Apr 22, 2020
Shifting Preference for Essential Commodities to Decelerate Non-Dairy Toppings Market Growth, Finds Fact.MR
by Team Fact.MR
Over the past year, customers who prefer lactose-free foods have encountered an increasing preference for non-dairy food products. However, the market is currently facing a significant hit in demand due to the impact of COVID-19. In many regions like North America and Europe, masses are expected to shift their preference to essential commodities which will directly affect the market demand for non-dairy toppings. However, players are expected to offer products through multiple promotional strategies like branding, rebranding and discounts. This will allow companies to clear out stock of processed food products and will lead to recovery in demand for non-dairy toppings.
Non-Dairy Toppings to Witness Blue Skies owing to Burgeoning Demand from North America and Europe
The global non-dairy toppings market is anticipated to reach a valuation of over US$ 2.5 billion, with growth pegged at over 7.5%. This significant growth rate can be largely attributed to the shifts in consumer preference in recent years, including the increasing acceptance of dietary choices such as veganism, and the transition from traditional dairy products in Europe and North America.
In North America and Europe the non-dairy toppings market is expected to see a dip in sales by nearly 1/3rd in first two quarters as compared to the similar time duration in 2019. However, the demand for confectionary products is expected to stabilize by third quarter owing to several festivities in countries like United States, India, Brazil, China and many others.
Key Takeaways of Non-dairy Topping Market
- Asia-Pacific excluding Japan holds significant market potential in the global non-dairy toppings market and is anticipated to create an absolute dollar opportunity of over US$ 600 million during the forecast period (2020-2030)
- Whip cream type is a major shareholder among types of non-dairy toppings, which is projected to grow by 2.1X over forecast period
- The growing demand for whipped cream in the food and bakery industries is projected to boost market growth
- Indirect sales represents significant revenue share (~70%) within the global non-dairy toppings market and its revenue share is further expected to increase throughout the forecast period
“Lactose intolerance in consumers paves way for remunerative opportunities within the global non-dairy toppings market. Moreover, key focus of producers on vegan products is also expected to boost market growth during the forecast period”, says the Fact.MR analyst.
Moderately Fragmented Market Structure with Players Relying on Vertical Integration
The global non-dairy toppings market is partially fragmented where 3/5th of the market share is accounted for by regional and domestic market players. Emerging players hold nearly 50% of the market share and are following a strategy of launching new products and expanding facilities. However, top players hold 30% of the market share but are accountable for nearly 70% of the revenue generated from non-dairy topping market. To survive the competition from the emerging players, vertical market acquisition strategy is adopted by the top level players to retain their market share. In January 2020, RICH Products acquired two bakery facilities of TreeHouse Foods.
Find More Valuable Insights on the Global Non-Dairy Toppings Market
Fact.MR, in its new offering, provides an unbiased analysis of the global market for non-dairy toppings, with historical data on demand (2015-2019) and expected projections for the period (2020-2030). The non-dairy toppings report discloses compelling insights into the demand for non-dairy toppings based on base ingredient i.e. soy milk, vegetable milk, almond milk, coconut milk, others; form (liquid, powder, frozen), application (bakery, confectionary, processed fruits, frozen desserts, beverages and others), type (whip cream, pouring cream, spooning and others) and distribution channel: direct & indirect (modern stores, specialty food stores, E-commerce and others) across key regions.
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About The Food & Beverage Division at Fact.MR
Expert analysis, actionable insights, and strategic recommendations – the food & beverage team at Fact.MR helps clients from all over the globe with their unique business intelligence needs. With a repertoire of over 1,000 reports and 1 million plus data points, the team has analyzed the food & beverage industry lucidly in 50+ countries for over a decade. The team provides end-to-end research and consulting services; reach out to explore how we can help.