Flavored Yogurt Market

Flavoured Yogurt Market Analysis

The Flavored Yogurt Market is expected to register a CAGR of 6.73% during the forecast period.

During the COVID-19 outbreak, transportation was disrupted and flavored yogurt was short-supplied. As people became more health-conscious following the COVID-19 pandemic, their consumption of flavored yogurt increased. It is therefore anticipated that the market will grow at a healthy rate in the next few years. Furthermore, North American and European consumers have higher purchasing power, contributing to the growth of market's value. Over the last few years, yogurt has become one of the most popular dairy fermented foods in the region. Additionally, the food and beverage industry is experiencing a dramatic increase in the demand for innovative and exotic flavors around the world, as well as in the yogurt industry as a whole.

Moreover, there is a growing demand for healthy food and beverages among consumers. Consequently, plant-based yogurts have become a very popular food item in the last few years and has become a very popular diet in people's diets as a result of the shift in healthy eating habits as well as the increased popularity of yogurt as a healthy dessert item. Hence the market players are launching new innovative products to gain the market share. For instance: In January 2021, The Collective announced the launch of their plant-based range of dairy-free, live Greek-style yogurt alternatives that are available in four different flavors in the United Kingdom. Moreover, Fruit yogurts and flavored yogurts are increasingly replacing plain yogurt as it contains the same functional properties as plain yogurts as a result of innovations in product offerings, which is further boosting the demand for flavored yogurt.

Flavoured Yogurt Market Trends

Rising demand for Plant-based yogurt

Globally, the consumption of plant-based flavored yogurt with lower lactose content is rising owing to the proliferation of the lactose intolerance population around the world. According to the United States National Library of Medicine, Around 65% of the world's population is lactose intolerant, and that number is consciously rising. In wake of growing lactose intolerance around the globe, a variety of new products are being introduced by brands to address consumers' needs. There is increasing interest in dairy-free flavored yogurts made with plant-based products like soy, oats, coconuts, rice, and others.

Moreover, the demand for plant-based yogurt is rising continuously globally. According to the 2021 United States retail sales data for the plant-based industry by the Plant Based Food Association found that, over the past few years, consumers have purchased more plant-based foods than ever before. According to a report by Good Food Institute, the sales of plant-based foods have grown by 54% since 2018. As plant-based food sales grew this past year, consumers showed a clear commitment to purchasing food that tastes good and aligns with their values, as well as being better for their health, the planet, supply chain workers, and animals. Some brands are positioning their products beyond the plant-based category with additional functional claims such as a high protein content or probiotic properties and the introduction of new flavors. Many countries have successfully adopted this trend, including the United States, United Kingdom, India, China, Brazil, Poland and others.

Asia-Pacific is the Fastest Growing Region

The Flavoured Yogurt market in Asia-Pacific is experiencing rapid expansion. In the coming years, the fast-paced developing economies in the region are expected to boost the industry's growth. Moreover, there is no doubt that the continued expansion of the food and beverage industry in major countries in the Asia Pacific like India and China will ensure the continuous market growth of flavored Yogurts in the future. Moreover, this market is driven by changing lifestyles, increasing disposable incomes, and the growing popularity of flavored yogurts owing to their gut health benefits. Additionally, the increasing popularity of ready-to-eat foods and the innovation of new products are some of the factors contributing to the success of flavored yogurt in the region. For instance, in May 2022, Jooma, a Chinese plant-based yogurt brand, recently launched a coconut yogurt line and revamped its almond yogurt recipe, in addition to color-coding its various products to appeal to a wider market.

Flavoured Yogurt Industry Overview

Considering the presence of big players and large investment amounts, this market imposes a moderate to the high entry barrier. A large amount of research and development is invested by these market players to provide the best eatable products to the consumers and to gain an edge over their competitors. A number of mergers and acquisitions, as well as the expansion of big players in the market into different regional markets, are further driving the market for flavored yogurt. For Instance, in March 2021, Agropur Cooperative's Canadian yogurt business, Ultima Foods, has been acquired by Lactalis Group subsidiary Lactalis Canada in order to strengthen its long-term investment in the country and the Canadian food processing sector.

Major players in the market include General Mills, Inc., Nestle SA, Danone, Inc., Fonterra Co-operative Group Limited, and Chobani Inc., among others holding a substantial share of the market, studied and executing business strategies including product innovations, partnerships, and online and offline marketing as well as mergers and acquisitions. In recent years, there has been an increase in market players expanding their product portfolios by launching new flavors, new packaging designs, and high-quality products.

Flavoured Yogurt Market Leaders

Flavoured Yogurt Market News

• In March 2022, Muller Yogurt & Desserts launched its latest Australian-inspired yogurt in the United Kingdom. It is a creamy yogurt that has a 3-in-1 fruit blend in the corner, including a mixture of mango, passionfruit, and coconut.
• In 2021, Danone's Silk launched plant-based Greek yogurt. The company launched greek yogurt in four varieties: Strawberry, Blueberry, Vanilla, and Lemon.
• In September 2020, General Mills expanded its yogurt products portfolio by debuting its Ratio brand of yogurt, made with ultrafiltered nonfat milk and whey protein, the dairy-based snack contains 25 grams of protein and 3 grams of sugar per serving. The range is available in five flavors, including strawberry, vanilla, blueberry, coconut and key lime.