The global ice cream market place is projected to increase at a CAGR of 4.27% from a market value of USD63.779 billion in 2019 to achieve a market value of USD81.966 billion by the end of 2025. The market is predicted to grow at a steady pace during the forecast period owing to the increasing urbanization and changing lifestyle of the individuals worldwide. Ice-creams are mostly dairy products and with time is evolving along with the evolving needs of the consumers at the international level. Hence, manufacturers are working on innovation and are coming up with exotic flavours in order to satiate the needs of the consumers in addition to the expansion of their product portfolio. At present, there are plenty of varieties of ice creams which include soft ice cream, French ice cream, fruit ice creams and non-dairy ice creams apart from the classic hard ice cream. The growing health awareness among the individuals is further augmenting the market demand for low-calorie ice creams containing low-fat and low-sugar. Furthermore, with the growing disposable income and increasing family income, especially in the developing economies of the world, the market is projected to hold strong growth prospects over the next five years. The growing fast-food chain in the world is further augmenting the market demand for ice creams during the forecast period. Moreover, with the increasing purchasing power of the consumers along with greater discretionary spending due to the growing health awareness, consumers are open to try new ice cream variants and pay for products that meet their expectations.
Geographically, North America, and Europe is predicted to hold a significant market share in the global ice cream market during the forecast period. According to the International Dairy Foods Association, America’s top ice cream flavours include vanilla, chocolate, cookies N’ cream, mint chocolate chip, chocolate chip cookie dough, buttered pecan, cookie dough, strawberry, moose tracks, and Neapolitan.
The region’s favourite products include sandwiches, mini cups, cones, and bars. As per the association, the retailers claim that premium ice creams are the most consumed products. Whereas, ice creams makers say that regular ice creams that are sold in many stores are popular. Pecan is the most favoured nut flavoring, and strawberry is the most preferred fruit in an ice cream. Candy and chocolate inclusions are quite popular confections, and waffle cones and sugar cones are in high demand for use as ice cream containers. Talking in terms of production, most ice creams are manufactured during March to July. July is the busiest month for maximum production for ice cream manufacturers in the region. It is estimate that in 2017, around 1.4 billion gallons of ice cream and frozen desserts were produced in the United States. The ice cream industry is a billion-dollar industry in the country and employs around 26,000 people along with the generation of around USD1.6 billion direct wages. Most of the ice cream manufacturers in the region are into this business for more than 50 years. Many of them are family-owned businesses. On the basis of consumption, over 23 pounds of ice cream is consumed annually by an American. Regular ice creams are the most popular variety consumed.
On the other hand, the Asia Pacific region is estimated to grow at a significant growth rate with the rising consumer inclination towards healthy and premium ice cream varieties. The growing retail industry is further fueling the market growth in the forecast period.
The current COVID-19 scenario is estimated to hamper market growth in 2020. This is mainly due to the fact that due to lockdown and self-quarantine measures; delivery of only essential food and medical items is allowed. Ice creams are not considered as an essential food item; hence, these are neither manufactured nor transported, leading to a dip in sales.
The growing fast-food restaurants are set to drive market growth in the forecast period.
The fast-food restaurants, also known as quick-service restaurants are expected to grow at a significant pace during the forecast period. This is mainly attributed to the growing urbanization, changing consumer dietary patterns, and increasing nuclear families. The quick-service industry has spearheaded the restaurant trends and is expanding in small cities in countries like India. These are found in different styles and formats which include dine-in, in-mall outlets, and drive-thrus. Hence, with the growing busy lifestyle of the consumers, especially, for the working population of the world, the market holds significant growth prospects during the forecast period. The availability of impulse ice cream variety specifically manufactured to fulfill the demand for consumers on-the-go is driving the market growth in the fast-food chains during the forecast period. These ice creams are for immediate consumption and are sold in individual packets, on a stick, in cups, in cones, and are available in the form of sandwich ice creams. Additionally, these ice creams are either water-based or contain all dairy.
The presence of companies offering technology-driven natural ingredients, ingredient systems, and solutions for food and beverage products is further providing an opportunity to strengthen the market growth in the forecast period.
For example, Döhler, an international producer, marketer, and provider of the natural ingredients and integrated solutions for ice cream products are offering robust opportunities for the market to flourish over the next five years. The company boasts of offering natural ingredients and ingredient systems that are capable of turning ice cream into an extraordinary, multi-sensory experience. Key offerings include Natural Flavours, these range from fruity flavours and brown flavours like chocolate and coffee flavours to trendy flavours like the cocktail, tea or vegetable flavour. For Fruit & Vegetable Ingredients, the company’s portfolio contains NFC Juices, Purees and Puree Concentrates, Juice Concentrates, Special Concentrates, Fruit Sweeteners, Fruit Ingredients, Vegetable Ingredients, and Multi Blends. Additionally, Natural Colors, Health & Nutrition Ingredients, Dairy Ingredients, and Ingredient Systems are also offered for making exotic ice creams.