The coffee market is rebounding as the pandemic subsides and consumers return to normal buying habits. In 2021, the U.S. coffee market was valued at just over $25 million. It is projected to register a compound annual growth rate (CAGR) of 3.82 percent between 2022 and 2027, according to a report from Modor Intelligence.

This has coffee industry insiders feeling positive after social isolation and limitations on business hours sent coffee sales plummeting over the past three years. 

Though many consumers switched to various at-home coffee making and drinking options, sales still remained low. The report noted that government mandated lockdowns and safety measures such as social distancing had a significant impact on cafés, micro-roasters, restaurants, and other out-of-home outlets.

A return to work and increasingly busy lifestyles are sending consumers back to coffee shops, driving growth within the industry. 

The report noted a 2017 article published by the National Coffee Association on National Coffee Drinking Trends and Specialty Coffee Association which noted 46 percent of the coffee consumed in the U.S. was not at home, of which 59 percent was specialty coffee.

This trend has pushed chains like Starbucks and Dunkin’ to create a more consumer friendly environment where people can socialize, work and enjoy the ambience in a relaxing atmosphere. 

Single serve coffee has also risen in popularity, heavily influenced by European coffee culture. This is expected to push coffee makers to continue to develop new varieties and increase competition from private companies. The biggest players in the coffee pod industry are Eight O'Clock Coffee, J. M. Smucker, Douwe Egberts, Keurig Green Mountain and Starbucks Corporation.

This has had a spillover effect into suppliers of coffee additives and accessories including creamers, which have seen a CAGR of 5.56 percent during the forecast period of 2021 to 2026.