Danone is seeking to rekindle consumers' love for plant-based milk

The sales of plant-based milk have slowed down over the past year, but Danone, the producer of Silk and So Delicious, still sees great potential in this market. By emphasizing the combination of "fun" and "functionality," Danone is attempting to redefine the appeal of plant-based beverages.

As consumers are increasingly inclined to choose healthier products, functional beverages are becoming a trend. However, Danone believes that taste and convenience are equally important. To this end, the company has recently launched a fun marketing campaign, focusing on promoting the taste advantages of its plant-based beverages (including Silk and So Delicious).

This marketing campaign started with a star-studded "Cereal Liar" pop-up event, mainly promoting Silk's vanilla almond milk. This event was launched at a time when the sales of plant-based milk were slowing down due to changes in consumer demand.

According to data released by Nielsen IQ last summer, within the 52 weeks ending June 29, 2024, the sales of plant-based milk declined for the first time in four years, dropping by 5.2% year-on-year. This decline even exceeded the 2.4% drop in the overall milk category, highlighting the challenges faced by the plant-based milk market.

Why have the sales of plant-based milk declined?

For years, plant-based milk has been a star in the plant-based product market, with continuous growth in sales, an expanding household penetration rate and retail shelf space, and has not been significantly affected by nutritional controversies. However, this trend reversed last year.

Kallie Goodwin, the senior vice president of plant-based beverages at Danone North America, said that this change is partly due to the widespread price increases triggered by inflation, which has prompted many consumers to cut back on discretionary spending and prefer foods and beverages with higher nutritional value.


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