The global instant coffee market size reached USD 14.7 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 21.9 Billion by 2033, exhibiting a growth rate (CAGR) of 4.5% during 2025-2033. There are various factors that are driving the market, which include the increasing demand for enhanced convenience among people with busy lifestyles, rising focus on health and wellness, and the wide availability of products via several distribution channels.
Instant coffee, also known as soluble coffee, is made from roasted coffee beans, which are ground into a fine powder and then brewed using hot water to extract the coffee flavor. It offers ease of use, long shelf life, and the ability to retain the taste and aroma of traditional brewed coffee. It allows coffee lovers to prepare a cup of coffee quickly and easily by simply adding hot water. It provides versatility and can be enjoyed as a regular black coffee or as lattes, cappuccinos, and mochas. Besides this, it requires minimal equipment, which makes it an easy solution to satisfy coffee cravings in various settings.
The increasing income level of individuals is driving the demand for premium beverage products. Additionally, there is a rise in coffee culture among the millennial population, which is positively influencing the market. Furthermore, various leading manufacturers are investing in advanced production processes and sourcing premium coffee beans to attract a wider consumer base. Apart from this, innovation in manufacturing processes, such as freeze-drying and spray-drying, are allowing producers to retain more of the original aroma and taste of products. Moreover, advancements in packaging technology are improving product shelf life and convenience, which is strengthening the growth of the market.
Instant Coffee Market Trends/Drivers:
Increasing consumer demand for convenience
The increasing working population and the fast-paced lifestyles of individuals worldwide represent one of the key factors driving the demand for products that require less time and effort for preparation. Instant coffee offers a quick, simple, and hassle-free way of preparing a cup of coffee by adding coffee powder in hot water. Moreover, manufacturers are introducing innovative product offerings, such as the development of single-serve packaging and ready-to-mix sachets that further simplify the preparation process. Apart from this, the preparation of instant coffee does not involve any special equipment or appliances, such as a coffee machine and grinder.
Rising consciousness about health and wellness
The increasing health consciousness among the masses represents one of the key factors positively influencing the market. Consumers are seeking coffee products with added health benefits, such as those infused with vitamins, minerals, and other functional ingredients. This is driving the demand for coffee products that contain ingredients like green tea extract, ginseng, and guarana, on account of their health benefits. Apart from this, the rising prevalence of obesity and diabetes is driving the demand for green coffee as it boosts metabolism and supports weight management. Furthermore, leading manufacturers are focusing on the introduction of products formulated with natural ingredients to attract a wider consumer base.
The expansion of distribution channels
The easy availability of ready-to-prepare foods and beverages is positively influencing the market. The expansion of offline distribution channels, such as supermarkets, hypermarkets, convenience stores, and general stores is offering lucrative opportunities to manufacturers. Apart from this, the burgeoning e-commerce industry and the growing consumer reliance on online shopping platforms is offering a favorable market outlook. Additionally, online retail channels are offering a diverse range of products, exciting deals and discounts, free home delivery services, and online payment methods, which is attracting a wider consumer base. Furthermore, various companies are collaborating with online channels to expand their market reach and increase overall product sales.
Instant Coffee Industry Segmentation:
Breakup by Packaging:
Jar
Pouch
Sachet
Others
Pouch holds the largest market share
Breakup by Product Type:
Spray Dried
Freeze Dried
Spray dried dominates the market
Breakup by Distribution Channel:
Business-To-Business
Supermarkets and Hypermarkets
Convenience Stores
Online
Others
Supermarkets and hypermarkets hold the largest share in the market
Breakup by Region:
Europe
Asia Pacific
North America
Latin America
Middle East and Africa
Europe exhibits a clear dominance, accounting for the largest instant coffee market share
The report has also provided a comprehensive analysis of all the major regional markets, which include Europe, Asia Pacific, North America, Latin America, and Middle East and Africa. According to the report, Europe accounted for the largest market share.
The fast-paced lifestyle of Europeans is one of the key factors increasing the demand for instant coffee. Consumers are constantly seeking time-saving and convenient solutions, and instant coffee offers a quick, hassle-free option. Additionally, the leading instant coffee manufacturers are continually introducing new flavors, blends, and varieties to cater to the diverse taste preferences of European consumers. Some of them are sourcing premium coffee beans and using freeze-drying techniques to ensure the product retains its taste and freshness. Apart from this, Europe has a significant number of eco-conscious consumers who prefer sustainable and ethically sourced products. Several instant coffee brands are responding to this demand by ensuring sustainable farming practices, fair trade, and using eco-friendly packaging.
