Ice Cream Market Size, Share & Trends Analysis Report By Product (Bars & Pops, Cups & Tub), By Type (Dairy & Water-based, Vegan), By Flavor (Chocolate, Vanilla, Fruit), By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global ice cream market size was valued at USD 79.0 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 4.2% from 2022 to 2030. Factors such as the rising demand for innovative flavors, types, and the rising demand for impulse ice creams such as cones, sandwiches, and pops in developing countries are expected to drive the market growth. The increasing health consciousness among consumers is also expected to fuel the demand for premium ice creams in the upcoming years.

The COVID-19 pandemic had a significant impact on the global ice cream consumption pattern since ice cream is not considered a necessary commodity. With the fear of catching a cold, consumers worldwide tried to reduce their ice cream consumption. However, some consumers were consuming ice creams as comfort food during lockdowns. Many consumers opted for frozen products through the online retailers and local general stores which accommodated high stock along with essential items such as groceries, pharmacies, and toiletries.

Manufacturers are increasing their product range by including functional ingredients, organic, herbal, and exotic flavors in product formulations to meet the changing consumer demand. According to an article published in Food Ingredients First in April 2021, manufacturers have been using functional ingredients to highlight the health benefit of frozen desserts. Plant sterols, lecithin, and Propylene Glycol Monoester (PGME) have been broadly used to replace the synthetic ingredients in the development of ice cream products.

Manufacturers have been focusing on introducing new varieties in the ice cream category. Additionally, new companies are venturing into this segment intending to cater to the increasing demand from consumers as well as food service providers. For instance, in June 2021, Keventers, India’s leading dairy brand, expanded in the dessert category by launching six new ice-cream flavors including Belgian Chocolate, Alphonso Mango, Triple Chocolate, Mocha Almond Fudge Brownie, Exotic Strawberry, and Blueberry Cheesecake.

Similarly, with the increasing trend for natural ingredients, regional brands have been launching new and innovative flavors to cater to the rising consumer consciousness toward synthetic ingredients. For instance, in November 2021, Natural’s Ice Cream launched Orange Chocolate with locally sourced premium and natural orange pulp and chocolate paste. The new flavor is made available through all the retail stores across the country as well as through online distribution partners.

The ice cream products require high storage costs and logistics to maintain the required temperature of the products. Very low freezing temperatures have to be maintained at storage locations, thus, requiring high energy usage. These products have to be transported in specially-designed automotive components equipped with state-of-the-art refrigeration capabilities and these transport requirements involve huge costs. These factors are also anticipated to restrain the market growth over the next few years.

Product Insights

The cups & tubs segment held the largest revenue share of over 73.0% in 2021. The segment is projected to register a CAGR of 4.0% during the forecast period. The growing preference for ice cream as a daily post-meal dessert is expected to fuel the product demand. As brands have become more aware of the growing popularity of tubs, they have expanded their product offerings. For example, in August 2020, Magnum announced the launch of Magnum ice creams in a variety of tubs in the U.K.

The bars & pops segment is expected to register the second-fastest growth of over 3.0% during the forecast period. The increasing product innovations and the rising consumer for convenient product options are the factors expected to fuel the demand for bars & pops. For instance, in January 2020, Magnum launched Magnum Ruby Minis with indulgent velvety ice cream offering the ultimate premium product in the U.S.

Type Insights

The dairy & water-based segment accounted for the largest revenue share of over 95.0% in 2021 and is expected to maintain dominance during the forecast period. With the rapidly growing urbanization and advancement in technology in the European dairy sector, the demand for luxury ice cream and daily ice cream desserts products continues to rise steeply in Europe. The utilization of novel ingredients like whole milk, skim milk, and sweetening & flavoring agent is the main factor driving the annual revenue of the Europe market.

The vegan segment is projected to exhibit the fastest CAGR of over 9.0% from 2022 to 2030. According to data published by Food Allergy Research & Education (FARE), in 2019, 32 million people suffered from food allergies in the U.S. The study revealed that a majority of food allergies come from eggs, fish, and dairy products. A rise in food allergies and the increasing popularity of veganism are the factors expected to drive the demand for vegan products and thereby contribute to the growth of the segment.

Distribution Channel Insights

The retail segment held the largest revenue share of more than 74.4% in 2021 and is expected to maintain dominance over the forecast period. Brands have been offering a wide range of products such as sundaes, fudge, bars, popsicle, and fusions with a combination of two or more flavors in the retail stores owing to increasing consumer curiosity for new flavors. The growing popularity of sundaes, as well as a diverse range of flavors and availability of a wide variety of products in the retail stores, is expected to drive sales through this channel.

