Keurig is advancing the single-serve coffee evolution with new compostable plant-based plastic and aluminum-free coffee pods. Filled with ground-roasted coffee, K-Rounds are wrapped and pressed in a coating primarily made from alginate and can be disposed of like regular coffee grounds. If the revolutionary eco pods receive official compostable certification, Keurig will have won a massive victory in the battle against coffee capsule waste.
Keurig Dr Pepper struck a deal with Delica Switzerland to acquire a perpetual license to the know-how and technology used in their CoffeeB system which is distributed in Europe. This multi-year collaboration has resulted in the innovations of the pod, appliance, and manufacturing design and processes. The partnership with Delica gives KDP the exclusive rights to utilize and advance these technologies for consumers in the U.S., Mexico, and Canada.
The state-of-the-art Keurig Alta brewer is capable of brewing both K-Rounds and traditional coffee capsules. From bold shots of espresso to cold brews, the new system and rounds can make a variety of barista-quality beverages. The pods are wrapped in an odorless and tasteless coating derived from seaweed that does not affect the coffee’s aroma or flavor. The plastic-free pods come in various sizes capable of making different beverages. Each round is marked with a code that the Keurig Alta brewer reads to determine the exact amount of pressure and extraction needed to produce the desired effect. Once brewed the rounds can be discarded like coffee grounds or added to home compost piles.
In a release from KDP, Chairman and CEO Bob Gamgort shared, "Thirty years ago, Keurig changed the way consumers brewed coffee, with the introduction of the K-Cup pod single-serve coffee system. Today, we are applying all our expertise to create a revolutionary new system that will redefine how consumers will brew coffee for decades to come. Our ambitious agenda reflects our commitment to providing variety, quality, value, and sustainability to the 45 million North American coffee consumers who currently use Keurig brewers and the millions of potential new households who will discover the benefits of a perfect cup of coffee prepared effortlessly in their home."
The global coffee capsule market is now worth $13.77 billion. According to a study by the Business Research Company, the capsule market is projected to reach $15.24 billion by 2024 with a composed annual growth rate (CAGR) of 10.7% and is expected to be worth $21.53 billion by 2028. The popularity of single-serve coffee is attributed to the consumer's desire to recreate the coffee shop experience at home. In 2022 the European coffee capsule market was the largest by region with Asia-Pacific demonstrating a CAGR of 8.1% between 2023 and 2029. North America is forecasted to increase at a CAGR of 7.2% during that same period.
However, there is a downside to the coffee capsule boom in the form of waste generated by plastic and aluminum pods. It’s estimated that the annual global footprint from coffee capsule waste is around 576,000 metric tons. While companies have been offering recyclable or partially compostable capsules for the last few years the problem of waste remains. Due to the small size of plastic capsules, most recycling facilities or material recovery facilities (MRFs) are incapable of sorting them. One of Keurig’s competitors, Halo sells biodegradable paper coffee capsules and estimates that 39,000 capsules are produced every minute around the world. Of those 39,000 around 29,000 end up in landfills. Scientists estimate that it takes up to 500 years for small plastics like capsules to decompose in landfills.
Once proven to be fully compostable, Keurig’s new eco-friendly K-Rounds might just be the answer to the coffee capsule waste conundrum.