Europe Ready-to-Drink (RTD) Coffee Market Report | Market Size, Industry Analysis, Growth Opportunities, & Forecast (2025-2030)

Europe Ready-to-Drink (RTD) Coffee Market Overview

The Europe Ready-to-Drink (RTD) Coffee Market is set for strong growth, with a projected market size of USD 3.07 billion in 2025, and an expected increase to USD 4.47 billion by 2030, expanding at a steady CAGR of 6.85% throughout the forecast period. This market growth is driven by evolving consumer preferences for convenience, innovation in flavors, and a shift towards healthier, low-calorie options. With over 250 million coffee consumers in Europe, the RTD coffee market is tapping into a large and diverse consumer base, particularly among millennials and busy urbanites.

Key trends include the rise of premium RTD coffee offerings, the popularity of hazelnut and plant-based flavors, and the increasing demand for eco-friendly packaging. Sustainability and health-conscious choices are shaping consumer decisions, with more than 60% of European consumers seeking functional beverages with added health benefits. Additionally, e-commerce is becoming a major sales driver, as more consumers turn to online platforms for their RTD coffee needs.

The market is also witnessing strong growth in regions like Germany, where coffee consumption is high, and in Southern and Eastern Europe, as consumer awareness and product availability increase. Overall, the Europe Ready-to-Drink (RTD) Coffee Market presents exciting opportunities for growth, innovation, and investment in the coming years.

Market Report Coverage:

The “Europe Ready-to-Drink (RTD) Coffee Market Report—Future (2025-2030)” by Digiroads Research & Consulting covers an in-depth analysis of the following segments in the market.

Study Assumptions and Definitions

The Study Assumptions and Definitions for the Europe Ready-to-Drink (RTD) Coffee Market provide a comprehensive framework to analyze the market’s performance and growth drivers. The key assumptions in the study include a steady increase in consumer preference for on-the-go beverages, particularly among millennials and busy urbanites, with a notable shift towards healthier and low-calorie options. Additionally, it assumes that the trend toward sustainability will continue to influence packaging and ingredient choices, driving more brands to adopt eco-friendly solutions.

The analysis also assumes that the market will continue to expand in response to the increasing demand for innovative flavors, such as hazelnut and plant-based options, which align with current consumer preferences for functional and ethically sourced beverages. The study also anticipates robust growth in the e-commerce segment, as more consumers opt for online shopping for RTD coffee.

Definitions include:

• Ready-to-Drink (RTD) Coffee: Pre-packaged coffee beverages that require no brewing or preparation, available in various forms such as bottled, canned, or boxed.
• Premium RTD Coffee: High-quality coffee products, often involving specialty blends or organic ingredients, priced higher than regular RTD coffee.
• End Users: The primary consumers of RTD coffee, including millennials, Gen Z, Gen X, and Boomers.

Market Scope

The market scope of the Europe Ready-to-Drink (RTD) Coffee Market encompasses a wide range of segments, including product types, flavors, packaging formats, price categories, and distribution channels. The study covers the key product segments like Espressos, Lattes, and Ginseng, with a focus on emerging flavors such as hazelnut and plant-based options. Packaging formats are diverse, including PET bottles, glass bottles, and cans, catering to various consumer preferences for convenience and sustainability.

The market scope also includes an analysis of price segments, from regular to premium and ultra-premium offerings, reflecting the increasing demand for high-quality coffee experiences. Distribution channels such as offline retail, e-commerce, and vending machines are explored, highlighting the importance of online shopping and the growing trend of home delivery services.

The scope covers key geographic regions in Europe, with a focus on countries like Germany, UK, France, and emerging markets in Southern and Eastern Europe, identifying growth opportunities and regional market dynamics.

MARKET OUTLOOK

Executive Summary

The Europe Ready-to-Drink (RTD) Coffee Market is experiencing robust growth, with projections indicating a market value of USD 4.47 billion by 2030, growing at a CAGR of 6.85% from USD 3.07 billion in 2025. This growth is driven by evolving consumer preferences, the demand for convenience, and increasing awareness of health-conscious and sustainable product choices. The market is gaining momentum as European consumers embrace ready-to-drink coffee as a quick, accessible, and flavorful alternative to traditional brewed coffee.

Espresso-based beverages dominate the market, making up nearly half of RTD coffee consumption, while hazelnut-flavored and plant-based options are becoming increasingly popular due to their alignment with health-conscious and ethical consumer trends. The rise in premium coffee consumption is also notable, as more consumers are willing to pay a premium for high-quality, artisanal coffee experiences, such as single-origin brews and organic coffee blends.

