US$ 4.2 Billion Global Capsule Coffee Machine Market Size to grow by 10.8% in 2018

“Bekryl Market Research: Global Capsule Coffee Machine Industry Report, 2018-2028”
Global Capsule Coffee Machine Market is expected to grow at double digit CAGR – creating high market opportunity for industry players across value chain. The industry is highly consolidated with leading players accounting for over 80% of global share.

The Global Capsule Coffee Machine Market Size is estimated to be valued at USD 4.2 billion in 2018 and will register a CAGR of 10.8% between 2018 and 2028.

Capsule coffee machine market revenue is expected to register significant growth owing to capitalization of developing regions including China and India – thereby creating higher addressable market opportunity for industry players. Many new players has emerged globally in last few years. However, market is highly concentrated with top 3 players accounting for nearly 82% of global share. Capsule coffee machine market demand is increasing with changing taste preference and lifestyles. High sales of these machines is attributed to its property that requires minimum maintenance and effortless handling process. Over 550 billion coffee cups are consumed each year. This is expected to rise to 640 bn by 2025 with demand generating from China and India. Furthermore, increase in consumer spending along with rise in in-house coffee consumption will fuel overall sales.

Bekryl’s market research report, Global Capsule Coffee Machine Market Size Analysis and Industry Opportunity, finds Western Europe to account for over 39% of global share in 2018. Much of the demand is expected to generate from France. Nestle accounts for major chunk of regional share. Focus on NORDIC could help companies to generate higher ROI. Per capita consumption is highest in Netherlands and Finland. North America is expected to takeover Europe sales by 2021.

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Some key trends from the Global Capsule Coffee Machine Market:

Trend#1: Regional Players to Dominate the Capsule Coffee Machine Market

Many regional players are emerging in Asia Pacific capsule coffee machine market leading to stiff competition among players. For instance, in China, there are various local players accounting for over 25% of country share. Big players are capitalizing on local resources to strengthen their market presence in China. As per the estimates, capitalization of China will help companies to generate over 1.5X higher revenue during the forecast period.

Trend#2: Pricing Level Product Strategy

Competitive rivalry has led companies to focus their strategic priority based on prices. As such, there has been notable decline in capsule coffee machine prices in last 5 years. As per the estimates, 0.7% to 1.5% annual decrement in prices has been observed since 2010. Nestle’s Dolce Gusto is part of strategic move to capitalize larger mass of consumers.

Trend#3: While Nestle is the Global Leader, Keurig Green Mountain Dominates North America Capsule Coffee Machine Market

Nestle has strong presence in Europe, and Asia Pacific. Well reach distribution network, product patent and marketing campaign has helped Nestle to capture a major chunk of the market. Its product – Dolce Gusto – has gained immense popularity among consumers in South East Asia, Middle East, Latin America and Russia. To strengthen its market position, the company launched its factory in Brazil. This is intended to serve the domestic market of Brazil, Paraguay, Argentina and Uruguay. Keurig Green Mountain accounted for over 80% of North America share in 2016.

Some key global capsule coffee machine market players are Keurig Green Mountain, Nestle, BSH Home Appliances, illycaffè S.p.A, Sun Bird China, AAA Group Electric Appliance, Koninklijke Philips N.V., Joyoung Co. Ltd, DE Master Blenders, Mondelez.

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The report offers key strategic market insights with special focus on 24 countries across seven regions. It contains information pertaining to installed units across countries, actual sales vs total addressable market, key strategic initiatives across product and go-to-market level along with various macroeconomic factors driving the capsule coffee market. To know more, download sample. 

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