Chocolate Milk Market

Chocolate Milk Market Value And Growth Analysis(2023-2028):

The Global Chocolate Milk Market was valued at US$ 7,790 million in 2023 and is predicted to increase with a CAGR of 4.77% during 2023-2028.

Chocolate Milk Market Overview:

Milk chocolate is a type of solid chocolate made with milk in a variety of forms, including powdered milk, liquid milk, and condensed milk. Milk chocolate is a delectable confection made from cocoa butter, sugar, and milk, however, it contains no cocoa solids. Milk solids are not present in semisweet chocolate. Couverture refers to chocolates that are high in cocoa butter. Furthermore, milk chocolates must contain 25% cocoa solids to comply with EU regulations. Because of the health benefits that milk chocolate provides, the industry is booming. Furthermore, many R&D studies have discovered that milk chocolate improves cognition and lowers the incidence of heart attacks and strokes, fueling market expansion. Milk chocolate also hydrates and smoothness the skin improves memory and boosts the immune system's overall efficiency, all of which help to fuel the global chocolate milk market growth during the forecast period.

Chocolate Milk Market Drivers:

• Consumer need for convenient, natural, nutritional, and safe on-the-go snack options is the key driver of chocolate milk sales globally. Consumers' changing lifestyles, as well as their demand for a healthier lifestyle, are propelling market expansion.

• As a result, chocolate milk is becoming more popular as a healthier and more nutritious option. Furthermore, it is a nutritious and appetizing option that is available in a number of flavors, making it suitable not only for children and teenagers but also for older generations, boosting its market demand.

• Furthermore, in order to extend their consumer base, companies are bringing about innovation in flavored milk by putting more attention on tastes, indulgence, and package modifications that cater to adults, which will favorably impact the global chocolate milk market growth.

• During the lockdown, demand for packed and trusted snack food brands surged, which is expected to have a beneficial impact on the chocolate milk market's growth. According to Food Insight, 27 percent of people in the United States reported they were snacking more as a result of the coronavirus outbreak, bolstering the market research.

• Due to its reduced sugar and extra nutritional benefits, low-fat and fortified chocolate milk is occupying the retail market shelf. Consumers are shifting their preferences toward healthy drinks as the occurrence of health conditions rises as a result of changing lifestyles.

As a result, the market for Chocolate Milk is rapidly expanding. Chocolate milk's many functional characteristics, such as vitamin, calcium, and carbohydrate content, are becoming more well-known among consumers. The market for chocolate milk is being pushed by shifting customer preferences and rising demand from athletes, teenagers, and children. In the Chocolate Milk sector, manufacturers have a huge opportunity. The industry is quickly expanding, with a strong focus on new beverages that enhance taste while also providing customers with health benefits. Consumers' recent diet consciousness has boosted the prospects for enterprises involved in Chocolate Milk production.

Chocolate Milk Market Restraints:

However, fluctuating raw material costs, particularly cocoa, supply volatility, and political instability in cocoa-producing countries are expected to stifle the global chocolate milk market expansion from 2020 to 2027. Factors such as shifting consumer flavor preferences are also becoming an increasing impediment.

REPORT COVERAGE:

Recent Developments in the Global Chocolate Milk Market:

• Arla Foods Ingredients, based in Denmark, has welcomed a significant breakthrough for Chinese markets, with the country now allowing imports of whey to permeate for usage in key product lines like chocolate and biscuits.

• Amul's flavored milk brand 'Kool' has added a new flavor to its lineup. The new 'Kool Koko' flavor is chocolate-flavored milk created with pure milk and cocoa solids.

Chocolate Milk Market Segmentation: 

By Type:

• Dairy-based chocolate milk

• Non-Dairy based chocolate

Based on type, dairy-based chocolate milk is anticipated to dominate the global chocolate milk market during 2022-2027. Protein shakes and non-dairy drinks compete fiercely in the global market for dairy-based chocolate milk. Adults and sportsmen who previously dismissed chocolate milk as a drink for children are now choosing dairy-based chocolate milk as a result of the dairy industry's ongoing marketing efforts. Increased consumer disposable income and consumer awareness of the health benefits of flavored dairy products such as chocolate milk are two significant factors projected to drive demand.

To maintain their market position, the biggest competitors are inventing organic and sugar-free chocolate drinks in response to mounting concerns about the sugar content in dairy drinks and the world's expanding obese population. Nestle, for example, changed the sugar content and redesigned its chocolate drink in 2017 in response to consumer demand for low-sugar chocolate drinks. Nestle introduced Nesquik All Natural, a low-sugar product packed in recyclable paper packaging with extra chocolate, in 2019. Such product category developments are drawing more customers, which is helping the global chocolate milk market grow.

By Distribution Channel:

• Supermarket/Hypermarket

• Convenience stores

• Others

Supermarkets and hypermarkets generated USD 1.30 billion in revenue in 2018 and are anticipated to increase at a modest rate during 2022-2027. Through these channels, consumers can access a wide range of products in one location, allowing them to choose the product and quantity that best matches their needs. Because they have fewer operating and marketing costs, these channels can provide products at lower prices. Many supermarkets offer quality assurance for their products, which is projected to help the category grow dramatically.

The online retail segment is expected to develop at the fastest rate of 7.77 percent between 2022 and 2027. Well-known companies are resorting to online distribution to fulfill rising demand. Amazon and Alibaba, for example, sell products from a variety of manufacturers. The increasing use of smartphones and the expansion of the e-Commerce business is likely to drive the segment's growth. The convenience of purchasing and getting items at one's doorstep is expected to increase the use of online channels in the coming years.

Chocolate Milk Market Regional Analysis: 

The Global Chocolate Milk Market Report includes the segmentation of Regions:

• Asia Pacific region dominates the global chocolate milk market during the forecast period. The key driver of chocolate milk sales in Asia-Pacific is consumer demand for convenient, natural, nutritional, and healthful on-the-go snack options. Consumers' shifting lifestyles and tendency toward a healthy lifestyle are propelling the industry forward. As a result, chocolate milk is becoming more popular as a better and nutritional alternative. Because dairy-based beverages are naturally high in calcium, they are regarded as a healthy beverage option. Probiotic beverages' health benefits, particularly its capacity to enhance digestion and the immune system, are drawing customers of all ages.

• North America is expected to witness a moderate global chocolate milk market share in the next six years. Consumer understanding of cocoa's health advantages has resulted in some of the industry's most significant advancements in North America.

• Europe

• Latin America

• Middle East & Africa

Chocolate Milk Market Key Players:

1. Nestle SA

2. Arla Foods

3. Dean Foods

4. Dairy Farmers of America Inc.

5. Saputo Inc.

6. Royal FrieslandCampina

7. Amul

8. Maryland & Virginia Milk Producers Cooperative Association Inc.

9. Inner Mongolia Yili Industrial Group Co.

10. Groupe Danone