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US Cups & Lids Market

  • August 2016
  • 218 pages
  • Freedonia
Report ID: 703630

Summary

Table of Contents

US Industry Study with Forecasts for 2020 & 2025

With advances driven by trends favoring single-serve packaging and convenience, US demand for cups and lids is expected to increase 3.9 percent per year to $10.6 billion in 2020. As consumers continue to exhibit preference for healthier snacks and innovative beverage offerings, there will be greater demand for higher value disposable cups and lids that project a premium image or emphasize the product’s portability. Find out more about the market potential for cups and lids in the US in Freedonia’s new study.

This study will answer the questions::
- Which raw materials have the greatest opportunities for growth?
- How will environmental concerns and regulations affect the demand for disposable cups and lids?
- How are changes in foodservice beverage offerings changing demand for cups and lids?


Description

Packaging cups post fastest gains
Packaging cups will post the most rapid gains through 2020. As it becomes more common to snack throughout the day rather than prepare meals, healthy foods that are portable and pre-packaged will continue to gain favor. Packaging products in this way can also drive revenues for food producers, as it allows items to be sold at a premium. Fresh fruits and vegetables have seen some of the largest gains attributable to this trend. Cups used for coffee and tea will see the fastest growth of any major packaging market due to the popularity of single cup brewing systems (though growth has moderated in recent years based on market maturity), and packaging cups for dairy products continue to show favorable increases due to the popularity of premium yogurt.

Convenience still a key feature
The foodservice industry will continue to demand the largest share of cups and lids. Demand will be sustained by the convenience of carryout meals and the expansion of quick service menus to include more products traditionally served in cups. Moreover, value gains will be supported by demand for more environmentally friendly products, which are produced utilizing compostable materials and are sold at a premium.

Coffee demand will drive cup gains
Hot beverage cups will see healthy gains, driven by the popularity of premium coffee and the use of high-value insulated paper cups. The mix of raw materials has changed considerably over the past decade, primarily for environmental reasons, as a number of foodservice chains have transitioned away from polystyrene foam and many cities have introduced bans on the sale or use of polystyrene foam.

The largest beneficiary of these changes has been the paper cup, which is expected to show the fastest gains through 2020 and will continue to hold the largest share of the drinking cup market. There has also been wider use of clear plastic cups, which allow for greater visibility of the beverage.

Study coverage
Cups & Lids offers historical demand data (2005, 2010, 2015) plus forecasts (2020, 2025) by product for cups (drinking, food, packaging, portion, other) and lids (drinking, flexible, plastic), as well as by market (foodservice, food and beverage packaging, retail and other). The study also considers key market environment factors, assesses industry structure, evaluates company market share and profiles US industry players.

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