Protein Claims Drive Growth in the Dairy Industry
Protein claims have gained prominence in the food and beverage industry, with dairy being a major beneficiary. The demand for products with higher protein content is driving significant market changes, particularly in the United States. According to Circana retail data, dairy products with protein claims now form a $10.4 billion segment within the $104 billion U.S. dairy market.
Over the past year, these products have experienced a 13.7% increase in value and a 7.5% rise in volume. In contrast, the broader dairy segment saw increases of only 2.0% in value and 0.3% in volume, indicating that protein is a key growth driver.
Yogurt has emerged as the biggest beneficiary, with protein-enhanced versions growing 23.2% in value and 16.8% in volume. Conventional yogurt, meanwhile, has seen growth rates of 12.2% in value and 7.3% in volume. Cottage cheese is also experiencing a surge, with products featuring protein claims growing 18.1% in value and 14.6% in volume compared to the overall category growth of 16.5% and 12.0% respectively.
Even milk, which has struggled with declining consumption, is seeing a resurgence due to protein claims. High-protein milk products recorded a 7.7% increase in value and a 1.2% rise in volume, contrasting with the flat performance of conventional dairy milk.
Brands like Fairlife and Darigold Fit are capitalizing on this trend by offering products that combine high protein with other benefits such as being lactose-free, lower in sugar, or ultrafiltered. Meanwhile, high-protein yogurt products from brands such as Oikos Pro, Chobani Protein, and Light & Fit are also expanding their offerings.
Globally, the trend is not limited to the US. High-protein dairy products are gaining traction in Europe, Australia, and parts of Asia, where manufacturers are investing in innovations that emphasize protein's role in satiety, muscle health, and healthy aging. This shift highlights protein's role as a universal platform for premiumization in the dairy sector.
