Fact.MR, a leading provider of market research and competitive intelligence, reports that the global plant-based cheese market is poised to reach a valuation of US$ 1.3 billion by 2023, with an anticipated compound annual growth rate (CAGR) of 15.1% over the next decade (2023-2033). By the year 2033, the overall sales of plant-based cheese are projected to reach a remarkable market value of US$ 5.3 billion.
The surge in veganism and the growing preference for plant-based foods worldwide are among the primary drivers propelling the global plant-based cheese market forward. Plant-based cheese, derived entirely from sources like soy, coconuts, almonds, and cashews, offers a sustainable and eco-friendly alternative to dairy-based products. Its popularity has soared in recent years, fueled by the expanding vegan population and increasing awareness of environmental concerns.
Consumer trends play a pivotal role in shaping the trajectory of the food and beverage industry. As customers increasingly embrace new food trends and preferences, niche categories like vegan products, including cheese, are witnessing substantial growth within the market.
Factors such as increased awareness of animal cruelty and the growing acceptance of veganism are driving consumers to choose vegan options like plant-based cheese. Veganism is experiencing high demand, with a growing number of individuals worldwide recognizing its benefits. In response, numerous food brands and businesses are expanding their product offerings to include vegan alternatives such as cheese, bread, and biscuits, aligning with this burgeoning trend.
Key Takeaways:
Based on source, soy-based cheese segment is expected to hold around 2/5 share of the global market by the end of 2033.
By sales channel, retail sales are likely to generate the highest revenue in the global plant-based cheese market.
The U.S. plant-based cheese shipments are expected to grow at a CAGR of over 10% over the next decade.
Demand for plant-based cheese across China is projected to increase at 14% CAGR through 2033.
The U.K. plant-based cheese market is anticipated to expand at 12% CAGR over the next decade.
The popularity of plant-based cheese products is soaring globally as consumers transition away from traditional cheese. The burgeoning interest in vegan cheese has led to the emergence of new brands entering the market to meet this demand.
Social media influencers and celebrities are also playing a significant role in promoting the consumption of plant-based products, further fueling the demand for plant-based cheese. This trend is anticipated to persist throughout the forecast period.
Furthermore, the increasing prevalence of lactose intolerance is serving as a catalyst for the growth of the global plant-based cheese market. In recent years, there has been a substantial rise in the number of individuals suffering from lactose intolerance.
For instance, according to the World Population Review, nearly 65% of the adult human population experiences lactose intolerance due to a decrease in the activity of the LCT gene. This phenomenon is compelling individuals to opt for plant-based dairy alternatives like plant-based cheese.
Plant-based cheese is slowly becoming mainstream, but today’s customers are more cautious about product quality and nutritional value. As a result, several businesses are increasingly investing resources in research and development (R&D) activities to effectively mimic cheese’s complex functional and flavor profiles. This will help them to expand their customer base during the projection period.
Demand remains especially high for soy-based cheese in the market owing to its healthy and high nutritional content. Soy-based cheese comes in different varieties and textures and its taste closely resembles that of conventional cheese. Further, it is rich in essential fatty acids, protein, potassium, fiber, iron, and other essential bioactive components, making it perfect for people looking for healthy plant-based cheese. Fact.MR predicts the soy-based cheese segment to hold the largest market share of around 40% by the end of the forecast period.
Growth Drivers:
Growing trend for veganism across the world is a key factor driving the global plant-based cheese market.
Surging cases of cardiovascular diseases, diabetes, and obesity will encourage people to opt for plant-based foods like vegan cheese over the projection period.
Restraints:
Absence of proper flavor, nutrition, and genuineness in plant-based cheese is restraining market expansion.
Vegan cheese made with coconut oil is high in saturated fat, which can lead to heart disease.
Competitive Landscape:
With the entry of new-start-ups, competitive landscape of the plant-based cheese market is getting more intense. In order to survive in this market space, as well as to increase their revenue share, key players are employing various strategies such as new product launches, partnerships, mergers, acquisitions, facility expansions, and strengthening distribution channels. Further, they are using innovative advertisements and campaigns to improve their brand image.
These insights are based on a report on Plant-based Cheese Market by Fact.MR.
