Probiotic Drinks Market by Product Type (Dairy Based and Plant Based), Distribution Channel (Offline and Online), and Regional Analysis (North America, Europe, Asia-Pacific, and LAMEA): Global Opportunity Analysis and Industry Forecast, 2021-2028

Global Probiotic Drinks Market Analysis

The global Probiotic Drinks market is estimated to generate a revenue of $13,814.70 million by 2028, increasing from $7,330.20 million in 2020, at a noteworthy CAGR of 8.5%.

Market Synopsis

Increased demand for healthy beverages among consumers due to high prevalence of gastrointestinal disorders like constipation is likely to drive the market for Probiotic Drinks in the forecast time period.

However, high cost of Probiotic Drinks compared to other healthy beverages available in the market such as butter milk is likely to hinder the market growth in the future.

According to the regional analysis of the market, the Asia-Pacific Probiotic Drinks market is anticipated to grow at a CAGR of 9.2%, by generating a revenue of $4,420.70 million during the review period.

Probiotic Drinks Overview

Probiotic Drinks has become a popular healthy beverage among millennial. Probiotic Drinks are either prepared from fermenting the milk or are prepared from plants. These beverages contain some bacterial strains like lactobacillus casie. These bacteria are known as ‘good bacteria’ and help in improving the gut and digestive health. There are many different Probiotic Drinks available in the market among which butter milk and yakult are famous.

Impact Analysis of COVID-19 on the Global Probiotic Drinks Market

The occurrence of COVID-19 pandemic has proved to be a boon for Probiotic Drinks market. As COVID-19 pandemic has had a severe impact on the health and wellbeing of the people across the world, the demand and production of Probiotic Drinks have increased exponentially. Amid high rate of corona virus transmission and prevalence of serious symptoms, people have inclined towards consuming healthy beverages options like Probiotic Drinks. Probiotic Drinks has many health benefits like it improves intestinal health, reduces acidity, maintains body weight, and boosts immunity of the person. Therefore, to prepare and protect the body against corona viral invasion, many people opted for Probiotic Drinks. This factor has flourished the market growth of Probiotic Drinks in the pandemic period.

Increasing Demand for Healthy Beverages to Surge the Market Growth

Rapidly increasing lifestyle diseases like acidity, gastric disorders, and constipation among people of all age group is expected to accelerate the growth of Probiotic Drinks market, globally. Probiotic Drinks offers various health advantages like it helps in weight loss, improves digestive power of body, develops strong mental health, removes harmful toxins from the body, and boosts immunity. Such factors are likely to speed up the growth of the market in the predicted time frame. Also, inclination of young generation towards functional beverages and ready to drink beverages like yakult and butter milk is likely to flourish the market of Probiotic Drinks in the next few years.

To know more about global Probiotic Drinks market drivers, get in touch with our analysts here.

High Cost of Probiotic Drinks to Restrain the Market Growth

Probiotic Drinks are expensive beverage products due to its high nutritional content and high processing cost in the manufacturing companies. Therefore, not many people in developing countries are able to afford Probiotic Drinks. This factor is expected to restrain the market growth of Probiotic Drinks in the forecast time period. Also, lack of awareness among people, in rural areas of developing countries, about the availability of healthy options in beverages like yakult is likely to impede the market even further.

Development of Product Portfolio by Major Companies to Fuel the Market Growth

Improvements in the existing Probiotic Drinks products and launch of new Probiotic Drinks products are expected to drive the market in future. Major market players in the Probiotic Drinks market have started focusing on new products to meet the rising demand for high nutrition beverages like fermented milk, probiotic orange juice, and butter milk. For instance, according to a news published in Vegconomist, a vegan business magazine, on July 22, 2021, Yoi, a plant-based food and beverage company in Japan, launched a new range of probiotic beverage nut and seed milks. Such factors are anticipated to drive the market in future.

To know more about global Probiotic Drinks market opportunities, get in touch with our analysts here.

