U.S. Organic Ice Cream Market size was valued at over USD 300 Million in 2017 and is expected to witness growth of more than 4.5% CAGR from 2018 to 2024.
U.S. Organic Ice Cream Market, By Product, 2013 – 2024 (USD Million)
Increasing manufacturers’ focus on organic substitutes owing to the rising consumer awareness regarding health & safety has enhanced the U.S. organic ice cream market growth. New product launches including natural-based products are the major trends among manufacturers. Improved and well-established distribution network in the U.S. ice cream industry will support the business expansion.
Shifting preference toward healthier options for ice cream is the major trend driving the product portfolio in the U.S. Initiatives by regulatory institutions and government for health awareness in the country will propel the organic products demand. In addition, an increase in the U.S. organic food sales is the key factor driving the industry growth. Moreover, shifting inclination towards the organic food products owing to its health benefits will promulgate the product demand.
Take home ice cream segment accounted for the largest revenue size of over USD 130 million in 2017 owing to the increasing demand for pints & bulk pack ice creams from large families for multi serving convenience in various get together & special occasions. In addition, rising product application for preparing sorbets and cakes has positively fueled the demand in on trade food segment. Moreover, factors such as the accessibility of appropriately spaced refrigerators and other freezers at home will further proliferate the consumer preference of taking bricks or family packs at home.
Cream ingredient segment accounted for the largest volume size of over 25 kilo tons in 2017 owing to the key benefits such as improved viscosity, prevention from milk allergies, availability at competitive price, and better foam stability. Cream is a dairy product composed of a higher-butterfat layer, skimmed from top of the milk before homogenization. Surging confectionary & bakery industry owing to the numerous whipped cream applications including toppings on ice cream sundaes, milkshakes, and sweet pies will boost the U.S. organic ice cream industry size.
Vanilla flavour segment accounted a volume size of over 15 kilo tons owing to the surging consumer outlook for pure & all-natural ingredients which have promoted global food manufacturers to use pure vanilla extract. Increasing demand for vanilla as commonly used flavoring agent in various food applications will promulgate the growth for U.S. organic ice cream market. In addition, it is frequently used for flavoring ice cream, particularly in North American and European countries which will enhance the overall product portfolio.
On trade distribution channel in U.S. organic ice cream market accounted a revenue size of over USD 150 million owing to the rapid & deliberate growth of businesses including parlours, restaurants and hotels due to the increasing after meal dessert trends among the consumers. On-trade distribution incorporates outlets like bars, eateries, frozen yogurt outlets, clubs, lodgings and so forth. Surging popularity of parlors, eateries, and inns are owing to the expansion of after-feast dessert patterns among the consumers will proliferate the overall product penetration in the market.
Rigid plastics packaging is the fastest growing packaging segment in the U.S. organic ice cream market with a CAGR of over 4.5% by revenue owing to the superior features including high impact strength convenience with attractive labelling prints. High possibilities for packaging decoration and offering aesthetic appearance are among the key offered benefits. In addition, it can withstand freezing temperatures associated with ice cream manufacturing & storage which will drive the significant business expansion.
Major industry players operating in the market are Stonyfield Farm, Straus Family Creamery, Blue Marble Ice Cream, Boulder Homemade, Haagen Dazs, Alden’s, Ice Cream, Julies Organic, Oregon Ice Cream, and LUV Ice Cream. Business strategies such as new product launches, acquisitions, and mergers along with various strategic alliance & joint venture opportunities will further strengthen the global presence and consumer reach. For instance, in August 2017, Straus Family Creamery introduced its latest organic chocolate milk, which is a rich, creamy, and classic beverage. This strategy will help in offering the company’s first chocolate whole milk based organic ice cream in its 20-plus years of producing flavourful organic dairy products.
U.S. organic ice cream market consists of several products available including artisanal ice cream, impulse ice cream, and take-home ice cream. Among these, take-home accounts for more than half of the product segment of the overall industry share. Increasing popularity of private label brands including Alden's Organic Ice Cream, Julie's Organic, Luna and Larry's Coconut Bliss, Stonyfield Frozen Yogurt, Three Twins Ice Cream, and New Barn Almond Creme spur the product demand. Several private label ice creams are usually priced lower than branded products due to their operational efficiency. High demand in family parties and functions to serve healthy ice cream and desserts with better handling convenience will further enhance the product segment.