Sustainability plays a key role, with over 75% of new products incorporating eco-friendly packaging. The growing popularity of premium RTD coffee is driving sales, especially in urban areas like London and Milan, where consumers are seeking convenience without compromising on quality. E-commerce channels are also becoming significant, with online sales reaching over €1.5 billion in 2025, and subscription services gaining traction.

Germany holds a dominant position in the market with a huge share, attributed to its strong coffee culture and sustainability focus. Emerging regions such as Southern and Eastern Europe are also contributing to market expansion, supported by improving consumer awareness and product availability.

COMPETITIVE LANDSCAPE

The Europe Ready-to-Drink (RTD) Coffee Market is moderately fragmented, with regional and multinational players competing fiercely for market share.

Key Market Players

• Nestlé S.A.
• Arla Foods Group
• Emmi AG
• Luigi Lavazza S.p.A.
• Britvic PLC
• Crediton Dairy Ltd
• illycaffè S.p.A.
• Cargill, Incorporated
• Costa Limited
• PepsiCo, Inc.
• Asahi Group Holdings, Ltd.

Market Share Analysis

The Europe Ready-to-Drink (RTD) Coffee Market is highly competitive, with significant market share held by both global beverage giants and regional players. As of 2025, Nestlé S.A., PepsiCo, Inc., and Costa Limited are among the top market leaders, contributing heavily to the market’s overall value. These companies dominate the RTD coffee space with well-established brands and extensive distribution networks across Europe, leveraging their brand recognition and large-scale production capabilities.

Germany holds the largest share in the market. This is attributed to its robust coffee culture, large consumer base, and advanced infrastructure for distribution. The market share in countries like the UK and France is also substantial, supported by a growing demand for premium, health-conscious, and sustainable coffee options.

In terms of product types, Espresso dominates, contributing to nearly half of the market share, followed by Lattes and Ginseng-based drinks. The rise of premium RTD coffee is gradually increasing the market share of high-quality offerings, including single-origin and organic varieties, as consumers are willing to invest more in specialized products.

E-commerce is expected to capture a larger share as online shopping continues to rise. Regional players focusing on sustainability and innovative packaging solutions are gaining a competitive edge, allowing them to carve out niches in this evolving market.

MARKET DYNAMICS

Market Drivers and Key Innovations

1. Convenience and On-the-Go Consumption: As busy urban lifestyles continue to grow, consumers increasingly seek ready-to-consume beverages. RTD coffee offers convenience, allowing individuals to enjoy high-quality coffee without brewing it themselves, especially during commutes or in work environments.
2. Health-Conscious Trends: There is a rising preference for low-calorie, low-sugar, and functional beverages. Consumers are actively seeking healthier coffee options, including those with added probiotics, adaptogens, and plant-based ingredients. This health-driven demand is pushing companies to innovate in the Europe Ready-to-Drink (RTD) Coffee Market.
3. Sustainability Focus: With environmental concerns gaining prominence, consumers are demanding eco-friendly packaging and sustainably sourced ingredients. Over 75% of new RTD coffee products are now utilizing recyclable packaging, aligning with the growing trend toward sustainability in the beverage industry.
4. Premium Coffee Culture: The increasing popularity of high-quality, artisanal coffee experiences is fueling the growth of the premium RTD coffee segment. Consumers are willing to pay a premium for organic, single-origin brews, and exotic flavors, boosting the overall market value.

Key Innovations:

1. Flavored and Plant-Based Options: Innovations such as hazelnut-flavored cold brews and dairy-free alternatives cater to diverse consumer tastes and dietary preferences. These plant-based RTD coffee options are expanding the market, appealing to vegans and lactose-intolerant individuals.
2. Smart Vending Machines: Companies are incorporating AI-driven vending machines that offer personalized coffee experiences. These innovations enhance customer engagement and convenience, promoting the growth of RTD coffee in public spaces.
3. Subscription Models: Brands are adopting subscription services, offering regular deliveries of customized coffee, which is helping drive customer loyalty and consistent revenue streams.

