The United States instant coffee market is estimated to grow at a CAGR of 2.59% to reach 2,588.194 million in 2025 from US$2,219.446 million.The market for instant coffee in the United States is projected to grow in the forecast period as coffee is an extremely popular drink preferred by people of all ages. As per the National Coffee Association Survey statistics, in 2019, around 64% of Americans 18 years or older consume coffee every day. Drinking at home is mostly preferred accounting for around 79% share of the total coffee consumption. On the other hand, around 36% of the Americans in the country consume coffee in coffee shops.
As per the survey data, around 60% of Americans were reported to drink coffee on a regular basis from a network of branded coffee houses. On the basis of gender-based consumption, it was reported that men consume around 1.7 cups of coffee every day on average, while women were estimated to consume around 1.5 cups of coffee every day. The data indicated that nearly the same amount of coffee was consumed among males and females in the country.
As per the survey data, during the fiscal year 2018/2019, the overall coffee consumption in the United States increased to around 26.5 million 60-kg bags than the previous years. It was found that there is a substantial amount of coffee consumption among different work spheres. Finance professionals were accounted to spend around USD709 per year on coffee. Individuals in business were accounted to spend around USD592 on coffee products, whereas, Americans in the medical and healthcare sectors were accounted to spend around USD440 in a year. Additionally, workers in Transportation and warehousing were accounted to spend around USD150 on coffee in a year.
As per the NCA survey data, coffee consumption among the Millennials is quite high. Around 70% of the coffee drunk by these consumers are gourmet beverages, while around 30% are non-gourmet beverages. It was found that around 32% of Millennials are known to consume espresso-based drinks per day and it was estimated to be higher in comparison to any other demographic in the country. Around 15% of the millennials were found to consume their coffee drink in café, coffee shops, or in a donut shop. This was recorded to be the highest consumption in this segment.
In 2020, amid novel coronavirus outbreak, the closure of many cafes and restaurants across the United States to prevent virus transmission is projected to have a negative impact on the market growth. However, coffee services are active in the drive-thru and cafes serving in and around hospitals and healthcare are still functioning.
It has been assessed that the overall market in the United States for instant coffee is projected to experience slow growth during the forecast period. This is mainly due to the poor reputation of instant coffee in the region. The big companies in the United States make loads of commercial instant coffee and purchase poor quality beans for the manufacturing of instant coffee. Hence, this has led to dislike for instant coffee among the consumers and they are shifting their focus on other types of coffee varieties like roast and ground coffee or specialty coffee. However, with the rise in the manufacturing of high-quality instant coffee, the market is further projected to experience steady growth in the forecast period.