Saudi Arabia Coffee Market size is projected to grow at CAGR of 6.2% during 2021-2027

Arabica beans are expected to hold the largest revenue share in Saudi Arabia coffee market during the forecast period- 6Wresearch

Saudi Arabia coffee market witnessed substantial growing during the past years on account of growing young population, rising adoption of western culture combined with increasing number of foreign tourists. Additionally, Arabica garnered the maximum revenue share for the year 2020 and would maintain its dominance in the forthcoming years, owing to high demand from F&B industry due to low caffeine content and high lipid content & acidic in nature.  However, Robusta would witness considerable growth in the upcoming years, on account of high demand of black coffee among health-conscious people. Further, due to pandemic spread of COVID-19 across the nation, the coffee market observed an unexpected hike in revenues, especially during the early months of lockdown as inhabitants started an unnecessary stocking of packed food items which also includes coffee pouches and sachets.

According to 6Wresearch, Saudi Arabia Coffee Market size is projected to grow at CAGR of 6.2% during 2021-2027.Presently, central region acquires the maximum share in terms of revenues on account of higher residential & working-class population relatively to other regions, couple with presence of commercial offices and working places around Riyadh city. However, western region would witness substantial growth in the upcoming years of Saudi Arabia coffee market, on account of rising number of tourists footprints due to the presence of famous Hajj places in Mecca & Medina, which in turn, would foster the demand for coffee from cafes, coffee houses, food outlets and restaurants & hotels.

According to Apoorva Sawhney, Senior Research Analyst, 6Wresearch, “Based on distribution channels, prior to pandemic, café and food services segment held the highest share in revenues of Saudi Arabia coffee market, on account of heavy customer foot fall in such establishments and buildings. However, due to the spread of pandemic COVID-19 in the recent year 2020, hypermarket & supermarket acquired the maximum share in terms of revenues, as the above-mentioned places were completely closed under the lock-down policy adopted by the Saudi Arabian government, therefore, hypermarkets and supermarkets witnessed an unreasonable hike in revenues of coffee market.

“Further, as social distancing becomes a new norm, therefore, online channel of distribution would witness significant growth in the forthcoming years, owing to availability of contact-less buying and digital payment options.” Apoorva added further.

According to Srajan Yadav, Research Associate, 6Wresearch, “Based on coffee types, presently, ground coffee holds the majority of revenue share in the overall coffee market of Saudi Arabia, owing to better taste, essence, and presence of high antioxidant, due to less processing stages, therefore, ground coffee is highly demanded in cafes, coffee shops, restaurants and food outlets. Additionally, due to re-opening of such places along with new opening of cafes, coffee houses, restaurants and food outlets, the demand for ground coffee would further propel in the upcoming years.”

“However, on account of ease of making in households, instant coffee would witness substantial growth in coming years.” Srajan concluded.

Some of the major companies in Saudi Arabia Coffee Market includes Nescafe, Klassno, Davidoff and such other players.

Saudi Arabia Coffee Market (2021-2027)-report provides an in-depth analysis with more than 38 figures and 3 tables covered in more than 85 pages.” The report estimates and forecast the overall Saudi Arabia Coffee Market by revenues, bean types, coffee types, distribution channel, applications and regions. The report provides an unbiased and detailed analysis of the on-going trends, opportunities/high growth areas and market drivers which would help the stakeholders to device and align their market strategies according to the current and future market dynamics.

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