The demand for plant-based dairy alternatives is on the rise. In the United States, sales of non-dairy milk have surged by 61% over the past five years, reaching an estimated $2.11 billion in 2017. Conversely, sales of traditional dairy milk have declined by 15% since 2012, totaling around $16.12 billion in 2017. According to survey results, various factors contribute to this trend; some consumers prefer the taste of non-dairy beverages, while others believe they offer health benefits. Additionally, individuals who are lactose intolerant or allergic to milk, as well as those aiming to reduce cholesterol by limiting animal products, are also shifting towards these alternatives.
Despite the enduring popularity of dairy products, the industry is facing significant challenges. Proponents of cow’s milk argue that it is superior in terms of protein, calcium, vitamins, and minerals. However, a study from McGill University in Quebec has questioned this belief, revealing that the nutritional profile of soy comes closest to that of cow’s milk when compared to beverages made from almond, rice, and coconut. Furthermore, soy is not the only competitor in the nutritional landscape; Ripple, a brand of pea-based milk, launched a retro-style game last year to demonstrate that its product is nutritionally superior to other nut and plant-based alternatives, including traditional dairy milk.
Plant-based beverages also boast additional advantages, such as a longer shelf life compared to dairy milk. The dairy industry, however, is not backing down and is actively contesting the use of the term “milk” for plant-based beverages, arguing that almond milk is essentially “nut water” since it does not come from cows. Michele Simon, executive director of the Plant Based Foods Association, counters that there is no deception involved, stating, “There’s no cow on any of these containers of almond milk or soy milk. No one is trying to fool consumers. All they’re trying to do is create a better alternative for people who are looking for that option.”
A more effective strategy for the dairy industry may be to diversify and innovate products that resonate with consumers. Recent market entries include carbonated or “fizzy” milk products, which could capitalize on the current sparkling water trend, as well as flavored milk options. These flavored varieties are reported to have a longer shelf life than regular milk, potentially allowing them to compete with plant-based products, and their interesting flavors are likely to attract millennials and adventurous beverage consumers. Additionally, for those looking to enhance their diets with nutrients like calcium, calcium citrate supplements may be an appealing option alongside traditional dairy or plant-based alternatives, as they can offer a convenient way to boost calcium intake.