The Global Ice Cream Market Size to Reach USD89 Billion By 2022

    The global ice cream market is very dynamic in nature as it is subject to rapidly changing consumer preferences and demand. The market is highly fragmented because of the presence of a number of small and large vendors. The global ice cream market is expected to reach USD89 billion by 2022, growing at a CAGR of 4.8%, according to a report by Mordor Intelligence. The rise in income along with an increase in demand for sweet dishes drive the growth of this market. The availability of lactose-free ice creams will also boost the market’s growth in the coming years. 

    The sales of low-quality ice cream have been declining due to the increased preference for premium ice cream. Market’s growth is supported by various technological advancements in the field of cold chain infrastructure, refrigerated transport systems, storage facilities and equipment. A major trend is the growth of organic ice cream and low fat. The organic ice cream market is on the rise due to the trend of maximizing nutritional credentials in ice cream by increasing organic ingredients. The new innovative flavors that companies have come up with, act as a major driver for this market. In addition, private labelling reduces the price of ice cream, thereby increasing demand. The emergence of private label brands has helped in establishing the market presence. The rise in demand for ice cream products from consumers above the age of 50 is another factor that contributes to the growth of this market. The availability of lactose-free ice cream has increased competition in this market. Ice-cream manufacturers are formulating their lactose-free line of ice creams to cater to the niche market of lactose-intolerant consumers. Unseasonable weather is a major restraint to this market. The global ice cream market is segmented on the basis of product type, which has been further subdivided by recipe into ordinary (hard), French, reduced fat, light, soft, no sugar added, lactose-free, gluten-free, and organic ice cream. By shapes, ice creams come in sticks, buckets, sundae, floats and frozen novelties, which may include frozen custard, frozen yogurt, dondurma, gelato, sherbet, snow cones, frozen soufflé, etc. By sales, the market is segmented into impulsive, take-home, and artisanal ice cream. The impulse segment dominated the market. It accounted for a market share of 39%. Factors such as the desire to indulge in ice cream and the rise in demand for small portion of snacking options will drive the market. The global market is highly fragmented due to the presence of a number of large and small-scale vendors. Vendors compete for innovation, pricing, and distribution. The ice cream market in Saudi Arabia is forecast to grow at a CAGR of 7% during 2015-2020, according to a report by Canadean Ltd. The market is led by the ‘Impulse Ice Cream - Single Serve’ category in Off-trade volume consumption and is also forecast to register fastest growth in Off-trade and On-trade volume sales during 2015-2020. In 2016, Europe dominated the market with more than 40% share, according to Mordor. Global ice cream sales have grown significantly, with China and Brazil accounting for two-fifths of the global sales. India’s ice cream market is growing at a fast pace, with brands mostly dividing into one of the two camps of happiness or health. The market value rose by around 17% in India. The ice cream market in the US will grow at a modest CAGR of around 2% by 2020, according to Technavio. The growing consumption of take-home ice-cream products is the primary growth driver for this market. Recently, it has been observed that the demand for private label ice cream products is on the rise as they provide better value for money. 

    Fatima Saab
    Editor & Researcher