PORTLAND, ORE. -- According to a report published by Allied Market Research, the global sugar-free ice cream market was estimated at $2.52 billion in 2020 and is expected to hit $7.35 billion by 2030, registering a CAGR of 9.6% from 2021 to 2030.
The rapid expansion of the retail market, availability of various flavored ice cream and rise in awareness regarding a healthy diet have driven the growth of the global sugar-free ice cream market. Alternatively, limited sales due to seasonal products impedes market growth. However, the advent of lactose-free ice cream and the development of innovative sugar substitutes are projected to pave the way for lucrative opportunities in the industry.
The outbreak of COVID-19 gave way to strict lockdown regulations imposed by several government bodies, and the lack of workforce impacted the global sugar-free ice cream market negatively, especially during the first phase of the lockdown.
The extended lockdown in China, Japan, India, and the U.S. also led to the shutdown of production facilities that do not come under essential goods. And, the distorted supply chain hampered the market altogether. However, the global situation is getting better and the market is expected to ameliorate soon.
The vanilla segment to retain lion's share
On the basis of flavor, the vanilla segment held the major share in 2020, garnering more than one-fifth of the global sugar-free ice cream market, due to its delicious taste and wide usage in making various recipes such as ice cream pie, ice cream kolaches, ice cream sandwiches, milkshakes, topping for peach sundaes and tortes. The salted caramel segment, on the other hand, is projected to cite the fastest CAGR of 10.9% throughout the forecast period, owing to the huge popularity of sweet and salty taste among consumers.
The pints segment to dominate by 2030
On the basis of form, the pints segment contributed to the lion's share in 2020, holding more than one-third of the global sugar-free ice cream market. The shift in consumer preferences toward food products consumed at convenience acts as a key factor for the growth of the segment. However, the sandwich segment is projected to manifest the fastest CAGR of 10.1% from 2021 to 2030. Ice cream sandwiches are ideal portion-control treats, containing 150 calories per sandwich. This factor drives the segment growth.
North America held the major share in 2020
By region, the market across North America dominated in 2020, garnering nearly one-third of the global sugar-free ice cream market. This is due to increased consumer awareness, high disposable income, a rise in demand for healthy food products, and growing health consciousness among individuals in this province. Simultaneously, the Asia-Pacific region is expected to cite the fastest CAGR of 10.2% throughout the forecast period. Improvement in standard of living, and rise in purchasing power of consumers are increasing the per capita consumption in emerging economies such as India and China. This factor propels the market growth in this region.
The full report is available here.