South American Ice Cream Market_农业食品与水产加工_环球市场

South American Ice Cream Market Analysis

The South America Ice Cream Market is expected to register a CAGR of 1.5% during the forecast period.

Indulgence and impulse purchase havebeen the most important drivers for ice cream consumption in South Americadue to the inherent nature of the product.
Health and wellness trends have led to the inclination of consumers toward low fat, lactose-free variants, and calcium-rich variants. Thus, gluten-free, low-sugar and small portion ice creams are now in demand in South America.Ice cream companies are tapping into the market opportunity by offering these products that help people achieve these desires.
Though the growth in production is stable, ice cream is still a product regarded as best consumed when temperatures are high.Thus, theconsumption of ice cream in the Brazilian market seasonally declines.In order to overcome this issue,there is a rise in the trend of premium ice creams. For instance, Bacio di Latte wasone of the pioneers of this trend in Brazil.

South American Ice Cream Market Trends

Active Participation of Medium and Small Enterprises in Brazil

In order to gain competitive advantage and cater to the rising demand for economically priced ice cream, country level players are differentiating their offerings in terms of flavor, ingredients, size, packaging design, and marketing initiatives. For instance, in 2018, there were around 8000 players operating in Brazil ice cream industry, out of which around 7,200 were micro and small enterprises. Small enterprises have a significant presence in the ice cream market of Brazil, especially in the market for popsicles, as they come up with the offerings that fulfill the need of local customers. Owing to such a competitive market, small players are adopting various strategic moves in order to broaden their presence. For instance, Sorvetes Jundiá Indústria e Comércio Ltda and Sorveteria Creme Mel SA are slowly increasing their penetration.

Growing market for Frozen Desserts and Hybrid Products in Argentina

The Argentine ice cream market is mature and offers a wide choice of products. As the demand for ice cream is driven by consumer desire, ice cream companies are tapping into this trend by offering products that help people achieve these desires. In order to gain market share, existing companies are changing their product portfolio by introducing novel products. For instance, a new trend that will continue to be popular in the coming years is the trend of hybrid products, i.e. ice cream in combination with cakes, cookies, marshmallows, etc. The Argentine frozen desserts market was valued at USD 0.15 billion in 2016, and is forecasted to reach USD 0.35 billion by 2024, registering a CAGR of 11.17% over the forecast period. Chilled dairy desserts have been a preferred substitute for the Argentines; but there has been strong growth in the purchase of impulse ice cream in the country, due to considerable volume growth of companies, such as Nestle Argentina SA and Arcor SAIC in this sector.

South American Ice Cream Industry Overview

The most active players in the South American ice cream market are Kibon, a brand owned by Unilever, Nestlé, Arcor SAIC and Jundiá. The main brands of South American premium ice cream are Diletto, Mil Frutas, and Frutos do Brasil. Presence of many large and small scale vendors make this market highly fragmented, with players who compete for innovation, product development, pricing, and distribution. These players are competing in terms of flavor, ingredients, size, packaging design, and marketing initiatives. The major strategies adopted by the companies operating in the South America ice cream market are new product development, launches, agreements/ partnerships, expansions, and acquisitions.

South American Ice Cream Market Leaders

Arcor
Heladeria Grido
Nestle
Frutos Do Brasil
Unilever
*Disclaimer: Major Players sorted in no particular order