The global roast coffee market size was valued at USD 39.7 billion in 2020 and is expected to register a compound annual growth rate (CAGR) of 4.0% from 2021 to 2028. The growing preference of consumers for high-quality and specialized coffee products, such as flavored coffee, is contributing to the growth of this market. In addition, the growing popularity of coffee among millennials further supports the market growth. Increasing use of mobile apps and various marketing strategies by market players also drive the market. Manufacturers are focusing on increasing their sales through e-commerce platforms and offering discount schemes. This factor also supports market growth. A huge amount of coffee is roasted commercially that further supports the market.
Whereas, roasting at a small scale has grown significantly with the rising trend of “single-origin” coffee served at specialty shops. Some consumers even roast coffee at home. Thus, the growing popularity of roast coffee at home is projected to contribute to the market growth during the forecast period. During the COVID 19 pandemic, governments of various countries imposed stay-at-home policies and restrictions on movements as a precautionary measure.
As an immediate effect of the COVID-19 pandemic, net imports of coffee in the European Union, the U.S., and Japan declined in 2020 compared to 2019. Due to this, the market experienced a shortfall in sales due to restricted production, disturbed supply chains, and reduced demand. However, due to resumed activities, sales, trade, and manufacturing activities, the global market is expected to recover in the future and witness healthy growth.
The café & bars segment accounted for the largest revenue share of 60% in 2020. The growing culture of café and bars and the rising number of café chains in Asia Pacific are projected to contribute to the segment growth. The presence of various large-scale café chains, such as Starbucks, Dunkin', and Tim Hortons, across the globe further contributes to the segment growth. The growing inclination of millennials towards café & bars is projected to provide significant growth opportunities to the segment.
The hotels & restaurants segment is projected to grow at a significant CAGR over the forecast period. The segment is driven by the significant growth in the hospitality industry in emerging as well as developed economies. In addition, the increasing demand for flavored coffee products, such as roast coffee, in developed countries is projected to propel market growth.
The offline distribution channel segment accounted for the largest revenue share of over 79% in 2020. Offline channels include supermarkets, hypermarkets, and retail stores. The segment includes organized retail channels, which are more customer-oriented and provide better services by selling a variety of products directly to end-users. In addition, the well-establish distribution channels in North America and Europe further support the segmental revenue.
The online distribution channel is expected to register the fastest CAGR of 4.7% from 2021 to 2028. The growing popularity of online shopping portals among the young generation in emerging economies, such as India and China, will drive the segment growth. Roast coffee products are available at economic prices with convenience via online channels compared to offline. Thus, people across the globe are preferring online channels over offline stores.
The ground coffee beans segment dominated the market in 2020 and accounted for the maximum revenue share of more than 44%. The segment is estimated to grow at a steady CAGR from 2021 to 2028. Ground coffee beans are the most popular type of roast coffee across the globe and are easily available in local supermarkets due to the ease of storage and use. Ground coffee beans have high antioxidant properties, which are essential for optimal health therefore they are widely adopted.
The coffee pads and pods segment is expected to grow at the fastest CAGR of 4.6% from 2021 to 2028. The growing demand for coffee pads and pods in residential and commercial applications is projected to propel the segment growth. Moreover, the introduction of recyclable coffee pods by key companies is further projected to boost the demand over the forecast period.
Asia Pacific is estimated to be the fastest-growing regional market at a CAGR of 4.8% from 2021 to 2028. China, Japan, and India are positively contributing to the growth of the regional market. With the growing population, increasing consumer spending, and rising consumption of flavored coffee, the region is expected to witness high product demand. Asia Pacific is expected to offer promising growth potential to the market on the account of an increasing number of retail outlets in China.
Europe accounted for the largest revenue share in 2020. Developed countries, such as Germany, the U.K., and France, are the major contributors to the region’s high share. Increasing consumption of coffee products, higher per capita income, and changing coffee trends are expected to drive the regional market over the coming years.
The market is characterized by the presence of various well-established players and several small- and medium-scale players. Vendors are focusing on product launches to meet consumers’ expectations considering new trends in the market. In addition, vendors are trying to innovate new recyclable coffee pods to increase the sustainability of the product. Moreover, companies are expanding to new geographic locations to increase their customer base. Some of the prominent players in the global roast coffee market include:
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Report Attribute |
Details |
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Market size value in 2021 |
USD 40.80 Billion |
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Revenue forecast in 2028 |
USD 53.73 Billion |
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Growth rate |
CAGR of 4.0% from 2021 to 2028 |
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Base year for estimation |
2020 |
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Historical data |
2017 - 2019 |
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Forecast period |
2021 - 2028 |
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Quantitative units |
Revenue in USD million/billion and CAGR from 2021 to 2028 |
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Report coverage |
Revenue forecast, company ranking, competitive landscape, growth factors, and trends |
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Segments covered |
Type, application, distribution channel, and region |
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Regional scope |
North America; Europe; Asia Pacific; Central & South America; Middle East & Africa |
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Country scope |
U.S.; Germany; France, U.K.; China; India; Brazil; South Africa |
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Key companies profiled |
Koninklijke Douwe Egberts B.V.; The J.M. Smucker Co.; Keurig Green Mountain, Inc.; H.J. Heinz Company Brands LLC; Ajinomoto AGF, Inc.; Bewley’s; Graffeo Coffee Roasting; Luigi Lavazza SPA; Haco Asia Pacific; Fresh Roasted Coffee, LLC |
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Customization scope |
Free report customization (equivalent up to 8 analysts’ working days) with purchase. Addition or alteration to country, regional & segment scope. |
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2028. For the purpose of this study, Million Insights has segmented the global roast coffee market report on the basis of type, application, distribution channel, and region:
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