There are three significant trends in dairy product innovation: emotional wellbeing, functional health and indulgence products. The importance of these drivers is set to increase as consumers demand more from dairy products.
Products which deliver mood management are coming onto the market. Manufacturers are using textural enhancements, functional botanicals and emotive language to position their product as beneficial to emotional wellbeing. The naturally occurring appetite suppressants in milk are being supplemented with other natural functional ingredients to enhance its weight managemtn potential. Dairy products are also being positioned as an aid to sport because of the naturally occurring nutrients which offer energy and muscle repair. Indulgence has also been to the fore as many consumers look to treat themselves to small affordable luxuries during the tough economic climate. A number of dairy manufacturers are incorporating a sense of indulgence into their products through indulgent ingredients, packaging and provenance.
Key features of this report
•Analysis of sales values for dairy in North America, South & Central America, Western Europe, eastern Europe, the Middle East & Africa and Asia-Pacific.
•Coverage of yogurt, milk, cheese, spreadable fats, cream, fromage frais and chilled desserts.
•Country analysis showing the top opportunities for increased sales of dairy categories.
•Draws on 13,612 dairy product launches that took place globally between 2006 and 2009.
Scope of this report
•Understand each regional market in terms of absolute size as well as the future potential of each type of product.
•Inform your sales team and/or export department by prioritising the geographical markets best suited to your current range of products.
•Evaluate whether you should be looking beyond your current product portfolio for future opportunities.
Key Market Issues
• Consumer demand for natural functionality is the overriding driver of the dairy product market.
• Four issues are affecting innovation in dairy products – questions over product safety, the fat content of dairy products, water use and methane production in dairy, and allergies and intolerances .
• Concerns have arisen over the possible effects of Bovine TB, and the use of human growth hormones on human health through dairy consumption.
Key findings from this report
• The value of the global dairy products market is forecast to grow by 24% between 2008 and 2013 to be worth US$417bn.
• Growth in the US market is expected to be almost double that of Europe, such that the US market will account for 14% of market revenue in 2013, being worth US$57.4bn. However European sales will continue to dominate the total market with a 38% share of sales by value in 2013.
• The US and Japan are forecast to grow at above average rates and currently have below average per capita expenditure on dairy products.
• Brazil will remain the largest emerging market reaching sales values of US$35 billion by 2013, followed by China and Russia.
• At present milk and cheese dominate the dairy market , however yogurt is expected to overtake and will become a key opportunity for dairy manufacturers.
Key questions answered
• What are the key innovations in dairy which will be significant in the next five years?
• Which countries are the most dynamic in terms of dairy products?
• What are the emerging markets in terms of dairy products?
• Which are the most innovative sub categories within the dairy market?
Drug And Medication Industry
Table of Contents
Innovations and NPD in Dairy
Executive summary 10
Market drivers, inhibitors and issues 10
Market dynamics and growth opportunities 11
NPD and innovation in dairy products 12
Conclusions 13
Chapter 1 Introduction 16
Introduction 16
What is this report about? 16
Report structure 17
Chapter 2 Market drivers, inhibitors and issues 20
Summary 20
Introduction 21
Market drivers 22
Demand for natural products 22
Adult obesity and diets 23
Resurgent interest in home cooking 26
Ageing population 27
Kids 29
Market resistors 30
Doubts over product safety 30
Environmental consumerism 35
The amount of methane gas produced by cows 36
Carbon footprint 37
Packaging 37
Production methods 38
Transportation 38
Rising costs and prices 39
Price fixing 39
Increased demand in China 40
Other raw material costs 40
Recession in the US 40
Market issues 41
Dairy allergies and intolerance 41
Fat content 45
Probiotic debate 49
Articles 13, 13.5 and 14 49
Problems with the implementation of the regulation 51
Issues with health claims 53
Chapter 3 Market dynamics and growth opportunities 56
Summary 56
Introduction and market trends 57
The US dominates the dairy market 57
Dairy in the BRIC countries 58
Dairy market value analysis 59
Country analysis 59
Germany and France are the most valuable European markets 59
Segment analysis 60
Chapter 4 Innovation and NPD 62
Summary 62
