Ice Cream Market - Forecasts from 2023 to 2028

The global ice cream market is expected to grow at a CAGR of 5.52%, from an estimated value of US$38.326 billion in 2021 to US$55.831 billion in 2028.

The market is highly competitive and includes many global and regional players, ranging from small artisanal producers to large multinational corporations. The ice cream market is driven by various factors, such as the growing demand for dairy-free and vegan products, changing consumer preferences and habits, rising disposable income, and changing lifestyles. As more consumers adopt plant-based diets or have lactose intolerance, there is a growing demand for dairy-free and vegan ice cream options. This has led to the development of new plant-based ice cream products that cater to this market. The market is segmented by product type into artisanal, impulse, and take-home ice cream. Artisanal ice cream is usually made in small batches and is sold in high-end retail outlets, while impulse ice cream is sold in convenience stores and vending machines. Take-home ice cream is sold in supermarkets and grocery stores.

Additionally, the ice cream market can be segmented by product type, which includes hard ice cream, soft ice cream, french ice cream, non-dairy ice cream, and homemade ice cream. People may prefer homemade ice cream over store-bought options as people have complete control over the quality of the ingredients and the process of making the ice cream. This means that people can ensure that the ice cream is made with high-quality ingredients and monitor the process to ensure that the ice cream is properly churned and frozen.

Rising disposable income is augmenting the global ice cream market.

The prime factor anticipated to drive the global ice cream market is the rising disposable income; as people have more money to spend on discretionary items, they tend to spend more on indulgent treats like ice cream. With higher income, consumers can purchase premium and high-quality ice creams, which are typically more expensive than standard options. Furthermore, consumers have more opportunities to indulge in food experiences such as dining out, which include desserts like ice cream. This trend has driven the growth of artisanal ice cream shops offering unique and innovative flavors and textures not typically found in mass-produced ice creams.

Market Developments:

In May 2022,

Ben & Jerry announced the launch of a limited batch of its newest ice cream flavor, Monikered Cherry Crumble, with a butter ice cream base and a blend of oat crumbles and binge cherries.

In 2021,

Cuisinart launched a new ice cream maker called the "Mix It in Soft Serve Ice Cream Maker," which allows users to make their own soft-serve ice cream at home with mix-ins like chocolate chips and sprinkles.

In February 2023,

Valsoia, an Italian company that is 100% dairy free, provides plant-based products and launched a new line of vegan gelato with new flavors, such as Triple Pistachio Mini Sticks.

In 2023,

Burma Burma Restaurant and Tea Room launched artisanal ice creams in six unique flavors "Dark Chocolate & Olive Oil" and "Avocado & Honey."

The non-dairy ice cream segment will witness robust growth over the forecast period.

The increasing number of vegetarian customers is driving customers to buy non-dairy ice cream, while a rising segment of consumers shifting to a vegan diet is driving the demand for non-dairy ice creams. For instance, Oatly introduced a brand of vegan ice cream bars in November 2021, and it is now available in 3,000 locations in the United States. The new ice cream bars come in four flavors and are constructed with an oat milk base covered in a thick chocolate shell. Due to the growing consumer demand for plant-based products in the international market, there has been a steady increase in the number of vegan communities over the past years. Approximately 6% of American consumers will be vegan in 2021, according to Plant Based Foods Association, and this percentage is expected to rise during the forecast years.

Further, lactose intolerance and allergies are important reasons for increasing the growth of non-dairy ice creams. Cow's milk allergy is one of the most common food allergies in newborns and young children, especially in light of the food allergy statistic. For instance, the National Institutes of Health (NIH) estimates that in 2022, over 65% of adult humans have some degree of lactose intolerance, which results in stomach pain and digestion problems after consuming dairy products. According to the UK Gut Health Report issued by Holland and Barrett Company in 2022, the prevalence rates of several digestive problems in the UK have been identified, with bloating, indigestion, and heartburn being some of the most prevalent digestive difficulties experienced by the UK population.

North America accounted for a major share of the global ice cream market in 2021.

The global ice cream market has been segmented by geography into North America, South America, Europe, Middle East and Africa, and Asia Pacific.

One of the key growth factors is the strong consumer demand for frozen desserts, including ice cream, which is deeply ingrained in American culture as a popular indulgence and comfort food. The increasing disposable income of consumers, coupled with changing consumer preferences and evolving dietary habits, has also contributed to the growth of the ice cream market in the USA. Another important growth factor is ice cream manufacturers' constant innovation and product diversification to cater to changing consumer preferences. This includes the introduction of new flavors, unique combinations, and premium offerings, as well as catering to specific dietary needs, such as lactose-free, plant-based, and low-sugar ice creams, to attract a wider consumer base. Some major players include Nestle SA, Unilever PLC, Kroger Co., Wells Enterprises, Inc., Mars, Inc., and General Mills, Inc., among others.

Furthermore, ice cream companies' effective marketing and promotional strategies, such as advertising, social media campaigns, and collaborations with popular brands or influencers, have helped create awareness and drive demand for ice cream products in the USA.

According to insights from the International Dairy Foods Association, there is immense potential for the ice cream market in the USA. The industry is thriving, with over 1.3 billion gallons of ice cream produced in 2021. Families remain a significant customer group for ice cream retailers, with the average American consuming roughly 20 pounds (equivalent to 4 gallons) of ice cream each year. Despite the increased demand for non-dairy and plant-based ice creams, consumers still rank these options lower in terms of the most-consumed types of ice cream and frozen desserts. This suggests that there is still a strong preference for traditional dairy-based ice creams in the USA.

Market Segmentation:

BY TYPE

• Impulse Ice Cream
• Take-Home Ice Cream
• Artisanal Ice Cream

BY PRODUCT TYPE

• Hard Ice Cream
• Soft Ice Cream
• French Ice Cream
• Non-Dairy Ice Cream
• Homemade Ice Cream

BY DISTRIBUTION CHANNEL

• Online
• Offline

BY GEOGRAPHY

• North America
• United States
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• France
• Germany
• Italy
• Spain
• United Kingdom
• Others
• Middle East and Africa
• Saudi Arabia
• Israel
• UAE
• Others
• Asia Pacific
• China
• Japan
• India
• South Korea
• Indonesia
• Thailand
• Taiwan
• Others