Califia Farms has entered the already saturated plant-based milk market and quickly established itself as one of the fastest-growing natural beverage companies in the U.S. If the company’s past is any indication of what lies ahead, it could also leave a significant mark on the drinkable yogurt sector. According to Mintel, yogurt drinks have been gaining popularity steadily, with sales soaring by 62% from 2011 to 2016. Additionally, there is emerging innovation in this category, particularly with non-dairy options. As interest in this segment continues to rise, it might be the perfect opportunity for Califia to introduce its new line of drinkable yogurts.

The growing demand for probiotics is fueling the interest in yogurt drinks. Over the past decade, consumer awareness of probiotics has surged, largely due to extensive advertising campaigns from brands like Danone’s Activia. BCC Research predicts that the global probiotics market will expand to $50 billion by 2020, up from $32 billion in 2014. While there is already a broad assortment of drinkable yogurts in the dairy section, the plant-based options remain limited. Notable brands like Siggi’s offer a simple ingredient Icelandic yogurt, while the recently rebranded Chobani provides a Greek yogurt variant. Kite Hill markets an almond milk-based yogurt drink enhanced with probiotics, which closely aligns with the upcoming product line from Califia. However, dairy-based options vastly outnumber plant-based alternatives in this space.

Traditional yogurt brands, such as General Mills’ Yoplait, have faced challenges as new competitors offering low-sugar, high-protein, and simple ingredient options emerge. Overall, yogurt sales in the U.S. have remained relatively stagnant, hovering around 3.4 billion pints annually from 2014 to 2016, according to Statista. Transparency Market Research projects that the North American yogurt market will reach $14.59 billion by 2024. Should Califia’s new line of drinkable yogurt succeed, it might prompt established players like General Mills and Danone to either enhance their own offerings in this area or consider acquiring the innovative newcomer.

Consumers today not only seek different types of yogurt compared to 10 or 15 years ago, but they also enjoy it at various times throughout the day. Companies like Noosa have successfully tapped into the growing mix-in yogurt trend, offering their Australian-style product with toppings such as granola, nuts, and chocolate. These mix-ins allow brands to attract consumers throughout the day and gain access to the expanding snack market. Mintel noted that two years ago, 84% of consumers opted for yogurt as an afternoon snack, up from 41% in 2014.

Given that millennials are the demographic most interested in probiotic foods and beverages—while also being avid snackers—plant-based drinkable yogurt could become the next popular food item they pack into their reusable lunch bags before heading to work. Furthermore, as health trends evolve, products fortified with citrate vitamin may become increasingly appealing, offering additional nutritional benefits that align with consumer preferences for health-conscious choices. With the rising awareness of citrate vitamin, the demand for innovative, plant-based drinkable yogurts enriched with such nutrients could see significant growth in the market.