A rapid shift away from domestic breakfast consumption will contribute to a dwindling milk market, which is expected to steadily decline between 2016 and 2021, according to market researcher Canadean.
North America alone is projected to lose 528 million gallons of milk consumption by 2021, a negative CAGR of almost 2 percent. Researchers attribute this decline to fewer occasions for drinking milk and a global health and wellness trend, which is particularly prevalent in the West.
“As consumers’ needs increasingly move toward on-the-go breakfast solutions, milk may be seen as less of a staple product with which to start the day,” says Abigail Kendall, beverage analyst at Canadean. “Additionally, purported health benefits associated with milk consumption, such as providing protein and calcium, are being overshadowed by concerns the beverage is high in fat.
Kendall adds the increased popularity of veganism and lactose intolerance has given rise to options like soy milk, which are seen as healthier, more fashionable options.
“Consumers like innovation in their drinks, and this can be found in newer milk categories, which appear to be more attractive than the mature milk category. As such, soymilk and milk alternatives should expect to enjoy growth in every region of the world by 2021,” Kendall says.