Global Nespresso Capsules Market Size By Distribution Channel (Supermarkets/Hypermarkets, Online Retailing, Specialty Stores), By Geographic Scope And Forecast

Nespresso Capsules Market Size And Forecast

Nespresso Capsules Market size was valued at USD 21.6 Billion in 2024 and is projected to reach USD 37.8 Billion by 2031, growing at a CAGR of 7.96% during the forecast period 2024-2031.

The market is majorly driven owing to household consumption of single-serve coffee and the rising demand for organic food and beverage. In addition, key players operating in the market are adopting different growth strategies such as mergers, acquisitions, new launches, and expansion, which have increased the demand in the Nespresso Capsules industry. The Global Nespresso Capsules Market report provides a holistic evaluation of the market. The report offers a comprehensive analysis of key segments, trends, drivers, restraints, competitive landscape, and factors that are playing a substantial role in the market.

Global Nespresso Capsules Market Definition

The Nespresso Original containers are generally known as pods. Vertuo containers are usually known as capsules. Nespresso machines brew coffee or espresso from coffee pods or capsules in machines for home or professional use, a pre-apportioned single-use container of ground coffee beans, sometimes with added flavoring. Nespresso pods include finely ground coffee beans, and it’s a wholly sealed pod; it requires a machine with a mechanism to pierce the pod & deliver hot water under pressure to extract the coffee. Capsules are similar to pods in that they are pre-packaged, measured doses of coffee. They are contained within a ‘capsule’ that must be disposed of once used. This capsule may be made from Aluminum or Plastic and has a foil top. The capsule market is pretty swamped with choices, but one needs to be careful with their selection. Not every capsule fits into every capsule machine.

Moreover, the significant difference between Nespresso capsules and pods is their form. The capsules appear like little cups, and Nespresso pods look like tea bags. The brewing process is somewhat similar, but one has to check what type their machine can use. Some Nespresso machines will be able to manage both types, while some will only be able to operate cups or Nespresso pods. Also, the Nespresso capsules are hard to beat. These capsules have a premeasured amount of coffee, and the machine is set to use just the correct amount of water at a suitable temperature. All one needs to do is pop the capsule into the machine, add water, and push start, and they will get a fresh cup of coffee in a few minutes. The ease of use attracts most coffee lovers, but these coffee capsules can also have delicious flavors and exceptional coffee.

Further, it is not easy to choose which capsule to drink based on their relative intensity and the suggested cup size. Some capsules are suitable for a ristretto, others are not, while most that are good as lungo won’t be that great as an espresso. The official Nespresso website provides this info for each capsule and probably users. Nespresso machine came with a manual containing the same information, but it may be outdated if one hasn’t bought a machine in the last couple of months. And they are admittedly, searching on the website before brewing is annoying when all we want is the suitable capsule for the moment. The varieties include Vivalto Lungo, Capriccio, Roma, Fortissio Lungo, Volluto, Cosi, Ristretto, Ristretto Decaf, Firenze Arpeggio, and Livanto.

Global Nespresso Capsules Market Overview

The inventor of capsule coffee is an aerodynamics engineer from the Vaud canton of Switzerland, which speaks French. His invention completely altered how we consume coffee and helped Nespresso become a global success. In general, entrepreneurs want to boast about their accomplishments while inventors are usually modest. Éric Favre, who is both an inventor and an entrepreneur, is quietly “proud” of his achievement as he reflects on the invention that launched the era of coffee capsules 40 years ago. Under Favre’s direction, the initial Nespresso capsules became available in 1986. Initially, they were targeted at a specialized business market, including bars, hotels, and workplaces. The large espresso machines prevalent in Italian pubs served as the model for the first machines created for offices and households.

Key players are introducing growth strategies such as new product launches, and business expansion in order to gain market share. In June 2022, JDE and Peet’s Coffee to combine and explore IPO, creating a global leader in pure-play FMCG coffee with leading positions in more than 20 major markets. In September 2021, Starbucks by Nespresso launched a new range of coffee capsules for the Nespresso Vertuo system, giving Canadian coffee fans further opportunity to enjoy the signature café taste and quality of Starbucks coffee they love, from the comfort of their homes. In March 2022, Peet’s Coffee launches plant-based spring seasonal beverages. In June 2022, L’OR is continuing its premiumisation journey with the introduction of three new ranges across multiple categories – Instant coffee and Nespresso Compatible Capsules. L’OR Artiste, new L’OR Instant Jar and L’OR Flavours Collection Aluminium Capsules have been launched across grocery, convenience and DTC channels.

