Yogurt Drink Market - By Flavor Type, Packaging Type, Distribution Channel Analysis, Share, Growth Forecast, 2024 - 2032

Yogurt Drink Market Size

The global yogurt drink market was valued at USD 56 billion in 2023 and is estimated to grow at a CAGR of over 6.6% from 2024 to 2032, driven by rising popularity of plant-based products.
 

Over the past decade, the global market has seen significant growth, fueled by a rising consumer appetite for convenient, healthy, and functional beverages. Once overshadowed by sugary and carbonated drinks, yogurt drinks are now celebrated as a nutritious alternative, especially among health-conscious consumers. As health trends increasingly influence consumer preferences, there's been a notable surge in demand for probiotic-rich products, especially those fortified with vitamins and minerals. This demand is particularly pronounced in urban markets, where fast-paced lifestyles favor ready-to-drink (RTD) options that promise nutritional benefits.
 

As global business trends evolve, a notable shift towards plant-based yogurt drinks emerges. This change is largely driven by a growing environmental consciousness among consumers and a rising demand for dairy-free alternatives. The expanding vegan demographic and the increasing prevalence of lactose intolerance further bolster this trend.
 

Yogurt Drink Market Trends

In regions like North America and Europe, plant-based yogurt drinks, especially those derived from almond, soy, and coconut milk, are witnessing a surge in popularity. Moreover, the introduction of innovative flavors and functional ingredients—such as fiber, antioxidants, and protein—caters to niche markets, emphasizing areas like weight management and digestive health.
 

Sustainability and the demand for clean-label products are gaining momentum in the global yogurt drink industry. Modern consumers prioritize products with natural ingredients, steering clear of artificial additives and preservatives. In response, manufacturers are channeling investments into clean-label production processes and are increasingly sourcing organic or non-GMO ingredients. Furthermore, there's a pronounced shift towards eco-friendly packaging solutions. To align with global sustainability objectives, yogurt drink companies are adopting recyclable materials and exploring biodegradable alternatives, aiming to minimize their environmental footprint.
 

Over the last decade, the global market has undergone a remarkable transformation. While North America and Europe once dominated the demand landscape, the market's horizons have broadened to encompass Asia-Pacific, Latin America, and the Middle East and Africa. Here, rising disposable incomes and an increasing emphasis on health and wellness are driving consumption.
 

According to the U.S. Department of Agriculture, the consumption of yogurt drinks in the United States increased by 15% from 2014 to 2023. Similarly, the European Union reported a 12% rise in yogurt drink consumption over the same period. The industry's dynamics have also been reshaped by the ascent of e-commerce, facilitating direct-to-consumer sales and amplifying the visibility of niche and emerging brands. Furthermore, digital marketing strategies—ranging from influenced partnerships to health-centric campaigns—have become pivotal, enabling brands to effectively engage their target consumer segments.
 

Yogurt Drink Market Analysis

The flavored segment was valued at USD 44 billion in 2023, and it is anticipated to expand to 6.5% of CAGR during 2024-2032. Driven by a consumer appetite for diverse and indulgent flavors, flavored yogurt drinks command the largest market share. While traditional flavors like strawberry, blueberry, mango, and peach remain popular, there's a noticeable shift towards exotic flavors such as passionfruit, pomegranate, and lychee. Additionally, the emergence of functional flavors that meld health benefits with distinct taste profiles, like turmeric and ginger for immunity—further propels market growth.
 

The bottles segment was valued at USD 27.9 billion in 2023 and garner a 6.9% CAGR from 2024 to 2032. The yogurt drink market showcases diverse packaging types tailored to various consumer needs and occasions. Bottles reign supreme as the preferred packaging format, celebrated for their convenience and portability. Supermarkets and convenience stores widely stock these durable bottles, ideal for on-the-go consumption. Their resealable nature further enhances their appeal to busy consumers.
 

