Non-dairy cheese is a plant-based alternative crafted for those seeking a lactose-free option. Made from ingredients like nuts or soy, it mimics traditional cheese flavors and textures, offering a delicious dairy-free experience.
The non-dairy cheese market has witnessed significant growth, fueled by the increasing demand for plant-based alternatives driven by health and environmental concerns. The competitive landscape of this market is characterized by a mix of established players and emerging companies, each contributing to the expansion and diversification of the non-dairy cheese segment.
Key Players:
Daiya Foods Inc.
Galaxy Nutritional Foods Inc.
Otsuka, Violife Foods
Tofutti Brands Inc.
Bute Islands Foods Ltd
Wayfare foods
Strategies Adopted:
The non-dairy cheese market deploy various strategies to navigate the competitive landscape. Product innovation is a focal point, with companies continuously introducing new non-dairy cheese formulations, flavors, and textures to replicate the sensory experience of traditional dairy cheese. Strategic partnerships with retailers and foodservice providers ensure widespread availability and accessibility of non-dairy cheese products. Marketing efforts emphasize the plant-based, cruelty-free, and sustainable aspects of non-dairy cheese, appealing to consumers seeking ethical and environmentally friendly alternatives.
Market Share Analysis:
The non-dairy cheese segment involves considering several key factors. Brand recognition and consumer trust play a crucial role, with consumers often gravitating toward non-dairy cheese from well-established and reputable companies. Distribution networks and collaborations with grocery stores and restaurants contribute significantly to market share, ensuring that non-dairy cheese products are prominently displayed and accessible to consumers. Pricing strategies, taste profiles, and responsiveness to regional preferences also play a pivotal role in influencing market share dynamics in the competitive non-dairy cheese market.
News & Emerging Companies:
The non-dairy cheese market has seen the emergence of new players capitalizing on the rising popularity of plant-based diets. Start-ups such as New Culture and Grounded Foods have entered the market, offering innovative non-dairy cheese alternatives with a focus on sustainability and unique ingredients. These emerging companies contribute to the diversification of the non-dairy cheese segment, introducing novel products and catering to niche markets with specific preferences for artisanal and locally sourced non-dairy cheese alternatives.
Industry Trends:
The non-dairy cheese market reflect the evolving landscape of consumer preferences and the emphasis on innovation and sustainability. Key players are actively investing in research and development to create new non-dairy cheese formulations that align with evolving dietary trends, such as organic, gluten-free, and allergen-friendly options. Investments in sustainable packaging and production practices are gaining prominence, aligning with the increasing consumer demand for environmentally conscious and ethically produced non-dairy cheese products. Additionally, companies are exploring digital marketing strategies and e-commerce channels to enhance their market reach, adapting to the changing dynamics of consumer shopping behaviors in the non-dairy cheese segment.
Competitive Scenario:
The competitive scenario in the non-dairy cheese market is dynamic, with companies continually adapting to changing consumer preferences and market trends. The focus on health, sustainability, and cruelty-free options has intensified competition, prompting companies to highlight the quality and ethical aspects of their non-dairy cheese products. The battle for shelf space in supermarkets and collaboration with foodservice establishments further heightens the competitive landscape, leading companies to differentiate themselves through marketing, branding initiatives, and a commitment to providing non-dairy cheese options that meet the evolving needs of consumers.
Recent Development
The non-dairy cheese market witnessed a significant development. Daiya Foods announced a strategic collaboration with a renowned plant-based chef to create a limited-edition line of gourmet non-dairy cheese flavors, aiming to elevate the perception of non-dairy cheese as a premium culinary choice. Violife expanded its non-dairy cheese portfolio with the launch of a new line featuring regional-inspired flavors, catering to diverse tastes and preferences across different markets.
