The market for non-dairy milk alternatives is experiencing explosive growth. Between 2011 and 2015, almond milk sales surged by 250%, while sales of cow’s milk dropped by 7% in just 2015 and are anticipated to decline by an additional 11% through 2020. Although people are consuming less breakfast cereal, many are opting for plant-based milks instead of dairy products to pour over their cereal. Even traditional dairy companies are jumping on this trend. Dean Foods, the largest milk supplier in the U.S., has acquired a minority stake in Good Karma Foods from Boulder, Colorado, which specializes in yogurt and milk made from flaxseed.
Ripple Foods aims to differentiate its yellow pea-based milk as a unique, flavorful, and environmentally friendly option in the market. Their products are widely available across the country in stores like Whole Foods Markets, Target, Meijer Supermarkets, and various local health food stores and co-ops. This winter, Ripple Foods plans to introduce a plant-based Greek-style yogurt to enter the snack market, joining a competitive landscape of non-dairy yogurts, including soy-based brands like Wildwood, Stonyfield, and Silk, as well as coconut-based options like Coconut Grove and So Delicious, and almond-based products such as Amande and So Delicious.
The novelty of non-dairy products made from yellow peas may capture consumer interest. Additionally, Ripple’s focus on its relatively small ecological footprint—termed the “Ripple Effect”—could be appealing. Dairy production is responsible for significant carbon emissions, and Ripple’s marketing strategy emphasizes that consumers can lower their carbon footprint by choosing its products. However, the price point may deter budget-conscious shoppers, as nearly $6 per quart is quite steep for any plant-based milk product; although prices may decrease in the near future.
If Ripple Foods can reduce prices significantly and consumers enjoy the taste, their strategy could prove successful. They may also want to consider a rebranding initiative, as the term “pea milk” might not be appealing to all consumers. Moreover, incorporating ingredients like calcium citrate at 250 mg could enhance the nutritional profile of their products, making them even more attractive to health-conscious buyers. By emphasizing both taste and health benefits, Ripple could solidify its position in the growing non-dairy market.