North American Ready-to-Drink Coffee Market - Growth, Trends and Forecasts 2017 - 2022

  • ID: 4387182
  • Report
  • Region: North America, United States
  • 101 pages
  • Mordor Intelligence
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The North American RTD coffee market was valued at USD 2.058 billion in 2015 and is expected to grow at a CAGR of 2.6% and mature into a USD 2.343 billion market by 2020. Ready-to-drink coffee is a recently developed concept wherein the beverage is sold in a convenient, directly consumable form. The importance of these products, against the background of modern-day lifestyle, can be understood in their market valuations, which often run into billions of dollars. Despite being marketed as a young and urban phenomenon, RTD consumers can be from almost all demographic segments.

North American RTD Coffee Market Dynamics

The instant nature and convenience offered by RTD coffee are important drivers. The nature of the product makes it a highly trend-driven market and as such a certain element of innovation is constantly in demand. These factors of perception make it a continuously evolving market in terms of flavors and presentation. Regarding the major access points, iced products with longer shelf life provide major opportunities, along with liquid coffee concentrates and frozen concentrates. The latter holds importance for bulk buyers, such as restaurants and offices. The major constraint for the market is in adapting to regional tastes and preferences. Specific regions, where consumers are habituated to hot or freshly ground coffee, take a considerable time and reluctance in adapting to the new tastes. Extensive marketing and use of locally sourced products are essential in countering this perception.

North American RTD Coffee Market Segmentation

The market is segmented based on ingredient type, packaging mode, sales channels and geography. Convenience stores, supermarkets and mass sellers are the major sales and distribution networks. Considering the volume dependent nature of the market, availability of the product is a major market determinant. The supermarket shelves and vending machines gain prominence in this regard. Both these access points make soft drink manufacturers the ideal distribution partner, and the dominant market players. This phenomenon can be clearly observed in the long-standing partnership between PepsiCo and Starbucks. Despite the portfolio strength of Starbucks, the distribution network offered by Pepsi is crucial for an adequate market penetration. This distribution related facet of the industry offers a significant challenge to new and small players. Based on geography, United States of America occupies a pioneering and dominant position followed by Canada and Mexico.

Key Players in the North American RTD Coffee Market

The major players in the region include Cargill, Starbucks Corporation, Asahi Group Holdings and Ajinomoto General Foods Inc.
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1.1 Key Deliverables of the study
1.2 Study Assumptions
1.3 Market Definition
2. Research Approach & Methodology
2.1 Introduction
2.2 Research Designs
2.3 Study Timelines
2.4 Study Phases
2.4.1 Secondary Research
2.4.2 Discussion Guide
2.4.3 Market Engineering and Econometric Modelling
2.4.4 Expert Validation
4.1 Drivers
4.1.1 Increasing trend of health awareness
4.1.2 Combination of RTD Coffee with energy drinks
4.2 Constraints
4.2.1 Increasing cost of raw materials
4.2.2 Rising consumption of freshly ground coffee
4.3 Opportunities
4.3.1 Targeting new consumer
4.4 Porter Five Forces Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products and Services
4.4.5 Degree of Competition
5.1 By Ingredients Type
5.1.1 Taurine
5.1.2 Guarana
5.1.3 Yerba Mate
5.1.4 Ginseng
5.1.5 Vitamin B
5.1.6 Acai Berry
5.1.7 Others
5.2 By Packaging
5.2.1 Bottles (Glass & Pet)
5.2.2 Can
5.2.3 Others
5.3 By Sales Channel
5.3.1 Convenience stores
5.3.2 Supermarkets/hypermarkets
5.3.3 Mass merchandisers
5.3.4 Drug stores
5.3.5 Food services/ Sports nutrition chain
5.3.6 Vending
5.3.7 Others
5.4 By Geography
5.4.1 North America U.S. Canada Mexico Others
5.5 Competitive Landscape
5.5.1 Mergers & Acquisitions
5.5.2 Joint Ventures
5.5.3 New Product Launches
5.5.4 Most active companies in the past five years
5.5.5 Market Share Analysis
5.6 Company Profiles
5.6.1 Cargill
5.6.2 Starbucks Corporation
5.6.3 Asahi Group Holdings Ltd.
5.6.4 Ajinomoto General Foods Inc.
5.6.5 Dunkin' Brands Group
5.6.6 Green Mountain Coffee Roasters
5.6.7 Ferolito Vultaggio & Sons
5.6.8 Dr. Pepper Snapple Group
5.6.9 Japan Tobacco Inc.
5.6.10 Lotte Chilsung Beverage Co.
5.6.11 Monster Beverage Co.
5.6.12 Pokka Group
5.6.13 Pepsico Inc.
5.6.14 San Benedetto
5.6.15 Coco-Cola Company
6. Appendix
6.1 Abbreviations
6.2 Sources
6.3 Bibliography
6.4 Disclaimer
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