Soy Yogurt Market Size (2024 – 2030)

The Soy Yogurt Market was valued at USD 589.10 million in 2023. Over the forecast period of 2024-2030, it is projected to reach USD 1615.34 million by 2030, growing at a CAGR of 15.5%.

Soy yogurt is a dairy-free product made from soy milk that includes live cultures. It offers a higher protein content than traditional dairy yogurts and maintains the flavor integrity of the foods it is combined with. There are two primary categories of soy yogurt: organic and conventional. Additionally, it boasts numerous health benefits, an extended shelf life, and comes in a variety of flavors.

Key Market Insights:

There is a growing trend among millennials worldwide toward dairy-free products, along with increased consumer expenditure on plant-based items due to the rising incidence of health disorders. Additionally, the prevalence of lactose intolerance and heightened awareness of the nutritional advantages of an animal-free diet are positively impacting the soy yogurt market.

Soy Yogurt Market Drivers:

Lactose Intolerance and Dairy Allergies among Consumers increase market growth.

Lactose intolerance is a condition where the body cannot digest lactose, the sugar in dairy products, due to a lack of the enzyme lactase. This condition affects a significant portion of the global population, with varying severity influenced by ethnicity and genetics. Additionally, dairy allergies, which trigger an immune response to proteins in dairy products, are also relatively common, particularly among infants and young children. Those with lactose intolerance or dairy allergies often experience digestive discomfort, bloating, gas, and other symptoms after consuming dairy products. Consequently, they seek alternatives free of lactose and dairy proteins to avoid these adverse effects.

Soy yogurt is an ideal solution as it is made from soy milk, which is naturally lactose-free and does not contain dairy proteins, allowing lactose-intolerant individuals and those with dairy allergies to enjoy yogurt without discomfort. Soy yogurt offers a similar taste and texture to traditional dairy yogurt, providing a palatable and satisfying alternative for consumers who appreciate the creamy consistency and tangy flavor of yogurt. The fermentation process used in making soy yogurt enhances its smooth texture and pleasant taste, further increasing its appeal to those seeking dairy-free options.

Increasing Vegan and Vegetarian Lifestyle Choices drives market growth.

The adoption of vegan and vegetarian diets is influenced by multiple factors, including ethical concerns about animal welfare, environmental sustainability, and personal health. Vegans avoid all animal products, while vegetarians typically exclude meat but may consume dairy and eggs. Animal agriculture presents significant environmental challenges, such as deforestation, greenhouse gas emissions, and water pollution. By opting for plant-based alternatives like soy yogurt, vegans and vegetarians can lower their ecological footprint and support environmental conservation efforts. Plant-based diets have been associated with numerous health benefits, including a reduced risk of chronic diseases like heart disease, diabetes, and certain cancers. Soy yogurt offers essential nutrients, including protein, calcium, and vitamins, making it a valuable component of a well-balanced vegan or vegetarian diet.

Soy Yogurt Market Restraints and Challenges:

Product Innovation hinders market growth.

Continued investment in research and development enables manufacturers to explore new formulations, ingredients, and production techniques to improve the quality, taste, and texture of soy yogurt. This process includes conducting consumer research, taste tests, and sensory evaluations to understand preferences and identify opportunities for innovation. Offering a wide range of flavors beyond traditional options can attract consumers seeking variety and novelty. Manufacturers can experiment with exotic fruit flavors, savory blends, and dessert-inspired varieties to cater to diverse taste preferences. Additionally, innovating with textures—such as creamy, smooth, or chunky—can provide a unique sensory experience that distinguishes soy yogurt from competitors.

Creative packaging formats and designs can capture consumer attention and enhance shelf appeal. Manufacturers might consider convenient single-serve cups, eco-friendly pouches, or resealable tubs to offer portability and maintain freshness. Emphasizing these added benefits through labeling and marketing can increase perceived value and justify premium pricing.

Health and Wellness Positioning restrains market growth.

Positioning soy yogurt as a functional food with specific health benefits can resonate with consumers seeking nutritious and wholesome dietary choices. Emphasizing the benefits of soy and probiotics for digestive health, immune support, and overall well-being can differentiate soy yogurt from traditional dairy yogurt and other dairy alternatives. Highlighting the nutritional value of soy yogurt, including its high protein content, calcium fortification, and lack of cholesterol, can appeal to health-conscious consumers. As a rich source of plant-based protein, soy yogurt is a valuable addition to vegetarian, vegan, or protein-rich diets. Communicating these nutritional benefits through packaging, labeling, and marketing materials can educate consumers and drive purchase intent.

Promoting the sustainability and environmental advantages of soy production can attract environmentally-conscious consumers. Soy cultivation generally requires fewer resources such as water and land compared to dairy farming, making soy yogurt a more sustainable option. Using eco-friendly packaging materials, supporting ethical sourcing practices, and transparently communicating sustainability initiatives can reinforce brand values and appeal to environmentally-conscious consumers.

