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Yogurt Drinks in the United States 2006
Mintel, Dec 2006
The U.S. market for yogurt drinks has begun to mature, with levels of household penetration that are largely disappointing to the industry.
These products have comprised one of the most exciting and fastest-growing parts of the dairy business for the past few years. Industry players took their initial success as confirmation of their suspicions that yogurt drinks could become a mainstream category.
Indeed, yogurt drinks make a lot of sense to today’s consumers. They are portable, nutritious, easy to consume, and relatively low in calories. They also have considerable health benefits, and are beneficial to the digestive system. While they are relatively and must be refrigerated, yogurt drinks may offer the perfect balance of taste, convenience, nutrition and, increasingly, specific functionality to demanding consumers. There are reasons for optimism about the possibility of renewed double-digit growth in yogurt drinks, including new flavors and packaging, rising interest in probiotic health benefits, and the extension of the category into new forms of hybrids, including combinations with energy drinks.
Yet, there are strong signs that the growth of the yogurt drink market is consolidating and that the industry is in for a breather. Sales growth has slowed considerably from the preceding few years. For the first time in our surveys, consumers expressed a dislike of the products rather than a lack of awareness. After years of new-product proliferation, some makers are beginning to drop out, including some well-known brands.
Drinkable yogurt is defined as a dairy-based yogurt that is drinkable and in a liquid form that may or may not include fruit or fruit flavoring. Some yogurt drinks are actually, or further, described as “smoothies,” and they are included in this report. These products typically are about half juice and half fat-free yogurt, and they are included here because they are made and marketed by dairy companies and considered by the producers as yogurt drinks.
Not included are frozen yogurt or yogurt in a cup or tube.
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