The market is majorly driven owing to household consumption of single-serve coffee and the rising demand for organic food and beverage. In addition, key players operating in the market are adopting different growth strategies such as mergers, acquisitions, new launches, and expansion, which have increased the demand in the Nespresso Capsules industry. Also, the Growing need for coffee capsules across developing regions has boosted the overall market. These factors are expected to propel market demand. The “Nespresso Capsules Market” is split into two segments, i.e., based Distribution Channel and Geography. These segments summarize the market and deliver a qualitative and quantitative market study of the product or service. A few major players in this market include Starbucks, Don Francisco’s Coffee, Jacobs, Illy, L’OR Espresso, Peet’s Coffee, Coind Group, Bellarom, Lavazza, Nespresso, and others.

Global Nespresso Capsules MarketSegmentation Analysis

The Global Nespresso Capsules Market is segmented on the basis of Distribution Channel, and Region.

Nespresso Capsules Market, By Distribution Channel

• Supermarkets/Hypermarkets• Online Retailing• Specialty Stores• Others

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Based on the Distribution Channel, the market is segmented into Supermarkets/Hypermarkets, Online Retailing, Specialty Stores, and Others. Supermarkets/Hypermarkets accounted for the largest market share of 38.84% in 2021 in the global market. Selling goods, particularly that of essential nature is a prevalent form of business. No matter where we go, we can spot stores anointing themselves one name or the other. While some name themselves departmental stores, others are known as supermarkets. A supermarket is a large retailing business unit, mainly selling food and groceries based on a low marginal gain. It has a wide variety and mixed assortment of goods. It emphasizes self-service. Supermarkets generally have a more extensive selection range than a traditional grocery store. The items are classified and placed in aisles so the customers can walk through them and take what they want. The aisles in a supermarket typically contain dairy products, fresh fruits, meat, baked items, canned and packaged foods, and all kinds of non-food items such as kitchen items, household items, pharmacy products, toiletries, etc.

Nespresso Capsules Market, By Geography

• North America• Europe• Asia Pacific• Latin America• Middle East and Africa

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On the basis of Regional Analysis, the Global Nespresso Capsules Market is classified into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America. Europe accounted for the largest market share of 41.93% in 2021. Coffee is among the most dynamic beverage in the European region, which is strongly driven by frequent country-wise innovations and evolving consumer preferences. Since historical days, Europe has always been the top admirer of coffee and as a result, coffee features in many people’s morning routines in European nations thus making it the highest coffee-consuming continent in the world. Historically, Dutch was the first from Europe to trade coffee on a large from Mocca, Yemen and they ended up cultivating coffee in Java and started exporting it to the Netherlands. Presently, linked to increased alertness and powerful antioxidants, the Scandinavian countries in Northern Europe are turning out to be top coffee consumers including countries such as the Netherlands, Finland, Sweden, Norway, Germany, Switzerland, Italy, and Estonia, Portugal, and France.

Many European coffee cultures, especially those of Western Europe including Spain, Portugal, and France are extremely similar. As per the International Coffee Organization, Europeans consumed 242 million kilograms of coffee. Including the UK (21.8 million kgs) and Switzerland (9.3 million kgs) between June 2020 and June 2021, with a staggering total of 273 million kgs of coffee consumption. As coffee is the most consumed beverage, the high demand for convenient coffee-making options is the primary reason for the Nespresso capsules market’s growth in the region.

Key Players

The Global Nespresso Capsules Market is highly fragmented with the presence of a large number of players. Some of the major companies include Nespresso, Starbucks, Illy, L’OR Espresso, Peet’s Coffee, Coind Group, BELLAROM, Lavazza., Don Francisco’s Coffee, Jacobs, among others.

Key Developments

• In September 2021, Starbucks by Nespresso has launched a new range of coffee capsules for the Nespresso Vertuo system, giving Canadian coffee fans further opportunity to enjoy the signature café taste and quality of Starbucks coffee they love, from the comfort of their homes.

• In October 2020, Nespresso Professional announced the launch of new touchless functionalities for its Nespresso Momento eco-system to bring even safer coffee moments to every office.

• January 2020, Lavazza acquired stake in vending company IVS Group for 75m euros. IVS Group is one of the largest vending operators in Europe, with over 201,000 vending machines across Italy, France, Spain and Switzerland, which vend a range of hot and cold drinks as well as snacks.

Report Scope

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