Plant-Based Spreads Market Report

Plant-based spreads have gained significant popularity in recent years due to the increasing demand for healthier and sustainable food options. Plant-based spreads are made from various plant-based ingredients and offer an alternative to traditional spreads such as butter, margarine, and cream cheese. The increasing number of people adopting vegan and vegetarian diets is fuelling the demand for plant-based spreads. The Vegan Society filed 16,439 products with the Vegan trademark in 2021. Over the forecast period, the market is expected to rise rapidly, owing to consumers' desirable perceptions regarding plant-based foods. Plant-based spreads offer a cruelty-free and sustainable alternative to animal-derived spreads. Consumers are increasingly concerned about the environmental impact of animal agriculture, prompting them to choose plant-based alternatives. Plant-based spreads require fewer resources and have a lower carbon footprint than animal-based spreads, thereby driving market growth.

The plant-based spreads market has experienced substantial growth in the past few years and is expected to continue expanding. Factors such as rising health consciousness, growing vegan and vegetarian populations, and environmental concerns are driving the demand for plant-based spreads. According to the Plant Based Foods Association's 2022 U.S. retail sales data report for the plant-based foods industry, the market has generated a substantial US$ 8 billion in dollar sales. In terms of growth rates, the report indicates a significant one-year growth of 6.6% in the plant-based foods sector. Furthermore, the report demonstrates a three-year growth rate of 44.5% in the plant-based foods industry. This growth determines the long-term potential and market viability of plant-based products, including spreads. Consumers are becoming more health-conscious and are seeking healthier alternatives to traditional spreads. Plant-based spreads, which are often low in saturated fats and cholesterol-free, are perceived as healthier options. All these factors play a significant role in driving the plant-based spreads market.

• Spreads that offer health benefits, such as high in protein, fiber, and omega-3 fatty acids.
• Minimal processing, clean labels, and natural ingredients.
• Unique and exotic flavors such as chili, truffle, and herbs differentiate products.
• Plant-based spreads that are sustainably sourced and produced.

Plant-based spreads, particularly those made from premium ingredients, can be more expensive than traditional spreads. Price sensitivity among some consumers may hamper market growth. Sourcing quality plant-based ingredients can be a challenge for manufacturers, especially for spreads made from specific nuts or seeds. Ensuring a consistent supply of raw materials at reasonable prices can be a constraint. Some consumers may still perceive plant-based spreads as inferior in taste or texture compared to animal-derived spreads. Overcoming these perceptions and delivering high-quality products is essential for market growth.

Manufacturers are continuously introducing new and innovative plant-based spread products to cater to evolving consumer preferences. The availability of a wide range of flavors and ingredients is driving consumer interest and boosting market growth. Danone made a significant move in the plant-based industry by acquiring Follow Your Heart, in 2021. This acquisition included the company's diverse range of products, such as Vegenaise spread, dairy-free cheeses, plant-based dressings, and Vegan Egg. The Kraft Heinz Company’s brand Philadelphia launched a plant-based version of its original-flavoured spread in 2022. Oatly Group AB expanded its plant-based product lineup in 2023, by introducing a new offering called Oatly Creamy Oat Spread. Violife launched the Creamy with Garlic & Herbs cream cheese alternative spread in 2023.

The North American market has witnessed a surge in demand for plant-based spreads due to the rising number of consumers adopting vegan and vegetarian diets. The United States, in particular, has a robust plant-based food industry, including spreads made from nuts, seeds, and vegetables. Major players in the region include popular brands like Earth Balance, Justin's, and Kite Hill. According to American International Foods, Inc., nearly 12% of consumers in the US, follow a flexitarian diet. The percentage increases to one-fifth (20%) of the US population when vegans, vegetarians, and flexitarians are included. Consumers who are vegetarian or vegan are not the only ones driving the plant-based revolution; in fact, the number of consumers who follow a flexitarian lifestyle is increasing at a faster rate and driving the global plant-based spreads market. The Asia Pacific region is witnessing rapid growth in the plant-based market, including spreads. Countries like China, India, and Japan have a large population adopting plant-based diets for health and sustainability reasons. Local brands are emerging in the region, offering plant-based spreads made from ingredients like soy, coconut, and sesame.

The report provides a detailed overview of the plant-based spreads market insights in regions including North America, Latin America, Europe, Asia-Pacific, Oceania, and the Middle East and Africa. The country-specific assessment for the plant-based spreads market has been offered for all regional market shares, along with forecasts, market scope estimates, price point assessment, and impact analysis of prominent countries and regions. Throughout this market research report, Y-o-Y growth and CAGR estimates are also incorporated for every country and region, to provide a detailed view of the plant-based spreads market. These Y-o-Y projections on regional and country-level markets brighten the political, economic, and business environment outlook, which are anticipated to have a substantial impact on the growth of the plant-based spreads market. Some key countries and regions included in the plant-based spreads market report are as follows:

• Plant-based spreads market detailed segments and segment-wise market breakdown
• Plant-based spreads market dynamics (Recent industry trends, drivers, restraints, growth potential, opportunities in plant-based spreads industry)
• Current, historical, and forthcoming 10 years market valuation in terms of plant-based spreads market size (US$ Mn), volume (Units), share (%), Y-o-Y growth rate, CAGR (%) analysis
• Plant-based spreads market demand analysis
• Plant-based spreads market pricing analysis over the forecast period (by key segment and by region)
• Plant-based spreads market regional insights with the region-wise market breakdown
• Competitive analysis – key companies profiling including their market share, product offerings, and competitive strategies.
• Latest developments and innovations in the plant-based spreads market
• Regulatory landscape by key regions and key countries
• Supply chain and value chain analysis in plant-based spreads market
• Plant-based spreads market sales and distribution strategies
• A comprehensive overview of the parent market
• A detailed viewpoint on plant-based spreads market forecast by countries
• Mergers and acquisitions in the plant-based spreads market
• Essential information to enhance market position
• Robust research methodology