Canada Coffee Market Research Report 2023
Canada Coffee Market Size By Forms (Whole Coffee Beans, Ground Coffee, Instant Coffee, Coffee Pods & Capsules Espresso, Others), Source (Arabica, Robusta), Speciality Coffee (Single-Origin Coffee, Micro-Lot Coffee, Organic Coffee, Direct Trade Coffee, Cold Brew & Nitro Cold Brew Coffee, Others), Process (Caffeinated, Decaffeinated), Flavors (Vanilla, Caramel, Hazelnut, Mocha, Cinnamon, Others) Distribution Channel (On-trade, Off-trade), End-Users (Individual Coffee Drinkers, Coffee Shop Patrons, Office & Workplace Consumers, Catering & Hospitality Industry, Bakeries, and Dessert Shops, Others) and Country Market Analysis and Forecast, 2023-2030
Canada Coffee Market Synopsis
Canada Coffee Market Size Was Valued at USD 23.56 Billion in 2022, and is Projected to Reach USD 32.74 Billion by 2030, Growing at a CAGR of 4.2% From 2023-2030.
- The Canadian coffee market has been steadily growing, driven by the nation's strong coffee culture. Canadians have diverse coffee preferences, enjoying traditional drip coffee as well as specialty espresso-based drinks like lattes and cappuccinos.
- Major coffee shop chains such as Tim Hortons, Starbucks, Second Cup, and McDonald's McCafé are prominent players in the market. Alongside them, specialty coffee shops and artisanal roasters have emerged, meeting the rising demand for premium, ethically sourced coffee.
- Retail sales of coffee products, including beans, ground coffee, and single-serve pods, contribute significantly to the market. Consumers' increasing interest in sustainability and ethical concerns has led to a higher demand for certified organic and Fair-Trade coffee. Amidst this competition, beverage companies are diversifying their offerings to cater to evolving consumer preferences for unique coffee experiences and convenience.
Top Key Players Involved Are:
"Starbucks (USA), McDonald's McCafé (USA), Second Cup (Canada), Blenz Coffee (Canada), Tim Hortons (Canada), Costa Coffee (UK), Dunkin' (USA), Fratello Coffee Roasters (Canada) Detour Coffee Roasters (Canada), Bows x Arrows Coffee Roasters (Canada), Gloria Jean's Coffees (USA), Caffè Artigiano (Canada), Caffe Nero (UK), Blenz Coffee (Canada), JJ Bean Coffee Roasters (Canada), 49th Parallel Coffee Roasters (Canada), Hale Coffee Company (Canada), Propeller Coffee Co. (Canada), Phil & Sebastian Coffee Roasters (Canada), Reunion Island Coffee (Canada) and Other Major Players"
Canada Coffee Market Trend Analysis
The Deep-Rooted Coffee Culture
- The Canadian coffee market thrives on the nation's deep-rooted coffee culture. Coffee has become an integral part of Canadian daily life, with a strong tradition of enjoying coffee at home, in social gatherings, and at coffee shops. This cultural affinity drives a consistent and significant demand for coffee products.
- The popularity of major coffee shop chains like Tim Hortons, Starbucks, Second Cup, and McDonald's McCafé further amplifies the coffee culture's impact on the market. These well-established chains cater to the preferences of diverse consumers, offering a wide range of coffee choices and convenient locations across the country.
- Specialty coffee shops and artisanal roasters have also emerged as a result of the coffee culture's influence. These establishments capitalize on Canadians' growing interest in unique and premium coffee experiences, contributing to the market's growth and catering to the demands of discerning coffee enthusiasts seeking distinctive flavors and ethically sourced beans. The enduring coffee culture ensures a robust and thriving coffee market in Canada.
Source: Statista
In the above graph, from 2017/18 to 2021/22, coffee consumption in Canada witnessed a steady and consistent increase. The data, measured in million 60-kilogram bags, reveals a gradual upward trend in coffee consumption. Starting at 4.75 million bags in 2017/18, the consumption rose to 4.89 million bags in 2018/19, followed by 4.83 million bags in 2019/20. Despite the challenges posed by the COVID-19 pandemic, the Canadian coffee market showed resilience, with consumption reaching 4.98 million bags in 2020/21 and further climbing to 5.03 million bags in 2021/22. These figures indicate sustained growth in coffee demand, emphasizing the enduring popularity and significance of coffee in Canada's market over the given period.
Ready-to-Drink (RTD) Coffee Market
- The Ready-to-Drink (RTD) Coffee Market is a promising opportunity in Canada's coffee industry. As consumers seek convenient and portable coffee options, RTD beverages like cold brews and iced coffees gain popularity. Businesses can capitalize on this trend by introducing innovative and flavorful RTD coffee products that cater to diverse preferences.
- By focusing on unique flavors, sustainable packaging, and strategic distribution, companies can attract health-conscious and environmentally-aware consumers. Embracing e-commerce and expanding retail partnerships can also enhance accessibility and visibility, reaching a broader customer base.
