Market Size of north america non-dairy ice cream Industry
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Study Period | 2017 - 2029 |
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Market Size (2024) | USD 0.78 Billion |
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Market Size (2029) | USD 1.13 Billion |
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Largest Share by Distribution Channel | Off-Trade |
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CAGR (2024 - 2029) | 7.67 % |
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Largest Share by Country | United States |
Major Players |
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*Disclaimer: Major Players sorted in no particular order |
North America Non-dairy Ice Cream Market Analysis
The North America Non-dairy Ice Cream Market size is estimated at 0.78 billion USD in 2024, and is expected to reach 1.13 billion USD by 2029, growing at a CAGR of 7.67% during the forecast period (2024-2029).
0.78 Billion
Market Size in 2024 (USD)
1.13 Billion
Market Size in 2029 (USD)
13.54 %
CAGR (2017-2023)
7.67 %
CAGR (2024-2029)
Largest Market by Distribution Channel
100 %
value share, Off-Trade, 2023
The wider availability of various brands, ease of reading product labels and convenience in comparing different products make it the preffered type among the dairy consumers.
Largest Market by Country
94.46 %
value share, United States, 2023
Higher purchasing power, the inclusion of dairy products in most of their consumption patterns, and high productivity are some of the major factors driving the US market.
Fastest-growing Market by Distribution Channel
7.67 %
Projected CAGR, Off-Trade, 2024-2029
The onset of the experimential economy and the rising social media platforms with increasing consumer reach in the market is driving the off trade channels through online channels
Fastest-growing Market by Country
13.78 %
Projected CAGR, Mexico, 2024-2029
Growing concern about the climate impacts, food innovations from start-ups, and their initiative to promote the vegan diet is contributing to the growth of market in Mexico.
Leading Market Player
44.84 %
market share, Danone SA, 2022
Selective expansion of Danone's presence in the market along with wider brand presence and products offered with active portfolio rotation are making it market leader
The steady increase in sales of non-dairy ice cream through food service and retail sector is fueling the growth
- In 2020, consumers purchased more plant-based ice creams through retail groceries (off-trade), with an increase of 17%. The non-dairy ice cream market has been showing steady growth since 2020. This illustrates a sustained increase over recent years and demonstrates the incredible opportunities available for brands in stores and online platforms.
- However, the region does not have a considerable market for the on-trade channel, which is underdeveloped. Consumers eat plant-based dairy at home and are less likely to eat from a restaurant or foodservice outlet. Around 93% of meals or snacks that include milk alternatives are consumed at home, and 7% are consumed at a restaurant or foodservice outlet. Plant-based foods represent less than 1% of all foods shipped by broad-line distributors to commercial and non-commercial foodservice outlets.
- The online channel is expected to be the fastest-growing distribution channel in the off-trade segment. It is projected to register a Y-o-Y growth of 28%, by value, during 2023-2025. Convenience is the primary motivation for 61.1% of shoppers who have transitioned to shopping for more groceries online. This growth is due to the increasing number of smartphone users, which increased by 11 million between 2020 and 2021. Around 45% of the population browses online websites through mobile devices.
Inclination towards low fat products among the North America population
- In 2022, the North American non-dairy ice cream market witnessed a growth of 6.46%. The growth was attributed to the rising health consciousness among the North American population. Consumers prefer non-dairy ice creams since their fat percentage is comparatively lower than that of animal-milk-based ice creams. The fat percentage in coconut milk is significantly lesser than in animal-based milk. Animal milk provides 60 calories, whereas unsweetened coconut milk provides about 39 calories in a one-cup serving. Since coconut milk has less fat content, it helps mitigate the risk of obesity rate. The consumption volume of non-dairy ice creams in North America is estimated to grow by 17.43% in 2025.
- Out of the top 19 vegan product producers, the top six manufacturers are established in the United States. As a result, the United States dominates the North American non-dairy ice cream market, and it held a share of 94.4% in 2022, followed by Canada, which held a share of 4.77%.
- In 2022, supermarkets and hypermarkets dominated the retailing landscape in the region, as these retailers held a volume of 82.2%. Convenience stores came in second with 10.6% of the market share the same year. Some of these retailers are Walmart, Target, Kroger, Amazon, Costco Wholesale Corporation, Albertsons Companies Inc., Ahold Delhaize USA, and Publix Super Markets Inc.