Source: Research Dive Analysis

The dairy based Probiotic Drinks sub-segment is predicted to have highest revenue in the global market and register a revenue of $7,831.90 million during the forecast period. The growth is attributed to rising demand of people for dairy based beverages to enhance their taste. Fermented milk in the form of curd and butter milk is the earliest and the most popular probiotic beverage. Also these dairy based beverages can be prepared easily at home. Such factors are anticipated to generate a huge revenue in the Probiotic Drinks market.

The plant based Probiotic Drinks sub-segment is predicted to be the fastest in the global market and register a revenue of $5,979.30 million during the forecast period. The growth is attributed to rising demand of people for plant based beverages due to availability of the drinks in different flavors. Also, many people across the world have become lactose intolerant due to which they prefer to drink plant based beverages. Such factors are anticipated to generate a huge revenue in the Probiotic Drinks market.

Source: Research Dive Analysis

The offline sub-segment is predicted to have a dominating market share in the global market and register a revenue of $12,193.70 million during the forecast period. The sub-segment is projected to show an impressive growth in future owing to large number of shopping stores all across the world. Supermarkets/hypermarkets offer a sense of satisfaction of hand picking goods on their own. Also the products are properly displayed on the shelves which provide the people a better clarity about the product they wish to buy. Also, people can instantly buy Probiotic Drinks of any flavor of their choice on the spot. All these factors are likely to boost the market growth in the coming years.

Online sub-segment is anticipated to have the fastest market growth and generate a revenue of $1,617.50 million in 2028. The increase in the revenue of the sub-segment owes to preference of working professionals for online shopping by staying at one place. They can also save their time which is otherwise wasted on unnecessary travel. Also, customers can get many offers and discounts on the products via online shopping. Such factors are likely to stimulate the market growth of Probiotic Drinks in the forecast period.

Source: Research Dive Analysis

The Market for Probiotic Drinks in Asia-Pacific to be the Most Dominant and Observe the Fastest Growth

The Asia-Pacific Probiotic Drinks market accounted $2,228.40 million in 2020 and is projected to register a revenue of $4,420.70 million by 2028. The growth is attributed to presence of major Probiotic Drinks producing countries like China and Japan. People in these countries are more inclined towards consumption of healthy beverages because they are more health conscious. These countries have largest consumption of functional beverages like Probiotic Drinks that are rich source of nutrition. Such factors are further anticipated to boost the market growth in the region.

Competitive Scenario in the Global Probiotic Drinks Market

Product launches and acquisitions are common strategies followed by major market players.

Source: Research Dive Analysis

The companies involved in the Probiotic Drinks market are Yakult Honsha Co.Ltd. Danone S.A., PepsiCo, NextFoods, Harmless Harvest, Bio-K Plus International Inc, Fonterra Co-operative Group, Nestle SA, Lifeway Foods, Inc., and Chobani, LLC.

Porter’s Five Forces Analysis for the Global Probiotic Drinks Market

• Bargaining Power of Suppliers: The suppliers in the Probiotic Drinks market are high in number. Several companies are working on product innovation and development. 
  Thus, the bargaining power suppliers is moderate.
• Bargaining Power of Buyers: Buyers are high in number and have huge bargaining power, they demand best services at low prices. This increases the pressure on the manufacturing companies to offer the best service in a cost-effective way. Thus, buyers can freely choose the product that best fits their preference. 
  Thus, the bargaining power of the buyers is high.
• Threat of New Entrants: New companies entering the Probiotic Drinks market are adopting new Probiotic Drinks product launches in the market in minimum time frame. 
  Thus, the threat of the new entrants is high.
• Threat of Substitutes: Presence of many nutritive beverages in the market other than Probiotic Drinks like cinnamon tea, curd, and matcha tea are likely to shift the customer’s preference towards different products.
  Thus, the threat of substitutes is high.
• Competitive Rivalry in the Market: The competitive rivalry among industry leaders is rather intense, especially between the global players. These companies are launching their new products in the international market and strengthening the footprint worldwide. 
  Therefore, competitive rivalry in the market is high.