Vertical: CFnBBase Year: 2018
Market Size (2018)
$13.71B
Projected (2025)
$23.44B
CAGR (2017–2025)
8.0%
Key Players
10+
The global coffee pods and capsules market is expected to grow at a notable pace during the forecast period. The growth can be attributed to the increasing consumption of coffee in Asia-Pacific. Additionally, the rising use of capsule coffee machines has significantly contributed to the growth of the market. However, the high cost of coffee capsules and pods is hindering the growth of the market. The market is expected to offer lucrative opportunities for market players in the coming years due to the rising adoption of innovative products by consumers. The major challenge for market players is the lack of awareness and availability of coffee pods and capsules in developing nations, especially in the rural markets.
The Coffee Pods and Capsules Market market is projected to grow at a CAGR of 8.0% from 2017 to 2025.
Subscribe to Wantstats
Unlock premium reports, insights, blogs, charts and more.
View Subscription PlansSubscribe to Wantstats
Unlock premium reports, insights, blogs, charts and more.
View Subscription PlansCoffee pods and capsules are small cups, with or without filters, filled with pre-portioned ground coffee. They sealed with food-grade coverings and are ready to brew in special machines. These pods can be punctured at the top or the bottom for infusion with steam generated within the coffee machine.
Subscribe to Wantstats
Unlock premium reports, insights, blogs, charts and more.
View Subscription PlansSubscribe to Wantstats
Unlock premium reports, insights, blogs, charts and more.
View Subscription PlansSubscribe to Wantstats
Unlock premium reports, insights, blogs, charts and more.
View Subscription PlansResearch Process
Wantstats analysis is based on interviews with industry experts who offer insight into the market structure, market segmentation, technology assessment, competitive landscape (CL), market penetration, as well as the emerging trends. Besides primary interviews (~80%) and secondary research (~20%), their analysis is based on years of professional expertise in their respective industries. Our analysts also predict where the market will be headed in the next five to 10 years, by analyzing historical trends and the current market position. Furthermore, the varying trends in segments and categories in each region are studied and estimated based on primary and secondary research.
Primary Research
Extensive primary research was conducted to gain a deeper insight into the market and the industry performance. For this particular report, we have conducted primary surveys (interviews) with the key level executives (VPs, CEOs, marketing directors, and business development managers, among others) of the major players active in the market. In addition to analyzing the current and historical trends, our analysts predict where the market is headed in the next five years.
Secondary Research
Secondary research was mainly used to collect and identify information useful for an extensive, technical, market-oriented, and commercial study of the global coffee pods and capsules market. It was also used to obtain key information about major players, market classification and segmentation according to industry trends, geographical markets, and developments related to the market and technology. For this study, analysts have gathered information from various credible sources such as annual reports, SEC filings, journals, white papers, corporate presentations, company websites, international organizations, and paid databases.
Market Size Estimation
Both the top-down and bottom-up approaches were used to estimate and validate the size of the market and to estimate the size of various other dependent sub-markets of the overall global coffee pods and capsules market. The key players in the market were identified through secondary research, and their market contributions in different applications across the globe were determined through primary and secondary research. This entire process included the study of the annual and financial reports of the top market players and extensive interviews for key insights with industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares, splits, and breakdowns were determined using secondary sources and verified through primary sources. All the possible parameters that affect the market covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to arrive at the final quantitative and qualitative data. This data has been consolidated, and detailed inputs and analysis from Wantstats added before being presented in this report. The following figure shows an illustrative representation of the overall market size estimation process employed for the purpose of this study.
Base Year
2018
Historical Period
2017 – 2017
Forecast Period
2019 – 2025
Primary Interviews
150+
Historical data (2017–2018) and forecast period (2018–2025)
Our research process spans primary interviews with industry stakeholders combined with comprehensive secondary data analysis, validated through triangulation across multiple independent sources.
Subscribe to Wantstats
Unlock premium reports, insights, blogs, charts and more.
View Subscription PlansThe global coffee pods and capsules market is highly competitive with key industry players adopting various strategies such as product launches, partnerships, acquisitions, agreements, and expansions to strengthen their market positions. Most companies in the market are focused on expanding operations across regions, augmenting their capabilities, and building strong partner relations.