Miyoko's Creamery invested in sustainable and regenerative agriculture practices for the sourcing of its plant-based ingredients, reinforcing its commitment to environmental responsibility. Tofurky collaborated with a leading foodservice chain to introduce a non-dairy cheese pizza option, capitalizing on the increasing demand for plant-based alternatives in the mainstream dining sector. Follow Your Heart made headlines with the acquisition of a local non-dairy cheese brand known for its innovative formulations, strengthening its presence in specific geographic markets. These developments underscore the competitive nature of the non-dairy cheese market, with companies actively innovating and adapting to meet evolving consumer expectations and secure their positions in this dynamic and plant-forward industry.
The Non-Dairy Cheese Market Size was valued at USD 1.7 Billion in 2022. The non-dairy cheese market industry is projected to grow from USD 1.83 Billion in 2023 to USD 3.34 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 7.80% during the forecast period (2023 - 2032). Increasing lactose intolerance is driving up demand for plant-based cheese, and growing reluctance to consume animal products for moral reasons. Their shift to healthier and cleaner goods is the key market driver enhancing the market growth.
Source Secondary Research, Primary Research, MRFR Database and Analyst Review
Market CAGR for the non-dairy cheese market is driven by lactose intolerance, also known as congenital lactase deficiency, a condition where the small intestine cannot produce enough lactase or cause it to digest or metabolize lactose properly. Undigested lactose can move to the large intestine and cause serious health problems, with bloating, diarrhea, and gas as the initial symptoms. About 65% of adult humans have this kind of lactose intolerance, according to the World Population Review from 2023. The demand for non-dairy cheese and other lactose-free goods has significantly increased recently. This is due to the increasing prevalence of lactose intolerance throughout the world.
Customers are thinking about going vegan as a sustainable and healthy option. As a result, its appeal has grown recently. The market for non-dairy cheese will grow due to consumers’ reluctance to consume animal products for moral reasons and their shift to healthier and cleaner goods. The major market players are pouring much money into R&D while concentrating on product innovations and launches in line with consumer trends. For instance, Upfield introduced the vegan cheese brand Violife in the Middle East in July 2021. The product is a lactose- and allergen-free dairy alternative in two flavors—cheddar and mozzarella—in slices, boxes, and grated form. demand for vegan cheese is driven by changing consumer food preferences and developing trends in the food and beverage sector. Recent years have seen a shift in consumer food preferences due to increased cases of lactose intolerance and other food-related allergies among children and adults. According to data from the Food Intolerance Network, approximately 70 percent of people worldwide are lactose intolerant.
The hotel/restaurant/café (HoReCa) industry is anticipated to grow due to millennials' propensity for veganism and vegetarian diets. To encourage a healthy lifestyle, vegan restaurants, for instance, have been established all over Saudi Arabia. The concern over the carbon footprint caused by an animal-based diet and the rising awareness of animal cruelty have encouraged consumers to choose plant-based products. In addition, excluding meat, the vegan population abstains from all items derived from animals, such as cheese, milk, cream, yogurt, and even honey, which will help the market expand. Thus, driving the non-dairy cheese market revenue.
Based on product type, the non-dairy cheese market segment includes mozzarella, parmesan, cheddar, cream cheese and others. The mozzarella segment dominated the market, as it is a fresh type of cheese called smoked mozzarella, smoked over open wood fires. It is well known that it came from Spain and Italy. The smoking process unaffected the taste, flavor, or shelf life of the product. Smoked mozzarella can be used in various dishes, including pasta, pizza toppings, and many other foods, as it has no detrimental effects on the cooking process.
Based on the source, the non-dairy cheese market segment includes soy, almond, coconut, rice and others. The soy segment dominated the market. Soya non-dairy cheese can be used instead of dairy cheese in sandwiches and wraps. You can add it to your preferred fillings by slicing or grating it as a vegan alternative. For a pizza topping, soy cheese can be shredded. It has a gooey, satisfying texture, melts, and stretches like dairy cheese.
