Certified Global Research Member
Isomar fd.webp Wcrc 57.webp
Key Questions Answered
  • Global Market Outlook
  • In-depth analysis of global and regional trends
  • Analyze and identify the major players in the market, their market share, key developments, etc.
  • To understand the capability of the major players based on products offered, financials, and strategies.
  • Identify disrupting products, companies, and trends.
  • To identify opportunities in the market.
  • Analyze the key challenges in the market.
  • Analyze the regional penetration of players, products, and services in the market.
  • Comparison of major players’ financial performance.
  • Evaluate strategies adopted by major players.
  • Recommendations
Request Free Sample
Why Choose Market Research Future?
  • Vigorous research methodologies for specific market.
  • Knowledge partners across the globe
  • Large network of partner consultants.
  • Ever-increasing/ Escalating data base with quarterly monitoring of various markets
  • Trusted by fortune 500 companies/startups/ universities/organizations
  • Large database of 5000+ markets reports.
  • Effective and prompt pre- and post-sales support.
Speak to Analyst

Functional Ice Cream Market Research Report Information By Flavor Type (Chocolate, Vanilla, Blends, and Others), By Claim (Lactose-Free, Low-Fat, Low-Calorie, and Others), By Distribution Channel (Store-Based {Supermarkets & Hypermarkets, Online Retail, and Others} and Non-Store-Based), By Claim (Lactose-Free, Sugar-Free, Vegan, Multi-Claim, and Others) And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) – Market Forecast Till 2032.


ID: MRFR/F-B & N/9275-HCR | 90 Pages | Author: Snehal Singh| April 2024

Global Functional Ice Cream Market Overview


The functional ice cream market size was valued at USD 0.21 billion in 2022. The functional ice cream industry is projected to grow from USD 0.23 Billion in 2023 to USD 0.44 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 8.56% during the forecast period (2023 - 2032). The rising demand for innovative flavors and types and the increasing health consciousness among consumers in developing countries are the key market drivers enhancing market growth.


Functional Ice Cream Market


Source Secondary Research, Primary Research, MRFR Database, and Analyst Review


Functional Ice Cream Market Trends


Rising Expenditure on R&D and Digitalization to Boost the Market Growth


The rising expenditure by prominent players on the research and development of innovative products is anticipated to impact market growth positively. For instance, in January 2022, Unilever Group launched vegan stick bars, magnum vegan classic, and magnum vegan almond in mini-sized multi-packs. Companies are actively investing in digitalization to increase their consumer base. The market players focus on digital channels to generate awareness of their brands and products. Major companies are planning to shun traditional media spend and invest their finances into ads on social media platforms, including Instagram and Facebook. Besides, influencer marketing has been an effective strategy used to reach the target audience. It mostly includes millennials and fitness & health-conscious consumers and has enhanced the functional ice cream market CAGR globally in recent years.


Further, increasing market players' interest in fortifying and adding functional ingredients can encourage consumers to choose the product as a healthy snack option. Functional foods deliver benefits beyond basic nutrition and may play a major role in decreasing or minimizing the risk of certain diseases. The rising production of fortified or functional products is expected to increase the consumption of the product globally. Healthy product options, such as fortified, low-fat, and many others, are easily available in the market as the producing companies have adopted proper branding techniques. These companies contact consumers with local distribution options such as hotels, restaurants, and malls. The easy availability of the product, along with the rising expenditure on such fast foods driving the functional ice cream market revenue growth.


Additionally, consumer awareness and desire for functional products are projected to fuel the growth of the functional ice cream market worldwide. Functional ice cream has been popular for several years, and health-conscious consumers, such as athletes, have primarily consumed it. Because of the high production costs and initial investments, the prices of functional ice cream are higher than those of traditional ice cream. This may impact consumer acceptance in the early stages, but new firms joining the market can improve competition and, as a result, buyer power in the long run.


Functional Ice Cream Market Segment Insights


Functional Ice Cream Type Insights


The functional ice cream market segmentation, based on type, includes chocolate, vanilla, blends, and others. The vanilla segment dominated the market, accounting for 35% of market revenue (0.08 Billion). In developing economies, category growth is driven by increasing product innovations and the rising consumer for convenient product options. However, chocolate is the fastest-growing category due to the growing preference for functional ice cream and the increasing importance of innovative and different flavors.


Functional Ice Cream Claims Insights


The functional ice cream market segmentation, based on claims, includes lactose-free, sugar-free, vegan, multi-claim, and others. The lactose-free category generated the most income (70.4%) due to the rise in demand for the development of lactose-free ice cream. According to a report issued in The Times of India in May 2020, 60% to 65% of the residents in India were lactose intolerant. However, vegan is the fastest-growing category over the forecast period due to growing consumer preference for vegan and natural ingredients in functional ice cream.