The growth of market players is dependent on market conditions, government support, and industry development. Thus, the vendors should focus on expanding geographically and improving product quality. Illycaffè S.p.A., Keurig Dr Pepper, Inc., Jacobs Douwe Egberts B.V., Melitto, The Kraft Heinz Company, Nestlé S.A., Luigi Lavazza S.p.A, Caffèd'Italia SRL, Dualit Limited, and The J.M. Smucker Company are the major companies in this market, who compete based on market presence, quality, and price.
The key players are taking steps toward business expansions and market development, expanding their customer base. The international players may strengthen their presence worldwide through acquisitions during the review period. It has also been forecast that improvements in the global economic scenario and the growing coffee pods and capsules industry in emerging economies would drive market growth, making it an ideal time for players to launch new products and increase their global market shares.
THREAT OF NEW ENTRANTS
The global coffee pods and capsules market is highly competitive with the presence of prominent players across the globe. The established players in the market act as a challenge for new entrants to establish their brands. Additionally, the need for large working capital is also a major determinant posing barriers for the entry of new market players. However, the escalating demand for capsule coffee machines among various end users has made the market lucrative. The surging use of coffee pods and capsules is an opportunity for manufacturers to develop innovative products and increase their customer base.
Hence, the threat of new entrants in the global coffee pods and capsules market is expected to be moderate.
BARGAINING POWER OF SUPPLIERS
The suppliers in the global coffee pods and capsules market are local farmers, stockists, and traders dealing in agricultural commodities such as coffee, along with coffee cup manufacturers. There are several suppliers of coffee; moreover, being a perfect competition market, there are numerous manufacturers active in the market. While the fluctuating raw material availability and volatile prices of coffee increase the bargaining power of suppliers, the market players enter into long-term agreements to mitigate these challenges. They also tend to prefer procurement from local and regional suppliers over importing components. Additionally, manufacturers of coffee pods and capsules are opting for cups made from biodegradable materials owing to the increasing environmental concerns regarding the disposal of plastic coffee pods and capsules.
Hence, the bargaining power of suppliers in the global coffee pods and capsules market is expected to be moderate.
BARGAINING POWER OF BUYERS
There are several established coffee pod and capsule manufacturers operating in this perfect competition market, which increases product availability and reduces the switching cost for buyers. Additionally, product differentiation is moderate in the market with the buyers having a wide range of products to choose from, based on the prices and features offered. Several market players are now offering coffee capsules/pods that are compatible with the capsule coffee machines provided by different manufacturers, thus lowering the switching costs for buyers and resulting in a higher bargaining power of buyers. Moreover, the concentration of buyers in the developing nations in Asia-Pacific is low due to the limited awareness of the product and high product cost.
Hence, the bargaining power of buyers in the global coffee pods and capsules market is expected to be high.
THREAT OF SUBSTITUTES
Owing to product unavailability, lack of awareness, and high product prices, coffee pods and capsules can easily be substituted with regular coffee in the form of powder or beans. Additionally, customers can opt for instant filter coffee available in sachets as a substitute for coffee pods and capsules due to its low price.
Hence, the threat of substitutes in the global coffee pods and capsules market is expected to be high.
INTENSITY OF RIVALRY
The market is highly competitive, marked with fierce competition among the market players in terms of product quality, variety, and pricing. The growing demand for coffee pods and capsules among the end users is an opportunity for the players to emphasize innovation and product quality to expand their customer base. Thus, manufacturers are focusing on strategic expansion to strengthen their businesses worldwide and survive in the market.
Hence, the intensity of rivalry in the global coffee pods and capsules market is expected to be high.
Market estimates by geography (2025)
InsightEurope leads with $8.50B by 2025, while Asia Pacific is projected to grow fastest at a 8.8% CAGR.
Subscribe to Wantstats
Unlock premium reports, insights, blogs, charts and more.
View Subscription Plans| REGION | 2017 | 2018 | 2025 | CAGR | SHARE |
|---|---|---|---|---|---|
| North America | $3.97B | $5.35B | $7.25B | 7.8% | 31% |
| Asia Pacific | $2.70B | $3.78B | $5.28B | 8.8% | 23% |
| Europe | $4.78B | $6.36B | $8.50B | 7.5% | 36% |
| Rest of the World | $1.27B | $1.74B | $2.41B | 8.3% | 10% |
| Total | $12.71B | $17.24B | $23.44B | 8.0% | 100% |
Subscribe to Wantstats
Unlock premium reports, insights, blogs, charts and more.
