Market Overview
Vegan yogurt is made from milk derived from nuts, seeds, and grains. Nuts used to make the product include coconut, macadamia, hazelnuts, pistachios, pili, almonds, and cashews. Seeds used in making vegan yogurt include soy, flax, and hemp, whereas grains include oats. So, manufacturers do not depend on animal-based products to make vegan yogurt. Vegan yogurt consists of fat, minerals, protein, and vitamins. As part of a balanced diet, vegan yogurt is healthier than an animal-derived product. Nuts, soy, and oats are the main ingredients in vegan yogurt. It is also a good source of sodium and vitamins such as B1, B6, and B2, which add extra nutritional value to vegan yogurt. Vegan yogurt is lower in saturated fat and calories and higher in fiber which can help a balanced, healthier diet. According to its properties, vegan yogurt is the best substitute for animal by products.
Rising awareness about yogurt’s health benefits and increasing acceptance of organic and plant-based products are the major factors fostering the market’s growth. A growing lactose-intolerant population, rising health consciousness among consumers, and growing consumer preference for a vegan diet are other important factors acting as market growth determinants. Increasing focus on technological advancements in food processing machinery and rising focus on domestic manufacturing will further induce growth in the market value.
The global vegan yogurt market was valued at USD YY million in 2021. It is forecasted to reach USD YY million by 2029, growing at a CAGR of 17.36% during the forecast period (2022-2029).
Market Dynamics: Growing vegan yogurt market with increasing product launches in exciting flavor categories
Over the last few years, the consumer’s interest in conventional products has been fading faster than ever, thus increasing the number of opportunities for the operating players to launch unique or innovative plant-centric products in the markets. The startups, or other emerging players, are planning on strengthening their product portfolio and aiming to develop sustainable products. They are further anticipating the growth of vegan products in the next few years. Furthermore, health experts are also engaged in spreading awareness about the benefits of cultured yogurts, such as improved gut health or weight management, which is also found to be effective for the growth of dairy alternatives. Apart from yogurts, companies such as Notiva or Evolved Foods are also working towards enhancing their product portfolio by offering vegan ghee or plant-based meat to satisfy the population’s emerging demands. The sudden switch in the customer’s diet towards vegan food leads to an increased demand for new tastes in the yogurt category, such as fruit-flavored yogurts. Such advances in the product launches with various exciting flavors have emerged as one of the major trends attracting many consumers toward plant-based yogurt. They will help the market prosper in the coming years. For instance, in January 2019, Daiya Food Inc. announced the launch of new coconut cream yogurt cups. This new product is the richest source of vitamin B12 and D and provides 6 grams of protein/per serving. The yogurt’s dairy-free alternative is available in six flavors: vanilla bean, plain strawberry, peach, blueberry, and black cherry. In a collaboration on July 11, 2021, Oatly and 16 Handles launched a plant-based yogurt in two flavors: strawberry, vanilla, and chocolate.
Market Segmentation: The soy segment held the largest market share in the global vegan yogurt market
The soy segment accounted for the largest revenue share in 2021. Plant-based food products are gaining popularity among consumers, including dairy alternatives such as soy yogurt. Moreover, these seed-based yogurts are an excellent source of protein compared to dairy-based yogurt. Soy-based yogurt helps to reduce cholesterol and blood sugar levels in the body. These benefits promote the demand for soy-based vegan products, thereby driving the market. In addition, the soy segment is also witnessing a steady growth in the consumption pattern, primarily due to the outgrowing demand for soy milk or soy-based products in developing countries. The consumption of soy has always been prominent due to its easy abundance, affordability, and rising health-imparting properties, which has paved the way for the growth of the soy-based yogurt segment in the vegan yogurt category.
