Australian Coffee Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Australian Coffee Market Report is Segmented by Product Type (Whole Bean, Ground Coffee, Instant Coffee, and Coffee Pods and Capsules) and Distribution Channel (Hypermarkets/Supermarkets, Convenience Stores, Online Retail Stores, and Other Distribution Channels). The Report Offers Market Size and Values in (USD) During the Forecast Years for the Above Segments.

Australian Coffee Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Australia Coffee Market Size

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Australia Coffee Market Summary
Study Period 2019 - 2030
Base Year For Estimation 2024
Forecast Data Period 2025 - 2030
Market Size (2025) USD 1.64 Billion
Market Size (2030) USD 2.17 Billion
CAGR (2025 - 2030) 5.73 %
Market Concentration Low

Major Players

Australia Coffee Market Major Players

*Disclaimer: Major Players sorted in no particular order

Compare market size and growth of Australia Coffee Market with other markets in Food & Beverage Industry

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Australia Coffee Market Analysis

The Australia Coffee Market size is estimated at USD 1.64 billion in 2025, and is expected to reach USD 2.17 billion by 2030, at a CAGR of 5.73% during the forecast period (2025-2030).

Australia's coffee culture has evolved significantly, with consumption patterns reflecting sophisticated consumer preferences and growing awareness of premium coffee offerings. According to Coffee Affection data from 2022, Australians consumed approximately 1.91 kg of coffee per person annually, highlighting the nation's strong coffee-drinking culture. The market has witnessed a notable shift toward premium coffee and specialty coffee products, with consumers increasingly valuing quality and origin stories. This premiumization trend has led to a surge in artisanal coffee shops and specialty coffee roasters, while major retailers have expanded their premium coffee selections to meet growing demand.


The distribution landscape continues to evolve, with major supermarket chains strengthening their position through strategic expansion and product diversification. Woolworths, a key player in the Australian retail sector, operated 1,108 stores nationwide in 2023, demonstrating the robust retail infrastructure supporting coffee retail distribution. The retail sector has responded to changing consumer preferences by expanding their specialty coffee selections and introducing private label premium coffee products. This expansion has been accompanied by significant investments in marketing and consumer engagement, as evidenced by Nestlé's increased marketing and administration expenses, which rose from CHF 16,850 million in 2022 to CHF 17,577 million in 2023.


Product innovation and sustainability have become central themes in the Australian coffee market, with manufacturers focusing on eco-friendly packaging and sustainable sourcing practices. In July 2023, Lavazza Australia demonstrated this trend by introducing its new locally roasted coffee bean range in Melbourne, featuring three distinct flavors in environmentally conscious packaging. The industry has also witnessed significant innovation in the ready-to-drink segment, as exemplified by Nestlé's launch of ready-to-drink iced coffee in December 2022 through its Global Coffee Alliance partnership.


The market has experienced a notable shift in consumer behavior, with Australia ranking eleventh globally in per capita coffee consumption in 2023, according to the US Department of Agriculture. This high consumption level has driven manufacturers to diversify their product offerings and distribution channels. In May 2024, Nescafe unveiled its premium Espresso Concentrate coffee in Australia, aligning with the industry's focus on convenience and premium offerings. The trend toward premiumization has been particularly evident in the coffee pods and coffee capsules segment, where manufacturers are increasingly focusing on sustainable and premium coffee options to meet evolving consumer preferences.

Segment Analysis: By Product Type

Coffee Pods and Capsules Segment in Australia Coffee Market

The coffee pods and coffee capsules segment dominates the Australian coffee market, commanding approximately 43% market share in 2024. This segment's leadership position is driven by the increasing consumer preference for convenience and premium coffee experiences at home. The segment is witnessing a surge in premiumization, with consumers showing strong interest in specialty and gourmet coffee options. A key factor contributing to its dominance is the single-use and disposable nature of coffee pods, which provides unmatched convenience in brewing. Additionally, heightened sustainability concerns are reshaping the segment, with a notable rise in demand for eco-friendly and biodegradable coffee capsules, further strengthening its market position.