View Subscription PlansTotal Market Size
$23.44B
| APPLICATION | REVENUE ($B) | GROWTH RATE | MARKET PENETRATION |
|---|---|---|---|
| Traditional | $15.45B | 7.8% | 66% |
| Decaf | $7.99B | 8.3% | 34% |
* Revenue projections based on 2025 estimates. Growth rates represent CAGR 2024–2030. Market penetration indicates current adoption rate within addressable market segments.
Subscribe to Wantstats
Unlock premium reports, insights, blogs, charts and more.
View Subscription PlansSee plans for professionals or small and medium businesses.
Analytical insights on Coffee Pods and Capsules Market covering market dynamics, competitive landscape, and strategic outlook.
The Coffee Pods and Capsules Market market is projected to reach $23.44B by 2025, growing at 8.0% CAGR. The Traditional segment holds the largest share.
The global coffee pods and capsules market is expected to register a notable growth rate during the forecast period. The increasing consumption of coffee in Asia-Pacific and rising use of capsule coffee machines are the major factors driving market growth. The rising adoption of innovative products is expected to create new opportunities for the vendors active in the global market. However, the high prices of coffee capsules and pods is restricting the growth of the market. The major challenge faced by the market players is limited consumer awareness and adoption in developing nations.
Capsule coffee machines are gaining popularity among various end users as they are easy and convenient to use. Such machines are similar to espresso coffee machines and offer high-quality coffee. The maintenance required for capsule coffee machines is less as compared to espresso coffee machines due to its hassle-free functionality. These machines are highly efficient units and are compact and lightweight. Additionally, the single-serve capsule coffee machines are eco-friendly as they are available with automatic power-off functions, which limit power consumption. Owing to such benefits, the use of these machines is increasing in small offices, cafés, cafeterias, households, schools and colleges, retail stores, hotels, and other places providing high-quality coffee. As per Wantstats analysis, the global capsule coffee machines market is expected to register a CAGR of 7.86% during the forecast period of 2019 to 2025.The increasing use of capsule coffee machines is, therefore, expected to drive the demand for coffee pods and capsules during the review period.
Rising consumer demand for innovative and healthy products such as flavored coffee capsules, high-grade coffee products, and functional beverages is encouraging coffee pod and capsule manufacturers to introduce innovative products. Growing consumer awareness about health and wellness has increased the demand for functional beverages. Consumers are inclined toward beverages that aid in improving certain bodily functions. This growing trend for functional beverages has widened the scope for functional coffee capsules, which, in turn, is catalyzing the demand for coffee pods and capsules. Manufacturers of coffee and coffee pods and capsules are, therefore, focusing on addressing the health concerns of consumers.
In the current market scenario, coffee pod and capsule manufacturers offer products compatible with their own capsule coffee machines, which limits the product choices for customers. For instance, Nestlé capsules are only compatible with Nescafé Dolce Gusto machines. Hence, the launch of coffee pods and capsules compatible with capsule coffee machines of any brand is expected to render the market lucrative as it would allow customers to use their preferred coffee capsule brands with a single machine. Hence, the launch of innovative coffee products and coffee pods and capsules is expected to pave the way for new growth avenues for the players active in the global market.
Coffee capsules are highly priced due to the cost of packaging, single-serve use, need for a high level of purity, and fluctuating raw material prices. To maintain the quality of coffee packed in capsules or pods, the filled capsules are packaged in aseptic conditions to avoid contamination. Moreover, the coffee beans are finely ground while maintaining a high level of purity, adding to the overall production costs of coffee capsules and pods. The adoption of biodegradable materials for the preformed cups is also a crucial factor impacting the cost of coffee capsules and pods.
