Theglobal organic yogurt market is a chock-a-block of companies of varyingsizes, finds Transparency Market Research (TMR) in a new report. Key focus oftop players in the organic yogurt market is to expand their geographicaloutreach. To do so, savvy players are entering into partnerships and strategicalliances with regional players. Such collaborations are also helping todevelop new products to serve regional taste, adds the report.
Keycompanies having a significant presence in the global organic yogurt marketinclude Stonyfield Farm Inc., BJ’s Wholesale Club, Aurora Organic Dairy, KrogerCo., Safeway Inc., Ben & Jerry’s Homemade Inc., Whole Foods Market Inc.,Horizon Organic Holding Corp. Purity Foods Inc., and Wallaby Yogurt CompanyInc.
Accordingto the TMR report, the global organic yogurt market is likely to expand at astellar 13.1% CAGR for the forecast period between 2017 and 2022, for themarket to be worth US$15.5 bn by 2022.
Amongthe key distribution channel, specialty stores holds prominence in the organicyogurt market. This is mainly because specialty stores stock a large range ordairy products, which includes yogurts for several occasions. For such reasons,the specialty stores segment is likely to be evaluated at US$4 bn by 2022vis-à-vis revenue. By product type, spoonable yogurt displays maximum demand.The convenience quotient of spoonable yogurt makes it highly preferred amongother product types.
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Demandfor Various foods to boost Gut Health benefits Market
Worldwide,increasing awareness of health benefits of yogurt is a key factor behind thegrowth of organic yogurt market. For several foods, individuals are seekingorganic variants to prevent the risk associated with pesticides. Regular yogurtare manufactured using milk obtained from cattle fed on regular food.
On the other hand, organic yogurtis manufactured using milk obtained from cattle that are fed only on organicfood. This prevents pesticides in the fodder to pass from milk to yogurt
Increasing incidence of medical conditions and allergies associated withpesticides is stoking demand for organic foods. This provides stimulus to theorganic yogurt market.
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Increasingconsumption of yogurt for gut health is another key factor bolstering theorganic yogurt market. Health savvy consumers tend to consume yogurt on aregular basis. Yogurt has probiotics that helps maintain good bacteria in thegut. To prevent the risk of damage associated to the gut with regular yogurt, healthsavvy consumers are increasingly opting organic variants of yogurt. This servesto boost the organic yogurt market.
Currently,fads among consumers boost the uptake of most consumer goods. Food fads findeasy way in the minds of consumers because of health reasons and generalwell-being. For such reasons, food fads that organic foods have highnutritional value are stoking demand for organic yogurt. The organic yogurtmarket is thus benefitted.
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Relatively High Cost of OrganicFood Variants hampers Demand
However, onthe downside, high cost factor of organic yogurt as compared to regular yogurtis having a negative impact on sales of organic yogurt. Moreover, increasingconsumption of packaged snacks for taste and affordability are slowing sales ofdairy products. This is slowing the growth of organic yogurt market.
Nevertheless,increasing availability of low cost products are likely to offset restraintsslowing the growth of organic yogurt market.
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