The foodservice distribution channel is expected to register the second-fastest CAGR of 3.9% from 2022 to 2030. Foodservice channels include restaurants, cafes, and lounges. Ice cream is one of the most preferred desserts and can be incorporated into a myriad of other products including shakes, cakes, and coffee. Such trends are expected to increase their popularity through the foodservice distribution channels.

Flavor Insights

The vanilla flavor segment held the second-largest revenue share of over 28.0% in 2021. The vanilla flavor is one of the most popular flavors around the world. The ability of vanilla flavor to blend with most desserts and enhance the taste is expected to contribute to the demand. According to a survey published in Dairy Reporter in January 2020, 84% of the consumers in the U.K. preferred the vanilla flavor over all the flavors.

The others segment is anticipated to register the fastest CAGR of 5.0% from 2022 to 2030. The increasing preference for innovative and different flavors is expected to fuel the demand for the other flavors in the ice cream market. The increasing consumer preference for trying new flavors has boosted the manufacturers’ interest in launching innovative flavors. For instance, in May 2021, Eclipse Foods launched seven new flavors including mango passion fruit, strawberry fields, mint chip, caramel butter pecan, cookies n’ cream, and peanut butter cookie dough. 

Regional Insights

The Asia Pacific made the largest contribution to the global market with a revenue share of over 42.0% in 2021. The region has been witnessing high demand, especially from young consumers. Key manufacturers have been introducing a range of products to cater to the increasing preference for premium products. For instance, in September 2021, Havmor, a popular brand in India, launched the world cone; the largest ice cream cone in the country with three flavors including Swiss Choco Brownie, Double Belgium Chocolate, and Nutty French Vanilla.

Furthermore, the increasing preference for healthy alternatives is expected to boost the demand for dairy-free, vegan products in the region. According to a report published in The Times of India in May 2020, 60% to 65% of the population in India was lactose intolerant. Such a high prevalence of milk intolerance is expected to contribute to the demand for vegan alternatives to conventional foods, including ice creams.

North America is expected to witness a CAGR of 3.5% from 2022 to 2030. People in North America have become more conscious about their health and thus have been changing their preference for healthy food alternatives over conventional products. According to a survey published in Food Insights in May 2021, 60% of the population of the region preferred healthy alternatives for popular food products, such as confectionery, desserts, and ice creams.

Such market trends are expected to fuel the demand for vegan products in North America. Manufacturers have been launching multiple product options to cater to the large consumer base in the region. For instance, in January 2022, Cold Stone Creamery launched its first vegan ice cream with almond milk and multiple add-ons across the country.

Key Companies & Market Share Insights

Numerous small and mid-size players operating in various countries contribute to the overall growth of the market. The manufacturers are introducing new flavors and formats to enhance their sales volume which has been decreasing especially in developed regions such as North America and Western Europe. Nowadays, ice creams with natural ingredients, low calories, and health claims appeal the most to consumers, thus, manufacturers are focused on launching products with these attributes.

• In January 2021, Unilever launched a variety of frozen dessert treats under the brand name Breyers, Good Humor, Klondike, Magnum, Popsicle, and Talenti Brands

• In January 2021, Northern Bloc, a leading manufacturer of plant-based desserts, secured an investment of USD 1.7 million. Northern Bloc will invest the funding in increasing its production capacity, strengthening the team, and focusing on brand experience across retail

• In January 2020, Northern Bloc introduced plastic-free ice-cream packaging to reduce plastic use and increase sustainability. The new paper packaging is 100% biodegradable, compostable, and recyclable

Some prominent players operating in the global ice cream market include:

• Unilever

• Inspire Brands, Inc.

• General Mills, Inc.

• Kwality Wall’s

• American Dairy Queen Corporation

• Nestlé

• Blue Bell Creameries

• Cold Stone Creamery

• Danone S.A.

• NadaMoo

Ice Cream Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global ice cream market report based on product, type, flavor, distribution channel, and region:

• Product Outlook (Revenue, USD Million, 2017 - 2030)

  • Bars & Pops

  • Cups & Tubs

  • Others

• Type Outlook (Revenue, USD Million, 2017 - 2030)

  • Dairy & Water-based

  • Vegan

• Flavor Outlook (Revenue, USD Million, 2017 - 2030)

  • Chocolate

  • Vanilla

  • Fruit

  • Others

• Distribution Channel Outlook (Revenue, USD Million, 2017 - 2030)

  • Foodservice

  • Retail

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

  • Europe

    • Germany

    • U.K.

    • France

  • Asia Pacific

    • China

    • Japan

    • India

  • Central & South America

    • Brazil

  • Middle East & Africa

    • South Africa