Coffee is one of the most highly traded commodities in the world and the prices of the same are volatile. The consumption of coffee is rising rapidly in coffee-producing and non-producing countries. However, there is a growing concern for the lack of supply to meet the growing demand for coffee. Fluctuations in climatic conditions can affect the yield of coffee, which influences the overall price. High temperatures often lead to the increasing spread of plant disease known as coffee rust or la roya, caused by a fungus that attacks the leaf and destroys the branches and the coffee cherry. Such diseases, pests, and defects hamper the supply of coffee in the market, creating a supply-demand gap which adds to the total price of coffee beans and, consequently, the price of coffee capsules. The following figure depicts the fluctuations in the ICO’s indicator prices for coffee in 2019.
Thus, the fluctuating prices of coffee beans have a negative impact on the already high-priced coffee capsules, which restricts their consumption. As a result, the sales of coffee pods and capsules are expected to be hampered which can restrain the growth of the global coffee pods and capsules market.
Global coffee consumption is increasing; however, the adoption of coffee pods and capsules is comparatively low in developing nations. Even though Asia-Pacific is a production hub for coffee, the majority of the coffee harvested in the region is exported to the US and Italy where it is filled in capsules or pods. Indonesia, Vietnam, East Timor, Laos, Myanmar, the Philippines, and Thailand are amongst the major coffee-producing countries in Asia-Pacific. However, the rate of adoption of coffee pods and capsules in these countries is low as compared to North America and Europe. Low availability, the limited presence of market players in the rural areas, and high prices of coffee capsules are the major factors responsible for the lack of awareness and adoption of coffee capsules and pods in developing nations. To sustain their positions in the growing market, manufacturers of coffee pods and capsules must overcome these challenges by focusing on marketing strategies and introducing products at affordable prices for the growing middle-class consumer group.
Near-term growth will likely concentrate in modular bioreactor lines and closed-system media workflows that shorten validation cycles while preserving batch traceability.
Partnerships between CDMOs and instrumentation vendors should accelerate standard datasets for comparability across sites, improving forecasting models used in capacity planning.
Longer horizon, organoid and microphysiological adoption may reshape segment mix; teams that invest early in assay interoperability and cloud QC hooks are better positioned to capture upside without fragmenting their analytics stack.
Profiles of 105 companies operating in the Coffee Pods and Capsules Market market, including revenue, employee count, and market positioning where available.
Showing 105 of 105 companies
Company Headquarters: Minden, Germany Founded: 1908 Workforce: ~5,200 Company Working: Mellita is a multinational company engaged in the production of coffee. The company has three strategic business segments—coffee, coffee preparation, and household products. It currently operates in Europe, the Americas, and Asia-Pacific. Mellita sells whole coffee beans, roast and ground coffee, coffee capsules, and coffee pods.
Company Headquarters: Terranuova Bracciolini, Italy Founded: 2007 Workforce: ~50 Company Working: Caffe’ d’Italia SRL manufactures coffee capsules and coffee machines. It offers three categories of capsule coffee—classic, terraria, and compatible. It also offers coffee machines for homes, offices, and restaurants.
Company Headquarters: Amsterdam, Netherlands Founded: 2015 Workforce: ~16,000 Company Working: Jacobs Douwe Egberts B.V. (Jacobs Douwe Egberts) is a multinational company that manufactures coffee and tea. The company has a product portfolio of over 35 brands and a presence in 140 countries around the world. Douwe Egberts, Jacobs, L’OR Professional, Piazzo Doro, and Pickwick are some of the brands of the company offering coffee and tea in various countries through different sub-brands such as senseo, which offers coffee capsules and pods.
Company Headquarters: West Sussex, England Founded: 1946 Workforce: ~2,500 Company Working: Dualit Limited (Dualit) manufactures coffee and tea capsules and kitchen and catering equipment. The company’s product line includes kettles, toasters, coffee & tea capsules, food preparation appliances such as slice toasters, and catering equipment. Dualit offers aluminum coffee capsules, compostable coffee pods and capsules, and ESE coffee pods, among others.
Company Headquarters: Trieste, Italy Founded: 1933 Workforce: ~1294 Company Working: Italian coffee roasting company illycaffè S.p.A. (illycaffè) specializes in the production of espresso powder and capsules. The company's coffee is available in 140 countries across the world. It produces a single blend in three roast variations—normal, dark roast, and decaffeinated. In addition, illycaffè offers monoarabica, single-origin Arabica beans from Brazil, Guatemala, Ethiopia, Colombia, Costa Rica, and India. Seasonally, the company offers Idillyum, a low-caffeine arabica which grows in the rich, volcanic soils of El Salvador. The illycaffè brand of coffee is packaged as whole beans, pre-ground coffee, easy serving espresso (ESE) pods, and iperEspresso capsules. The company also offers espresso machines and capsule coffee makers.
