Flavored Milk Market Size was valued at USD 4.8 billion in 2022. The Flavored Milk market is projected to grow from USD 5.0 Billion in 2023 to USD 6.5 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 4.6% during the forecast period (2023 - 2030). Increase in demand for lactose-free products globally and emerging economies are raising the per capita income of individuals working are some of the market drivers expected to drive the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Individuals' fast-paced lifestyles have resulted in an increase in consumption of ready-to-drink beverages. Consumers are constantly looking for products that meet their dairy nutrition needs while they are on the go. As a result of this trend, ready-to-drink products such as flavored milk are in high demand among consumers. Because of the nutritional benefits associated with flavored milk, the urban population is more interested in consuming flavored drinks than carbonated drinks these days. Flavored drink manufacturers are working hard to make their packaging easy for consumers to carry with them wherever they go, as well as appealing to a younger demographic.
Major market players are focusing on instilling innovation into their products by producing organic flavored milk that contains no artificial ingredients. Convenient packaging, combined with a natural product, is driving market demand for the product. For example, Yeo Valley, the largest organic brand in the United Kingdom, will launch a line of flavored milk made from organic milk in 2021. These flavored milks come in two flavors: chocolate and raspberry, and they contain no artificial sweetener, color, or flavors. Such factors driving the flavored milk market revenue and market CAGR growth during the forecast period.
Furthermore, Nestle India, the food industry's big gun, entered the fray in August 2019, adding a new flavor to the ready-to-drink milk market. Following the launch of its Fruit n Milk in Mumbai and Pune, the food giant has launched it in Delhi. The first flavors released were mango and strawberry. Dairy Plus Milk Blends, a line of blended beverages that combine lactose-free dairy with almonds or oats, was launched in September 2019 by Minneapolis-based Live Real Farms, a brand of Dairy Farmers of America (DFA), Kansas City, Kan. The line was developed in response to consumer demand for more milk alternatives.
The Flavored Milk market segmentation, based on Type, includes Chocolate, Vanilla, Strawberry, and Other. The Chocolate segment held the largest market share in 2022. Chocolate-flavored milk has been a popular drink for many years, and its popularity has continued to grow. Many people enjoy the taste of chocolate, and the addition of chocolate flavor to milk makes it more appealing to consumers. Chocolate-flavored milk is widely available in grocery stores, convenience stores, and other retail outlets. This availability makes it easy for consumers to find and purchase, further driving its popularity.
The Flavored Milk market segmentation, based on Packaging Type, includes Bottles & Jars, Cans, and Others. The bottles and jars segment holds the largest market share in the flavored milk market based on packaging type. Bottles and jars are easy to handle and transport, making them a convenient option for consumers who want to take flavored milk on the go or store it in their refrigerator. Many bottles and jars can be reused, which makes them an environmentally friendly option. Consumers can also recycle them once they are finished, reducing their environmental impact. However, the combination of convenience, reusability, protection, and branding makes bottles and jars the most popular segment in the flavored milk market based on packaging type.
The Flavored Milk market data has been bifurcated by Distribution Channel into Store-Based and Non-Store-Based. The store-based segment holds the largest market share in the flavored milk market based on distribution channels. Store-based distribution channels, such as supermarkets, hypermarkets, and convenience stores, offer a wide range of flavored milk products, making it easier for consumers to find and purchase their desired products. Store-based distribution channels are often located in easily accessible locations, making it convenient for consumers to purchase flavored milk while they are doing their regular shopping.
FIGURE 1: FLAVORED MILK MARKET, BY DISTRIBUTION CHANNEL, 2022 & 2030 (USD BILLION)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. Asia-Pacific has the largest market share, followed by North America. The region's demand for flavored milk is increasing as consumers opt for healthier and more nutritious food alternatives. This has resulted in flavored milk innovation and the exploration of new flavors. Furthermore, factors like efficient and sustainable dairy production in these countries are influencing market growth. Furthermore, companies in this region have recognized the demand for functional ingredients in flavored milk.
Furthermore, they cater to low or no sugar and fat-free offerings, which meet the needs of the consumers. Manufacturers are concentrating on developing single-serving products with small packaging that provide nutrition to consumers in a convenient manner. Regional players invest in research and development to better understand regional demand and to expand their product portfolio to meet changing consumer demand. Wings Group Indonesia, a leading FMCG company in Indonesia, for example, launched ultra-high temperature (UTH) milk in chocolate and strawberry flavors in 2020, expanding the company's ready-to-drink product portfolio. Further, the China Flavored Milk market held the largest market share, and the India Flavored Milk market was the fastest growing market in the Asia-Pacific region.
Further, the major countries studied in the market report are The U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: FLAVORED MILK MARKET SHARE BY REGION 2022 (%)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review.
North America is second largest shareholder in the flavored milk market owing to factors such as increasing health consciousness, growing demand for ready-to-drink products, and the availability of various flavors and packaging options. Further, the US Flavored Milk market held the largest market share, and the Canada Flavored Milk market was the fastest growing market.