- In this competitive landscape, the RTD Coffee Market allows businesses to stand out and adapt to modern consumers' on-the-go lifestyle, positioning themselves for growth in the dynamic Canadian coffee market.
Segmentation Analysis of the Canadian Coffee Market
Canada Coffee Market Segments cover the Form, Speciality Coffee, Flavors, Distribution Channel, and End-Users. By End-Users, the Coffee Shop Patrons segment is Anticipated to Dominate the Market Over the Forecast Period.
- Coffee is a beloved beverage in Canada, and coffee shops are a popular destination for people of all ages. In 2022, the market size of the coffee & snack shops industry in Canada was $5.3 billion. Tim Hortons is the dominant player in the market, with a 54% share. Starbucks is the second-largest player, with a 21% share.
- The increasing popularity of coffee among Canadians of all ages, the growing number of coffee shops in Canada, the convenience of coffee shops, and the wide variety of coffee drinks and food options available at coffee shops have all contributed to the dominance of coffee shops in the Canadian coffee market.
- The dominance of coffee shops in the Canadian coffee market is likely to continue in the years to come. As the popularity of coffee continues to grow, and as more coffee shops open, the market is expected to expand. This is good news for coffee lovers in Canada, who will have even more options to choose from in the future.
Country Analysis of the Canadian Coffee Market
- Canada is a major coffee-drinking country with a strong economy and a favorable business environment. This, combined with the fact that Canada is a major coffee-producing country, has led to a thriving coffee market in Canada.
- Canada is the world's fifth-largest producer of coffee, after Brazil, Vietnam, Colombia, and Indonesia. This means that Canada has a ready supply of high-quality coffee beans, which is essential for making great coffee. Coffee is a part of Canadian culture, and Canadians are very passionate about their coffee. This means that there is a large and growing demand for coffee in Canada, which is attractive to coffee chains.
- Canada's strong economy and favorable business environment have also made it an attractive market for coffee chains. This has led to an influx of international coffee chains in Canada, these chains have helped to popularize coffee among Canadians and have also increased the competition in the market.
Covid-19 Impact Analysis on the Canadian Coffee Market
- The Canadian coffee market felt the impact of the COVID-19 pandemic, with lockdowns and social distancing measures leading to a significant decline in foot traffic to coffee shops and cafes. Many businesses had to close temporarily or reduce their operations, causing substantial revenue losses.
- The shift to remote work during the pandemic altered coffee consumption habits, with fewer people commuting to offices and city centers. Morning coffee routines and the "grab-and-go" culture were disrupted, affecting sales for coffee shops near office buildings. Businesses sought new strategies to attract customers working from home.
- The specialty coffee sector faced its share of challenges, with smaller, independent roasters and shops finding it difficult to transition to online platforms. Established coffee chains with delivery networks held a competitive edge. Supply chain disruptions and fluctuating coffee bean imports impacted pricing and cost structures.
Top Key Players Covered in The Canadian Coffee Market
- Starbucks (USA)
- McDonald's McCafé (USA)
- Second Cup (Canada)
- Blenz Coffee (Canada)
- Tim Hortons (Canada)
- Costa Coffee (UK)
- Dunkin' (USA)
- Fratello Coffee Roasters (Canada)
- Detour Coffee Roasters (Canada)
- Bows x Arrows Coffee Roasters (Canada)
- Gloria Jean's Coffees (USA)
- Caffè Artigiano (Canada)
- Caffe Nero (UK)
- Blenz Coffee (Canada)
- JJ Bean Coffee Roasters (Canada)
- 49th Parallel Coffee Roasters (Canada)
- Hale Coffee Company (Canada)
- Propeller Coffee Co. (Canada)
- Phil & Sebastian Coffee Roasters (Canada)
- Reunion Island Coffee (Canada) and Other Major Players
Key Industry Developments in the Canadian Coffee Market
In February 2023, Nespresso Canada announced its latest collaboration with CTV's morning show, "Your Morning." Becoming the official coffee partner, Nespresso Canada is excited to join Canadians across the country as they begin their day. The partnership with Bell Media offers opportunities for the company's presence through visually appealing advertisements, in-studio product placements, and exclusive integrations within the show's broadcast. This partnership enables Nespresso Canada to engage with viewers and coffee enthusiasts in innovative and captivating ways during the program.
In July 2022, Tim Hortons, a renowned Canadian coffee brand, opened its inaugural shop in Delhi-NCR, India. Tim Hortons, a well-known Canadian coffee and fast-food brand headquartered in Ontario, inaugurated its debut store in New Delhi. The coffee shops, located in Select City Walk Mall (Saket) and DLF Cyberhub (Gurugram), boast a welcoming and friendly ambiance inspired by the brand's Canadian heritage.
