| Study Period | 2019 - 2030 |
| Market Size (2025) | USD 30.63 Billion |
| Market Size (2030) | USD 42.78 Billion |
| CAGR (2025 - 2030) | 6.91 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | Europe |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Coffee Pods and Capsules Market Analysis
The Coffee Pods And Capsules Market size is estimated at USD 30.63 billion in 2025, and is expected to reach USD 42.78 billion by 2030, at a CAGR of 6.91% during the forecast period (2025-2030).
- The quality, efficiency, and diverse choices offered in a single serving of coffee are significant for the demand for coffee pods and capsules. Consumers are willing to purchase coffee machines to recreate the cafe-style experience at home, boosting the demand for coffee pods and capsules. Using a modern coffee machine and preferred capsule or coffee pod in the home allows consumers to produce a comprehensive range of coffee quickly.
- Additionally, one of the major factors responsible for the rising popularity of coffee pods among consumers is their one-time use and disposable features that offer convenience to the users. However, as they are single-use products, buyers are conscious about the type of packaging and are looking for sustainable and eco-friendly packaging. In line with this, the market players are making efforts to make environment-friendly and biodegradable coffee capsules. For instance, in November 2022, a Nestle brand, Nespresso, launched compostable coffee capsules made from paper. The capsules are compatible with Nespresso coffee machines.
- Moreover, the coffee pods and capsule market is growing due to the demand for ready-to-drink coffee beverages. Due to the hectic schedules of individuals, they need quick refreshments and easy-to-make coffee, and coffee pods and capsules align with their demands by saving time. Such factors and the increasing coffee-consuming population worldwide are expected to support the market growth during the forecast period.
Coffee Pods and Capsules Market Trends
Increasing Demand For Specialty And Organic Coffee Pods And Capsules
- Globally, the demand for organic food and beverages, mainly tea and coffee, is growing faster due to changes in lifestyle patterns, increased expenditure on food and drink, awareness about healthy foods, and the desire to taste new products. The above factors boost the demand for specialty and organic coffee pods and capsules. Sustainability remains essential for buyers and retailers, and the certification of organic nature is no longer an option but a requirement. In addition, consumers and the industry demand traceability in the value chain with the increasing preference for organic food products.
- For instance, according to Statistics Denmark, in 2022, the annual turnover of organic coffee in retail shops in Denmark amounted to 335 million Danish kroner. Similarly, according to TransFair, in 2021, around 74% of all fair trade coffee sold in Germany came from organic production. This increased compared to the previous year, in which only 68% of all fair trade coffee sold in Germany came from organic production.
- Moreover, with this growing demand for organic coffee pods, players are focused on offering organic coffee in pods and capsule formats. This is expected to boost the market growth during the forecast period. For instance, in December 2022, Chamberlain Coffee, the coffee lifestyle brand and brainchild of Emma Chamberlain that offers sustainably sourced organic coffee, launched their first-ever coffee pods, claiming that their casing is commercially compostable. Such launches mark a new wave of convenience for the brands and showcase their continued commitment to innovation and ability to meet customer needs, which eventually aids the market to grow.
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Europe Leads the Coffee Pods and Capsules Market
- The European market witnessed a rising demand for specialty coffee and single-serve methods in the past few years due to the growing demand for instant non-alcoholic drinks. Among all, Germany and France are the regional leaders in the market. Coffee producers in the region are keen on choosing coffee capsules due to their suitability, comfort, and wide diversity of coffee products and machinery.
- Additionally, the proliferation of premium coffee shops, such as Starbucks, has stimulated consumers’ appetite for high-end, fresh-brewed coffee, thus boosting the demand for coffee capsules and pods in Europe. For instance, Starbucks had 1,156 stores in the United Kingdom in 2022, of which 838 were franchised and 318 were company-operated locations, which increased from almost 1,097 shops compared to the previous year.
- Moreover, with the rising market value for coffee pods and capsules made of sustainable materials, several international and private-label players are entering the market in the region with their innovative package offerings. In July 2023, Darlington-based manufacturer Beanies made a significant stride by introducing its compostable coffee pods in Aldi stores across the United Kingdom. Simultaneously, the company unveiled its products in three delectable flavors: vanilla, caramel, and hazelnut.
- Similarly, in September 2022, Cafe Royal revolutionized the coffee pod industry with a spherical-shaped pod enveloped in a vegetable-based, 100% compostable shell—a groundbreaking zero-waste solution for capsules. This innovative product not only showcases advancing packaging technologies but also positions the brand to compete with high-end, exotic counterparts, projected to drive substantial market growth in the region.
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Coffee Pods and Capsules Industry Overview
The coffee pods and capsules market is primarily dominated by Tim Hortons, Nestlé, and JAB Holding Company, with a strong global presence of brands like Nespresso, Keurig, Tassimo, Senseo, and Dolce Gusto. Other key players, such as Keurig Dr Pepper Inc. and Starbucks Corporation, also hold a prominent share of the overall market. However, high product innovations, the launch of limited edition coffee pods, extensive distribution networks, and better supply chains have resulted in high consolidation of the coffee pods and capsules market, with Nestle (Nespresso and Dolce Gusto) and JAB Holdings (Senseo, Tassimo, and Keurig) holding the maximum share in the overall market. Major players are focused on packaging innovations and launching products with attractive flavor options to meet consumer demand.