Market Challenges

1. Intense Market Competition: The RTD coffee market is highly competitive, with numerous global and regional players vying for market share. This competition often leads to price wars and challenges in differentiating products.
2. Regulatory Constraints: Stringent regulations related to product formulations, health claims, and marketing strategies can limit innovation and complicate market entry for new players. Complying with diverse regional regulations across Europe also adds complexity for manufacturers.
3. Supply Chain Disruptions: Global supply chain challenges, such as the volatility in the cost and availability of raw materials (e.g., coffee beans, packaging materials), can impact production timelines and cost stability, affecting profitability.
4. Consumer Price Sensitivity: While there is a growing demand for premium RTD coffee, many consumers remain price-sensitive, particularly in times of economic uncertainty. Balancing premium offerings with affordable options poses a challenge for brands targeting mass markets.
5. Changing Consumer Preferences: Consumer preferences are continuously evolving, with increasing demand for health-conscious, functional, and sustainable products. Brands must remain agile and continuously innovate to meet these shifting demands, requiring significant investment in research and development.
6. Distribution and Logistics Issues: Expanding the reach of RTD coffee in diverse markets, especially in Southern and Eastern Europe, presents logistical challenges. Ensuring consistent availability across various regions requires robust distribution networks and investment in local market infrastructure.

Market Opportunities

1. Growing Demand for Premium Products: The increasing willingness of consumers to invest in high-quality, artisanal coffee presents a significant opportunity for brands to expand their premium RTD coffee offerings, such as single-origin and organic coffee blends.
2. Health and Wellness Trend: There is a rising demand for functional beverages with added health benefits, such as low-sugar, low-calorie, and nutrient-enriched coffee. This trend offers opportunities for brands to innovate with products containing adaptogens, probiotics, and other health-boosting ingredients.
3. Plant-Based and Dairy-Free Alternatives: The growing number of vegan, lactose-intolerant, and health-conscious consumers presents a major opportunity for brands to expand their portfolio with plant-based RTD coffee options. This segment is gaining traction, as consumers seek dairy-free, sustainable alternatives.
4. E-commerce Growth: The increasing popularity of online shopping and subscription services presents a significant opportunity for RTD coffee brands to reach a broader audience. E-commerce platforms enable brands to tap into new markets and expand their customer base with customized offerings.
5. Sustainability and Eco-Friendly Packaging: With sustainability being a key concern for consumers, brands that invest in eco-friendly packaging solutions, such as recyclable bottles and biodegradable materials, have the chance to strengthen brand loyalty and cater to environmentally conscious buyers.
6. Geographic Expansion: The growing demand for RTD coffee in Southern and Eastern Europe offers brands opportunities to tap into underpenetrated markets. As awareness of RTD coffee products increases in these regions, brands can capitalize on new sales opportunities.
7. Innovative Vending and Smart Coffee Solutions: Technological advancements, such as AI-driven vending machines and personalized coffee experiences, offer an opportunity for brands to enhance customer engagement and expand RTD coffee consumption in public spaces and offices.

RECENT STRATEGIES & DEVELOPMENTS IN THE MARKET

Product Innovation and Flavors:

• Over 200 new RTD coffee products were launched in 2023, focusing on unique flavors and health benefits, such as added probiotics, adaptogens, and plant-based ingredients.
• Notably, the hazelnut flavor has gained popularity, with more than 650 coffee shops across Europe offering hazelnut-flavored cold brews.

Expansion of Premium RTD Coffee Segment:

• The premium RTD coffee segment is experiencing rapid growth, with sales reaching 1 billion euros in 2024, driven by consumer demand for high-quality, artisanal coffee experiences.
• Single-origin and organic espresso products have become key offerings, aligning with consumer preferences for ethically sourced and premium ingredients.

Sustainability Focus:

• Over 70% of new RTD coffee products introduced in 2024 featured eco-friendly packaging solutions, addressing the growing consumer demand for sustainable products.
• The rise of plant-based RTD coffee options also aligns with environmental and ethical concerns, with millions of units sold in 2024.

Increased Investment in RTD Coffee Startups:

• The RTD coffee sector saw significant investment, with 500 million euros injected into startups and research initiatives focusing on innovation, sustainability, and new product development.

E-commerce Growth:

• The e-commerce channel for RTD coffee is expanding rapidly, accounting for over a billion euros in sales in 2024. Online sales are expected to continue driving growth as more consumers purchase RTD coffee through digital platforms.

Geographic Expansion:

• Sales in Southern and Eastern Europe increased by 100 million euros in 2023, as consumer awareness and availability of RTD coffee products improved, offering significant growth opportunities for brands.

Technological Advancements in Vending Machines:

• The development of AI-driven vending machines has enhanced consumer engagement, with over 5,000 AI-powered espresso machines deployed in urban centers, providing personalized coffee experiences. This has led to increased demand for RTD coffee in public spaces.