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Base Year: |
2022 |
Forecast Period: |
2023-2030 |
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Historical Data: |
2016 to 2021 |
Market Size in 2022: |
USD XXX Bn. |
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Forecast Period 2023-30 CAGR: |
XXX% |
Market Size in 2030: |
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Segments Covered: |
By Forms |
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By Source |
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By Speciality Coffee |
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By Process |
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By Flavors |
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By End-Users |
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Canada Coffee Market |
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Base Year: |
2022 |
Forecast Period: |
2023-2030 |
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Historical Data: |
2016 to 2021 |
Market Size in 2022: |
USD XXX Bn. |
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Forecast Period 2023-30 CAGR: |
XXX% |
Market Size in 2030: |
USD XXX Bn. |
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Segments Covered: |
By Forms |
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By Speciality Coffee |
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By Process |
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By Flavors |
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By Distribution Channel |
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By End-Users |
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Key Market Drivers: |
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Key Market Restraints: |
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Key Opportunities: |
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Companies Covered in the Report: |
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Chapter 1: Introduction
1.1 Research Objectives
1.2 Research Methodology
1.3 Research Process
1.4 Scope and Coverage
1.4.1 Market Definition
1.4.2 Key Questions Answered
1.5 Market Segmentation
Chapter 2:Executive Summary
Chapter 3:Growth Opportunities By Segment
3.1 By Forms
3.2 By Source
3.3 By Speciality Coffee
3.4 By Process
3.5 By Flavors
3.6 By Distribution Channel
3.7 By End-Users
Chapter 4: Market Landscape
4.1 Porter's Five Forces Analysis
4.1.1 Bargaining Power of Supplier
4.1.2 Threat of New Entrants
4.1.3 Threat of Substitutes
4.1.4 Competitive Rivalry
4.1.5 Bargaining Power Among Buyers
4.2 Industry Value Chain Analysis
4.3 Market Dynamics
4.3.1 Drivers
4.3.2 Restraints
Frequently Asked Questions
What would be the forecast period in the Canada Coffee Market research report?
The forecast period in the Canada Coffee Market research report is 2023-2030.
Who are the key players in Canada Coffee Market?
Starbucks (USA), McDonald's McCafé (USA), Second Cup (Canada), Blenz Coffee (Canada), Tim Hortons (Canada), Costa Coffee (UK), Dunkin' (USA), Fratello Coffee Roasters (Canada) Detour Coffee Roasters (Canada), Bows x Arrows Coffee Roasters (Canada), Gloria Jean's Coffees (USA), Caffè Artigiano (Canada), Caffe Nero (UK), Blenz Coffee (Canada), JJ Bean Coffee Roasters (Canada), 49th Parallel Coffee Roasters (Canada), Hale Coffee Company (Canada), Propeller Coffee Co. (Canada), Phil & Sebastian Coffee Roasters (Canada), Reunion Island Coffee (Canada) and Other Major Players
What are the segments of the Canada Coffee Market?
The Canada Coffee Market is segmented into Form, Specialty Coffee, Flavors, Distribution Channels, and End-Users. By Form, the market is categorized into Whole Coffee Beans, Ground Coffee, Instant Coffee, Coffee Pods and Capsules, Espresso, and Others. By Source, the market is categorized into Arabica, Robusta. The Specialty Coffee, market is categorized into Single-Origin Coffee, Micro-Lot Coffee, Organic Coffee, Direct Trade Coffee, Cold Brew, and Nitro Cold Brew Coffee, Others. By Process, the market is categorized into Caffeinated, Decaffeinated. By Flavors, the market is categorized into Vanilla, Caramel, Hazelnut, Mocha, Cinnamon, and Others. By Distribution Channel, the market is categorized into On-trade, Off-trade. By End-Users, the market is categorized into Individual Coffee Drinkers, Coffee Shop Patrons, Office and Workplace Consumers, Catering and Hospitality Industry, Bakeries and Dessert Shops, Others
What is the Canada Coffee Market?
The Canadian coffee market has been steadily growing, driven by the nation's strong coffee culture. Canadians have diverse coffee preferences, enjoying traditional drip coffee as well as specialty espresso-based drinks like lattes and cappuccinos. Major coffee shop chains such as Tim Hortons, Starbucks, Second Cup, and McDonald's McCafé are prominent players in the market. Alongside them, specialty coffee shops and artisanal roasters have emerged, meeting the rising demand for premium, ethically sourced coffee. Retail sales of coffee products, including beans, ground coffee, and single-serve pods, contribute significantly to the market. Consumers' increasing interest in sustainability and ethical concerns has led to a higher demand for certified organic and Fair-Trade coffee. Amidst this competition, beverage companies are diversifying their offerings to cater to evolving consumer preferences for unique coffee experiences and convenience.
How big is the Canada Coffee Market?
The Canada Coffee Market is Expected to Grow at a Significant Growth Rate, and the Forecast Period is 2023-2030, Considering the Base Year as 2022.
