Dairy Drinks Market Size, Share & Industry Analysis, By Type (Drinking Yogurt, Milk, Kefir, Others), By Category (Flavoured Milk, Unflavoured Milk), By Packaging (Cartons, Cans, Bottles), By Distribution Channel (Supermarkets/Hypermarkets, Convenience Stores, Specialty Stores, Online Retail) and regional Forecast, 2024-2032

Dairy drinks are the drinkable form of dairy products and are widely consumed as they possess essential nutrients and proteins. Dairy drinks are the formulated functional beverages that are incorporated with flavours, microbial cultures or minerals to enhance its taste and nutritional properties. Further, the manufacturers launching innovative products with new flavours, and added nutrients such as magnesium, antioxidants, omega fatty acids, phytosterols and others would provide further growth opportunities for dairy drinks market. For instance, In June 2019, ITC ltd. launched a new ready-to-drink milk beverage range Sunfeast Wonderz Milk, in four new variants such as Mango, Fruit ‘n’ Milk, Shakes Classic Vanilla and NutShakes Kesar Badam.

The increasing demand for drinkable yogurts owing to its unique taste and role in digestive health management has contributed in the sales performance of dairy drinks. Along with this, the easy availability of drinking yogurt in various flavours have also positively aided in the market growth.

The growing consumers demand for nutritionally-rich and convenient beverages that boost their overall health is a major factor driving the dairy drinks market growth. Further, the increase in consumption of probiotics drinks by the health-conscious consumers have also contributed in its market growth.

The growing incidences of lactose intolerance is a crucial factor impeding the market growth. According to NIH, in the US, approximately 65% of the global population is having lactose intolerance. This has led the consumers to shift towards non-dairy or plant-based drinks; this in turn is hampering the market growth.

Key Market Driver -

Increasing Consumers Inclination towards Nutritionally-rich Drinks

Key Market Restraint -

Growing Incidences of Lactose Intolerance and Substitute Availability

Key Players Covered:

The key companies operating in the global dairy drinks market are, Cargill Incorporated, Dohler GmbH, Corbion NV, Kerry Group plc, Saputo Inc., Nestle SA, Dean Foods, Chobani, GCMMF Ltd., and Fonterra Co-operative Group Limited.

The global dairy drinks market is segmented by type, category, packaging; and distribution channel. The milk segment accounted for holding the major share in the market due to its wide consumption on regular basis directly or indirectly. The category segment is led by the flavoured dairy drinks due to its high palatability and their immense popularity among the children.

On the basis of packaging segment the cartons are expected to hold the major share in the market as cartons are biodegradable in nature in addition to their ease of consumption and transportation.

The supermarkets and hypermarkets are the major sales channel for dairy drinks market. This is due to the various bundling schemes and attractive discounts offered by these mass merchandisers. Further, the convenience of shopping and presence of product distinct aisles is predicted to increase the sales of dairy drinks.

Regional Analysis:

North America is expected to hold the major share in the market owing to the growing consumption of functional beverages. Additionally, the rise in working population has led to the increase in reliance on ready-to-drink beverages which has also contributed in its regional growth. Organic dairy products are the second leading food category in the region which has further fuelled the regional growth of dairy drinks market.

Asia Pacific is anticipated to foresee substantial growth, due to the growing consumption of dairy products. India, China and Vietnam are among the highest dairy drinks consuming countries. Along with this, rise in population and increased digitalization are the key factors boosting the market growth in the region.

Europe is expected to observe significant growth in the dairy drinks market owing to the consumers growing inclination towards healthy drinks. Further, manufacturers in the country are launching new variants with added nutrients and flavours; this has led to its surging demand in the region.

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Segmentation

Key Industry Developments

• In April 2019, GCMMF Ltd.’s brand, Amul launched a milk-based beverage called ‘haldi doodh’ to boost the immunity due to its anti-bacterial and anti-inflammatory properties. The product is affordable and easily accessible immunity booster beverage available in easy-open-end cans.


• In May 2019, Beverage giant Coca-Cola Company and Fonterra, a dairy major have partnered in a strategic alliance to launch newNutriboost UHT milk range in Vietnam that comprises of three main variants-Nutriboost Kids, Nutriboost To-Go and Nutriboost Beauty.