Sparkling Coffee Market Size- North America, Europe, APAC, South America, Middle East and Africa - US, Canada, UK, Germany, France, Japan, South Korea, Italy, Spain, China - Growth, Trends and Forecast Report 2025-2029

Sparkling Coffee Market Size 2025-2029 

The sparkling coffee market size is forecast to increase by USD 402.7 billion at a CAGR of 12.5% between 2024 and 2029.

• The market is experiencing significant growth due to various factors. One key trend is the increasing consumer preference for hydrating beverages that offer both caffeine and health benefits. As a result, there is a growing demand for sparkling coffee drinks that contain essential nutrients, such as those that help maintain heart health. These beverages are believed to reduce the risk of coronary artery disease, regulate blood pressure, and improve insulin sensitivity. Additionally, the presence of diterpenes, a natural compound found in coffee, has been linked to various health benefits, further boosting market growth. Another trend is the availability of ready-to-drink (RTD) options, which offer convenience and portability.
• However, the market also faces challenges, including the presence of substitutes like energy drinks and tea, and the potential negative effects of excessive caffeine consumption. To stay competitive, market players must focus on innovation and differentiation, offering unique flavors, health benefits, and sustainable production methods. 

What will be Sparkling Coffee Market Size During the Forecast Period?

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• The market for sparkling coffee beverages in the United States has witnessed significant growth in recent years. These beverages, also known as ready-to-drink (RTD) coffee, offer a unique blend of coffee and carbonated water, providing consumers with an invigorating and refreshing beverage option. RTD coffee beverages come in various forms, including cold brew, iced coffee, and coffee soda. The beverages cater to diverse consumer preferences, with options ranging from caffeinated to decaffeinated, organic, and flavored variants. Natural ingredients and low-calorie sweeteners are increasingly popular choices among health-conscious consumers.
• The market for sparkling coffee beverages is driven by several factors. The growing popularity of coffee culture and the increasing demand for convenience are key factors fueling the growth of this market. Consumers are increasingly seeking out alternative beverage options to sugary sodas and energy drinks, making sparkling coffee beverages an attractive choice. Flavor diversity is another significant trend in the market. Citrus, vanilla, and other natural flavors are popular choices among consumers, adding to the appeal of these beverages. The use of natural ingredients and the absence of artificial additives further enhances the market's growth potential. The convenience stores sector is a significant distribution channel for sparkling coffee beverages.
• The sector's wide reach and ability to cater to consumers' on-the-go lifestyles make it an ideal distribution channel for these beverages. Innovation is a key trend in the market, with manufacturers continuously introducing new flavors and product offerings to cater to evolving consumer preferences. The use of advanced technology, such as sparkling coffee machines, is also gaining popularity, allowing consumers to enjoy freshly brewed, bubbly coffee at home. The market for sparkling coffee beverages offers significant growth opportunities for businesses. The beverages' unique combination of coffee and carbonation provides a refreshing alternative to traditional coffee and soda options. With a focus on natural ingredients, low calories, and convenience, this market is poised for continued growth in the United States.

How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD million" for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

• Distribution Channel
  • Offline
  • Online
• Type
  • Caffeinated sparkling coffee
  • Decaffeinated sparkling coffee
• Geography
  • North America
    • Canada
    • US
  • Europe
    • Germany
    • UK
    • France
    • Italy
    • Spain
  • APAC
    • China
    • Japan
    • South Korea
  • South America
  • Middle East and Africa

By Distribution Channel Insights

• The offline segment is estimated to witness significant growth during the forecast period.

In the global market for sparkling coffee, traditional retail channels, including supermarkets, convenience stores, and specialty coffee shops, hold significant influence. These offline retail spaces provide consumers with an opportunity to sample and explore unique flavors and new product types before making a purchase. The ability to engage with the product in person is particularly valuable in the sparkling coffee market, where consumers seek novelty and quality. Furthermore, the presence of sparkling coffee in cafes and premium outlets enhances brand visibility, enabling in-person promotions and tastings that attract consumers. Offline retail spaces offer premium and craft sparkling coffee brands the opportunity to establish a strong brand positioning in sparkling coffee market segmentation

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The Offline segment was valued at USD 285.50 million in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

• North America is estimated to contribute 49% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The North American market for carbonated iced coffee, also known as coffee soda, is witnessing notable expansion due to the changing consumer preferences towards more innovative and functional beverages. This trend is primarily fueled by a growing fascination with healthier alternatives to sugary sodas and the escalating popularity of artisanal coffee. In the United States and Canada, consumers, particularly the younger demographics such as Millennials and Gen Z, are increasingly drawn to beverages that offer the invigorating effects of caffeine alongside the crispness of carbonated drinks. These consumers prioritize convenience, distinctive flavors, and sustainability in their beverage selections, making sparkling coffee a compelling choice.

The availability of ready-to-drink (RTD) sparkling coffee in various retail channels, including supermarkets, convenience stores, and specialty coffee shops, has significantly broadened the reach of these products. Citrus and other unique flavors are increasingly popular among consumers, adding to the allure of these beverages. The market in North America is poised for continued growth as consumers seek out new and exciting beverage options.

