The USA is a global leader in the plant milk market
Figures correct as of September 2019. For 2020 figures, you can view market research by Good Food Institute.
The United States is the most ‘aggressive’ market for dairy alternatives, holding over 20% of the global market in 2019. The Good Food Institute estimates that this market (which includes vegan ice creams, creamers, cheese, dressings, etc.) was worth over $3 billion in 2019.
In the United States, almond milk holds nearly three-quarters of the region’s plant milk market share. This figure is nearly 40% of the global almond milk market. In addition, this segment is also growing at the highest estimated growth rate between 2020-2025. Almond production is a vital part of the country’s heritage, they are California’s number one agricultural export and add billions to the local economy.
Next in terms of growth rate is the ‘others’ category, which consists of an expanding range of more novel plant milks including hazelnut and quinoa. Although they hold the smallest market share, the category is expected to have a significant growth rate between 2020-2025. These niche beverages may appeal to younger consumers who are less set in their shopping habits and more spontaneous in their purchasing. Innovation within this category is also on the rise, as brands create blended products with ingredients including cashew and hemp which hit nutrition incentives such as enhanced protein content.
Following just behind is rice milk, which continues to hold a small segment of the United States plant milk market. Allergies to a variety of ingredients are on the rise in the United States; as rice milk is the least allergenic of all plant milks, it could help those with intolerance to soya, nuts and dairy.
Finally, there is soymilk. The category is well established and held approximately 20% of the total plant milk market in the United States in 2019. However, whilst all other categories are seeing growth in double digits year on year, the growth of the soymilk market looks to be stagnant in the coming years.
Food products accounted for nearly 40% of the United Stated plant milk market in 2019. All three segments remain set for growth in the coming years.
The dessert category may currently hold the smallest share, but it is estimated to see the highest growth rate between 2020-2025. The vegan ice cream market is currently through a phase of rapid innovation, with both big brands and smaller start-ups creating delicious products that anyone can enjoy.
The snacks category comes just behind in terms of growth rate between 2020 – 2025. Nut butters are particularly popular in the United States and are used in a variety of products such as cereal bars, baked goods and confectionery.
Lastly, there is the vegan cheese category. Despite a lower estimated growth rate, this category has only recently started to fully develop as two distinct subcategories have arisen. Firstly, there are affordable vegan cheeses that are great with everyday dishes such as sandwiches or burgers, developed by the likes of Follow Your Heart. Secondly, there is the growing market of niche artisan-style vegan cheeses. With a higher price point, these are perfect for special occasions.
Data from Grand View Research, Inc.