Competitive Landscape:
Companies in the instant coffee market are diversifying their product offerings, as consumers show increasing interest in new flavors and functional benefits. These firms are incorporating popular ingredients such as matcha, turmeric, and different kinds of adaptogens, with a focus on catering to the health-conscious segment of consumers. Additionally, companies are consistently innovating in packaging designs and formats to enhance convenience and consumer appeal while reducing environmental footprint. Furthermore, they are continuously improving their supply chains, ensuring fair trade, and adopting carbon-neutral production processes. Apart from this, many of the leading market players are experimenting with direct-to-consumer models due to the rising consumer reliance on online shopping channels.
The report has provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:
Nestle
Starbucks Corporation
Matthew Algie & Company Ltd.
Kraft Foods Inc.
Tata Consumer Products Limited
Strauss Group Ltd.
Jacobs Douwe Egberts
Tchibo Coffee International Ltd.
Key Questions Answered in This Report
1.What was the size of the global instant coffee market in 2024?
2.What is the expected growth rate of the global instant coffee market during 2025-2033?
3.What are the key factors driving the global instant coffee market?
4.What has been the impact of COVID-19 on the global instant coffee market?
5.What is the breakup of the global instant coffee market based on the product type?
6.What is the breakup of the global instant coffee market based on the packaging?
7.What is the breakup of the global instant coffee market based on the distribution channel?
8.What are the key regions in the global instant coffee market?
9.Who are the key players/companies in the global instant coffee market?
Table of Contents
1 Preface
2 Scope and Methodology
2.1 Objectives of the Study
2.2 Stakeholders
2.3 Data Sources
2.3.1 Primary Sources
2.3.2 Secondary Sources
2.4 Market Estimation
2.4.1 Bottom-Up Approach
2.4.2 Top-Down Approach
2.5 Forecasting Methodology
3 Executive Summary
4 Introduction
4.1 Overview
4.2 Key Industry Trends
5 Global Coffee Industry
5.1 Market Overview
5.2 Production Volume Trends
5.3 Market Breakup by Region
5.4 Market Breakup by Coffee Bean Type
5.5 Market Forecast
6 Global Instant Coffee Industry
6.1 Market Overview
6.2 Market Performance
6.2.1 Volume Trends
6.2.2 Value Trends
6.3 Impact of COVID-19
6.4 Price Analysis
6.4.1 Key Price Indicators
6.4.2 Price Structure
6.4.3 Price Trends
6.5 Market Breakup by Packaging
6.6 Market Breakup by Product Type
6.7 Market Breakup by Distribution Channel
6.8 Market Breakup by Region
6.9 Market Forecast
6.10 SWOT Analysis
6.10.1 Overview
6.10.2 Strengths
6.10.3 Weaknesses
6.10.4 Opportunities
6.10.5 Threats
6.11 Value Chain Analysis
6.11.1 Raw Material Procurement
6.11.2 Manufacturing
6.11.3 Marketing
6.11.4 Distribution
6.11.5 Exports
6.11.6 End-Use
6.12 Porter's Five Forces Analysis
6.12.1 Overview
6.12.2 Bargaining Power of Buyers
6.12.3 Bargaining Power of Suppliers
6.12.4 Degree of Competition
6.12.5 Threat of New Entrants
6.12.6 Threat of Substitutes
6.13 Key Market Drivers and Success Factors
7 Market Breakup by Packaging
7.1 Jar
7.1.1 Market Trends
7.1.2 Market Forecast
7.2 Pouch
7.2.1 Market Trends
7.2.2 Market Forecast
7.3 Sachet
7.3.1 Market Trends
7.3.2 Market Forecast
7.4 Others
7.4.1 Market Trends
7.4.2 Market Forecast
8 Market Breakup by Product Type
8.1 Spray Dried
8.1.1 Market Trends
8.1.2 Market Forecast
8.2 Freeze Dried
8.2.1 Market Trends
8.2.2 Market Forecast
9 Market Breakup by Distribution Channel
9.1 Business-To-Business
