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Organic Ice Cream Market size is projected to expand at 4% CAGR from 2023 to 2032, attributed to the changing dietary habits. There is rising cognizance of the impact of food production on the environment. Consumers are continuously seeking options that are free from synthetic pesticides, hormones, and genetically modified ingredients. The emphasis on natural and organic ingredients resonates with those who prioritize overall health and are willing to invest in products that align with their health as well as environmental values, pushing the demand for organic ice cream.
The rising cases of food allergies and intolerances is contributing to the industry expansion. As per the data published on CDC’s National Centre for Health Statistics, in 2021, around 6% of that U.S. adults and children have a food allergy. Organic ice cream appeals to individuals with dietary restrictions and those looking for alternatives. The organic certification assures consumers that the product is produced without the use of artificial additives and is less probable to cause adverse reactions. This enables individuals to seek indulgence without compromising on dietary preferences.
Report Attribute | Details |
---|---|
Base Year: | 2022 |
Forecast Period: | 2023 to 2032 |
Forecast Period 2023 to 2032 CAGR: | 4% |
Historical Data for: | 2018 to 2022 |
No. of Pages: | 400 |
Tables, Charts & Figures: | 825 |
Segments covered: | Product, Ingredient, Flavor, Distribution Channel, Packaging and Region |
Moreover, there is an inclination in premium segment for high-quality, artisanal, and unique flavors that go beyond the conventional options accessible in mainstream ice cream offerings. Its perception as a gourmet treat has led to an expansion of product lines, with manufacturers focusing on innovative and exotic flavor combinations. This premiumization positions organic ice cream as a desirable and sophisticated choice for discerning consumers, further impelling the organic ice cream market share.
The limited adoption of organic ice-cream due to the higher cost compared to conventional alternatives is hindering the market growth. The use of organic ingredients, combined with rigorous certification processes, contributes to increased production expenses, leading to an extra pricing model. This pricing dynamic presents a challenge for extensive consumer acceptance, particularly among price-sensitive individuals who may choose economical alternatives. The industry players need to effectively navigating this challenge by finding a delicate balance between upholding organic standards and addressing cost concerns, thus fostering greater acceptance of organic ice cream over frozen desserts.
The outbreak of COVID-19 led to disruptions in supply chains, manufacturing processes, and distribution channels, affecting the production and availability in the organic ice cream market. Lockdowns, social distancing measures, and economic uncertainties during the pandemic influenced consumer behavior with a shift towards essential purchases and a temporary decline in discretionary spending on niche products such as organic ice cream.
However, as the situation gradually stabilized, there has been a surge in consumers seeking comfort foods and focusing on health, reviving the product demand. The industry has adapted to changing time by emphasizing online sales, home delivery options, and promoting the inherent health benefits related to organic products.
There is a growing emphasis on unique and exotic flavor profiles across the food & beverage sector. Consumers are constantly drawn to innovative taste combinations, seeking experiences that go beyond traditional offerings. Manufacturers are responding by launching flavors that incorporate premium and natural ingredients, catering to the demand for distinctive taste experiences.
Environmentally conscious consumers are looking for products with eco-friendly packaging, and manufacturers are responding by adopting sustainable production processes. From sourcing organic ingredients to employing environmental-friendly packaging solutions, the industry is aligning with consumer values, driving a shift towards more responsible practices. For instance, Unilever ice cream brand, GROM partnered with Qwarzo to launch innovative paper-based spoons with paper cups across scoop shops in France, UK, and Portugal. The spoons havinh Qwarzo’s unique coating technology are fully recyclable and compostable.
Moreover, the surge in popularity of dairy-free and plant-based options stands out as a significant trend within the organic ice-cream market. As greater number of consumers embrace vegetarian, vegan, or flexitarian diets, the product crafted from alternative ingredients such as coconut, almond, or oat milk is on the rise. This shift reflects an inclination in prompting manufacturers to diversify their product offerings. In March 2023, Planet Based Foods Global Inc. announced their foray into the non-dairy frozen dessert category by introducing a new line of hemp-based, organic vegan ice cream at Natural Products EXPO West.
Impulse organic ice cream segment will grow at a CAGR of over 4.5% through 2032, owing to the rising demand for cones, sandwiches and bars.
As per ingredient, skimmed milk segment is set to register over 4.5% CAGR till 2032, due to the inclination for consuming low-fat products.
Butter pecan flavored organic ice cream market share is poised to observe 4.5% CAGR during 2023 to 2032, attributed to varied health benefits.
As per distribution channel, organic ice cream market from on trade segment will record a CAGR of more than 4.5% during the forecast period, backed by the wider desire for products containing natural ingredients.
Rigid plastic packaging segment is slated to exhibit a CAGR of 4.5% between 2023 and 2032, owing to higher durability.
North America organic ice cream market will gain remarkable momentum during the forecast timeline. As health consciousness continues to rise, consumers in the region are actively seeking the products that are free from synthetic additives and pesticides. Additionally, factors such as a strong focus on environmental sustainability, rising awareness of transparency in food sourcing, and a preference for premium & unique flavor profiles contribute to the thriving market in NA.
Blue Marble Ice Cream, one of the leading organic ice cream suppliers, is implementing a multifaceted approach to maintain its competitive edge. The company has set a standard for transparency and environmental responsibility. Their emphasis on using local, organic, and fair-trade ingredients resonates with consumers seeking ethical and health-conscious choices. Similar strategies are being implemented by the other major organic ice cream market players, namely:
Market, By Product
Market, By Ingredient
Market, By Flavor
Market, By Distribution Channel
The above information has been provided for the following regions and countries: