Production and consumption of flavoured milk across North America is expected to witness a significant rise especially in the U.S. owing to growing consumer preferences for value added milk products such as flavoured milk and organic milk. Besides, consumers are not willing to bargain on taste, health or convenience. The flavoured milk product type segment is expected to witness significant growth in the global market and is gaining popularity as an alternative to other beverages. Increasing preference for flavoured milk as a post-exercise drink has prompted consumers to look for healthier dairy products with better taste. This is expected to fuel the consumption of flavoured milk in turn influencing the demand for ingredients required to produce fermented dairy beverages.
Growing demand for frozen and freeze dried starter dairy cultures from the global market for dairy ingredients is expected to result in increased investments in dairy products such as yogurt as well as fresh and fermented cheese. This has resulted in increasing focus of leading players in the global fermented dairy ingredients market to expand their culture manufacturing capacity. Also, competition in the sweeteners space has been witnessing a steady increase in the recent past. Stevia is a sweetener and sugar substitute obtained from the plant leaves of stevia rebaudiana and manufacturers are increasingly using this as an alternative to sugar for application in the food and beverage sector. The increasing demand for sweeteners is creating a positive impact on the overall fermented dairy ingredients market.
Increasing consumption of drinkable yogurt especially among young consumers is a primary driving factor for revenue growth of fermented dairy ingredients. Dairy ingredients add additional nutritional value and flavour to fermented products including drinkable yogurts. Drinkable yogurts have always remained popular in regions such as Central & Eastern Europe and Latin America; however, in recent years several new product launches across China, Brazil and the U.S. have resulted in increasing demand for the respective product category in the market in Asia as well.
The yogurt product type segment is anticipated to receive maximum revenue returns. Consumption of dairy products is increasing globally and consumer preferences are changing from ice-creams to yogurt and speciality cheese. For instance, as per Farm Credit Canada reports, Canada witnessed stagnant consumption of dairy products between 2005 and 2014. However, dairy products such as yogurt and cheese witnessed high growth during the said period with an increase of 34.2% and 6.4% respectively.
Yogurt product type segment expected to witness maximum growth in the near future
The yogurt product type segment is anticipated to gain more than 100 BPS by 2027 when compared to 2017 owing to factors such as growing demand for milk and milk products, which includes fermented dairy products. Also, per capita spending on dairy products is expected to drive the market growth of fermented diary beverages over the forecast period. The yogurt segment is expected to register the highest CAGR of 9.2% among the other product type segments. In terms of attractiveness index, the cheese product type segment is expected to be the most attractive market for fermented dairy ingredients exhibiting a market attractiveness index of 1.4 over the forecast period. The flavoured milk segment followed by the yogurt segment is expected to be the second and third lucrative market respectively in the global fermented dairy ingredients market with market attractiveness index of 0.9 and 0.6 recorded during the forecast period.
Key players in the global fermented dairy ingredients market are launching a variety of products to cater to the requirements of consumers. The market is classified into two segments and it has been noted that the cheese product type segment is expected to hold maximum revenue share in the global fermented diary ingredients market during the forecast period. Yogurt segment on the other hand is also expected to witness rapid growth over the period between 2017 and 2027. Our new publication titled “Fermented Dairy Ingredients Market: Global Industry Analysis (2012-2016) and Opportunity Assessment (2017 -2027) focusses on how manufacturers have understood the importance of studying customer needs and accordingly providing unique products with specific characteristics. According to our analysts, promotional strategies of various manufacturers significantly impacting the consumption of fermented dairy beverages products across the globe. We have observed that in the recent past most leading fermented dairy beverages manufacturers have started promoting their products as high quality, safe and beneficial to health. Our detailed study of the market indicates that the degree and extent of promotion is likely to increase in the near future, and in turn drive growth of fermented beverages products as well as the ingredients required to produce these products.
Per capita food expenditure will have a medium impact on the global fermented dairy ingredients market. What we have noticed here is that per capita food expenditure is increasing across the globe, which can be triangulated with constant positive growth in the food service as well as in the retail food sector. Countries with an increasing trend of per capita spending are likely to have higher influence on the global fermented dairy beverage ingredients market. Moreover, the production plant concentration of fermented dairy products is also likely to play a critical role in directing the demand for ingredients.
Decline or increase in prices during the forecast period is based on historic market trends
The key part of this report is Future Market Insights’ analysis and recommendations on the global fermented dairy ingredients market. The report begins with the executive summary, market taxonomy and market dynamics that underlines factors influencing the growth of the global fermented dairy ingredients market. Our analysts have provided key strategic recommendations for both existing and new players in the market to emerge sustainably profitable. Decline or increase in prices during the period of assessment is based on historic market trends; any decline or increase in prices over the forecasted period is kept linear across countries. The general market scenario is assumed for fermented dairy ingredients sales and driving factors are assumed to develop the market forecast. The report covers the competitive landscape that provides a dashboard view of companies manufacturing and providing services in the global fermented dairy ingredients market. The report also profiles some of the key players operating in the global fermented dairy ingredients market and presents a strategic overview of mergers and acquisitions along with their regional expansion plans.
We have segmented the global fermented dairy ingredients market as follows:
By Product Type
We have adopted a unique research methodology while studying this market
Our analysts have formulated a detailed discussion guide to interview industry experts. In-depth secondary research is used to identify top industry players, products, applications, distributors and manufacturers and also to determine overall market size and industry connotations. Data is validated using the triangulation method wherein secondary and primary research data along with our exclusive analysis are consolidated to develop the final market estimations. For secondary research, we have followed various companies’ websites, annual reports, white papers, press releases and financial reports. Paid publications such as Factiva, GBI, Genios and Meltwater have been referred.