Company Headquarters: US Founded: 1847 Workforce: ~+79800 employees Company Working: Philip Morris International (PMI) is a leading multinational tobacco company. PMI's primary business is the manufacturing and sale of cigarettes. The company's portfolio includes renowned brands such as Marlboro, Parliament, L&M, Chesterfield, and Philip Morris. PMI has been actively investing in and developing reduced-risk products (RRPs) as alternatives to traditional cigarettes. The flagship RRP is the IQOS system, which heats tobacco rather than burning it. PMI operates in over 180 countries, making it one of the largest international tobacco companies. The company has a strong market presence in key regions, including the European Union, Asia Pacific, Latin America, the Middle East, and Africa.
Powering the world's best teams.
From next-gen startups to established enterprises.
Trusted by forward-thinking businesses
for data-driven intelligence
Co-Founder, Mojave Rail Fabrication Limited
This is really good guys. Excellent work on a tight deadline. I will continue to use you going forward and recommend you to others. Nice job.
Manager, JavolVision
Thanks, I am so happy that we worked together. Maybe we still can work together in the future.
Sales Operations & Pricing Manager, Intel
Thanks. It's been a pleasure working with you, please use me as reference with any other Intel employees.
Sales Leader, Bamberg
We bought your "2025 report" in 2020. Everything is fine and very good.
Account and Business Manager, EFS-Holland BV
Thanks for sending the report it gives us a good global view of the Betaïne market.
Senior Retail Manager, LG Chem
We found the report very insightful! we found your research firm very helpful. I'm sending this email to secure our future business.
Management Consultant, Level 21
I am very pleased with how market segments have been defined in a relevant way for my purposes (such as "Portable Freezers & refrigerators" and "last-mile"). In general the report is well structured. Thanks very much for your efforts.
Group Product Manager HVAC & Fire Protection GMA, Rockwool
I have been reading the first document or the study, the Global HVAC and FP market report 2021 till 2026. Must say, good info! I have not gone in depth at all parts, but got a good indication of the data inside!
R&D Director, Seojin
Thanks for your great support. Appreciate it. Well received report. It helps us to understand market well. We're planning other area of survey in the future, let's keep in touch.
Strategy & Business Development Director, Dogan Holding
We got the report in time, we really thank you for your support in this process. I also thank to all of your team as they did a great job.
Co-Founder, Mojave Rail Fabrication Limited
This is really good guys. Excellent work on a tight deadline. I will continue to use you going forward and recommend you to others. Nice job.
Manager, JavolVision
Thanks, I am so happy that we worked together. Maybe we still can work together in the future.
Sales Operations & Pricing Manager, Intel
Thanks. It's been a pleasure working with you, please use me as reference with any other Intel employees.
Sales Leader, Bamberg
We bought your "2025 report" in 2020. Everything is fine and very good.
Account and Business Manager, EFS-Holland BV
Thanks for sending the report it gives us a good global view of the Betaïne market.
Senior Retail Manager, LG Chem
We found the report very insightful! we found your research firm very helpful. I'm sending this email to secure our future business.
Management Consultant, Level 21
I am very pleased with how market segments have been defined in a relevant way for my purposes (such as "Portable Freezers & refrigerators" and "last-mile"). In general the report is well structured. Thanks very much for your efforts.
Group Product Manager HVAC & Fire Protection GMA, Rockwool
I have been reading the first document or the study, the Global HVAC and FP market report 2021 till 2026. Must say, good info! I have not gone in depth at all parts, but got a good indication of the data inside!
R&D Director, Seojin
Thanks for your great support. Appreciate it. Well received report. It helps us to understand market well. We're planning other area of survey in the future, let's keep in touch.
Strategy & Business Development Director, Dogan Holding
We got the report in time, we really thank you for your support in this process. I also thank to all of your team as they did a great job.
Historical performance and future projections (2020–2030, USD Billion)
Market Size (USD Mn)