Soy Yogurt Market Opportunities:

Dairy Yogurt Brands Expanding into Plant-Based Alternatives creates opportunities.

Positioning soy yogurt as a functional food with specific health benefits can resonate with consumers seeking nutritious and wholesome dietary choices. Emphasizing the benefits of soy and probiotics for digestive health, immune support, and overall well-being can differentiate soy yogurt from traditional dairy yogurt and other dairy alternatives. Highlighting the nutritional value of soy yogurt, including its high protein content, calcium fortification, and lack of cholesterol, can appeal to health-conscious consumers. As a rich source of plant-based protein, soy yogurt is a valuable addition to vegetarian, vegan, or protein-rich diets. Communicating these nutritional benefits through packaging, labeling, and marketing materials can educate consumers and drive purchase intent.

Promoting the sustainability and environmental advantages of soy production can attract environmentally-conscious consumers. Soy cultivation generally requires fewer resources such as water and land compared to dairy farming, making soy yogurt a more sustainable option. Using eco-friendly packaging materials, supporting ethical sourcing practices, and transparently communicating sustainability initiatives can reinforce brand values and appeal to environmentally-conscious consumers.

SOY YOGURT MARKET REPORT COVERAGE:

Soy Yogurt Market Segmentation: By Type

• Organic Soy Yogurt

• Ordinary Soy Yogurt

Soy yogurt is an excellent source of energy, protein, fiber, and fatty acids. It is rich in essential minerals such as calcium, iron, magnesium, phosphorus, potassium, sodium, and zinc. Additionally, soy yogurt contains important vitamins, including B6, B12, D, E, and K.

Soy Yogurt Market Segmentation: By Flavor Type

• Flavored

• Non-Flavored

The flavored segment held the largest share of the global soy-based yogurt market. In recent years, consumer interest in conventional products has been rapidly declining, creating numerous opportunities for companies to develop distinctive or innovative plant-based items. The demand for new flavors and unique products is particularly strong in countries and regions such as the United States, the United Kingdom, India, Germany, and Argentina, where the vegan trend is widely embraced. Startups and emerging businesses are expanding their product portfolios and developing long-lasting products to meet this growing demand.

Soy Yogurt Market Segmentation: By Application

• Frozen Dessert

• Food

• Beverages

• Others

The food segment dominates the soy yogurt market. Yogurt can substitute for crème fraîche, cream, or sour cream in sauces or dishes such as Beef Stroganoff, though a bit of cornstarch is needed to stabilize it. However, a common challenge is that yogurt tends to form small lumps when cooked, which can make the sauce appear curdled. Frozen desserts represent the fastest-growing segment in the market. Soy yogurt can be used to prepare a variety of desserts, including cupcakes, pancakes, and smoothies.

Soy Yogurt Market Segmentation: By Distribution Channel

• Hypermarkets and Supermarkets

• Convenience Stores

• Online Stores

• Others

Due to the increasing use of smartphones among millennials globally, the online channel is expected to grow at the fastest rate. These channels offer greater convenience and ease of shopping. Features provided by e-retailers, such as value-added services like discounted prices, cash-on-delivery, and cashback, are anticipated to drive the growth of the online channel in the coming years.

Soy Yogurt Market Segmentation- by region

• North America

• Asia-Pacific

• Europe

• South America

• Middle East and Africa

North America holds a leading position in the global soy yogurt market, driven by a rising demand for plant-based food products. Factors contributing to this dominance include heightened health awareness, escalating rates of lactose intolerance, and a growing population of vegans and vegetarians in the region.

Meanwhile, Europe is experiencing the most rapid growth in the market. This growth is fueled by European consumers' increasing adoption of healthier dietary practices, which involves reducing dairy consumption and embracing plant-based substitutes like soy yogurt.

COVID-19 Pandemic: Impact Analysis

The soy yogurt market has been severely impacted by lockdown measures, resulting in halted production and closures of industries. Initially, the market saw a surge in demand during the first two months of lockdown as consumers became more aware and opted for plant-based alternatives amidst concerns over meat consumption. However, this initial surge has led to stockpiling, which is expected to create significant shortages shortly.

Latest Trends/ Developments:

On August 23, 2022, Vitasoy, a Hong Kong-based beverage manufacturer, announced the launch of its new dairy-free Greek yogurt range in Australia, tapping into the growing demand for plant-based alternatives in the region.

In April 2022, MISTA, a San Francisco-based innovation platform, introduced a robust plant-based yogurt base as its inaugural member-created product. This plant-based yogurt base is available for purchase in the United States, Europe, and select locations in Latin America.

Key Players:

These are the top 10 players in the Soy Yogurt Market: -

1. Kite Hill

2. Stonyfield Farm Inc.

3. Danone

4. Good Karma Foods Inc.

5. Ripple Foods

6. Califia Farms

7. Blue Diamond Growers

8. Daiya Foods Inc.

9. The Hain Celestial Group Inc.

10. COYO Pty Ltd