Functional Ice Cream Distribution Channel Insights


The functional ice cream market segmentation, based on distribution channels, includes store-based {supermarkets & hypermarkets, online retail, and others} and non-store-based. The store-based category generated the most income over the forecast period owing to increasing consumer curiosity for new flavors. The growing popularity of sundaes, a diverse range of flavors, and the availability of various products in retail stores. However, non-store-based is the fastest-growing category over the forecast period due to increased mobile adoption and broadband penetration, especially in emerging economies.


Figure 1: Functional Ice Cream Market, by Distribution Channel, 2022 & 2032 (USD Million)


Functional Ice Cream Market, by Distribution Channel, 2022 & 2032


Source Secondary Research, Primary Research, MRFR Database, and Analyst Review


Functional Ice Cream Regional Insights


By Region, the study provides market insights into North America, Europe, Asia-Pacific, and Rest of the World. The North American functional ice cream market will dominate due to the prominent companies that have changed their product portfolio according to consumers' interests and demands. Functional ice cream, which was widely considered an indulgent type in the past, has now changed to a stage where it is largely and happily perceived as a snacking option by consumers. Further, the US functional ice cream market held the largest market share, and the Canadian functional ice cream market was the fastest-growing market in the North American 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 3: FUNCTIONAL ICE CREAM MARKET SHARE BY REGION 2022 (%)


FUNCTIONAL ICE CREAM MARKET SHARE BY REGION 2022


Source Secondary Research, Primary Research, MRFR Database, and Analyst Review


The European functional ice cream market accounts for the second-largest market share over the forecast period. People in this region have become more conscious related their health and thus have been changing their preference for healthy food alternatives over conventional products. Further, the Germany functional ice cream market held the largest market share, and the UK functional ice cream market was the fastest-growing market in the European region.


The Asia-Pacific functional ice cream market is expected to grow at the fastest CAGR from 2023 to 2032. The region has been witnessing huge demand, especially from young consumers. Key manufacturers have been launching a range of products to cater to the growing preference for premium products. Moreover, China's functional ice cream market held the largest market share, and the Indian functional ice cream market was the fastest-growing market in the Asia-Pacific region.


Functional Ice Cream Key Market Players & Competitive Insights


Prominent market players are spending a lot of money on R&D to expand their product lines, which will help the functional ice cream market grow even more. Market participants are also taking various strategic initiatives to grow their footprint globally, with key market developments such as new product introductions, contractual agreements, mergers and acquisitions, product innovation, increased investments, and collaboration with other organizations. Competitors in the functional ice cream industry must offer cost-effective items to enhance and survive in an increasingly competitive and growing market environment.


Manufacturing locally to reduce operating costs is one of the primary business strategies manufacturers adopt in the functional ice cream industry to benefit clients and expand the market sector. The functional ice cream market major player such as Unilever (UK), General Mills Inc. (US), Blue Bell Creameries (US), and others are working on expanding the market demand by investing in research and development activities.


Unilever Plc is a manufacturer and supplier of fast-moving consumer goods. The company's product portfolio comprises food products, beauty, and personal care products, beverages, home care products, vitamins, minerals, and supplements. It markets products under the Bango, Ben & Jerry's, Hellmann's, Knorr, Magnum, The Vegetarian Butcher, Wall's, Axe, Dove, Lifebuoy, Lux, Rexona, Sunsilk, Domestos, Omo, Seventh Generation, Equilibra, Liquid IV, and SmartyPants brand names. It markets products to bricks and mortar store partners, small family-owned shops, online retailers, and value retailers. In January 2022, Unilever announced the launch of a new vegan ice cream under its magnum brand in Germany. The newly added vegan classic, vegan almond, and vegan hazelnut crunch bars are available on retail shelves across the country.


Dreyer's Grand Ice Cream, Inc, is an American ice cream firm founded in 1928 in Oakland, where its present-day headquarters office remains. The firm's two signature brands, Dreyer's Grand Ice Cream and Edy's Grand Ice Cream, are known after its founders, Joseph Edy and  William Dreyer. The Dreyer's brand is marketed in the Western US and Texas. In June 2021, Dreyer's Grand Ice Cream, Inc., a California-based ice cream manufacturing company and part of Nestle S.A., invested nearly USD 145 million to expand its production plant in Fort Wayne.


Key Companies in the Functional Ice Cream market include



  • Nestle S.A. (Switzerland)

  • Unilever Group (U.K.)

  • General Mills (US.)

  • Amul (India)

  • Dunkin Brands (US.)

  • Blue Bell Creameries (US.)

  • Dairy Queen (U.S.)

  • Dairy Farmers of America, Inc. (US.)

  • Cold Stone Creamery. (US.)

