Flavoured plant and dairy milk products also play a role in the market. Dairy milk drinkers generally prefer unflavoured products; comparatively, flavoured non-dairy milk products have an edge.
Innova Market Insights revealed that chocolate is the top contending flavour across both categories, with a range of classic flavours such as vanilla, strawberry and banana following behind. For Lewis Road Creamery, the perseverance of chocolate as a favourite flavour has continued, its best-performing flavour being its Original Chocolate Milk made with Whittaker's chocolate. This flavour also put the brand on the map for flavoured milk.
There is a continued growth opportunity for flavoured milk. Innova Market Insights shared that this can give consumers a perception of premiumisation and indulgence, which are leading consumer trends in 2024.
Sonya Stichbury from Lewis Road Creamery shared that indulgent innovations with chocolate are consistent favourites. However, fresh fruit flavours such as strawberry were also enjoyed by consumers and saw an uplift in popularity.
The demand for flavoured milk has increased significantly over recent years, with a 6.2 percent growth value over the last year. This demand has stemmed from consumers seeking indulgent moments and full-flavour experiences while prioritising health and wellness.
"At Lewis Road, we take pride in creating indulgent flavours using only the highest quality ingredients, and we are extremely proud to be the number one premium flavoured milk brand in New Zealand," said Stichbury.
Lewis Road’s Stichbury advised that catering to consumers' desire for nostalgia and comfort was important to remain relevant in the flavoured milk category. Variations and novel flavours matched to seasons and key holidays add excitement and keep brands in mind for consumers.
Fonterra's Primo and Mammoth category leader Stefan Bebich stated that the rise of flavoured milk was primarily driven by being an alternative to traditional beverage options.
"This shift is primarily motivated by a desire for indulgence and novelty, with chocolate and iced coffee flavours leading the category," said Bebich.
Bebich added that the desire for iced coffee among young people and tradespeople also contributed to growing flavoured milk trends.
"The refreshing caffeine boost combined with the convenience of a ready-to-drink beverage, making it a preferred choice for those on the go."
"Flavoured milk represents a dynamic segment within the dairy industry in New Zealand, catering to contemporary tastes and lifestyles. With evolving consumer demands, brands have ample opportunities to innovate and capture this thriving market."
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