Although coffee pod [also known as coffee cartridges and single-cup] sales have seen a huge boost in the U.S. retail category over the last few years, those days could come to an end, Euromonitor International analysts told Beverage Daily. During a webinar on the state of the coffee market in North America, analysts noted that artisanal coffees, such as those emphasizing how beans are roasted or where the beans originate, could take the place of the popular coffee pod amidst consumers’ changing tastes and lower tolerance for the high cost of pods.
Eric Penicka, a research analyst with Euromonitor explained that during the great recession, Americans embraced coffee pods as a less expensive alternative to coffee sold at food service, although more expensive than bagged coffee. “Ultimately, the healthy balance or cost, convenience and quality made coffee pods a winner during the recession,” said Penicka. “However, with the improved economy we are experiencing today we believe the window of opportunity for pods is closing and the growth will stall in the next five years.”
Consumers now appear to be opting for artisanal bagged coffee at home, while visiting food service establishments to purchase hot beverages away from home.
