The lactose-free flavoured milk category is growing and spurring on increasing numbers of product launches.
In Australia, the niche category accounted for a 4.7 per cent share of flavoured milk in 2016, but is set to be worth US$2.1 million by 2021.
Lactose-free flavoured milk has a Compound Annual Growth Rate of 4.1 per cent for the period 2016-2021, according to data and analytics company GlobalData.
Dairy products are emerging as the breakfast of choice for time-pressed Australian consumers, with 54 per cent of respondents claiming to consume a dairy product at breakfast time, according to the company's latest consumer survey.
Products currently on the market include lactose-free flavoured milk from Parmalat under the ‘Paul’s Zymil’ brand, as well as a coffee flavour under the Harvey Fresh brand; and a chocolate variety from Liddells.
The Australian Bureau of Statistics estimates that 4.5 per cent of the country’s population is lactose-intolerant, which, combined with the trend towards ‘better for you’ products, is leading to more new product development focused on eliminating certain ingredient groups from the diet.
YOUNG PEOPLE WATCH THEIR INTAKES
Young consumers are also influenced by new dietary habits which are popularised online.
GlobalData’s survey found that 24 per cent of Australian respondents aged 25-34 years thought products with lactose-free claims were healthier, while 17 per cent affirmed they were intolerant to lactose.
GlobalData's consumer markets analyst Meenakshi Haran said personalised products designed to deliver specific consumer benefits had emerged as a major trend in the industry.
While there is growing demand for ‘better for you’ food and drinks, consumers are unwilling to compromise on taste but are interested in trying new flavours, with 52 per cent of respondents claiming to try new varieties of milk, ‘often or sometimes’.
"There are certainly plenty of opportunities for dairy manufacturers to capitalise on this growing demand for healthier, unique taste and flavour experiences," Haran said.
