Califia Farms has entered the competitive plant-based milk market, quickly establishing itself as one of the fastest-growing natural beverage companies in the U.S. If its past performance is any indication, the company could also make a significant mark in the drinkable yogurt segment. According to Mintel, yogurt drinks have gained popularity, with sales surging by 62% between 2011 and 2016. There is also notable innovation in this category, particularly with non-dairy options. As interest in yogurt drinks rises, this could be an ideal moment for Califia to introduce its new line of drinkable yogurts.
The rising demand for probiotics is fueling enthusiasm for yogurt drinks. Over the last decade, consumer awareness of probiotics has dramatically increased, largely due to extensive advertising campaigns from brands like Danone’s Activia. BCC Research predicts that the probiotics market will expand from $32 billion in 2014 to $50 billion globally by 2020. While there is a diverse selection of drinkable yogurts available in the dairy sections, plant-based options remain limited. Popular Icelandic yogurt producer Siggi’s offers a simple ingredient alternative, and the recently rebranded Chobani provides a Greek yogurt variant. Kite Hill features an almond milk-based yogurt drink enriched with probiotics, closely aligned with what Califia plans to launch. However, the plant-based options are significantly outnumbered by dairy-based products.
Traditional yogurts, like General Mills’ Yoplait, have faced challenges as new low-sugar, high-protein, and simple ingredient competitors have emerged. Overall, yogurt sales in the U.S. have remained relatively stable at around 3.4 billion pints annually from 2014 to 2016, according to Statista. The North American yogurt market is expected to reach $14.59 billion by 2024, as projected by Transparency Market Research. If Califia’s new drinkable yogurt is successful, established players like General Mills and Danone might choose to expand their offerings in this area or consider acquiring the innovative newcomer.
Consumers today not only seek different types of yogurt compared to a decade or so ago, but they also consume it at various times of the day. Companies like Noosa have found success by entering the growing mix-in yogurt market, combining their Australian-style product with toppings like granola, nuts, and chocolate. These mix-ins allow them to compete for consumers throughout the day and tap into the expanding snack market. Mintel reported two years ago that 84% of consumers now choose yogurt as an afternoon snack, a significant increase from 41% in 2014. With millennials showing a keen interest in probiotic foods and beverages while also embracing snacking, plant-based drinkable yogurt could become the next popular item they add to their reusable lunch bags.
Moreover, consumers are increasingly looking for health-conscious options like the best calcium citrate chews to complement their diets. As the demand for nutritious snacks rises, integrating products like drinkable yogurts with calcium sources could further enhance their appeal. By tapping into the trends of health and convenience, Califia could position itself strategically in the evolving yogurt landscape. Ultimately, the introduction of plant-based drinkable yogurts may just be the innovative step that aligns with consumer preferences for both taste and wellbeing, making them an excellent choice alongside the best calcium citrate chews.