Oat Milk Market Research Report - Forecast till 2027

Oat Milk Market Research Report: Information By Product Type (Plain and Flavored), Category (Organic and Conventional), Packaging Type (Cartons, Bottles and Others), Distribution Channel (Store Based, Non-Store Based) and by Region - Forecast till 2027

ID: MRFR/F-B & N/8738-HCR | February 2021 | Region: Global | 90 pages

Oat Milk Market Scenario


Oat Milk Market size is projected to reach approximately USD 2.2 Billion by 2026, with a CAGR of 6.2% from 2020 to 2026. Oat milk is plant-based milk derived from whole oat grains by extracting the plant material using water. Rising awareness regarding the importance of health and wellness has resulted in the growing adoption of oat milk among consumers. Oat milk is widely consumed due to its various health benefits, such as lowering blood cholesterol levels, preventing anemia, and boosting immunity. Oat milk is used as an alternative to dairy milk in tea, smoothies, coffee, and various health drinks. According to the Good Food Institute and the Plant-Based Foods Association, oat milk sales in the US surged by a staggering 686% in 2019. The increasing availability of oat milk at organized retail stores is an important factor fueling the sales of oat milk.


Furthermore, the rising demand for oat milk in the preparation of functional foods is expected to boost sales in the oat milk market. Various innovations by key market players are driving the growth of the market. For Instance, in July 2020, Oatly launched organic, plant-based oat drinks in four flavors. Manufacturers are expanding their product portfolios by introducing oat milk in their range of products. In 2019, Chobani expanded its product portfolio by launching new products, including oat milk. Overall, the global outlook towards oat milk products is expected to remain positive during the forecast period.


The outbreak of the COVID-19 pandemic has affected the lives of people across the globe and impacted various industries. The pandemic has severely restricted the growth of most sectors in the global economy, and the dairy-alternative industry is no exception. The supply chains of oat milk have been disrupted, as many countries are under lockdown and have sealed their borders to curb the spread of the coronavirus. Strict containment measures imposed by governments of various countries to control the impact of the outbreak have led to significant restrictions on transportation.


Market Synopsis


Oat Milk Market has witnessed high growth in recent years. The consumers’ preference for plant-based foods due to their several health benefits is driving the growth of the global market. Rising health consciousness among the consumers has led to an increase in the demand for low-fat milk, which is anticipated to provide lucrative opportunities for the global market players. To cater to the trending consumer needs, market players are focused on launching various types and flavors of oat milk.


Market USP


Increasing awareness regarding the health benefits of oat milk


Market Drivers



  • Increase in Awareness regarding the Health Benefits of Oat Milk: Increasing consumer awareness regarding the health benefits of oat milk has played a major role in driving the growth of the oat milk market. Oat milk has a lower fat content as compared to cow milk and goat milk. It offers various health benefits such as lowering cholesterol levels and providing essential calcium, which strengthens bones.



  • Increase in the Consumption of Oat Milk in Functional Foods



  • Effective Marketing Strategies



  • Rising Prevalence of Lactose Intolerance



  • Growth of the Organized Retail Sector in Developing Countries



  • The Advent of eCommerce Platforms


Market Restraints



  • High Prices

  • Availability of Substitutes


Segmentation


By Product Type



  • Plain



  • Flavored: The flavored segment accounts for the major share of the global oat milk market. The consumers mainly prefer flavored oat milk due to its taste. Oat milk manufacturers are introducing innovations in the form of different flavors and packaging of the products to boost the demand for oat milk among the consumers.


By Category



  • Organic: The organic oat milk segment is expected to be the fastest-growing segment during the forecast period. Organic oat milk products are naturally rich in fiber and beta-glucans (soluble fiber) and reduce bad cholesterol in the body. Currently, organic milk is being preferred by consumers as compared to conventional milk.



  • Conventional


By Distribution Channel



  • Store-Based: The majority of oat milk is sold through store-based retailers. This segment has been further divided into supermarkets & hypermarkets, convenience stores, and others. The supermarkets & hypermarkets segment dominated the market in 2019 and is anticipated to remain dominant during the forecast period.



  • Non-Store-Based


By Region



  • North America



  • Europe: Europe dominated the global oat milk market in 2019 with the increase in awareness regarding the health benefits of oat milk among the consumers. Germany is the leading market for oat milk in Europe. This share is expected to increase rapidly during the forecast period with frequent product innovations by several key players in the European market.



  • Asia-Pacific: Asia-Pacific accounted for a substantial share of the oat milk market. The presence of the oat milk industry in China, Japan, and South-East Asian countries has created lucrative opportunities for the existing players. Growing concerns regarding maintaining healthy lifestyles among the consumers have fueled the demand for oat milk in this region. Additionally, the advent of many eCommerce channels, coupled with the advent of standardized, organized channels in emerging economies, is expected to boost the demand for oat milk in the Asia-Pacific market during the forecast period.



  • Rest of the World


Key Players



  • Oatly (Sweden)

  • Rise Brewing (US)

  • Happy Planet Foods (US)

  • Thrive Market. (US)

  • Califia Farms (US)

  • PepsiCo (US)

  • Elmhurst (US)

  • Pacific Foods (US)

  • Danone (US)

  • Chobani (US)



Report Scope:
Report Attribute/Metric Details
  Market Size

  • 2026: USD 2.2 Billion
  • 2027: Significant Value
  •   CAGR   6.2% (2020-2027)
      Base Year   2019
      Forecast Period   2020-2027
      Historical Data   2018
      Forecast Units   Value (USD Billion)
      Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
      Segments Covered   Product Type, Category, Packaging Type and Distribution Channel
      Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
      Key Vendors   Oatly (Sweden), Rise Brewing (US), Happy Planet Foods (US), Thrive Market. (US), Califia Farms (US), PepsiCo (US), Elmhurst (US), Pacific Foods (US), Danone (US), Chobani (US)
      Key Market Opportunities   Rising health consciousness among the consumers has led to an increase in the demand for low-fat milk
      Key Market Drivers

  • Increase in Awareness regarding the Health Benefits of Oat Milk
  • Increase in the Consumption of Oat Milk in Functional Foods
  • Effective Marketing Strategies
  • Rising Prevalence of Lactose Intolerance


  • Frequently Asked Questions (FAQ) :


    The willingness to try non-dairy milk, such as oat milk is estimated to bolster the market.

    Rise Brewing (US), Happy Planet Foods (US), Califia Farms (US), Oatly (Sweden), Thrive Market (US), and PepsiCo (US) are the companies transforming the market.

    The European regional market is estimated to spur market development in the forecast period.

    The market is foreseen to display a CAGR of 6.2% in the forecast period.

    An income of USD 2.2 Billion by 2026 is predicted in the market.