Market Analysis of Australia Coffee Market: Chart for By Product Type

Ground Coffee Segment in Australia Coffee Market

The ground coffee segment is emerging as the fastest-growing category in the Australian coffee market, projected to grow at approximately 7% during 2024-2029. This remarkable growth is primarily fueled by the surging demand for organic ground coffee, reflecting consumers' increasing preference for environmentally sustainable and health-conscious products. The segment's growth is further supported by consumers' growing appreciation for organic farming practices and sustainable sourcing. Market players are responding to this trend by introducing premium ground coffee varieties and expanding their organic offerings. The segment is also benefiting from technological advancements in grinding and packaging equipment, which are revolutionizing the coffee production landscape and enhancing product quality and freshness.

Remaining Segments in Product Type Segmentation

The whole bean coffee and instant coffee segments continue to play vital roles in the Australian coffee market. The whole bean coffee segment caters to coffee enthusiasts who prefer freshly ground beans and appreciate the authentic coffee experience, with Australia's coffee production sector showing promising growth through commercial growers spread across various regions. Meanwhile, the instant coffee segment maintains its strong presence by offering convenience and quick preparation options, particularly appealing to busy professionals and households. Both segments are experiencing significant innovation in terms of product offerings, with companies introducing premium varieties, single-origin options, and sustainable packaging solutions to meet evolving consumer preferences.

Segment Analysis: By Distribution Channel

Supermarkets/Hypermarkets Segment in Australia Coffee Market

Supermarkets and hypermarkets dominate the Australian coffee market, commanding approximately 66% of the total market share in 2024. This substantial market presence is attributed to these retail formats offering extensive product selections under one roof, enabling consumers to compare different coffee products easily. Major players like Woolworths, Coles Group, and other supermarket chains have significantly expanded their store networks nationwide, with Woolworths alone operating over 1,100 stores across Australia. These retailers have also strengthened their positions through strategic collaborations with coffee companies, enhancing product visibility and accessibility. The segment's success is further bolstered by their ability to offer competitive pricing, regular promotions, and the convenience of one-stop shopping for consumers seeking various coffee products, from instant coffee to premium beans and coffee capsules.

Online Retail Segment in Australia Coffee Market

The online retail segment is experiencing remarkable growth in the Australian coffee market, projected to grow at approximately 9% during 2024-2029. This impressive growth trajectory is driven by increasing digital adoption and the convenience of doorstep delivery services. E-commerce platforms are revolutionizing coffee purchasing by offering extensive product ranges, including specialty and hard-to-find coffee variants not typically available in traditional stores. The segment's growth is further propelled by the rising trend of coffee brands launching their own e-commerce platforms, offering exclusive products and subscription services. For instance, Breville's launch of 'beanz.com' in 2023 exemplifies how digital platforms are evolving to provide not just products but also educational content about coffee brewing techniques and bean origins, creating a more engaging shopping experience for consumers.

Remaining Segments in Distribution Channel

The convenience/grocery stores segment plays a crucial role in the Australian coffee market, particularly in developing regions and remote areas where larger retail formats may be limited. These stores excel in providing instant accessibility and quick shopping experiences, making them ideal for daily and emergency purchases. The segment is characterized by strategic product displays and the availability of local and private-label coffee products. Other distribution channels, including specialty coffee shops and direct-to-consumer sales, though smaller in market share, contribute to the market's diversity by offering unique coffee beverage experiences and specialized products, catering to niche consumer preferences and maintaining the vibrant coffee culture in Australia.

Australia Coffee Industry Overview

Top Companies in Australian Coffee Market

The Australian coffee market is characterized by intense innovation and strategic developments among key players. Companies are heavily investing in product differentiation through sustainable sourcing practices, premium offerings, and specialized blends to meet evolving consumer preferences. Operational agility is demonstrated through the adoption of advanced coffee processing techniques, quality control measures, and efficient distribution networks. Market leaders are expanding their presence through both organic growth and strategic partnerships, particularly in the specialty coffee segment. The industry witnesses continuous product launches across various categories, from single-origin coffee beans to innovative coffee pods, while companies are increasingly focusing on sustainability initiatives and ethical sourcing practices to strengthen their market position.

