Slovenia instant coffee market is estimated to grow at a CAGR of 6.30% during the forecast period. The rising coffee consumption in the country is projected to surge the market demand in the forecast period. According to the FAO statistics, the total coffee consumption in Slovenia achieved 10 kt in 2017. This was the same as in the previous year but was higher in comparison to 2014 and 2015. The high per capita coffee consumption in the country is further indicating high market demand propelling its market growth during the forecast period. The per capita coffee consumption in 2018 was recorded to be around 5.8 kg per year (source: The Centre for the Promotion of Imports from developing countries, CBI).
Moving on to coffee imports, Slovenia is an exception in terms of direct imports where most of the Eastern European countries’ direct imports remain low. According to the CBI stats, in 2018, the country imported around 90% of green coffee directly from the producing countries. It has been estimated that around 40% or 9.9 thousand tonnes of coffee in Slovenia were imported directly from Brazil, followed by India accounting for 26%. In addition, around 9% of the Slovenian coffee imports were reported from Vietnam. The Croatian MNC, Atlantic Grupa is the major coffee importer, it imports coffee utilizing the Port of Koper as the entry point, through this, the company serves the regional market with its popular coffee brands Barcaffe and Grand Kafa.
Distribution Network in Slovenia: The country comprises many distribution channels that are open to international goods and include wholesaling and retailing. Trade in the form of retail and distribution is one of the most dynamic economic activities in the country and also contributes to around one-third of the national GDP. In the last decade, the retail industry underwent a number of changes, these included high consolidation with only a few market players dominating the retail industry; in the last couple of years, quick emergence of hypermarkets, shopping malls, and hard discount stores was also noticed. The trade development influenced the food and drinks sector in a positive manner, hence, providing significant growth opportunities for the market to thrive during the forecast period as well.
Furthermore, with Slovenian consumers increasingly shopping through discount stores and supermarkets, this is further indicating to have a positive impact on the market growth with the increase in coffee sales in addition to other food products. Additionally, with high internet penetration, accounting for more than 70%, the online retailing is continuing to achieve popularity in the region. Ceneje.si, Mimovrste.si, Nakupovanje.net, Mercator.si, Amazon, eBay, and Ali Express are some of the popular e-stores in Slovenia. As per the Statistical Office of the Republic of Slovenia, around 46% of the citizens of Slovenia between 16 to 74 years old made online purchases in 2017. On the basis of gender, it was estimated that in 2017 around 47% of females were online buyers, while around 45% of males made online purchases. It was also noticed that Slovenians prefer to shop from local websites, in 2017, around 77% of the shopping was done through domestic online sellers.