October 21, 2024 – In Europe, consumers like dairy and dairy alternative yogurts for their balance of taste, health benefits, and versatility in meals and snacks. Innova’s 360 research into yogurt market highlights consumer insights, latest product launches, and innovations within the industry.
Yogurt Market Size and Trends
Over the past five years, Europe’s yogurt market has experienced steady growth, with sales rising by 2% and volume by 1% CAGR. Yogurt trends research displays a projected growth rate of 3% CAGR in sales and 1% CAGR in volume in the next five years. Germany leads in yogurt sales, while Romania is projected to be the fastest growing within the next three years in Europe. Non-dairy yogurt sales are emerging in the UK and Germany, and it is forecast to grow in the upcoming years.
Israel is the highest country in yogurt per capita consumption. Most of the top 25 countries for per capita yogurt consumption are in Europe.
Companies and Brands
West Europe has a notable private label presence in yogurt sales over the past year. Danone is the top branded company in dairy and non-dairy spoonable yogurt launches and sales. After Danone, Schwarz has the most dairy and non-dairy spoonable yogurt introductions among private label brands since 2019.
Danone leads in the European sales leader in both fresh dairy products and plant-based food and beverages, with its Essential Dairy and Plant-Based (EDP) accounting for over half of its global sales past year. Activia is Danone’s top-selling brand, while high-protein brands like Oikos and YoPro display strong sales growth during the same period. More than 60% of Danone’s EDP revenues came from functional segments, displaying immunity, gut health, indulgence, and performance. The recent launch includes the Danone Delissimo Selection Sour Milk Dessert with Caramel Pistachio Eclair flavor in Ukraine.
Other notable yogurt companies in Europe include Lactalis, Olga and Ehrmann.
Consumer Yogurt Preferences
In Europe, yogurt is a popular choice for its health benefits, taste, and convenience. Consumers are influenced by natural, low-sugar, and no artificial flavors or colors claims when purchasing yogurt. Over the past year, 54% of consumers purchased spoonable yogurt, while non-dairy yogurt displays a lower penetration at 11%. Over one-quarter of consumers have increased the consumption of non-dairy yogurt, driven by perceived healthiness and lifestyle changes. Among the top 5 most active yogurt markets, the penetration is high in Finland and the Netherlands.
Three-quarters of consumers in Europe eat dairy yogurt at least weekly, with nearly 60% consuming non-dairy yogurt as frequently. Yogurt trends research shows that most consumers enjoy yogurt at breakfast. Non-dairy yogurt skews higher than dairy in morning snacks, lunch, and afternoon snacks. Dairy yogurt penetration is higher among mid- to high-income earners, college graduates, females, urban dwellers, and Millennials or Generation X. Meanwhile, non-dairy yogurt resonates more with vegans, mid-income earners, and vocational education, Generation X, and females.
Yogurt Product Launch Trends
The launch rates of dairy and non-dairy spoonable yogurt have fluctuated, with a notable rise in 2023. Western Europe leads non-dairy yogurt innovation, accounting for over 60% of introductions, while Eastern Europe adds another 12%. Dairy yogurt still leads new product launches, with non-dairy yogurt making up just 17% of total launches. Most of the spoonable dairy yogurt in Europe does not specify a type, with Greek yogurt representing 14% of launches. Emerging dairy yogurt types, such as stirred, kefir, and sheep, are gaining attention.
Non-dairy yogurt in Europe is moving beyond soy and almond, shifting toward coconut and unspecified combinations of familiar bases. Dairy yogurt launches frequently highlight gluten-free, high-protein, and low-fat claims, while non-dairy options lead with more claims, including vegan, plant-based, lactose-free, and vegetarian attributes. Non-dairy yogurts in Europe also emphasize low-sugar, natural, environmental or ethical humane claims.
Clean recipe claims like organic, GMO-free, and no additives or preservatives are less common in dairy yogurt launches, but probiotics, immune health, and energy claims are emerging across both dairy and non-dairy categories. The evolving focus on health and sustainability in yogurt highlights that consumer preferences are shaping the market.
Yogurt Flavors and Ingredients Trends
Over the past year, 57% of new spoonable dairy yogurt launches feature fruit flavors. Strawberry, blueberry, red raspberry, and peach are the leading fruit flavors. Beyond fruit, flavors like vanilla, brown, and nut are also growing strongly in the space.
In terms of ingredients, non-dairy spoonable yogurt recipes included modified starch, dairy alternatives, fats and oils, protein, and pulses and beans. Dairy alternative increases in non-dairy launches are being driven by coconut cream and cocoa butter. Beet sugar and invert syrup are emerging among sugar, syrup and honey products for non-dairy spoonable yogurt launches. Dairy yogurt launches are increasingly citing milk varieties like skimmed, whole, and semi-skimmed milk. Sweeteners like stevia, acesulfame K, and sucralose are also on the rise in dairy yogurt formulations.
What’s Next in Yogurt Trends in Europe?
Half of Europeans seek everyday moments of happiness through small indulgences, with one-third preferring smaller treats they can consume regularly. Around 20% to 30% enjoy yogurt in Europe as a morning or evening snack, presenting an opportunity for brands to innovate with spoonable yogurt flavors beyond traditional fruit offerings. Limited edition mix-ins like popping boba or chia seeds, along with indulgent flavors like caramel pistachio eclair, could capture consumer interest for snacking occasions.
Consumers in Europe also prioritize the ethical and environmental impact of the products they buy. They expect companies to lead on nature protection, carbon footprint reduction, sustainable packaging, and ethical human and animal treatment. Brands can enhance their yogurt launches by incorporating on-package claims that highlight sustainable ingredients, renewable energy use, and eco-friendly packaging.
Though non-dairy yogurt in Europe has lower penetration, with a stronger presence only in the UK and Germany. But nearly half of consumers are open to trying plant-based alternatives. Brands can tap into this trend by developing more non-dairy yogurt options and blending familiar bases like coconut and almond. They can experiment with emerging bases like lupine, buckwheat, or egg whites. As consumers continue to explore new flavors and ethical choices, the yogurt market is likely to evolve with innovative plant-based options and environmentally conscious packaging.
This article is based on Innova’s Now & Next in Dairy & Dairy Alternative Yogurt in Europe report. This report is available to purchase or with an Innova Reports subscription. Reach out to find out more
