Instant Coffee Market Size, Share, Opportunities, And Trends By Type (Freeze-Dried Instant Coffee, Spray-Dried Instant Coffee, Others), By Distribution Channel (Offline (Foodservice, Retail (Supermarket/Hypermarket, Convenience Stores, Others)), Online), And By Geography - Forecasts From 2025 To 2030

  • Published : Jan 2025
  • Report Code : KSI061613712
  • Pages : 145
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Instant Coffee Market Size

The global instant coffee market is valued at US$42.632 billion in 2025 and is expected to grow at a CAGR of 5.94% over the forecast period to reach a total market size of US$56.883 billion in 2030.

Instant coffee is made from coffee beans that have been roasted and ground.  It enables consumers to quickly prepare hot coffee just by adding hot water or milk to the crystals or powder. Coffee consumption is changing around the globe, especially in urban areas, and with the growing middle-class population, the market is expected to grow significantly during the forecast period. Also, the growing culture of cafés and coffee shops in developing countries is attracting major market players to invest, thus propelling the market growth opportunities during the forecast period.

Instant Coffee Market Growth Drivers:

  • Growing middle-class population.

The middle-class population in developing countries such as India and China is growing, which is increasing the demand for instant coffee for in-house consumption. The size of India's middle class will nearly double to 61% of its total population by 2047, up from 31% in 2020-21, as continued political stability and economic reforms with a sustained annual growth rate of 6% to 7% over the next two and a half decades will make the country one of the world's largest markets. The findings are part of a report released by People Research on India's Consumer Economy and India's Citizen Environment.

Rapid urbanization and growing disposable income have also attracted major market players to invest in new facilities in the country, thus propelling the market’s growth opportunities over the forecast period. Furthermore, the expansion of shopping complexes and international coffee brands is also promoting the demand for instant coffee and is inciting the household population toward the consumption of coffee.

Also, growing consumer preference for specialty coffee cafes is driving the growth of the market for instant coffee during the forecast period. Besides, a growing trend in consumer behavior towards an appreciation for good-quality coffee and a desire for a sophisticated coffee taste profile is further helping the instant coffee manufacturers and vendors to grow during the forecast period. Furthermore, instant coffee is simple to prepare, easy to measure, and also easily available, making it a perfect choice for coffee lovers around the globe. They are also useful as baking ingredients, and we usually find their essence in cakes, ice cream, chocolate, and liquors.

  • Expanding retail business.

In recent years, convenience and department stores have witnessed a significant increase in sales. The development and growth of convenience stores and other retail businesses are directly related to economic growth and the speed of urbanization which are projected to propel the market growth opportunities over the forecast period. Besides, with the growing number of smartphone users, time spent on the internet is also increasing, which is driving the growth of e-commerce platforms, which is also expanding the scope of distribution of instant coffee. The UK, for instance, has the third largest e-commerce market in the world after China, and the U.S. Consumer e-commerce now accounts for 36.3% of the total retail market in the UK (as of Jan 2021), with e-commerce revenue projected to increase to $285.60 billion by 2025.

  • Various strategies are incorporated by key market players.

Prominent key market players in the instant coffee market include Nestlé SA, Unilever Plc., CCL Products, Kraft Heinz Company, Luigi Lavazza SpA., and Strauss Group Limited. The number of players in the Instant Coffee market is large and growing, with the opportunity to generate significant revenues as a result of growing demand. The players in the global instant coffee market are implementing various growth strategies to gain a competitive advantage over their competitors in this market. Key players in this market are focusing on strategic acquisitions, collaborative partnerships, and innovation as a part of their growth strategies to provide better products with new flavors to their consumers worldwide. For instance, Louis Dreyfus Company (LDC) and Instanta Sp. z o.o. (Instanta) today launched ILD Coffee Vietnam, a joint venture freeze-dried instant coffee facility located in Binh Duong province, Vietnam, with an annual production capacity of 5,600 metric tons of freeze-dried instant coffee.

Instant Coffee Market Geographical Outlook:

  • The instant coffee market is segmented into five regions worldwide

The global instant coffee market is segmented into five regions: North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. North America is expected to hold a significant share of the market owing to the presence of major players coupled with the growing number of product launches in the region. In addition, changing consumer lifestyles coupled with the growing middle-class population in Mexico are the factors boosting the demand for the product, and the rising availability of a variety of flavors is further expected to drive the market in the region.

The Asia Pacific region holds huge growth potential due to the presence of a significant working population in the region. Expanding international coffee shops and cafes, coupled with the growing number of modern grocery retailing businesses, the market for instant coffee is expected to witness significant growth during the forecast period.

Besides, rapid urbanization and growing disposable income have also attracted major market players to invest in new facilities in the region, thus propelling the market’s growth opportunities over the forecast period. India is urbanizing at a fast pace. According to Census 2011, approximately 377 million Indians constituted 31.14% of the country's population and lived in urban areas. The urban population is projected to grow to about 600 million (40%) by 2031 and 850 million (50%) by 2051. Furthermore, the expansion of shopping complexes and international coffee brands is also promoting the demand for instant coffee and is inciting the household population toward the consumption of coffee in the country.

Instant Coffee Market Key Developments:

  • In November 2024, The Nestle Group launched the new soluble coffee with Nescafe Classic; this will cater for consumption when it is served both hot and cold. Under the natural range of flavors, two new offerings from Nescafé come under flavors like caramel and hazelnut.

Instant Coffee Market Scope:

Report Metric Details
Instant Coffee Market Size in 2025 US$42.632 billion
Instant Coffee Market Size in 2030 US$56.883 billion
Growth Rate CAGR of 5.94%
Study Period 2020 to 2030
Historical Data 2020 to 2023
Base Year 2024
Forecast Period 2025 – 2030
Forecast Unit (Value) USD Billion
Segmentation
  • Type
  • Distribution Channel
  • Geography
Geographical Segmentation North America, South America, Europe, Middle East and Africa, Asia Pacific
List of Major Companies in the Instant Coffee Market
  • Nestlé SA
  • Unilever Plc.
  • CCL Products
  • Kraft Heinz Company
  • Luigi Lavazza SpA.
Customization Scope Free report customization with purchase

 

The instant coffee market is analyzed into the following segments:

  • By Type
    • Freeze-Dried Instant Coffee
    • Spray-Dried Instant Coffee
    • Others
  • By Distribution Channel
    • Online
    • Offline
      • Retail
        • Supermarket/Hypermarket
        • Convenience Stores
        • Others
      • Food Services
      • Others
  • By Geography
    • North America
      • United States
      • Canada
      • Mexico
    • South America
      • Brazil
      • Argentina
      • Others
    • Europe
      • United Kingdom
      • Germany
      • France
      • Spain
      • Others
    • Middle East and Africa
      • Saudi Arabia
      • UAE
      • Israel
      • Others
    • Asia Pacific
      • Japan
      • China
      • India
      • South Korea
      • Indonesia
      • Thailand
      • Others

Frequently Asked Questions (FAQs)

The instant coffee market is expected to reach a total market size of US$56.883 billion by 2030.

Instant Coffee Market is valued at US$42.632 billion in 2025.

The global instant coffee market is expected to grow at a CAGR of 5.94% during the forecast period.

The growing middle-class population is driving the growth of the instant coffee market during the forecast period.

North America is expected to hold a significant share of the market owing to the presence of major players coupled with the growing number of product launches in the region.

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base and Forecast Years Timeline

1.8. Key Benefits for the Stakeholders

2. RESEARCH METHODOLOGY  

2.1. Research Design

2.2. Research Process

3. EXECUTIVE SUMMARY

3.1. Key Findings

3.2. Analyst View

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Supplier

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

5. INSTANT COFFEE MARKET BY TYPE

5.1. Introduction

5.2. Freeze-Dried Instant Coffee

5.3. Spray-Dried Instant Coffee

5.4. Others

6. INSTANT COFFEE MARKET BY DISTRIBUTION CHANNEL

6.1. Introduction

6.2. Online

6.3. Offline

6.3.1. Retail

6.3.1.1. Supermarket/Hypermarket

6.3.1.2. Convenience Stores

6.3.1.3. Others

6.3.2. Food Services

6.3.3. Others

7. INSTANT COFFEE MARKET BY GEOGRAPHY

7.1. Introduction

7.2. North America

7.2.1. United States

7.2.2. Canada

7.2.3. Mexico

7.3. South America

7.3.1. Brazil

7.3.2. Argentina

7.3.3. Others

7.4. Europe

7.4.1. United Kingdom

7.4.2. Germany

7.4.3. France

7.4.4. Spain

7.4.5. Others

7.5. Middle East and Africa

7.5.1. Saudi Arabia

7.5.2. UAE

7.5.3. Israel

7.5.4. Others

7.6. Asia Pacific

7.6.1. Japan

7.6.2. China

7.6.3. India

7.6.4. South Korea

7.6.5. Indonesia

7.6.6. Thailand

7.6.7. Others

8. COMPETITIVE ENVIRONMENT AND ANALYSIS

8.1. Major Players and Strategy Analysis

8.2. Market Share Analysis

8.3. Mergers, Acquisitions, Agreements, and Collaborations

8.4. Competitive Dashboard

9. COMPANY PROFILES

9.1. Nestlé SA

9.2. Unilever Plc.

9.3. CCL Products

9.4. Kraft Heinz Company

9.5. Luigi Lavazza SpA.

9.6. Strauss Group Limited

9.7. Massimo Zanetti Beverage Group

9.8. Tata Global Beverages Limited

9.9. Starbucks Corporation

9.10. Joe Coffee Company

Nestlé SA

Unilever Plc.

CCL Products

Kraft Heinz Company

Luigi Lavazza SpA.

Strauss Group Limited

Massimo Zanetti Beverage Group

Tata Global Beverages Limited

Starbucks Corporation

Joe Coffee Company