Global Sparkling Coffee Market - 2021-2028

Global Sparkling Coffee Market - 2021-2028

Market Overview

Sparkling coffee, often known as coffee soda, is a carbonated iced coffee. Citrus is used to prepare these. The market is expected to be driven by increased demand for quick, ready-to-drink beverages that are healthier than sugary energy drinks and other soda drinks. RTD coffee, particularly sparkling coffee, appeals to many consumers, particularly those who want on-the-go convenience foods. Millennials are responsible for a major portion of the demand for RTD products. Furthermore, the availability of sparkling coffee in liquid and powder form and organic varieties has attracted a large number of customers. The global sparkling coffee market is valued at USD XX million in 2020 and is forecasted to reach USD XX million by 2028, growing at a CAGR of XX% during the forecast period (2021-2028).

Market Dynamics: Increasing demand for healthy hydration products

The increased desire for convenient, ready-to-drink beverages is driving the expansion of the sparkling coffee industry. Millennials are more likely to use these ready-to-drink products. More expansion prospects will be provided by the addition of different tastes and caffeine. Sparkling coffee is becoming more popular worldwide as people seek healthier alternatives to soda and carbonated beverages without sacrificing the taste and texture of carbonation. Consumers are looking for healthy alternatives that can help them lower their sugar intake while also providing extra health benefits. This trend is expected to continue throughout the projection period, providing the market with several prospects for growth.

The expansion of the sparkling coffee market has been fueled by increasing consumer awareness of healthy beverages and their willingness to try new healthy beverage variants on the market, particularly among millennials. According to the International Coffee Organization (ICO), global coffee exports reached 11.4 million bags in April 2021, up from 11.29 million bags in April 2020. In contrast, worldwide coffee production is expected to reach 169.34 million bags in 2020. As a result, there was a huge need for the sparkling coffee business to flourish.

Market Segmentation: Caffeinated segment is anticipated to dominate the global market

In 2020, the caffeinated product segment led the market with more than XX%. Due to rising concerns about personal health and wellness, the increased demand for healthy energy drinks is expected to drive this segment's growth. Caffeine in drinks might help consumers stay alert and focused throughout the day. Furthermore, the addition of different tastes and caffeine is projected to boost demand for these products. The caffeinated segment of the global sparkling coffee market is predicted to grow at the quickest rate during the forecast period, owing to the increased release of new caffeinated flavors by key manufacturers around the globe and a surge in consumption of young people. For example, in 2021, Pellegrino introduced Essenza, a new range of coffee-flavored sparkling water with 30mg of caffeine per can.

Based on distribution channels, supermarkets and hypermarkets held the highest market revenue share of XX% in 2020. Supermarkets accommodate a variety of products, including functional beverages, grocery products and merchandise under one roof. Because of increased sales through malls, shopping centers, and grocery stores, the supermarkets & hypermarkets are expected to take the biggest market share in the worldwide sparkling coffee market over the forecast period. In addition, the supermarket and hypermarket offer discounted sparkling coffee goods as well as a variety of brands at reasonable prices.

Geographical Penetration: North America is expected to dominate the global sparkling coffee market during the forecast period

In 2020, North America had the highest share, accounting for more than XX%. The market is likely to be driven by increased customer preference for the drink, which helps to boost energy levels and focus instead of traditionally caffeinated beverages. Furthermore, a significant number of manufacturers in this region, such as Manhattan Special and Spindrift, is expected to boost regional market growth even further. On the other hand, due to rising consumer demand for handy on-the-go caffeinated drinks, the European market is predicted to grow at a CAGR of XX% from 2021 to 2028. Furthermore, quick-service restaurants are spreading at a rapid pace in Europe. To expand their reach in an increasingly competitive industry, they have been developing various new beverages and food products inspired by national and international cuisines. This is expected to benefit the market in the years ahead.

Competitive Landscape:

The global sparkling coffee market is fragmented. The global sparkling coffee market is competitive and comprises numerous regional and international competitors. Players are also extensively focusing on providing consumers with innovative offerings while including functional benefits in their products. Furthermore, while engaging the consumers with innovation and expansion strategies, key players capitalize on the market revenue. Customers are interested in trying new coffee trends in such handy areas; therefore, major participants in the market for sparkling coffee have significant reach in hypermarkets and supermarkets, grocery, convenience, and other local businesses. In some regions, the drink is also available in local liquor stores. For example, in the United States, DrinkVIVIC's sparkling coffee is available at Big Mac's Liquor, Lawlers Liquors, and M&B Liquors. The burgeoning niche market of sparkling coffee has attracted new entrants, resulting in increased competition in recent years. Paulig Group introduced several new products in March 2019, including Paulig Cold Brew Sparkling drinks, the Paulig City Coffee cold drinks product line, and Paulig Café Moscow. Paulig Cold Brew Sparkling coffee and tea, according to the firm, is one of the most notable releases in the cold ready-to-drink products area.

COVID-19 Impact: Negative impact on the global sparkling coffee market

The coronavirus outbreak has had an impact on both public health and the global economy. The pandemic of COVID-19 has had a negative influence on the global economy and caused socio-economic instability. The spread of COVID-19 has had an impact on the food and beverage industry, as well as other industries. Coffee production, consumption, and worldwide trade were all impacted by the coronavirus. Due to the adoption of complete or partial lockdown in many countries, many offices, shops, and restaurants remained closed, resulting in a decline in coffee consumption outside of the home. Panic buying and stockpiling, on the other side, boosted coffee demand in several countries. Furthermore, the COVID-19 pandemic's direct and indirect effects have resulted in a global recession. The recession had an impact on household income, which would lead to a drop in sales of new products like sparkling coffee. As a result, sales of RTD tea and coffee products would decline, particularly in 2020 and 2021.

Why Purchase the Report?
Understand the current market scenario and viability of global sparkling coffee over the forecast period
Visualize the composition of the global sparkling coffee market in terms of type, and distribution channel to identify major players, growth potential, and market strategies
Identify the key regulations prevailing in the market and understand their impact on the market over the forecast period
Understand the key business factors such as market competition, product pricing, new product developments, and patent filings pertaining in the market

What we offer?
PDF report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study
Excel data sheet with valuable data points of the global sparkling coffee market – Regional and Country level segmentation
Product mapping in excel for the key products of all major market players
Market Share Analysis covering business revenues ($) and revenue share (%) of key market players

The global sparkling coffee market report would provide an access to approximately 45 market data tables, 45 figures and 180 pages

Target Audience:
Food and Beverage Companies
Food Service Industry
Alcoholic Beverages Manufacturers
Industry Investors
Education & Research Institutes
Research Professionals