Introduction 63
Growth of dairy products in terms of new product launches 63
Category analysis 64
Cheese 65
Chilled desserts 66
Cream 68
Fromage frais 69
Milk 70
Spreadable fats 73
Yogurt 74
Regional analysis 76
Europe 77
North America 79
Asia-Pacific 81
Innovative dairy products 83
Innovation in formulation 83
Functional 83
Provenance 89
Innovation in packaging 91
Green packaging 91
On-the-go and convenience for kids 93
Innovation by category 95
Examples of key trends 96
Product tags on dairy products 98
Flavor trends 100
Chapter 5 Conclusions 104
Summary 104
Drivers and resistors in the dairy products market 104
Natural and ethical 107
Functional health and wellbeing 108
Further opportunities 110
Index 114
List of Figures
Figure 2.1: China milk product scare 35
Figure 2.2: Ways to reduce the fat content and fat intake in dairy 48
Figure 3.3: Value growth of dairy market, by country (%), per capita ($), 2008-2013 57
Figure 3.4: Value growth of emerging dairy markets, by country (%), per capita ($), 2008-2013 58
Figure 4.5: Growth of dairy products launched, by category (%), 2006-09 63
Figure 4.6: Share of dairy products launched, by category (%), 2006-09 64
Figure 4.7: Sainsbury’s cheese sticks, Landfrisch Sommergemuese, Raclette Cheese and Finlandia Black Label Goats Cheese 65
Figure 4.8: Campina dessert, Fru Fruity Puds and Nantsuttei Baked Black Caramel Pudding 67
Figure 4.9: Ruoka kerma cream, Junnama Cream, Kunin’s Smetana and Bailey’s whipped cream 69
Figure 4.10: Plum baby fromage frais, Muller Little Stars and Yoplait Safari Tubs 70
Figure 4.11: Nippon Milk Community milk, Dairy Delicious Milk, Latella Tirol Milch and Huerkang milk 72
Figure 4.12: Epicurean Butter, Ayurvedic Ghee butter, Delamere Goat’s butter and Minus L butter 74
Figure 4.13: Muller Corner Healthy Balance and Yoplait Light Thick and Creamy yogurts 75
Figure 4.14: Share of dairy products launched, by region (%), 2006-09 76
Figure 4.15: Share of products launched by category, Europe (%), 2009 77
Figure 4.16: Edeka Mozzarella and Garcia Baquero Queso 78
Figure 4.17: Share of products launched by category, North America (%), 2009 79
Figure 4.18: Tillamook Shingle sliced cheese, Cabot Harpoon IPA Beer Cheddar Cheese and Meyenberg Aged Goats Milk Cheese 80
Figure 4.19: Share of products launched by category, Asia Pacific (%), 2009 81
Figure 4.20: Maeil fresh shoots and grain seed yogurt drink, Gloria Frutos del Peru and Yakult Honsha yogurt drink 82
Figure 4.21: Next Generation Organic Probiotic Cheese, Acai Roots Smoothie, Benecol Fruit and Dairy Smoothie and Celta Antiox 85
Figure 4.22: Borden Dairy 100 calorie Snack Cheese Sticks, Rightsize smoothie and Magermilch- Joghurt 86
Figure 4.23: Kagome bacteria yogurt, Hempmilk and Nippon Luna Platinum Yogurt 88
Figure 4.24: Yogi Yalla Yogurt Drink, Ice Break Milk and Boost Guarana 89
Figure 4.25: Tou del Tillers Queso, Colby Kalamata Olive and Sundried Tomatoes and Noem Mix Naturrein 90
Figure 4.26: Chobani Greek Yogurt 91
Figure 4.27: Waitrose Select Farm and Sam’s Member’s Mark Milk 92
Figure 4.28: Yoplait 360 Degrees Yogurt drink, Dannon Danimals Crush Yogurt and San Antonio Margarine 94
Figure 4.29: Innovation in dairy product categories, 2006-2009 95
Figure 4.30: Jalna Vitalize Yogurt, Dobroye Utro Bio Yogurt, Yoplait Mixed Seeds, Patak’s Original Raita Yogurt, Wallaby Organic Down Under 97
Figure 4.31: Flora Buttery, Strawberry yogurt drink, Natural Start Vulgaris yogurt drink and Waitrose Strawberry and Rhubarb cheesecake 99
Figure 4.32: Dairy products with innovative flavors 102
Figure 5.33: Drivers and resistors in the dairy industry 105
Figure 5.34: Growth opportunities in milk 110
Figure 5.35: Growth opportunities in cheese 111
Figure 5.36: Growth opportunities in yogurt 112
List of Tables
Table 2.1: Value of the US & European natural (excluding organic) food and drink market, by category ($bn), 2000-2010 23
Table 2.2: Overweight and obese adult consumers, by country (% of adult population), 2004- 2009 24
Table 2.3: 60+ Mid Year Population, by continent (m), 2008-2012 27
Table 2.4: Market value of the allergen and intolerance food market, by country ($m), 2001-2011 42
Table 2.5: Market value for the allergen and intolerance drinks market, by country ($m), 2001- 2011 43
Table 2.6: Low-density lipoprotein (LDL), or "bad," cholesterol levels. 47
Table 3.7: Dairy market value, by country ($m), 2008-2013 60
Table 3.8: Dairy market value, by segment ($bn), 2008 and 2013 60
Table 4.9: % of types of innovation within innovative dairy products, 83
Table 4.10: Top 15 claims on dairy products launched, 2006 to 2009 98
Table 4.11: Top 15 flavors in dairy products launched, 2006-2009 100
Companies mentionedCoca Cola – Vio, Flora, For Goodness Shakes, Got Milk Campaign, Gü, Morinaga Milk, Muller, Next Generation Organic Dairy, Nippon Milk Community, Plum Baby, Rachel’s Organics, Sainsbury’s, Yeo Valley and Yoplait
