Plant-Based Dairy Products Defy Trends

On September, as the alternative meat market struggled due to taste and processing issues, plant-based dairy products demonstrated resilience, becoming a bright spot in the industry. Data shows that the value of UK plant-based dairy consumption grew by 2.2% over the past year, reaching £812.3 million, with sales volumes increasing slightly by 0.4%. In contrast, the alternative meat market saw a 7.1% decline in value and an 8.7% drop in volume in 2024. This contrast highlights the unique positioning of plant-based dairy products in consumers' minds.

"Plant-based dairy products are now seen as a credible, mainstream lifestyle choice," said Bryan Carroll, General Manager of Oatly UK. He noted that plant-based milk, yogurt, and cheese have become widely accepted by flexitarians, not just vegetarians.

The growth of plant-based dairy products is driven not only by consumers' concerns about health and sustainability, but also by brand innovation. Rude Health's organic coconut drink, popular for its matcha pairing, saw annual sales increase by 15.3%. Meanwhile, Oatly further fueled the out-of-home (OOH) trend with the launch of its Matcha Latte Oat Drink in July 2025.

This innovation not only meets consumer taste needs but also reflects the flexibility of plant-based dairy products. Tom Kerr of Danone believes that the added nutritional value of plant-based products (such as vitamins, minerals, and fiber) compared to traditional dairy products is a key selling point for consumers.


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