US consumers return to cow's milk as plant-based milk sales keep falling

Industry

โดย Money & Banking·Read original

Summary · why it matters

American consumers are buying less plant-based milk and turning back to cow's milk, as they focus more on minimally processed foods and high protein. Data from Circana shows that plant-based milk sales in the US have fallen more than 5 percent annually for the third consecutive year, while cow's milk sales remain strong at nearly 18 billion dollars a year. This trend is also seen in the United Kingdom and some European countries. Consumers view plant-based milk as expensive, with taste that does not meet expectations and low protein content. As a result, Danone has launched a high-protein plant-based milk formula, while Arla and Innocent Drinks have exited the market. Oatly's market value has dropped from around 12 billion dollars to below 500 million dollars. Meanwhile, a gallon of cow's milk costs an average of 4.22 dollars, compared with plant-based milk at around 4 to 5 dollars per half gallon. However, high-protein coconut milk and soy milk are still seeing sales growth, and demand for oat milk in coffee shops remains strong.

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