The North American paper cups market size witnessed significant growth and is expected to grow at a CAGR of around 2.8% during the forecast period (2023-2031)
A paper cup is a disposable cup typically covered with wax or plastic to stop liquid from seeping through the paper or leaking out. It is subjected to high heat during production to sterilize it and kill any hazardous microorganisms. Customers are converting to paper cups as they save time due to busy lifestyles and long workdays. This is accelerating the need for paper cups in North America and the growing trend of takeaway services.
Due to busy customers' out-of-home consumption, paper cups are the most popular disposable food and beverage container. Restaurants, cafes, and coffee chains, which use paper cups, also drive industry growth. Businesses can brand and personalize paper cups, increasing their popularity. Starbucks, Dunkin' Donuts, and Tim Hortons provide hot and cold beverages in disposable paper cups to satisfy their on-the-go customers in North America. According to the National Coffee Association's 2020 National Coffee Data Trends research, 62% of Americans drink coffee daily, mostly outside the home. On-demand food delivery and QSRs are growing, increasing paper cup demand.
Consumers and businesses want eco-friendly alternatives to paper cups and other single-use items. Reusable cups threaten paper cup sales. Many coffee shop customers bring their reusable cups. Coffee businesses and companies that offer discounts or incentives for bringing their mugs support this trend. Starbucks' "Bring Your Own Tumbler" program gives customers a discount for using their cups. This decrease in paper cup consumption affects market growth.
Consumers are actively looking for eco-friendly substitutes to lessen the environmental impact. Starbucks and McDonald's collaboration to create a 100% recyclable and compostable cup illustrates North America's desire for environmentally friendly packaging. Both businesses agreed that environmental issues needed to be addressed and worked together on the NextGen Cup Challenge, a project to develop eco-friendly cup options. This collaboration shows how committed the sector is to fostering innovation in environmentally friendly packaging, including paper cups.
The North American paper cups market is segmented 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 domain segment dominates the market and is expected to grow at a CAGR of 3.0% during the forecast period.
The market is further segmented by cup type into Hot Beverage Cups and Cold Beverage Cups.
Hot Beverage Cup dominated the market and is expected to register a CAGR of 2.3% over the forecast period.
The market is further segmented by wall type into Single Wall, Double Wall, and Triple Wall.
The Double wall domain segment dominates the market and is expected to grow at a CAGR of 2.5% during the forecast period.
The market is further segmented by application into Food and Beverages, Institutional, Events, and Others.
Food and Beverages dominated the market and are expected to register a CAGR of 3.6% over the forecast period.
The market is further segmented by distribution channel into Online, Offline.
The Offline domain segment dominates the market and is expected to grow at a CAGR of 2.7% during the forecast period.
The North American paper cups market is analyzed by country in the U.S. and Canada. The U.S. dominated the market and is expected to grow at a CAGR of 2.8% during the forecast period.
The region's rapidly growing chain restaurants and cafés, luring countless tourists who enjoy drinking coffee and other beverages on the go, are the main drivers of the North American paper cup market.
The U.S. paper cup market is a booming sector supported by several factors. The market for paper cups is still quite strong due to a sizable consumer base and a strong restaurant industry. The market gains from the food service sector's strong presence, sustainability initiatives, customization options, technology improvements, and a positive customer mindset. Manufacturers are anticipated to concentrate on sustainable practices, innovation, and satisfying the changing demands of U.S. businesses and consumers as the industry expands.
Canada, like many other places, is placing more of an emphasis on sustainability and environmental awareness. Paper cups are a common alternative to plastic cups, that are more in demand due to this. To lessen their impact on the environment, Canadian businesses and consumers are adopting the usage of recyclable and compostable paper cups. A sizable fraction of the population in Canada regularly consumes coffee, demonstrating the country's vibrant coffee culture. Coffee shops and cafes sell hot and cold beverages in disposable cups, increasing the demand for paper cups. The appeal of coffee chains and specialty coffee shops further fuels the market.
Report Metric | Details |
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CAGR | 2.8% |
Forecast Period | 2023-2031 |
Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends |
Segments Covered |
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