Soy-based products, such as soy yogurts, are widely consumed, necessitating the manufacturers to develop clean-label products for these individuals. For instance, on October 30, 2021, Soyarich Foods introduced a new range of vegan yogurts and spreads. The new line of products includes Yofu?a plant-based vegan yogurt?in Mango, Berry Blast, and Apple Cinnamon flavors and two cheesy spreads, Garlic and Italian Herb. On October 30, 2021, Vitasoy released a new plant-based yogurt range. The dairy-free yogurts are made from soy and are available in four flavors: Greek Style Plain, a Hint of Vanilla, a Hint of Strawberry, and a Hint of Mango and Passionfruit.
Geographical Penetration: Asia Pacific is the dominant region during the forecast period
Asia Pacific holds the largest revenue share in the global vegan yogurt market. Factors such as the rapidly increasing population increased lactose intolerance cases, and rising disposable income prove beneficial for growth potential. In addition, concerns regarding calorie intake and health disorders such as obesity, or hypercholesterolemia, also influence consumers to shift towards vegan products, which helps the growth of the market revenue of vegan yogurt. Customers aware of dairy alternatives’ nutritional attributes have switched to the evolving vegan culture. In addition, the rising number of lactose intolerant people and growing consumer preference for a vegan diet have been driving market growth in the region. The strong visibility of soy yogurt in countries such as Japan, owing to increased awareness about gluten-free products on a domestic level, is projected to remain an influential force in the upcoming years. Key players are also launching new products, which are expected to drive the market growth. For instance, on July 29, 2020, Nongfu Spring launched China’s first vegan yogurt brand made from walnuts, coconut, and almonds. The new vegan line by the Chinese food giant will feature three flavors of fermenting plant milk.
In North America, the knowledge about the plethora of dairy substitutes has raised the growth bar for vegan products in countries of North America. The consumers in the region are focused on supporting food security and minimizing the risk of illness, fueling the demand for vegan products, including yogurt.
Competitive Landscape:
Key companies have launched innovative products to expand their portfolios and consumer bases. Lately, companies have been increasing their consumer reach by investing in online distribution channels. Some prominent vegan yogurt companies include Hain Celestial, Danone, General Mills Inc., Stonyfield Farm, Inc., Daiya Foods Inc., Good Karma Foods Inc., Hudson River Foods, NANCY’S, Kite Hill, and COYO Pty Ltd. For instance, in March 2022, AYO launched a new plant-based yogurt range by developing "plain almond milk yogurt," available in various flavors. The product is made from-grown almonds, thus fitting vegan or keto diet followers. The product can be further used for making smoothies, dips, or desserts.
In October 2020, India-Based Soyarich Foods announced the launch of a new-flavored plant-based alternative, "Yofu," available in varied flavors such as mango, cherry, and apple cinnamon flavors. The product contains fruit pulp with no added colors or preservatives, thus suiting the vegan population for consumption.
COVID-19 Impact: Positive impact on the global vegan yogurt market
COVID-19 has positively affected the plant-based food industry. Due to lockdowns, countries are allowed to travel, and the shutdown of businesses reduced developing countries’ economic and industry growth. During the vegan yogurt market pandemic, the disruption in raw material supplies and freeze in the supply chain slowed growth. However, the increased consumption of vegan products during COVID-19 boosted market growth, owing to different tastes and flavors. In COVID-19, consumers concentrated more on their immune health, energy metabolism, weight level, and lifestyles. Due to vegan yogurt, consumers believed that improving dietary patterns help to boost their health. Moreover, the vegan products market has evolved daily due to rising customer preferences for plant-based diets. The growing spectrum from both ends?customers and manufacturers is creating a path for the growth of plant-centric products around the globe. In addition, apart from its health benefits, the subtle texture and consistent flavor are also helping the company increase its penetration rate in the upcoming period. But, since the pandemic phase, the ever-increasing number of vegan consumers is largely seeking wholesome & safe products, contributing to vegan yogurt’s stellar growth. The fear of contracting the viral disease, which poses stringent restrictions on individuals in terms of food consumption, further aggravated the demand for vegan products, including vegan yogurt, in the market.
The global vegan yogurt market report would provide access to approximately 58 market data tables, 55 figures and 170 pages.