Supermarkets & hypermarkets segment was valued at USD 22.1 billion in 2023 and gained a 7.4% CAGR from 2024 to 2032. Supermarkets and hypermarkets lead the distribution landscape for yogurt drinks, granting consumers easy access to a vast array of products. These expansive retail spaces showcase both mainstream and niche brands, presenting a rich tapestry of flavors, packaging styles, and price points. The visibility and convenience of these large retail formats solidify their status as the primary choice for most consumers.
 

The U.S. is expected to hold USD 11.4 billion in 2023 and expected to grow at 6.8% CAGR. In recent years, the U.S. yogurt drink market has seen substantial growth, fueled by a rising consumer inclination towards healthier beverage choices and a broader embrace of functional foods. As awareness grows regarding the health advantages of probiotics, digestive wellness, and immunity-enhancing ingredients, yogurt drinks have found favor among diverse groups, from health enthusiasts and families to young professionals. Additionally, the market is capitalizing on the increasing demand for convenience; yogurt drinks serve as a portable, nutritious snack or meal replacement, making them especially appealing to those with hectic schedules.
 

Flavored yogurt drinks lead the U.S. market, offering a spectrum from classic flavors like strawberry and blueberry to adventurous choices such as coconut and passionfruit. Meanwhile, plain or unflavored yogurt drinks are carving out a niche, appealing to those who favor low-sugar or unsweetened options, resonating with the clean-label and natural food trend.
 

Yogurt Drink Market Share

The global market is fiercely contested, with a mix of both large and small players striving for a foothold. To solidify and grow their market positions, companies are deploying a range of competitive strategies. A prominent trend is the push for product differentiation, primarily through innovation. Firms are rolling out new product lines featuring unique flavors, beneficial ingredients, and diverse packaging formats, all tailored to shifting consumer tastes. Furthermore, industry giants are making strategic moves into emerging markets, often through joint ventures, mergers, and acquisitions.
 

A standout strategy is the emphasis on probiotic-rich and functional yogurt drinks, targeting benefits like digestive health, immunity, and overall wellness. As consumers become increasingly aware of the advantages of gut-friendly bacteria, probiotic drinks are witnessing a surge in popularity. Major players, such as Danone and Yakult, boast robust portfolios in this domain and are channeling substantial investments into research and development (R&D) to stay ahead.
 

Yogurt Drink Market Companies

Major players operating in the yogurt drink industry are:

• Arla Foods Ingredients Group
• Benecol 
• Chobani
• Danone 
• Fonterra Co-operative Group
• General Mills
• Lactalis
• Meiji Holdings
• Nestle
• Yakult
   

Yogurt Drink Industry News

• In October 2023, General Mills completed the sale of its North American yogurt brands, including Yoplait, to Lactalis and Sodiaal. The USD 2.1 billion transaction aligned with General Mills' strategy to streamline its product portfolio, emphasizing higher-growth categories like snacks and global brands. By divesting from the North American yogurt sector, General Mills sought to bolster its international operations, simultaneously granting Lactalis an opportunity to enhance its foothold in the U.S. dairy market.
   
• In June 2023, Fonterra took decisive steps in reshaping its business by shedding non-core consumer and integrated operations. This strategic pivot underscored the company's renewed emphasis on core dairy ingredients and value-added products, notably yogurt drinks. Fonterra's restructuring mirrors a broader industry trend, with players like Nestlé and Danone homing in on core, high-margin categories, especially functional and health-centric dairy beverages.
   

This yogurt drink market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) & volume (Tons) from 2021 to 2032, for the following segments:

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Market, By Flavor Type

• Plain/unflavored
• Flavored
  • Strawberry
  • Blueberry
  • Mango
  • Peach
  • Vanilla
  • Mixed berries
  • Others

Market, By Packaging Type

• Bottles
• Tetra packs/cartons
• Cups
• Pouches
• Others

Market, By Distribution Channel

• Supermarkets/hypermarkets
• Convenience stores
• Specialty stores
• Online retailers
• Foodservice channels
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • UAE
  • Saudi Arabia
  • South Africa