The espresso coffee market is expected to skyrocket by $4.55 billion in the next four years, a market research firm predicted.
The study, which was conducted by Technavio, predicts that the market will grow at a compound annual growth rate of 5.84% between 2022 and 2027. They cited new product launches as a driving force in the market.
Work-from-home culture and growing demand for espresso machines in workplaces were also cited as key reasons for the projected growth. The study noted that most consumers have access to an espresso machine, whether at home or through work.
"For instance, 79% of consumers owned espresso machines at home in 2021, and vendors are offering a variety of machines to cater to the demand," Technavio explained.
Cups of caffe' macchiato, sometimes called espresso macchiato, at a sidewalk café in Florence, Italy. (Robert Alexander/Getty Images/File / Getty Images)
However, the study noted that fluctuating raw material prices could cut growth short. The study also explained that the market is fragmented.
"The espresso coffee market is fragmented, and the companies are deploying organic and inorganic growth strategies to compete in the market," the report added.
A double shot of espresso drips into a cup at the B&O Espresso Café in Seattle. (Ron Wurzer/Getty Images/File / Getty Images)
Europe is projected to contribute 41% to the growth of the global espresso market. The study cites the United Kingdom, Germany, Russia, the Netherlands, and France as major countries for the espresso market in Europe.
"For instance, Nestle SA, Unilever PLC, and Starbucks Corp are some of the major vendors operating in the espresso coffee market in Europe in 2022," the study explained.
An espresso coffee machine in Miami. (Joe Raedle/Getty Images/File / Getty Images)
Other major espresso companies that were studied include Starbucks Corp., Black Rifle Coffee Co. LLC, McDonald Corp. and more.