TechNavia announces positive outlook for US coffee market

TechNavia has forecast that revenue from the US coffee market will grow at in revenue a compound annual rate of 5.99 per cent between now and 2018. On the basis of volume, it predicts the market will grow annually at 4.16 per cent leading up to 2018, according to the US-based research company’s annual report for Research and Markets. The report, the Coffee Market in the US, considers the total sales and consumption of coffee based on an in-depth market analysis of the present scenario and future prospects. “One key trend emerging in this market is the growth in online retailing, which accounted for 10 per cent of total sales in 2013 and is expected to further increase during the forecast period,” said an analyst from the team in a statement. “Consumers tend to get attracted to the wide range of products available online. Hence, many venders are taking advantage of this opportunity to increase the sales of their coffee.” According to the report, one of the major drivers in this market will be a rise in consumer income. The preference for single-serve coffee over multi-serve coffee, the presence of various coffee flavours and brands, and a growing population has all increased per capita consumption of coffee in the US. The report found that shortage of supply of raw materials is making it difficult for vendors to sustain themselves in the market. The research company said natural calamities, uncertain weather conditions, and a rise in labour costs has further led to volatile coffee pricing in the market.