- The retailing segment offers plant-milk-based ice creams at varied price ranges (low, medium, and high) to captivate consumers' attention. The base selling price of non-dairy ice cream is USD 4.84 to as high as USD 100. The availability of non-dairy ice creams at various prices also accelerates the buying power of consumers.
North America Non-dairy Ice Cream Industry Segmentation
Off-Trade are covered as segments by Distribution Channel. Canada, Mexico, United States are covered as segments by Country.
- In 2020, consumers purchased more plant-based ice creams through retail groceries (off-trade), with an increase of 17%. The non-dairy ice cream market has been showing steady growth since 2020. This illustrates a sustained increase over recent years and demonstrates the incredible opportunities available for brands in stores and online platforms.
- However, the region does not have a considerable market for the on-trade channel, which is underdeveloped. Consumers eat plant-based dairy at home and are less likely to eat from a restaurant or foodservice outlet. Around 93% of meals or snacks that include milk alternatives are consumed at home, and 7% are consumed at a restaurant or foodservice outlet. Plant-based foods represent less than 1% of all foods shipped by broad-line distributors to commercial and non-commercial foodservice outlets.
- The online channel is expected to be the fastest-growing distribution channel in the off-trade segment. It is projected to register a Y-o-Y growth of 28%, by value, during 2023-2025. Convenience is the primary motivation for 61.1% of shoppers who have transitioned to shopping for more groceries online. This growth is due to the increasing number of smartphone users, which increased by 11 million between 2020 and 2021. Around 45% of the population browses online websites through mobile devices.
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North America Non-dairy Ice Cream Market Size Summary
The North American non-dairy ice cream market is experiencing a robust expansion, driven by increasing consumer preference for plant-based alternatives due to health consciousness and dietary restrictions. The market is characterized by a significant shift towards online shopping, with convenience being a major factor for consumers. This trend is supported by the growing number of smartphone users who prefer browsing and purchasing groceries online. The market is predominantly dominated by the United States, which holds a substantial share, followed by Canada. The retail landscape is led by supermarkets and hypermarkets, with a notable presence of convenience stores. The availability of non-dairy ice creams at various price points caters to a diverse consumer base, including flexitarians, lactose-intolerant individuals, and strict vegans.
The growth of the non-dairy ice cream market is further fueled by the rising awareness of health issues such as obesity, prompting consumers to opt for products with lower fat content. The market is fairly consolidated, with major players like Danone SA, Oatly Group AB, Oregon Ice Cream Company, Unilever Plc, and Van Leeuwen Ice Cream leading the industry. These companies are actively expanding their product offerings and distribution channels to capture a larger market share. The introduction of innovative flavors and collaborations, such as Van Leeuwen's partnership with Kraft, highlights the dynamic nature of the market. As the demand for plant-based foods continues to rise, the non-dairy ice cream segment is poised for significant growth in the coming years.
North America Non-dairy Ice Cream Market Size - Table of Contents
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1. MARKET SEGMENTATION (includes market size in Value in USD and Volume, Forecasts up to 2029 and analysis of growth prospects)
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1.1 Distribution Channel
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1.1.1 Off-Trade
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1.1.1.1 By Sub Distribution Channels
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1.1.1.1.1 Convenience Stores
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1.1.1.1.2 Online Retail
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1.1.1.1.3 Specialist Retailers
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1.1.1.1.4 Supermarkets and Hypermarkets
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1.1.1.1.5 Others (Warehouse clubs, gas stations, etc.)
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1.2 Country
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1.2.1 Canada
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1.2.2 Mexico
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1.2.3 United States
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North America Non-dairy Ice Cream Market Size FAQs
How big is the North America Non-dairy Ice Cream Market?
The North America Non-dairy Ice Cream Market size is expected to reach USD 782.50 million in 2024 and grow at a CAGR of 7.67% to reach USD 1.13 billion by 2029.
What is the current North America Non-dairy Ice Cream Market size?
In 2024, the North America Non-dairy Ice Cream Market size is expected to reach USD 782.50 million.
