Global Probiotic Yogurt Market - 2023-2030

Market Overview

The Global Probiotic Yogurt Market reached US$ 26.5 billion in 2022 and is projected to witness lucrative growth by reaching up to US$ 46.2 billion by 2030. The market is growing at a CAGR of 7.2% during the forecast period 2023-2030.

Probiotic yogurt is considered a functional food as it contains live beneficial bacteria that can confer health benefits. The rising demand for functional foods, driven by the desire for nutritionally enhanced products, is positively impacting the probiotic yogurt market. Manufacturers are continuously introducing new probiotic yogurt products to cater to evolving consumer preferences. This includes the development of plant-based and dairy-free options, unique flavors, and products targeting specific health concerns or dietary needs. Such innovations are driving market expansion and attracting a wider consumer base.

The probiotic yogurt market is witnessing investments from both established players and new entrants to capitalize on the growing demand. Companies are also forming strategic partnerships and collaborations to expand their market reach and leverage synergies.

Market Dynamics

The Rising Focus on Health and Wellness Drives the Market Growth

Probiotic yogurt aligns well with this growing focus on health and wellness. It is widely recognized as a functional food that promotes digestive health and contributes to a healthy gut microbiome. Probiotics, the live bacteria found in yogurt, have been associated with numerous health benefits, including improved digestion, enhanced immune function, and potential preventive effects against certain health conditions.

The market for probiotic yogurt is witnessing the effects of this rising focus on health and wellness. Manufacturers are responding to the demand by expanding their probiotic yogurt product lines, introducing new flavors and formulations, and emphasizing the health benefits in their marketing strategies. For instance, on April 1, 2021, Meiji Co., Ltd. unveiled its plan to introduce its highly popular yogurt drinks, "Meiji Probio Yogurt R-1" and "Meiji Probio Yogurt LG21," in the East China region. These products have earned the distinction of being Japan's top-selling yogurt drinks.

The Rising Popularity of Plant-Based Diets Drives the Market Growth

The market for plant-based probiotic yogurt is expanding as the popularity of plant-based diets continues to grow. Consumers following plant-based lifestyles are actively seeking out plant-based alternatives to meet their nutritional needs, and probiotic yogurt is one such product. The availability of plant-based probiotic yogurts in various retail channels, including supermarkets, specialty stores, and online platforms, is further contributing to market growth. This accessibility allows consumers to easily incorporate plant-based probiotic yogurt into their regular diets.

Manufacturers are innovating and introducing new plant-based probiotic yogurt products to cater to this market segment. This includes developing unique flavors, textures, and formulations that replicate the experience of traditional dairy-based yogurt while providing the added benefits of probiotics, which further drive market growth.

Intense Market Competition Hampers the Market Growth

The probiotic yogurt market is highly competitive, with numerous manufacturers and brands vying for market share. This intense competition can present challenges and constraints for both established players and new entrants in the market.

The presence of numerous competitors often leads to price competition. Manufacturers may engage in price wars and aggressive pricing strategies to attract consumers and gain a competitive edge. This can put pressure on profit margins and limit the market growth potential for all players involved.

COVID-19 Impact Analysis

The economic repercussions of COVID-19, such as job losses, reduced incomes, and financial insecurity, influenced consumer purchasing decisions. Consumers became more price-sensitive and sought value-for-money products. Premium or higher-priced probiotic yogurt variants faced challenges in maintaining sales, while more affordable options gained popularity.

However, the pandemic raised concerns about food safety and hygiene. Consumers were more cautious about the products they purchased, prioritizing trusted brands and those that offered clear information on safety measures and production practices.

Segment Analysis

The global probiotic yogurt market is segmented based on source, flavor, applications, distribution channel, and region.

Increasing Demand for Vegan and Lactose-Free Options

The plant-based probiotic yogurt segment holds the largest share of the global probiotic yogurt market due to market trends and consumer preferences. The market for plant-based products, including dairy alternatives, experiencing significant growth in recent years, driven by the increasing demand for vegan and lactose-free options.

Many consumers are actively seeking alternatives to traditional dairy products for various reasons, such as health concerns, environmental sustainability, and ethical considerations. Plant-based probiotic yogurt is offering a viable option for individuals following a vegan or lactose-intolerant diet, thereby expanding its target market and driving plant-based probiotic yogurt segment growth.

Geographical Analysis

Increasing Awareness of the Importance of Gut Health and the Role Of Probiotics in Supporting Overall Well-Being

The North America region dominates the global probiotic yogurt market. North American consumers are showing a heightened awareness of the importance of gut health and the role of probiotics in supporting overall well-being. This increasing awareness coupled with a growing interest in functional foods, is driving the demand for probiotic yogurt. Consumers in North America are actively seeking out products that are offering health benefits, and probiotic yogurt fits well into this trend, further fueling its market dominance.

North America boasts a robust market infrastructure that supports the growth and distribution of probiotic yogurt products. The region consists of numerous well-established food and beverage companies with advanced manufacturing facilities, distribution networks, and marketing capabilities. These companies are the resourcing and are expecting to produce and promote probiotic yogurt effectively. For instance, on January 14, 2020, Stonyfield Organic unveiled its latest offering, Daily Probiotics. These convenient probiotic yogurt drinks come in a 3.1oz format, specifically designed to promote immune and digestive health.

Competitive Landscape

The major global probiotic yogurt market players include: Arla Foods, Inc., BioGaia AB, Chr. Hansen Holding A/S, Danone, Danisco A/S, General Mills Inc., i-Health Inc., Lallemand Inc., Lifeway Foods, Inc., and Mother Dairy Fruit & Vegetable Pvt. Ltd.

Why Purchase the Report?

• To visualize the global probiotic yogurt market segmentation based on source, flavor, applications, distribution channel, and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of probiotic yogurt market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global probiotic yogurt market report would provide approximately 69 tables, 67 figures, and 136 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies