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North America Plant-based Milk Market Projected to Hit Significant Growth by 2031 - Persistence Market Research

05-05-2025 06:55 AM CET | Food & Beverage

Press release from: Persistence Market Research

North America Plant-based Milk Market Projected to Hit

The North America plant-based milk market has evolved from a niche health trend into a major component of the region's food and beverage industry. As more consumers turn toward healthier lifestyles and environmentally sustainable choices, plant-based milk products have become a preferred alternative to traditional dairy. From coffee shops to supermarket shelves, these dairy alternatives are now widely embraced across various demographics.

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As of 2024, the North American plant-based milk market is valued at US$19.5 billion and is projected to reach US$33.1 billion by 2031, growing at a compound annual growth rate (CAGR) of 7.8%. This robust growth is fueled by rising health consciousness, increasing lactose intolerance cases, and the burgeoning vegan and flexitarian populations. The almond milk segment has emerged as the dominant product category, claiming 52.1% market share in 2022, while the United States remains the leading region due to its early adoption of plant-based diets.

Key Highlights from the Report

➤ Almond milk held the largest share in 2022, accounting for 52.1% of the North American market.
➤ Carton packaging dominates with 59.5% market share in 2024, preferred for its convenience and sustainability.
➤ Supermarkets and hypermarkets are the top distribution channel, contributing 41.3% to total sales.
➤ Growing demand for lactose-free, sustainable, and health-conscious alternatives drives new product innovations.
➤ Environmental concerns among consumers are pushing the demand for plant-based milks over dairy.
➤ Oat milk is rapidly gaining ground due to its texture, taste, and suitability for coffee applications.

Market Segmentation

In terms of product type, almond milk continues to be the most popular due to its light taste, low calorie content, and wide culinary applicability. Following almond milk, oat milk has gained remarkable traction, especially among coffee drinkers for its creaminess and foam stability. Soy milk, known for its high protein content, remains a traditional favorite among health-conscious individuals. Other plant-based alternatives such as coconut, rice, cashew, and newer entrants like pea and hemp milk also contribute to the category's diversity.

On the basis of packaging, cartons are the most preferred choice, holding a 59.5% market share in 2024. Cartons are favored for their portability, extended shelf life, and sustainability benefits. Bottles and pouches follow suit, particularly in the grab-and-go segment.

From a distribution channel perspective, supermarkets and hypermarkets lead the charge with 41.3% market share, offering consumers easy access to a variety of plant-based milk products. Online retail is also growing steadily due to changing shopping behaviors, followed by specialty stores, health food outlets, and convenience stores.

Regional Insights

The United States remains the dominant market within North America, driven by high consumer awareness, product availability, and a large base of lactose-intolerant and vegan consumers. The U.S. market has been instrumental in pioneering trends in plant-based dairy, with brands like Oatly, Califia Farms, and Ripple Foods gaining national prominence.

Canada also demonstrates promising growth potential. Canadian consumers are becoming increasingly health-conscious and environmentally aware, contributing to the rise of plant-based diets. The Canadian government's support for sustainable agricultural practices is further expected to boost the regional adoption of plant-based milk.

Market Growth Drivers

Lactose Intolerance and Dairy Sensitivity
A key factor propelling the plant-based milk market in North America is the widespread prevalence of lactose intolerance, which affects over 65% of the global adult population. In the U.S. alone, a significant portion of the population experiences discomfort with dairy products. As a result, consumers are shifting toward plant-based milk, which offers a naturally lactose-free alternative without compromising nutrition, especially when fortified with calcium and vitamin D.

Environmental Sustainability
Consumers are increasingly choosing plant-based milks for their lower environmental impact. Compared to dairy, plant-based milk production emits significantly fewer greenhouse gases and uses less water and land. This has made products like oat, soy, and pea milk especially popular among eco-conscious consumers. The drive toward carbon neutrality and sustainable consumption further encourages plant-based milk adoption across North America.

Rise of Vegan and Flexitarian Lifestyles
Changing dietary preferences, particularly the adoption of vegan, vegetarian, and flexitarian diets, continue to drive demand. Plant-based milk fits seamlessly into these lifestyle choices and is often recommended by nutritionists for its cholesterol-free and low-calorie nature. Consumers are also showing a strong preference for fortified options that provide added health benefits.

Market Restraints

Challenges with Taste and Texture
Despite its growing popularity, one major restraint is the consumer dissatisfaction with taste and texture. Many plant-based milk products are criticized for their off-notes or lack of creaminess when compared to traditional dairy. This sensory gap often discourages repeat purchases and remains a critical challenge for manufacturers to address through innovative formulations.

Limited Consumer Awareness
While awareness is growing, there remains a sizable population in North America that is unfamiliar with the health and environmental benefits of plant-based milk. Misconceptions around nutritional value and culinary versatility can inhibit market expansion. Educating consumers about the advantages of plant-based options will be crucial to overcoming this barrier.

Market Opportunities

Rising Demand for Fortified Plant-Based Milk
The growing interest in functional beverages has opened a lucrative opportunity for brands to develop fortified plant-based milk enriched with vitamins, minerals, and proteins. These enhanced products cater not only to vegans but also to individuals with nutrient deficiencies or specific health goals. This segment is anticipated to be a key revenue driver moving forward.

Evolving Sustainability Consciousness
With increasing global focus on sustainability, companies have a chance to position themselves as eco-friendly pioneers in the food and beverage space. By promoting low-carbon, water-efficient production methods and recyclable packaging, brands can attract a more conscious consumer base, solidifying long-term brand loyalty and market share.

Frequently Asked Questions

◆ How big is the North America plant-based milk market?
◆ Who are the key players in the North America plant-based milk market?
◆ What is the projected growth rate of the North America plant-based milk market?
◆ What is the market forecast for North America plant-based milk through 2031?
◆ Which region is estimated to dominate the plant-based milk industry through the forecast period?

Company Insights

• Nestlé
• Symrise
• Sproud International AB
• Oatly
• So Delicious
• Ripple Foods
• Califia Farms
• Nutty Life
• Mooala
• Vitasoy

Contact Us:

Persistence Market Research
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Brentford, London, TW8 0GU UK
USA Phone: +1 646-878-6329
UK Phone: +44 203-837-5656
Email: sales@persistencemarketresearch.com
Web: https://www.persistencemarketresearch.com

About Persistence Market Research:

At Persistence Market Research, we specialize in creating research studies that serve as strategic tools for driving business growth. Established as a proprietary firm in 2012, we have evolved into a registered company in England and Wales in 2023 under the name Persistence Research & Consultancy Services Ltd. With a solid foundation, we have completed over 3600 custom and syndicate market research projects, and delivered more than 2700 projects for other leading market research companies' clients.

Our approach combines traditional market research methods with modern tools to offer comprehensive research solutions. With a decade of experience, we pride ourselves on deriving actionable insights from data to help businesses stay ahead of the competition. Our client base spans multinational corporations, leading consulting firms, investment funds, and government departments. A significant portion of our sales comes from repeat clients, a testament to the value and trust we've built over the years.

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