9.1.1 Market Trends
9.1.2 Market Forecast
9.2 Supermarkets and Hypermarkets
9.2.1 Market Trends
9.2.2 Market Forecast
9.3 Convenience Stores
9.3.1 Market Trends
9.3.2 Market Forecast
9.4 Online
9.4.1 Market Trends
9.4.2 Market Forecast
9.5 Others
9.5.1 Market Trends
9.5.2 Market Forecast
10 Market Breakup by Region
10.1 Europe
10.1.1 Market Trends
10.1.2 Market Forecast
10.2 Asia-Pacific
10.2.1 Market Trends
10.2.2 Market Forecast
10.3 North America
10.3.1 Market Trends
10.3.2 Market Forecast
10.4 Latin America
10.4.1 Market Trends
10.4.2 Market Forecast
10.5 Middle East and Africa
10.5.1 Market Trends
10.5.2 Market Forecast
11 Competitive Landscape
11.1 Market Structure
11.2 Market Share of Key Players
12 Instant Coffee Manufacturing Process
12.1 Product Overview
12.2 Detailed Process Flow
12.3 Various Types of Unit Operations Involved
12.4 Mass Balance and Raw Material Requirements
13 Project Details, Requirements and Costs Involved
13.1 Land Requirements and Expenditures
13.2 Construction Requirements and Expenditures
13.3 Plant Layout
13.4 Plant Machinery
13.5 Machinery Pictures
13.6 Raw Material Requirements and Expenditures
13.7 Raw Material and Final Product Pictures
13.8 Packaging Requirements and Expenditures
13.9 Transportation Requirements and Expenditures
13.10 Utility Requirements and Expenditures
13.11 Manpower Requirements and Expenditures
13.12 Other Capital Investments
14 Loans and Financial Assistance
15 Project Economics
15.1 Capital Cost of the Project
15.2 Techno-Economic Parameters
15.3 Product Pricing and Margins Across Various Levels of the Supply Chain
15.4 Taxation and Depreciation
15.5 Income Projections
15.6 Expenditure Projections
15.7 Financial Analysis
15.8 Profit Analysis
16 Key Player Profiles
16.1 Nestle
16.2 Starbucks Corporation
16.3 Matthew Algie & Company Ltd.
16.4 Kraft Foods Inc.
16.5 Tata Consumer Products Limited
16.6 Strauss Group Ltd.
16.7 Jacobs Douwe Egberts
16.8 Tchibo Coffee International Ltd.
List of Figure
Figure 1: Global: Instant Coffee Market: Major Drivers and Challenges
Figure 2: Global: Coffee Market: Production Volume Trends (in Million Kg), 2019-2024
Figure 3: Global: Coffee Market: Production Breakup by Region (in %), 2024
Figure 4: Global: Coffee Market: Consumption Breakup by Region (in %), 2024
Figure 5: Global: Coffee Market: Breakup by Coffee Bean Type (in %), 2024
Figure 6: Global: Coffee Market: Production Breakup by Coffee Type Across Various Region
Figure 7: Global: Coffee Market: Arabica Coffee Production Breakup by Region (in %), 2024
Figure 8: Global: Coffee Market: Robusta Coffee Production Breakup by Region (in %), 2024
Figure 9: Global: Coffee Market Forecast: Production Volume Trends (in Million Kg), 2025-2033
Figure 10: Global: Instant Coffee Market: Production Volume Trends (in Million Kg), 2019-2024
Figure 11: Global: Instant Coffee Market: Value Trends (in Billion USD), 2019-2024
Figure 12: Global: Instant Coffee Market: Average Prices (in USD/Kg), 2019-2024
Figure 13: Instant Coffee Market: Price Structure
Figure 14: Global: Instant Coffee Market: Production Breakup by Region (in %), 2024
Figure 15: Global: Instant Coffee Market: Consumption Breakup by Region (in %), 2024
Figure 16: Global: Instant Coffee Market: Breakup by Product Type (in %), 2024
Figure 17: Global: Instant Coffee Market: Breakup by Packaging (in %), 2024
Figure 18: Global: Instant Coffee Market: Breakup by Distribution Channel (in %), 2024
Figure 19: Global: Instant Coffee Market Forecast: Production Volume Trends (in Million Kg), 2025-2033
Figure 20: Global: Instant Coffee Market Forecast: Value Trends (in Billion USD), 2025-2033