Coffee Pods and Capsules Market Leaders
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Keurig Dr Pepper Inc.
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Starbucks Corporation
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Nestlé SA
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Tim Hortons
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JAB Holding Companies
- *Disclaimer: Major Players sorted in no particular order
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Coffee Pods and Capsules Market News
- September 2022: Swiss coffee brand "CoffeeB" introduced a groundbreaking single-serve coffee innovation—a compressed coffee ball encased in seaweed-based material, diverging from traditional aluminum or plastic capsules.
- August 2022: Tim Hortons expanded its offerings with four new espresso capsule varieties compatible with Nespresso machines, featuring classic, bright, bold, and decaf options.
- October 2021: Starbucks by Nespresso expanded its product line with Nespresso Vertuo coffee capsules, enriching the Canadian coffee experience with more ways to savor the signature café taste.
Coffee Pods and Capsules Industry Segmentation
A single-serve coffee container is a method for coffee brewing that prepares only enough coffee for a single portion.
The coffee pods and capsules market is segmented by type, distribution channel, and geography. The market is segmented by type into pods and capsules. By distribution channel, the market is segmented into supermarkets/hypermarkets, specialty stores, online retailing, and other distribution channels, and by geography into North America, Europe, Asia-Pacific, South America, and Middle-East and Africa.
For each segment, the market sizing and forecast have been done on the basis of value (in USD).
| Type | Pods | |
| Capsules | ||
| Distribution Channel | Supermarkets/Hypermarkets | |
| Specialty Stores | ||
| Online Retailing | ||
| Other Distribution Channels | ||
| Geography | North America | United States |
| Canada | ||
| Mexico | ||
| Rest of North America | ||
| Geography | Europe | Germany |
| United Kingdom | ||
| Italy | ||
| France | ||
| Russia | ||
| Spain | ||
| Rest of Europe | ||
| Geography | Asia-Pacific | China |
| Japan | ||
| India | ||
| Australia | ||
| Rest of Asia-Pacific | ||
| Geography | South America | Brazil |
| Argentina | ||
| Rest of South America | ||
| Geography | Middle-East and Africa | United Arab Emirates |
| South Africa | ||
| Rest of Middle-East and Africa |
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Coffee Pods And Capsules Market Research Faqs
How big is the Coffee Pods And Capsules Market?
The Coffee Pods And Capsules Market size is expected to reach USD 30.63 billion in 2025 and grow at a CAGR of 6.91% to reach USD 42.78 billion by 2030.
What is the current Coffee Pods And Capsules Market size?
In 2025, the Coffee Pods And Capsules Market size is expected to reach USD 30.63 billion.
Who are the key players in Coffee Pods And Capsules Market?
Keurig Dr Pepper Inc., Starbucks Corporation, Nestlé SA, Tim Hortons and JAB Holding Companies are the major companies operating in the Coffee Pods And Capsules Market.
Which is the fastest growing region in Coffee Pods And Capsules Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Coffee Pods And Capsules Market?
In 2025, the Europe accounts for the largest market share in Coffee Pods And Capsules Market.
What years does this Coffee Pods And Capsules Market cover, and what was the market size in 2024?
In 2024, the Coffee Pods And Capsules Market size was estimated at USD 28.51 billion. The report covers the Coffee Pods And Capsules Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Coffee Pods And Capsules Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Coffee Pods And Capsules Industry Report
The global coffee pods and capsules market is experiencing significant market growth, driven by consumer desires for convenience and quality in their coffee experiences. This industry is supported by the widespread use of capsule-based coffee machines, and offers an array of products including traditional and decaf pods. Traditional pods lead the market due to their enhanced flavor and higher caffeine levels. Innovations such as compostable and biobased capsules are pushing the market towards sustainability, appealing to environmentally conscious consumers.
Store-based sales dominate the distribution channels, but there is a notable shift towards online sales, driven by e-commerce platforms expanding their coffee pods offerings. Geographically, Europe leads the market with a strong preference for specialty coffee, while North America and Asia-Pacific show promising growth, backed by the increasing daily use of coffee pods. Coffee pod manufacturers are continuously innovating to meet the evolving preferences of a global consumer base, positioning the market for sustained growth.
The market analysis reveals that the global market is segmented by type and distribution channels. The market size is expanding as more consumers seek a cafe-style experience at home. The industry analysis indicates a growing acceptance of coffee capsules, especially in the European market where there is a surge in demand for specialty coffee and single-serve methods. Market leaders are focused on providing high-quality products and maintaining a strong market share.
According to industry reports, the market forecast suggests continued growth, with industry trends leaning towards more sustainable options. The market overview highlights the importance of convenience and quality, which are key drivers of market value. The market segmentation shows a diverse range of products catering to various consumer preferences.
For detailed industry information and a comprehensive market review, a free report example from Mordor Intelligence™ is available for download. This report pdf includes valuable industry statistics, market data, and insights from research companies. The industry outlook and market predictions point towards a positive future for the coffee pods and capsules market, with an increasing industry size and robust industry sales.
The report summary provides a thorough understanding of the coffee pods market, including market trends, market value, and the impact of innovations on market growth. The industry research underscores the importance of sustainability and the growing demand for specialty coffee, which are shaping the future of this dynamic market.
