The global non-dairy frozen dessert market size was valued at USD 5.43 billion in 2021 and is projected to reach USD 11.50 billion by 2030, growing at a CAGR of 8.7% from 2022 to 2030.  This robust growth is largely driven by a steady shift among consumers away from traditional dairy-based frozen desserts toward non-dairy alternatives. This shift reflects changing dietary preferences and greater awareness of health and sustainability issues.

A major factor influencing this transition is the increasing adoption of plant-based diets, which are favored because they tend to be rich in proteins, lower in calories, and beneficial in managing cholesterol levels. Consumers are becoming more health-conscious, motivated by socialization trends and a growing understanding of nutrition. Additionally, the rising incidence of lactose intolerance and other dairy-related health concerns has prompted many to seek out non-dairy options, thereby boosting demand within the industry.

The COVID-19 pandemic further accelerated the growth of the non-dairy frozen dessert market. During this period, more individuals adopted vegetarian, flexitarian, and vegan diets as they became increasingly aware of their personal health, environmental impact, and ethical considerations related to animal welfare. The pandemic acted as a catalyst, heightening consumer consciousness about the importance of maintaining good health and nutritious eating habits. Supporting this trend, the International Food Information Council’s (IFIC) Food & Health Survey 2020 reported that a substantial majority of U.S. consumers—about 85%—made at least some changes to their eating habits in response to the pandemic.

Within the United States, the uptake of non-dairy frozen desserts has been particularly notable among millennials, whose preference for plant-based products has steadily increased in recent years. This demographic trend is expected to continue fueling growth over the forecast period. Moreover, the increasing commercialization of non-dairy frozen desserts, coupled with the growing consumer inclination toward plant-based milk alternatives, represents a key driver for market expansion.

Key Market Trends & Insights:

• In 2021, North America emerged as the leading contributor to the global non-dairy frozen dessert market, accounting for a significant share of over 38% of the total market revenue. This dominant position reflects the region's strong consumer base, high awareness of plant-based diets, and the well-established presence of key industry players investing in product innovation and distribution.

• Looking ahead, Europe is projected to experience robust growth in the non-dairy frozen dessert sector, with an expected compound annual growth rate (CAGR) of 9.5% during the forecast period. This rapid expansion is driven by increasing consumer demand for healthier and sustainable food options, growing lactose intolerance awareness, and favorable regulatory environments supporting plant-based product adoption across several European countries.

• When analyzing the market by product type, the non-dairy ice cream segment stood out in 2021 by capturing the largest revenue share, exceeding 30% of the total market. This segment's leadership is attributed to the widespread popularity of ice cream as a frozen dessert, combined with the rising preference for dairy-free alternatives that cater to health-conscious and lactose-intolerant consumers.

• In terms of distribution channels, the retail segment is anticipated to experience substantial growth, with a high CAGR of 9.2% over the forecast period. The expansion of retail channels, including supermarkets, hypermarkets, and specialty health stores, is facilitating easier consumer access to non-dairy frozen desserts. Additionally, the growing trend of in-store promotions and expanding product varieties in retail outlets is expected to further fuel this segment’s growth.

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Market Size & Forecast:

• 2021 Market Size: USD 5.43 Billion

• 2030 Projected Market Size: USD 11.50 Billion

• CAGR (2022-2030): 8.7%

• North America: Largest market in 2021

Key Companies & Market Share Insights:

The non-dairy frozen dessert market is characterized by a competitive landscape consisting of a few well-established, major players alongside a significant number of small and medium-sized manufacturers. These companies are actively pursuing various growth and market penetration strategies to strengthen their positions and capture greater market share. Key strategic approaches include launching innovative new products, expanding existing product portfolios, and engaging in mergers and acquisitions to enhance their capabilities and reach.

For example, in March 2022, So Delicious introduced a new line of non-dairy frozen desserts under the brand name Wondermilk. These products are distinguished by their rich and creamy texture, catering to consumers seeking indulgent yet dairy-free treats. The Wondermilk Frozen Desserts range includes two cone flavors and five pint flavors, all of which are Non-GMO and Vegan Certified, appealing to health-conscious and ethical consumers.

Similarly, in October 2021, Ripple Foods, a prominent player in the non-dairy sector, successfully raised USD 60 million in Series E funding. This capital infusion came from investors including Ajax Strategies and S2G Ventures and is aimed at accelerating the expansion of Ripple’s non-dairy product line. The company plans to use these funds to innovate new products and enter additional categories such as dairy-free soft serve ice cream and vegan cheese, diversifying its offerings and tapping into broader segments within the plant-based market.

Going back to March 2019, JENI’s Splendid Ice Creams marked its entry into the dairy-free frozen dessert category by launching its first dairy-free ice cream line. This debut included four unique flavors, namely roasted peanut butter & strawberry jam, cold brew with coconut cream, dark ice-cream truffle, and Texas sheet cake, showcasing the brand’s commitment to creativity and quality while catering to consumers seeking plant-based alternatives.

Key Players

• Yoga-urt

• JENI'S SPLENDID ICE CREAMS, LLC.

• Coolhaus

• Miyoko's Creamery

• NADAMOO

• Ripple Foods

• Dinoci Dairy Free

• NOONA’S ICE CREAM, LLC.

• So Delicious Dairy Free

• Breyers (Unilever)

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Conclusion:

The non-dairy frozen dessert market is experiencing significant growth driven by rising consumer preference for plant-based and health-conscious food options. Increased awareness about lactose intolerance and environmental sustainability is fueling demand, alongside ongoing innovation in flavors and product formulations. Strategic initiatives by key players, including product launches and expansion into new categories, are further supporting market growth. The trend toward healthier lifestyles and ethical consumption is expected to continue propelling the market forward in the coming years.