United States Dairy Desserts Market Size

The United States Dairy Desserts Market is experiencing growth, with the off-trade segment leading in distribution due to the widespread availability of dairy desserts in various formats. The online retail channel within this segment is the fastest-growing, driven by the expansion of e-commerce and changing consumer habits, particularly following the nationwide lockdown in 2020. This shift has allowed companies to reach a broader audience and meet customer demands more effectively. The omnichannel strategy employed by major retailers further supports the market's expansion, as they integrate online and offline shopping experiences to enhance accessibility and convenience for consumers.

Market Size of united states dairy desserts Industry

United States Dairy Desserts Market Summary
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Icons Lable Value
svg icon Study Period 2017 - 2029
svg icon Market Size (2024) USD 20.28 Billion
svg icon Market Size (2029) USD 23.14 Billion
svg icon Largest Share by Distribution Channel Off-Trade
svg icon CAGR (2024 - 2029) 2.67 %
svg icon Fastest Growing by Distribution Channel Off-Trade
svg icon Market Concentration Low

Major Players

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*Disclaimer: Major Players sorted in no particular order

Key Players

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United States Dairy Desserts Market Analysis

The United States Dairy Desserts Market size is estimated at 20.28 billion USD in 2024, and is expected to reach 23.14 billion USD by 2029, growing at a CAGR of 2.67% during the forecast period (2024-2029).

20.28 Billion

Market Size in 2024 (USD)

23.14 Billion

Market Size in 2029 (USD)

2.00 %

CAGR (2017-2023)

2.67 %

CAGR (2024-2029)

Largest Market by Category

37.62 %

value share, Cheese, 2023

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The rise in western culture, with the growing consumption of products like pizza coupled with the increased milk production in the United States drove cheese consumption in the country.

Largest Market by Distribution Channel

94.20 %

value share, Off-Trade, 2023

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The product assortment and shelf space in off-trade retail channels is allowing consumers to compare the products, which has emerged to be one of the major driving factor.

Fastest-growing Market by Category

4.23 %

Projected CAGR, Milk, 2024-2029

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The versatility of milk is one factor driving its growing popularity along with growing innovations coupled with health claims made milk mostly consumed during the study period.

Fastest-growing Market by Distribution Channel

2.68 %

Projected CAGR, Off-Trade, 2024-2029

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The onset of the experimential economy and the rising social media platforms with increasing consumer reach in the market is driving the off trade channels through online channels

Leading Market Player

18.10 %

market share, Unilever PLC, 2022

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Unilever Group's wide range of offerings in the country, along with the increasing dairy products manufacturing units, is highly supporting its market growth and domination.

Strong penetration of organized retail channels fueling the market growth

  • The off-trade segment dominates the distribution channels due to the wide accessibility of dairy desserts in these off-trade formats. In the off-trade segment, the online retail channel sub-segment is the fastest-growing one, and it is projected to record a CAGR of 3.01% over the forecast period. The growth of e-commerce has enabled companies to access a larger target market and effectively serve customer needs. Many people started ordering food online, particularly dairy desserts, due to their hectic schedules and the nationwide lockdown in 2020. The four main e-commerce channels for dairy desserts were direct-to-consumer, click-and-collect, retail grocery delivery, and concierge services.
  • The sales value of dairy desserts through on-trade channels worldwide declined by 0.15% in 2020 from 2019 as foodservice industries were shut down due to the outbreak, which led to logistic and supply disruption. In 2021, the United States had around 32,027 full-service restaurant franchise establishments. Based on the distribution channel, the overall frozen dairy consumption was around 21.9 pounds per person in 2021. However, people have consumed 5.6 fewer pounds of frozen dairy products per person since 2000.
  • Off-trade is projected to be the fastest-growing distribution channel, registering a CAGR of 2.63% during the forecast period. This increase is expected mostly due to the rising demand for dairy desserts, which are widely accessible at supermarkets and online retailers. The omnichannel approach adopted by major retailers worldwide also drives the US dairy desserts market. Retailers such as Costco, Trader Joe's, and Walmart focus on omnichannel shopping, particularly expanding and integrating online capabilities into brick-and-mortar stores.
United States Dairy Desserts Market

United States Dairy Desserts Industry Segmentation

Cheesecakes, Frozen Desserts, Ice Cream, Mousses, Others are covered as segments by Product Type. Off-Trade, On-Trade are covered as segments by Distribution Channel.