The European Flavored Milk Market is driven by growing trend towards healthier and more natural products, which has led to an increase in demand for flavored milk products that are low in sugar, fat, and calories. Further, the Italy Flavored Milk market held the largest market share, and the Germany Flavored Milk market was the fastest growing market.
The flavored milk market is highly competitive, with a few major market players such as Nestlé S.A., The Hershey Company, Danone SA, and Saputo Inc., as well as regional players such as Dean Foods and Hiland Dairy. The market is fragmented due to its dynamic nature. Mergers and acquisitions, new product innovations and launches, expansions, and partnerships are among the market developments used by the companies. Companies also compete in terms of new flavors variants and appealing packaging to attract customers. There is ample opportunity for regional players to gain a competitive advantage if they bring significant innovation at the ingredient and packaging levels, catering to changing customer demands, thereby driving Flavored Milk industry.
The Flavored Milk market major player such as Nestle S.A. (Switzerland), Danone (France), Arla Foods Amba (Denmark), Associated Milk Producers Inc. (US), Bright Food (Group) Co. Ltd (China), Dairy Farmers of America Inc. (US), Dean Foods Company (US), FrieslandCampina NV (Netherlands), Grupo Lala S.A.B. de C.V. (Mexico), Amul Industries Pvt Ltd (India), The Hershey Company (US), The Farmer's Cow (US), Meiji Holdings Co. Ltd (Japan), Hiland Dairy (US), Saputo Inc. (Canada), and Others.
Nestle S.A. is a Swiss multinational food and beverage company that operates in 190 countries around the world. The company was founded in 1866 by Henri Nestle and is headquartered in Vevey, Switzerland. Nestle S.A. is one of the largest food companies in the world and is known for its wide range of products, including dairy products, confectionery, and beverages. Nestle S.A. is a major player in the flavored milk market and offers a range of flavored milk products under its various brands, including Nesquik and Milo. In 2020, Nestle introduced a new plant-based ready-to-drink Nesquik beverage in Europe. This plant-based drink is made from oats and peas and contains less sugar than regular Nesquik.
Danone is a multinational food and beverage company based in France. The company was founded in 1919 and is known for its dairy products, bottled water, and baby food. Danone has a strong presence in the flavored milk market and offers a range of flavored milk products under its various brands, including Actimel, Danette, and Danonino. In February 2021, Danone announced the launch of a new line of flavored milk products under its Danonino brand in the Spanish market. The products are available in chocolate and strawberry flavors and are aimed at children.
November 2022: The Hershey Co., America's No. 1 milk chocolate brand, and a2 Milk Co., a premium milk company, have launched a new co-branded chocolate flavored milk. This natural chocolate milk contains nutrition as well as flavor.
June 2022: Parle Agro, an Indian beverage company, expanded its product line into the dairy category by launching Smoodh, a line of flavoured milk. This flavoured milk is said to be the first of its kind in the world, and it costs INR 10 for 85ml Tetra Pak cartons.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 4.8 billion |
| Market Size 2023 | USD 5.0 billion |
| Market Size 2030 | USD 6.5 billion |
| Compound Annual Growth Rate (CAGR) | 4.6% (2023-2030) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2030 |
| Historical Data | 2018 - 2021 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Type, Packaging Type, Distribution Channel and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and Rest of the World |
| Countries Covered | The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Nestle S.A. (Switzerland), Danone (France), Arla Foods Amba (Denmark), Associated Milk Producers Inc. (US), Bright Food (Group) Co. Ltd (China), Dairy Farmers of America Inc. (US), Dean Foods Company (US), FrieslandCampina NV (Netherlands), Grupo Lala S.A.B. de C.V. (Mexico), Amul Industries Pvt Ltd (India), The Hershey Company (US), The Farmer's Cow (US), Meiji Holdings Co. Ltd (Japan), Hiland Dairy (US), Saputo Inc. (Canada), and Others. |
| Key Market Opportunities | Growing popularity of e-commerce and online retail channels, offering new avenues for sales and distribution. |
| Key Market Dynamics | Growing consumer demand for healthier and more convenient food and beverage options Rising disposable incomes and changing lifestyles in emerging economies |
Frequently Asked Questions (FAQ) :
The Flavored Milk market size was valued at USD 4.8 Billion in 2022.
The market is projected to grow at a CAGR of 4.6% during the forecast period, 2023-2030.
Asia-Pacific had the largest share of the market.
The key players in the market are Nestle S.A. (Switzerland), Danone (France), Arla Foods Amba (Denmark), Associated Milk Producers Inc. (US).
The Chocolate segment dominated the market in 2022.
The Store-based had the largest share in the market in 2022.
Senior Research Analyst I have a bachelor's degree in mechanical engineering and an mba. i have more than two years of expertise in the retail, food, and beverage, chemical, and material industries, and hence have developed a sound cross-domain expertise. a firm believer in lifelong learning and sharing of knowledge. having a proclivity for hatching ideas and trying to absorb as much information as possible in a short amount of time. introducing corporates to the data and insight, which enables them to move from probability to possibility, has been my key areas of interest.
Get in Touch
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
