continue to find favor in the future on the back of advantages of human control, affordable price, and many other multimodal factors. On the other hand, sales of automatic coffee machines are rising rapidly as consumer preference for convenience, speed, quality, and brand image continues to evolve.
In the automatic coffee machine marketplace, disruptive innovations are being introduced that cover consumer sentiments for taste as well as convenience. Single unit and one touch for a cup of coffee, options of personalization, and features of convenience in the form of mobile application-based control are few of the intelligent innovations recently introduced in the market.
Fact.MR says that cafes will continue to register higher sales of coffee machines for the evident reason of these machines being an indispensable unit at cafes as compared to F&B stores.
After cafes, among all the other end uses (hotels, restaurants, cafés, institutional, and residential), sales of coffee machines are expected to rise rapidly in the residential segment. Consumer propensity to enjoy specialty coffee flavors and experience convenience at home can be attributed to rapidly rising sales of coffee machines in this sector.
The study estimates that online sales channels are preferred over retail or direct sales channels for the distribution of coffee machines. Retail channels are estimated to follow the trail, wherein, sales of 3 in 10 units are estimated.
North America and Europe continue to present significant demand for coffee. Fact.MR’s study finds that North America will continue to register significant demand for coffee machines and account for over two-fifth of global sales in 2021. Around 64% of Americans consume a cup of coffee daily in 2018, according to the National Coffee Association survey.
Further, demand for caffeinated beverages is rising, whereas, the soda and juice market witnessed a decline. Fact.MR reveals that Europe is expected to account for one-fifth volume share in the global market.
The Fact.MR report tracks the coffee machine market for the period 2021-2031. According to the report, the coffee machine market is projected to expand at 4.7% CAGR through 2031.