Coffee - North America

The Coffee market in North America is experiencing significant growth and development in recent years.

Customer preferences: Customers in North America have shown a strong preference for coffee as a daily beverage. Coffee consumption has become a part of the daily routine for many individuals, with a growing demand for specialty coffee and unique flavors. Customers are increasingly seeking high-quality and ethically sourced coffee, with a focus on sustainability and fair trade practices.

Trends in the market: One of the key trends in the North American coffee market is the rise of artisanal coffee shops and independent roasters. These establishments offer a wide variety of coffee blends and flavors, catering to the evolving tastes and preferences of consumers. This trend has led to a more diverse and competitive market, with increased innovation and creativity in coffee production and preparation methods. Another trend in the market is the growing popularity of ready-to-drink coffee products. Convenience is a key factor driving this trend, as consumers seek on-the-go options that can be easily consumed at any time. Ready-to-drink coffee products are available in various formats, including bottled cold brew, canned espresso drinks, and coffee-flavored energy drinks.

Local special circumstances: The United States, the largest market in North America, has a strong coffee culture with a wide range of coffee options available. From traditional drip coffee to espresso-based beverages, American consumers have a diverse range of preferences when it comes to their coffee choices. In addition, the popularity of coffee chains such as Starbucks has helped to drive the growth of the coffee market in the region. Canada, another significant market in North America, has a strong preference for specialty coffee and a growing interest in sustainable and fair trade practices. Canadian consumers are willing to pay a premium for high-quality coffee and are increasingly seeking out local and independent coffee shops.

Underlying macroeconomic factors: The growing coffee market in North America can be attributed to several macroeconomic factors. Firstly, the region has a strong and stable economy, which has contributed to increased consumer spending power. As a result, consumers are more willing to spend on premium coffee products and experiences. Secondly, the rise of the millennial population in North America has had a significant impact on the coffee market. Millennials are known for their affinity for coffee and their willingness to try new and unique flavors. This demographic shift has led to increased demand for specialty coffee and has driven the growth of independent coffee shops. Lastly, the increasing focus on health and wellness in North America has also influenced the coffee market. Consumers are looking for healthier alternatives to traditional coffee drinks, leading to the rise of options such as low-calorie and plant-based coffee beverages. This trend has opened up new opportunities for coffee companies to innovate and cater to the changing preferences of consumers. Overall, the Coffee market in North America is experiencing growth and development driven by customer preferences for high-quality, ethically sourced coffee, the rise of artisanal coffee shops and independent roasters, the popularity of ready-to-drink coffee products, and underlying macroeconomic factors such as a strong economy, the influence of the millennial population, and the focus on health and wellness.

Data coverage:
The data encompasses B2C enterprises. Figures are based on private Household spendings on Hot Drinks. At-home market data covers retail sales via super- and hypermarkets, eCommerce, convenience stores, and similar sales channels. Out-of-home market data includes all sales in hotels and restaurants, sales by catering companies, as well as sales in cafés, bars, and similar hospitality service establishments.
In the out-of-home market, the price always refers to the price per kilogram of the beverage consumed, regardless of other components in the finished beverage.

Modeling approach:
Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as production data, region, and price level index. This data helps us estimate the market size for each country individually.

Forecasts:
In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Hot Drinks market with a projected steady growth.

Additional notes:
The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level.