Based on distribution channels, the non-dairy cheese market segment includes store-based and non-store-based. The store-based category generated the most income. A large selection of non-dairy cheese is frequently available at large chain supermarkets and grocery stores. Dedicated dairy sections are available in these stores, where you can find a variety of cheeses, including smoked varieties. Seek them out in the specialty cheese sections or the chilled cheese aisle. Many smoked cheeses can be found in delicatessens and delis, specializing in gourmet and high-quality foods. Usually, these shops have a cheese counter or a chilled display with various special kinds of cheese, such as non-dairy cheese.
Figure 1: Â Non-Dairy Cheese Market, by Distribution Channel, 2022 & 2032 (USD Billion)
Source Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American non-dairy cheese market area will dominate this market; the demand for vegan cheese in this area is being driven by changing consumer food preferences and developing trends in the food and beverage industry. In recent years, consumers' food preferences have changed due to increased lactose intolerance and other food-related allergies among children and adults.
Further, the major countries studied in the market report are the US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: Â NON-DAIRY CHEESE MARKET SHARE BY REGION 2022 (USD Billion)
Source Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe’s non-dairy cheese market accounts for the second-largest market share due to the increased awareness of animal cruelty and the region's growing carbon footprint as a result of the consumption of foods derived from animals, such as milk, honey, eggs, meat, pork, and seafood, consumers are increasingly choosing more environmentally friendly and vegan products. Further, the German non-dairy cheese market held the largest market share, and the UK non-dairy cheese market was the fastest-growing market in the European region.
The Asia-Pacific Non-Dairy Cheese Market is expected to grow at the fastest CAGR from 2023 to 2032. Product sales are anticipated to be boosted by the rising demand for plant-based bakery and confectionery items in the Asia Pacific region. China, Japan, and Australia are the main drivers as the Asia-Pacific market expands. Moreover, China’s non-dairy cheese market held the largest market share, and the Indian non-dairy cheese market was the fastest-growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the non-dairy cheese market grow even more. Market participants are also undertaking various strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. The non-dairy cheese industry must offer cost-effective items to expand and survive in a more competitive and rising market climate.
Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the non-dairy cheese industry to benefit clients and increase the market sector. The non-dairy cheese industry has offered some of the most significant medical advantages in recent years. Major players in the non-dairy cheese market, including Daiya Foods Inc., Galaxy Nutritional Foods Inc., Otsuka, Violife Foods, Tofutti Brands Inc., Bute Islands Foods ltd, Wayfare Foods and others, are attempting to increase market demand by investing in research and development operations.
Daily Foods Inc, Daily Food Co. is a micro business in Saudi Arabia. Started Maestro Pizza a few years ago, a neighborhood pizzeria that has expanded from a single local pizzeria to a fantastic pizzeria serving all major cities across the nation. The Daily Food Co. was founded in 2013 when we had our modest beginnings. We started as a small neighborhood pizzeria, i.e., Within three years, Maestro Pizza transformed into a thriving national phenomenon.
Bute Island Foods LTD, since the company began 30 years ago, Bute Island Foods has been committed to providing vegan food. To learn more about how the acclaimed dairy-free Sheese was created and the changes the company has undergone to continue providing the best dairy, gluten, and animal-free vegan foods we can, read the backstory here. A soy-based cheese substitute called Sheese was created with modest artisan beginnings at a kitchen table in a farmhouse. It is Cheddar in style. The first official production of hand-crafted Sheese was started in the entire animal and dairy-free facility, which Bute Island Foods completely renovated from top to bottom. Sheese quickly gained popularity, leading to the addition of seven additional flavors to give consumers a wider variety to choose from. Sheese became available in many European nations due to consumer demand, starting with Sweden, Germany, and Holland. It was made by hand for a long time, down to the precise weighing and shaping of each item with a hand press.
For Instance, March 2022 Upfield introduced the Violife vegan cheese brand in the Middle East. The product line is an allergen-free substitute for dairy products and comes in slices, boxes, and grated forms in two flavors, including cheddar and mozzarella.
For Instance, February 2021 An assortment of plant-based ingredients, including cultured cashew nuts and other ingredients, are used to create the plant-based cream cheese line that Treeline Cheese has introduced. Plain, chive and onion, and strawberry are the three flavors offered.
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)