Dairy Alternatives Market: Supermarkets vs. Online Sales — Where's the Growth?

The global dairy alternatives market was valued at USD 32.77 billion in 2024 and is projected to reach USD 66.91 billion by 2030, growing at a compound annual growth rate (CAGR) of 12.7% between 2025 and 2030. This growth is largely attributed to the rising incidence of milk allergies among consumers.

In addition to allergies, evolving dietary habits and the increasing adoption of vegan lifestyles are anticipated to further propel the market. As reported by the National Library of Medicine in April 2023, around 65% of the global population is lactose intolerant. This high prevalence of lactose intolerance—particularly common in Southeast Asia due to genetic factors—serves as a major growth driver for the dairy alternatives industry. Consumers with this condition frequently opt for plant-based, lactose-free products to meet their calcium and vitamin needs. Moreover, growing health awareness and increasing disposable incomes across both developed and emerging markets are expected to continue supporting demand for dairy alternatives throughout the forecast period.

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Key Market Trends & Insights

• Asia Pacific held the largest share of the dairy alternatives market in 2024, accounting for 45.80%. The market in this region is expanding due to heightened awareness around health and nutrition, alongside widespread lactose intolerance. Innovation in plant-based products is expected to further strengthen regional growth.
• Soy-based dairy alternatives contributed 34.8% of the global revenue in 2024. Soymilk continues to dominate this segment, as it remains a staple in many East Asian diets and is widely recognized as a core dairy substitute.
• Plant-based milk was the leading product category in 2024, with a 67.6% share of the global revenue. Demand in countries like the U.S. is influenced by factors including health benefits, environmental concerns, and ethical considerations. An aging population in North America and Europe has also shown a marked preference for milk alternatives.
• Supermarkets and hypermarkets were the leading distribution channels, contributing approximately 39.3% of global revenue in 2024. Market growth is being driven by increased investment from international retailers, expansion by domestic chains, and the rising spending power of consumers in emerging markets.

Market Size & Forecast

• 2024 Market Size: USD 32.77 Billion
• 2030 Projected Market Size: USD 66.91 Billion
• CAGR (2025-2030): 12.7%
• Asia Pacific: Largest market in 2024

Key Companies & Market Share Insights

Major players in the global dairy alternatives market are increasingly focusing on addressing unmet consumer needs. This includes launching innovative product designs and targeted marketing campaigns to capture greater market share and cater to evolving consumer preferences.

Key Players

• Chobani, LLC
• Danone S.A.
• Hain Celestial
• Daiya Foods
• Eden Foods
• NUTRIOPS, SL
• Earth’s Own
• SunOpta
• Melt Organic
• Oatly AB
• Blue Diamond Growers
• Ripple Foods
• Vitasoy International Holdings Ltd
• Organic Valley
• Living Harvest

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Conclusion

The global dairy alternatives market is set for robust growth through 2030, driven by health-related factors such as lactose intolerance and milk allergies, as well as shifts toward vegan and plant-based diets. Asia Pacific will remain a key region due to both consumer awareness and product innovation. With strong CAGR projections and increasing interest from both consumers and retailers, the industry is poised to capitalize on evolving dietary trends and rising global health consciousness.