  • The off-trade segment dominates the distribution channels due to the wide accessibility of dairy desserts in these off-trade formats. In the off-trade segment, the online retail channel sub-segment is the fastest-growing one, and it is projected to record a CAGR of 3.01% over the forecast period. The growth of e-commerce has enabled companies to access a larger target market and effectively serve customer needs. Many people started ordering food online, particularly dairy desserts, due to their hectic schedules and the nationwide lockdown in 2020. The four main e-commerce channels for dairy desserts were direct-to-consumer, click-and-collect, retail grocery delivery, and concierge services.
  • The sales value of dairy desserts through on-trade channels worldwide declined by 0.15% in 2020 from 2019 as foodservice industries were shut down due to the outbreak, which led to logistic and supply disruption. In 2021, the United States had around 32,027 full-service restaurant franchise establishments. Based on the distribution channel, the overall frozen dairy consumption was around 21.9 pounds per person in 2021. However, people have consumed 5.6 fewer pounds of frozen dairy products per person since 2000.
  • Off-trade is projected to be the fastest-growing distribution channel, registering a CAGR of 2.63% during the forecast period. This increase is expected mostly due to the rising demand for dairy desserts, which are widely accessible at supermarkets and online retailers. The omnichannel approach adopted by major retailers worldwide also drives the US dairy desserts market. Retailers such as Costco, Trader Joe's, and Walmart focus on omnichannel shopping, particularly expanding and integrating online capabilities into brick-and-mortar stores.
Product Type
Cheesecakes
Frozen Desserts
Ice Cream
Mousses
Others
Distribution Channel
Off-Trade
Convenience Stores
Online Retail
Specialist Retailers
Supermarkets and Hypermarkets
Others (Warehouse clubs, gas stations, etc.)
On-Trade
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United States Dairy Desserts Market Size Summary

The United States Dairy Desserts Market is experiencing a steady expansion, driven by the increasing popularity of dairy-based treats such as ice cream, cheesecakes, and frozen desserts. The market is characterized by a significant shift towards off-trade distribution channels, particularly online retail, which is the fastest-growing segment. This growth is attributed to the rise of e-commerce, allowing companies to reach a broader audience and cater to evolving consumer preferences for convenience. The omnichannel strategies adopted by major retailers, integrating online and offline shopping experiences, further bolster market growth. The per capita consumption of dairy desserts is on the rise, supported by their health benefits and easy availability, with ice cream being the most consumed product in this category.

The market landscape is fragmented, with a few key players holding a substantial share. Companies like Blue Bell Creameries, Froneri International, Mondelez International, Unilever, and Wells Enterprises are prominent in the market. The demand for dairy desserts, particularly ice cream, is significant, with a notable portion of the nation's milk production dedicated to frozen desserts. Health-conscious consumers are increasingly opting for low-calorie and no-sugar alternatives, influencing consumption patterns. Regulatory standards in the United States ensure quality and consistency in dairy dessert products, further shaping the market dynamics. Recent acquisitions and product innovations, such as new flavor launches, highlight the competitive nature and ongoing evolution within the industry.

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United States Dairy Desserts Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION (includes market size in Value in USD and Volume, Forecasts up to 2029 and analysis of growth prospects)

    1. 1.1 Product Type

      1. 1.1.1 Cheesecakes

      2. 1.1.2 Frozen Desserts

      3. 1.1.3 Ice Cream

      4. 1.1.4 Mousses

      5. 1.1.5 Others

    2. 1.2 Distribution Channel

      1. 1.2.1 Off-Trade

        1. 1.2.1.1 Convenience Stores

        2. 1.2.1.2 Online Retail

        3. 1.2.1.3 Specialist Retailers

        4. 1.2.1.4 Supermarkets and Hypermarkets

        5. 1.2.1.5 Others (Warehouse clubs, gas stations, etc.)

      2. 1.2.2 On-Trade

United States Dairy Desserts Market Size FAQs

The United States Dairy Desserts Market size is expected to reach USD 20.28 billion in 2024 and grow at a CAGR of 2.67% to reach USD 23.14 billion by 2029.

In 2024, the United States Dairy Desserts Market size is expected to reach USD 20.28 billion.

United States Dairy Desserts Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2029