  • CAMAL Ltd Company (Azerbaijan)


Functional Ice Cream Industry Developments

For Instance, March 2022 Yuengling's Corporation, an American Functional Ice Cream manufacturing company, acquired Revolution Desserts, LLC, an Atlanta-based ice-cream manufacturing firm that owns Gelato Fiasco, Art Cream, Sweet Scoops, and SoCo Creamery brands. Revolution Desserts works in more than 600 retail stores globally.


For Instance, January 2022 The Ice Cream Factory, an ice cream manufacturing company in the US, expanded its manufacturing footprint by buying an 86,000-square-foot factory in Missouri. The firm invested nearly USD 9 million and is anticipated to create 130 new jobs over the next five years.


For Instance, January 2021 Northern Bloc, a leading manufacturer of plant-based desserts, secured an investment of USD 1.7 million. Northern Bloc will invest the funding to increase its production capacity, strengthen the team, and focus on brand experience across retail.


Functional Ice Cream Market Segmentation


Functional Ice Cream Flavor Type Outlook



  • Chocolate

  • Vanilla

  • Blends

  • Others


Functional Ice Cream Claim Outlook



  • Lactose-Free

  • Sugar-Free

  • Vegan

  • Multi-Claim

  • Others


Functional Ice Cream Distribution Channel Outlook


  • Store-Based

    • Supermarkets & Hypermarkets

    • Online Retail

    • Others



  • Non-Store-Based


Functional Ice Cream Regional Outlook


  • North America

    • US

    • Canada




  • Europe

    • Germany

    • France

    • UK

    • Italy

    • Spain

    • Rest of Europe




  • Asia-Pacific

    • China

    • Japan

    • India

    • Australia

    • South Korea

    • Australia

    • Rest of Asia-Pacific




  • Rest of the World

    • Middle East

    • Africa

    • Latin America






  •  

  •  

  •  

  •  

  •  

  • Beta


Beta feature



  •  

  •  

  •  

  •  

  •  

  • Beta


Beta feature

Functional Ice Cream Report Scope
Report Attribute/Metric Details
Market Size 2022 USD 0.21 billion
Market Size 2023 USD 0.23 billion
Market Size 2032 USD 0.44 billion
Compound Annual Growth Rate (CAGR) 8.56% (2023-2032)
Base Year 2022
Market Forecast Period 2023-2032
Historical Data 2019 - 2021
Market Forecast Units Value (USD Billion)
Report Coverage Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends
Segments Covered Flavor Type, Claim, Distribution Channel, and Region
Geographies Covered North America, Europe, Asia Pacific, and Rest of the World
Countries Covered The U.S, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil
Key Companies Profiled Nestle S.A. (Switzerland), Unilever Group (UK), General Mills (US), Amul (India), Dunkin Brands (US), Blue Bell Creameries (US), Dairy Queen (U.S.), Dairy Farmers of America, Inc. (U.S.), Cold Stone Creamery. (US), and CAMAL Ltd Company (Azerbaijan)
Key Market Opportunities The increasing health consciousness among consumers
Key Market Dynamics Rising demand for innovative flavors


Functional Ice Cream Market Highlights:

  • Frequently Asked Questions (FAQ) :

    The functional ice cream market size was valued at USD 0.21 Billion in 2022.

    The market is projected to grow at a CAGR of 8.56% during the forecast period, 2023-2032.

    North America had the largest share of the market

    The key players in the market are Unilever (UK), General Mills Inc. (US), Blue Bell Creameries (US), Nestlé (Switzerland), Lotte Confectionery Co. Ltd (South Korea), Mars Inc. (US), Amul (India), and Amy’s Functional Ice Cream (US).

    The vanilla category dominated the market in 2022.

    The lactose-free had the largest share in the market.

    The store-based had the largest share in the market.

    Leading companies partner with us for data-driven Insights
    client_1 client_2 client_3 client_4 client_5 client_6 client_7 client_8 client_9 client_10
    Kindly complete the form below to receive a free sample of this Report
    Please fill in Business Email for Quick Response

    We do not share your information with anyone. However, we may send you emails based on your report interest from time to time. You may contact us at any time to opt-out.

    Request Free Sample
    Purchase Option
    Single User $ 4,950
    Multiuser License $ 5,950
    Enterprise User $ 7,250
    Compare Licenses
    Tailored for You
    • Dedicated Research on any specifics segment or region.
    • Focused Research on specific players in the market.
    • Custom Report based only on your requirements.
    • Flexibility to add or subtract any chapter in the study.
    • Historic data from 2014 and forecasts outlook till 2040.
    • Flexibility of providing data/insights in formats (PDF, PPT, Excel).
    • Provide cross segmentation in applicable scenario/markets.
    Ask for Customization