Market Dynamics

Our researchers analyzed the data with 2024 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

What are the key market drivers leading to the rise in adoption of Sparkling Coffee Market ?

Introduction of new products is the key driver of the market.

• The global market for sparkling coffee is witnessing an influx of new product introductions, as demonstrated by the launch of COFFIZZ by ZUS Coffee in Malaysia in February 2024. This novel carbonated coffee beverage, which resembles a typical canned coffee drink, offers consumers a unique way to enjoy their favorite beverage. As the first halal canned sparkling coffee in Malaysia, COFFIZZ signifies ZUS Coffee's entry into the ready-to-drink (RTD) sector, broadening their product offerings beyond their bottled freshly brewed drinks. The emergence of COFFIZZ underscores the increasing emphasis on product innovation in The market. Organic varieties of sparkling coffee are gaining popularity among health-conscious consumers, offering antioxidant benefits and potential prevention of chronic illnesses.

What are the market trends shaping the Sparkling Coffee Market?

Increased demand for RTD is the upcoming trend in the market.

• The ready-to-drink (RTD) the market is experiencing notable expansion due to the rising preference for convenience among American consumers. This trend is particularly significant as an increasing number of individuals seek quick and effortless beverage options, deviating from the time-consuming traditional brewing methods. The RTD coffee segment caters to this demand by providing a pre-prepared solution, delivering an instant caffeine boost, making it a popular choice for individuals leading hectic lives. The substantial growth of the RTD beverage industry in the United States can be attributed to several factors. Convenience is a major driver, as consumers continue to prioritize products that align with their fast-paced lifestyles.

What challenges does Sparkling Coffee Market face during the growth?

Availability of substitutes is a key challenge affecting the market growth.

• The global market for sparkling coffee faces competition from various beverage categories, posing a challenge to its expansion. Consumers have multiple options, including traditional coffee drinks, energy beverages, flavored carbonated waters, sodas, and iced teas. These alternatives provide similar benefits such as hydration, energy, and diverse flavors. Moreover, non-caffeinated choices like fruit-infused sparkling waters and herbal beverages are gaining traction due to the increasing preference for healthier and natural drink selections. Cold brew coffee and iced lattes, which offer the same refreshing qualities and taste profiles without carbonation, are also popular alternatives. Heart health is a significant concern for many consumers, and the link between caffeine and heart conditions, such as coronary artery disease, is a potential deterrent for some from choosing sparkling coffee.

Exclusive Customer Landscape

The market forecasting report includes the adoption lifecycle of the market, covering from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the market report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.

 Customer Landscape

Key Companies & Market Insights

Companies are implementing various strategies, such as strategic alliances, market forecast , partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

Asahi Group Holdings Ltd. - The company provides an extensive selection of premium sparkling coffee beverages, distinguished by their inventive flavors and top-tier ingredients. These beverages offer a unique and delightful twist on traditional coffee, catering to the growing preference for innovative and high-quality coffee experiences in the US market. Our commitment to using only the finest ingredients and staying at the forefront of flavor trends ensures that our sparkling coffee offerings consistently exceed customer expectations.

The market research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:

• Asahi Group Holdings Ltd.
• Califia Farms LLC
• HighBrewCoffee
• Keepers Sparkling Coffee
• Keurig Dr Pepper Inc.
• Manhattan Special
• Nestle SA
• PepsiCo Inc.
• RISE Brewing Co
• Slingshot Coffee Co.
• Stumptown Coffee Roasters
• The Coca Cola Co.
• The J.M Smucker Co.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Research Analyst Overview

Sparkling coffee, a refreshing twist on traditional coffee, is gaining popularity in the beverage market. This carbonated beverage offers the invigorating kick of caffeine, combined with the fizzy delight of carbonated water. Ready-to-drink (rtd) versions of sparkling coffee are increasingly preferred for their convenience. These beverages come in various flavors, including citrus and natural coffee, catering to diverse consumer preferences. Health-conscious consumers are drawn to the health benefits of sparkling coffee. Cold brew variants, made using natural ingredients, are rich in antioxidants, which help combat chronic illnesses like heart disease and coronary artery disease. Decaffeinated options are available for those sensitive to caffeine or seeking a low-calorie alternative.

Sweeteners, both natural and artificial, are used to enhance the taste of sparkling coffee. However, the trend towards health and wellness has led to a growing preference for beverages with minimal added sugars. Convenience stores and hypermarkets & supermarkets are major retail channels for these beverages. Direct-to-consumer marketing and flavor diversity have fueled the growth of the market. Flavor innovation, recycling, and waste management are key areas of focus for manufacturers to ensure sustainability and consumer satisfaction. Coffee soda and carbonated iced coffee are popular sub-categories, offering a bubbly, effervescent experience.

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What are the Key Data Covered in this Market Research and Growth Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting between 2025 and 2029
• Precise estimation of the size of the market  and its contribution of the market in focus to the parent market
• Accurate predictions about upcoming market growth and trends and changes in consumer behaviour
• Growth of the market across North America, Europe, APAC, South America, and Middle East and Africa
• Thorough analysis of the market's competitive landscape and detailed information about companies
• Comprehensive analysis of factors that will challenge the growth of market companies

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