KEY BENEFITS FOR STAKEHOLDERS

For Manufacturers:

• Increased Market Opportunities: The growing demand for health-conscious, premium, and sustainable beverages offers manufacturers the opportunity to diversify their product lines and tap into new consumer segments.

• Innovation in Product Offerings: By adopting trends like plant-based ingredients, functional benefits (e.g., probiotics, adaptogens), and eco-friendly packaging, manufacturers can stay competitive and attract loyal customers.
• Higher Profit Margins: Premium and organic products are gaining traction, allowing manufacturers to command higher prices and improve profitability.

For Investors:

• Attractive Growth Prospects: The Europe Ready-to-Drink (RTD) Coffee Market is expected to grow at a CAGR of 6.85% from 2025–2030, providing significant investment returns, especially in the premium and sustainable segments.
• Innovation-Driven Returns: As brands increasingly focus on innovation, including new flavors, packaging solutions, and tech-driven experiences (AI vending), investors stand to benefit from early-stage involvement in emerging trends.
• Expansion in Untapped Regions: With sales rising in Southern and Eastern Europe, investors can gain from early investments in markets that are still expanding.

For Consumers:

• Access to High-Quality, Convenient Products: Consumers benefit from the growing availability of premium, convenient, and ready-to-consume beverages that align with health and sustainability trends.
• Customization and Personalization: With the rise of personalized coffee experiences through AI-powered vending and subscription models, consumers can enjoy tailored products based on individual preferences.

For Retailers:

• Expanding Consumer Base: As the demand for RTD coffee grows, especially in e-commerce and off-trade channels, retailers can capitalize on increased consumer interest and boost sales through expanded product offerings.
• Increased Foot Traffic: With innovations such as AI vending machines and specialty products like plant-based and functional coffees, retailers can attract more customers, enhancing store visits and online traffic.

For Distributors:

• Growing Demand for Distribution Channels: As sales of RTD coffee surge, distributors can benefit from increased demand to supply diverse products across supermarkets, convenience stores, online platforms, and automated vending solutions.

At DigiRoads Research, we emphasize reliability by employing robust market estimation and data validation methodologies. Our insights are further enhanced by our proprietary data forecasting model, which projects market growth trends up to 2030. This forward-thinking approach ensures our analysis not only captures the current market landscape but also anticipates future developments, equipping stakeholders with actionable foresight.

We go a step further by offering an exhaustive set of regional and country-level data points, supplemented by over 60 detailed charts at no additional cost. This commitment to transparency and accessibility allows stakeholders to gain a deep understanding of the industry’s structural and operational dynamics. By providing exclusive and hard-to-access data, DigiRoads Research empowers businesses to make informed strategic decisions with confidence.

In essence, our methodology and data delivery foster a collaborative and data-driven decision-making environment, enabling businesses to navigate industry challenges and capitalize on opportunities effectively.

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Table of Contents

• INTRODUCTION

  • Market Overview
  • Years Considered for Study
  • Market Segmentation
  • Study Assumptions and Definitions
  • Market Scope

• RESEARCH METHODOLOGY

• MARKET OUTLOOK

  • Executive Summary
  • Market Snapshot
• Market Segments 
  • By Product
    • Espressos 
    • Lattes
    • Ginseng
    • Guarana
    • Yerba Mate
    • Acai Berry
    • Others
  • By Flavor
    • Hazelnut
    • French Vanilla
    • Peppermint
    • Mocha
    • Butterscotch
    • Caramel
    • Pumpkin Spice
    • Others
  • By Region:
    • UK
    • Germany
    • France
    • Italy
    • Spain
    • Poland
    • Russia
    • Rest of Europe

• COMPETITIVE LANDSCAPE

• Recent Strategies (Key Strategic Moves)
• Market Share Analysis
• Company Profiles
  • Nestlé S.A.
  • Arla Foods Group
  • Emmi AG
  • Luigi Lavazza S.p.A.
  • Britvic PLC
  • Crediton Dairy Ltd
  • illycaffè S.p.A.
  • Cargill, Incorporated
  • Costa Limited
  • PepsiCo, Inc.
  • Asahi Group Holdings, Ltd.

• MARKET DYNAMICS

  • Market Drivers
  • Market Challenges
  • Market Opportunities
  • Porter’s Five Forces’ Analysis
    • Bargaining Power of Suppliers
    • Bargaining Power of Buyers
    • Threat of New Entrant
    • Threat of Substitutes
    • Competitive Rivalry

• GLOSSARY OF PROMINENT SECONDARY SOURCES

• DISCLAIMER

• ABOUT US