Global Giants Dominate Local Coffee Scene

The Australian coffee market exhibits a relatively concentrated structure dominated by multinational corporations, particularly in the mainstream coffee segment. Global conglomerates like Nestlé SA and JAB Holding Company command significant market share through their established brands and extensive distribution networks, while regional players like Vittoria Food & Beverage maintain strong positions through their deep understanding of local preferences. The market has witnessed notable consolidation through strategic acquisitions, such as JDE Peet's acquisition of Campos Coffee, indicating a trend toward market concentration and vertical integration.


The competitive landscape is further shaped by the presence of premium coffee roasters and boutique brands that cater to premium market segments. These smaller players compete through product differentiation, quality focus, and strong connections with local coffee communities. The market structure encourages both collaboration and competition, with larger players often acquiring successful local brands to expand their portfolio while maintaining the authentic character of acquired brands.

Innovation and Sustainability Drive Future Success

Success in the Australian coffee market increasingly depends on companies' ability to balance innovation with sustainability commitments. Market leaders must continue investing in research and development to create unique product offerings while simultaneously strengthening their sustainable sourcing practices and reducing environmental impact. The growing importance of direct-to-consumer channels and digital presence requires companies to develop robust omnichannel strategies while maintaining strong relationships with traditional retail partners. Companies must also address the rising consumer awareness about ethical sourcing and environmental responsibility through transparent supply chains and certified products.


For emerging players and market contenders, success lies in identifying and exploiting niche market segments while building strong brand identities. The market presents opportunities for companies that can effectively differentiate themselves through unique value propositions, whether through specialized product offerings, innovative brewing technologies, or superior customer experiences. The relatively high substitution risk from alternative beverages necessitates continuous product innovation and strong brand building, while potential regulatory changes regarding coffee packaging sustainability and sourcing practices require companies to maintain adaptable business models.

Australia Coffee Market Leaders

  1. Nestle SA

  2. Vittoria Coffee Pty Ltd.

  3. JAB Holding Company

  4. Luigi Lavazza S.p.A.

  5. FreshFood Services Pty Ltd

  6. *Disclaimer: Major Players sorted in no particular order
Australia Coffee Market Concentration
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Australia Coffee Market News

  • May 2024: Nutella partnered with Lavazza to launch Nutella & Lavazza’s biscuits and coffee ‘Perfect Match.’ Lavazza also offers the Espresso Barista coffee range, which uses beans from Central and South America, Africa, and Asia and has aromatic notes of flowers, cocoa, and wood.
  • April 2024: Nescafe and Arnott teamed up to launch another Tim Tam-inspired drink, the Nescafe White Choc Mocha. The company states that the new flavors combine creamy coffee with the white chocolate taste of Tim Tam biscuits.
  • February 2024: L’OR Espresso entered a new global partnership with Ferrari. The collaboration sees L’OR Espresso embark on a new chapter alongside Ferrari in the FIA World Endurance Championship (WEC).

Australia Coffee Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET DYNAMICS

  • 4.1 Market Drivers
    • 4.1.1 Rise Of Coffee Culture
    • 4.1.2 Product Differentiation And Market Initiatives
  • 4.2 Market Restraints
    • 4.2.1 Presence Of Substitutes
  • 4.3 Porter's Five Forces Analysis
    • 4.3.1 Threat of New Entrants
    • 4.3.2 Bargaining Power of Buyers/Consumers
    • 4.3.3 Bargaining Power of Suppliers
    • 4.3.4 Threat of Substitute Products
    • 4.3.5 Intensity of Competitive Rivalry

5. MARKET SEGMENTATION

  • 5.1 Product Type
    • 5.1.1 Whole Bean
    • 5.1.2 Ground Coffee
    • 5.1.3 Instant Coffee
    • 5.1.4 Coffee Pods and Capsules
  • 5.2 Distribution Channel
    • 5.2.1 Hypermarkets/ Supermarkets
    • 5.2.2 Convenience/Grocery Stores
    • 5.2.3 Online Retail Stores
    • 5.2.4 Other Distribution Channels

6. COMPETITIVE LANDSCAPE

  • 6.1 Most Adopted Strategies
  • 6.2 Market Share Analysis
  • 6.3 Company Profiles
    • 6.3.1 Vittoria Coffee Pty Ltd
    • 6.3.2 Nestle SA
    • 6.3.3 Luigi Lavazza SpA
    • 6.3.4 JAB Holding Company
    • 6.3.5 Illycaffè SpA
    • 6.3.6 FreshFood Services Pty Ltd
    • 6.3.7 St Ali Pty Ltd
    • 6.3.8 Republica Coffee Pty Ltd
    • 6.3.9 Sensory Lab Australia Pty Ltd
    • 6.3.10 DC Roasters Pty Ltd
  • *List Not Exhaustive

7. MARKET OPPORTUNITIES AND FUTURE TRENDS

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Australia Coffee Industry Segmentation

The coffee market in Australia is segmented by product type and distribution channel. Based on product type, the coffee market is segmented into whole-bean, ground coffee, instant coffee, and coffee pods and capsules. Based on the distribution channel, the coffee market is segmented into hypermarkets/supermarkets, convenience/grocery stores, online retail stores, and other distribution channels. 

For each segment, the Australia Coffee Market size and forecasts have been done on the basis of value (in USD). 

Product Type Whole Bean
Ground Coffee
Instant Coffee
Coffee Pods and Capsules
Distribution Channel Hypermarkets/ Supermarkets
Convenience/Grocery Stores
Online Retail Stores
Other Distribution Channels
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Australia Coffee Market Research FAQs

How big is the Australia Coffee Market?

The Australia Coffee Market size is expected to reach USD 1.64 billion in 2025 and grow at a CAGR of 5.73% to reach USD 2.17 billion by 2030.

What is the current Australia Coffee Market size?

In 2025, the Australia Coffee Market size is expected to reach USD 1.64 billion.

Who are the key players in Australia Coffee Market?

Nestle SA, Vittoria Coffee Pty Ltd., JAB Holding Company, Luigi Lavazza S.p.A. and FreshFood Services Pty Ltd are the major companies operating in the Australia Coffee Market.

What years does this Australia Coffee Market cover, and what was the market size in 2024?

In 2024, the Australia Coffee Market size was estimated at USD 1.55 billion. The report covers the Australia Coffee Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Australia Coffee Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

Australia Coffee Market Research

Mordor Intelligence offers a comprehensive analysis of the coffee industry. We leverage extensive expertise in specialty coffee research and consulting. Our detailed report examines various segments, including coffee beans, instant coffee, ground coffee, and emerging trends in cold brew coffee production. The analysis covers the complete value chain, from green coffee sourcing to coffee retail distribution. It also includes coffee shop operations, coffee processing methods, and coffee packaging innovations. The report, available as an easy-to-download PDF, provides in-depth insights into organic coffee and fair trade coffee initiatives. Additionally, it explores premium coffee and gourmet coffee market dynamics.

Stakeholders across the industry, from commercial coffee vendors to coffee foodservice operators, benefit from our actionable insights. These insights cover coffee brewing equipment trends and coffee vending opportunities. The report examines the growing popularity of coffee subscription services, coffee capsule systems, and coffee pod innovations. Our analysis also addresses whole bean coffee production, roasted coffee distribution, and coffee concentrate manufacturing. Furthermore, it explores coffee extract applications and coffee beverage developments. The comprehensive coverage extends to coffee service solutions, providing valuable intelligence for strategic decision-making in the evolving Australian coffee landscape.

Australia Coffee Market Report Snapshots