Espresso Coffee Market Size, Share, Trends, Growth 2032

Espresso Coffee Industry Prospective:

The global espresso coffee market size was worth around USD 14.9 billion in 2023 and is predicted to grow to around USD 27.1 billion by 2032, with a compound annual growth rate (CAGR) of roughly 6.9% between 2024 and 2032. 

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Espresso Coffee Market: Overview

Espresso is defined as strong and full-flavored coffee that is served in shots. Using an espresso machine, pressure hot water is forced through extremely finely ground coffee beans to create it. When air bubbles mix with the soluble oils of fine-ground coffee, a dark froth known as "crema" appears on top of a properly pulled shot of espresso, creating a stronger-than-coffee liquid. Espresso's rich flavor and lasting aftertaste are enhanced by the crema.

The expresso coffee market is driven by several factors, such as growing coffee consumption globally, the rising popularity of specialty coffee, the expansion of coffee chains, and increasing health and wellness trends. However, the increasing competition from alternative beverages acting as a major restraining factor for the industry expansion.

Key Insights

• As per the analysis shared by our research analyst, the global espresso coffee market is estimated to grow annually at a CAGR of around 6.9% over the forecast period (2024-2032).
• In terms of revenue, the global espresso coffee market size was valued at around USD 14.9 billion in 2023 and is projected to reach USD 27.1 billion by 2032.
• The increasing product launch is expected to drive the espresso coffee market over the forecast period.
• Based on type, the cappuccino segment is expected to dominate the espresso coffee market over the forecast period.
• Based on end-use, the cafe segment is expected to hold the largest market share over the forecast period.
• Based on region, North America is expected to dominate the market during the forecast period.

Espresso Coffee Market: Growth Drivers

Rising urbanization and increasing disposable income drive market growth

Urbanization in emerging nations and rising disposable income are significant elements driving the espresso coffee market growth. Customers in emerging nations are increasingly choosing luxury goods and lifestyles, like specialty coffee, as their disposable income increases.

Additionally, it is primarily occurring in urban areas, where there are an increasing number of cafes and coffee shops. The growing habit of patrons visiting coffee shops to socialize there reflects the growing number of these establishments. As a result, the growing number of businesses offering espresso-based coffee and beverages helps the industry grow.

Espresso Coffee Market: Restraints

Competition from alternatives hinders market growth

As customers search for drink options other than traditional coffee, alternative beverage competition seriously threatens the espresso coffee industry. Particularly among health-conscious consumers looking for functional beverages or ones with less caffeine, non-coffee substitutes, including herbal teas, kombucha, and energy drinks, have been increasingly popular. Companies such as GT's Kombucha and other herbal tea businesses have seen substantial development since their appeal to consumers who value wellness and are looking for cool, caffeine-free alternatives. Furthermore, the expanding customer preferences for plant-based beverages, such as oat milk lattes and herbal infusions, has ultimately slowed market growth.

Espresso Coffee Market: Opportunities

Growing product launch offers a lucrative opportunity for market growth

The rising product launch is expected to offer a lucrative opportunity for the expresso coffee market growth over the forecast period. For instance, in April 2024, by providing a new generation of coffee enthusiasts with even more opportunities to enjoy the growing popularity of espresso-based and cold coffees at home, quickly and easily, NESCAFÉ®, the largest coffee manufacturer in the world, is meeting customer demand. The U.S. portfolio now includes NESCAFÉ® Gold Espresso and NESCAFÉ® Ice Roast. Whether the person prefers their coffee hot or cold, boiling or iced, NESCAFÉ understands that everyone has different tastes and feels that everyone should have a fantastic cup.

Espresso Coffee Market: Challenges

High costs of equipment and ingredients pose a major challenge to market expansion

One of the biggest obstacles to the growth of the espresso coffee industry is the high cost of high-quality ingredients and equipment. The cost of advanced espresso machines for cafes and restaurants can vary from $5,000 to $25,000, depending on the model and features. Energy use, upkeep, and repairs raise operating costs even more.

Furthermore, premium, freshly roasted coffee beans, which are more expensive than regular coffee beans, are typically required for espresso. Depending on the supplier and processing method, premium beans can range in price from $15 to $40 per pound. Thus, this is expected to pose a major challenge to the industry growth.

Espresso Coffee Market: Report Scope

Espresso Coffee Market: Segmentation

The global espresso coffee industry is segmented based on type, end-use, and region.

Based on the type, the global espresso coffee market is segmented into pure espresso, double espresso, ristretto, cappuccino, latte, mocha, macchiato, and americano. The cappuccino segment is expected to dominate the market over the forecast period. A popular beverage throughout the world, cappuccino appeals to both regular coffee consumers and those looking for decadent coffee experiences. Furthermore, cappuccinos have become a standard menu item due to the growth of international coffee chains like Starbucks and Costa Coffee as well as regional specialty cafés. Thus driving the segment growth.

Based on end-use, the global espresso coffee industry is bifurcated into cafes, restaurants, airports, hospitals, and commercial. The cafe segment is expected to hold the largest market share over the forecast period. The main venues for selling espresso beverages are cafes, which serve standard menu items such as flat whites, macchiatos, lattes, and cappuccinos. Espresso culture has spread throughout the world due to cafes, which have made it a widespread beverage instead of a specialty one. Additionally, independent cafes elevate the espresso experience by emphasizing premium beans, exact brewing methods, and latte art.

Espresso Coffee Market: Regional Analysis

North America dominates the market over the projected period

North America is expected to dominate the global espresso coffee market. Particularly in the United States and Canada, North America is one of the primary regions of coffee consumption worldwide. Espresso-based beverages, including macchiatos, lattes, and cappuccinos, define the coffee industry of the area.

Furthermore, big coffee chains, especially Starbucks, have tremendously helped to explain the popularity of espresso drinks in North America. These chains provide a variety of espresso-based beverages and maintain strong customer involvement using their marketing efforts and loyalty programs. Also, the growing number of coffee drinkers and at-home coffee making are driving North American consumers to buy grinders and espresso equipment. From entry-level models to high-end, professional machines, premium espresso makers for domestic use are increasingly readily available.

Espresso Coffee Market: Competitive Analysis

The global espresso coffee market is dominated by players like:

• Caffè d'Italia Srl
• Caffè de Roccis
• Counter Culture Coffee Inc.
• Danone SA
• Fresh Brew Co.
• Inspire Brands Inc.
• JAB Holding Company
• Keurig Dr Pepper Inc.
• Kimbo S.p.A.
• La Colombe Coffee Roasters
• Luigi Lavazza S.p.A.
• Melitta Group Management GmbH & Co. KG
• Mr. Espresso
• Nestlé S.A.
• Partners Coffee
• Starbucks Corporation
• Strauss Group Ltd.
• TDL Group Corp.
• The J. M. Smucker Company
• The Kraft Heinz Company
• Torrefazione Mokaflor Srl
• TreeHouse Foods Inc. Company
• Trucillo SpA
• Vergnano S.p.A.
• Verve Coffee Roasters

The global espresso coffee market is segmented as follows:

By Type

• Pure Espresso
• Double Espresso
• Ristretto
• Cappuccino
• Latte
• Mocha
• Macchiato
• Americano

By End-Use

• Cafes
• Restaurants
• Airports
• Hospitals
• Commercial

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa