Europe Paper Cups Market Size, Share & Trends Analysis Report By Cup Type (Hot Paper Cups, Cold Paper Cups), By End-User Industry (Quick Service Restaurants, Institutional, Other End-Users), By Wall Type (Single Wall Paper Cups, Double Wall Paper Cups, Triple Wall Paper Cup), By Cup Capacity (Up to 150 ml, 151 to 350 ml, 351 to 500 ml, Above 500 ml), By Sales Channel (Supermarket/Hypermarket, Distributor, Departmental/Specialty/Discount Stores, Online Sales) and By Country(U.K., Germany, France, Italy, Russia, Nordic, Benelux, Rest of Europe) Forecasts, 2024-2032

Market Overview

The Europe paper cups market size witnessed significant growth and is expected to grow at a CAGR of around 3.1% during the forecast period (2023-2031)

Paper cups are frequently used to serve food and drinks such as coffee, tea, soft drinks, soups, instant noodles, sweet corn, etc. Their excellent durability and liquid resistance can be credited to their appeal. Paper cups also make it easy to drink on the go without worrying about cleaning, saving water and time. They also have the benefits of being biodegradable, user-friendly, lightweight, hygienic, recyclable, and non-toxic. Currently, Europe is the third-largest market for paper cups.

A rise in on-the-go consumption drives Europe’s paper cup market. The shift towards reusable alternatives acts as a restraint for this market. On the other hand, increasing awareness regarding the negative effects of plastics acts as an opportunity for this market.

Market Dynamics

Europe paper cups market drivers

Rise in on-the-go consumption

Cities like London, Amsterdam, and Berlin, where people lead busy lives and are frequently on the go, have a high demand for takeout beverages. Coffee shops and cafés provide hot and cold beverages in paper cups to satisfy this desire. Numerous drinks are offered in paper cups by Pret A Manger, a popular coffee and food chain in Europe, so customers can enjoy their drinks while traveling or taking a stroll in the neighborhood. This emphasis on being mobile has increased demand for paper cups as a useful and portable packaging option.

Europe paper cups market restraints

Shift towards reusable alternatives

Reusable alternatives are hampering the European paper cup industry. The popularity of travel mugs and thermos flasks is rising as people become more concerned about the environment. Paper cups and reusable mugs are competitors in some European nations. The KeepCup has become a sustainable substitute for paper cups in Europe. A reusable glass or BPA-free plastic cup with a spill-proof top and thermal insulation is the KeepCup. This product has been accepted by environmentally conscious consumers who favor reusable cups over throwaway paper cups. In certain European nations, consumers choose reusable cups less frequently than single-use paper cups.

Europe paper cups market opportunities

Increasing awareness regarding negative effects of plastics

Sustainable alternatives and efforts to reduce plastic waste have increased across Europe. The "Plastic-Free July" movement from Australia has gained traction worldwide, particularly in Europe. This campaign urges individuals and businesses to stop using single-use plastics in July, especially plastic cups. Several European cafes, restaurants, and event planners distributed paper cups in July and beyond as part of this program.

Regional Analysis

The Europe paper cups market is analyzed by countries in Germany, France, the UK, Italy, Spain, and the Rest of Europe. Germany holds the major share and is expected to grow at a CAGR of 3.8% during the forecast period.

During the projection period, Europe is expected to rise quickly as packaging producers turn their attention, among other things, to bio-based packaging. The increased need for flexible packaging solutions across various end-user sectors also assists in the regional market’s growth. The market is expanding due to the popularity of outdoor activities and the ease of the product’s single-use design. Additionally, the consumption rate will likely rise as more families in this region take family vacations. For instance, statistics from the American Automobile Association suggest that approximately 100 million Americans took family vacations in the United States at some point in 2019.

The United Kingdom is anticipated to create a potential for incremental growth worth USD 20 million over the projected period. Since coffee is one of the most consumed beverages in the country, paper cup sales are expected to increase as coffee consumption does. The British Coffee Association reported that 98 million cups of coffee were consumed daily in the UK in 2021, 76% being the standard cup. Coffee is often sold in small amounts or through vending machines. Therefore, consumption will eventually impact the global paper cup market. Paper cups must be used to serve and drink coffee. The consumption of coffee will likely increase as a result of increased sales in the UK.

Segmental Analysis

The Europe paper cups market is based on size, cup type, wall type, application, distribution channel, and country.

The market is further segmented by size into Less Than 8 Oz, 8-12 Oz, and More Than 12 Oz.

The 8-12 Oz holds the major share of the market and is expected to grow at a CAGR of 3.3% during the forecast period. To fit beneath the spout of automatic coffee makers, 8-12 oz mugs have a capacity of between 10 and 12 ounces. Paper cups of this medium or standard size have been the standard for tea and other hot beverages for decades. Some coffee shops may use this measurement to streamline their operations to serve tiny, regular, and medium-sized amounts in the same cup. The market is further segmented by cup type into Hot Beverage Cups and Cold Beverage Cups.

The market is further segmented by cup type into Hot Beverage Cups and Cold Beverage Cups.

Hot Beverage Cup holds the major share of the market and is expected to register a CAGR of 2.6% over the forecast period. The anti-blocking and thermally insulating PE resin covering on the heated paper cup is only a portion of the cup's overall construction. According to the International Coffee Organization, coffee is one of the most widely consumed drinks in the world.

The market is further segmented by wall type into Single Wall, Double Wall, and Triple Wall.

The Double wall domain segment holds the major share of the market and is expected to grow at a CAGR of 2.8% during the forecast period. Due to the cups ' durability and stiffness, the double wall paper cup market is expected to grow rapidly in the next years as demand rises across the food and beverage sector.

The market is further segmented by application into Food and Beverages, Institutional, Events, and Others.

Food and Beverages hold the major share of the market and are expected to register a CAGR of 3.9% over the forecast period. Due to the growing popularity of eating in restaurants, the food and beverage industry is expected to capture a sizable portion of the worldwide market in the coming years. This trend was especially pronounced among millennials between 25 and 40. In addition, several popular restaurant chains are teaming up with companies in the food and drink industry. Demand for paper cup packaging is expected to increase due to this partnership.

The market is further segmented by distribution channel into Online, Offline.

The Offline domain segment holds the major share of the market and is expected to grow at a CAGR of 3.1% during the forecast period. Offline consumers shop at stores, markets, and warehouse clubs. A retail location is a storefront that sells consumer goods and services in smaller numbers to locals. Companies that serve as retailers typically buy in bulk from manufacturers or wholesalers at deep discounts, then resell those products to consumers at much higher prices.

Recent Developments

• March 2023- Huhtamaki and Sporting Kansas City collaborated to eliminate Children’s Mercy Park waste.
• March 2023- Ethisphere, a leader in establishing and expanding the norms of ethical business practices, named International Paper (NYSE: I.P.), a global manufacturer of environmentally friendly packaging, pulp, and other fiber-based products, as one of the 2023 World’s Most Ethical Companies.