Australia Ice Cream Market Size, Share and Growth Analysis Report: Forecast Trends and Outlook (2025-2034)

Australia Ice Cream Market TrendsThe growth of the Australia ice cream market is fuelled by increasing demand from local consumers and tourism. It provides a diverse range of flavours, appealing to both traditional and contemporary preferences. Consumption is particularly high in summer, with an increasing availability of healthier options like dairy-free and low-calorie ice creams. Premium brands are emerging, offering artisanal ice creams made with locally sourced, high-quality ingredients. In December 2024, Frosty Mango launched new soft-serve flavours- Classic Mango, Vanilla-licious, and The Twist- at Getta Betta Coffee + Burger the Lakes in Townsville, with The Twist quickly becoming a customer favourite.Opportunities in the Australia ice cream market are increasing due to its strong export potential, as high-quality products receive growing international recognition. While summer brings peak sales, there is a steady demand for indulgent treats in colder months, particularly for gourmet options. Manufacturers are innovating with unique and exotic flavours to appeal to both locals and tourists. The local dairy industry supports this growth, providing a reliable supply of top-quality milk and cream. Many brands are also embracing sustainability, using eco-friendly packaging, and adopting ethical sourcing practices.Australia Ice Cream Market GrowthThe demand for the Australia ice cream market is growing as consumers increasingly seek authentic, high-quality products, driving the popularity of artisanal, small-batch options. Ice cream is widely available in supermarkets, convenience stores, and specialist parlours, broadening retail channels. Some parlours allow customers to personalise their flavours and toppings. The market caters to all budgets, from affordable options to premium choices, and ice cream remains a cultural staple in Australian social gatherings. In November 2024, McDonald's launched a "world first" menu item in Australia, exclusive to the country, as part of their summer range, which included three new burgers, two desserts, and the Cherry Ripe McFlurry topped with the iconic Aussie chocolate bar, available with vanilla or chocolate soft serve.The growing demand for plant-based options is influencing the Australia ice cream market dynamics and trends, with an increasing variety of dairy-free ice creams driven by the vegan and plant-based food trends. Australia’s tourism sector also boosts ice cream sales, especially in coastal and tourist-focused areas. Packaging innovation is rising, with many brands opting for sustainable materials to appeal to eco-conscious consumers.Australia Ice Cream Market Insights
Industry reports indicate that the Australian dairy sector is worth USD 3 billion and employs 42,000 people, making a significant contribution to the ice cream market by ensuring a reliable supply of high-quality dairy products. This helps ice cream brands maintain consistency in both taste and product quality.
According to the Australian Bureau of Statistics (ABS), retail trade in Australia saw a 2.3% increase from July 2023 to July 2024, totalling USD 36,160.1 million. This growth positively impacts the ice cream market by boosting overall retail sales, making ice cream more accessible and encouraging consumer spending.
The Australian Bureau of Statistics (ABS) indicated that e-commerce retail accounted for 41.5% of the increase in the value added by digital activities in Australia during 2020-21. This surge benefits the ice cream market by enabling online sales and direct-to-consumer models, expanding reach, and facilitating easier access to premium and niche ice cream products.
The ice cream market in Victoria is expected to grow at a rate of 19.60% from 2024 to 2032.Industry News November 2024 Unilever introduced Magnum Bon Bons, its inaugural bite-sized ice cream. These 12-piece tubs provide the classic Magnum flavour in a convenient, shareable form. Offered in three popular flavours- White Chocolate & Cookies, Gold Caramel Billionaire, and Salted Caramel & Almond- they complement other micro-formats from Ben & Jerry’s and Yasso. September 2024 Connoisseur launched two new ice cream flavours – Honeycomb & Australian Honey and Murray River Salted Caramel. Crafted for Australian tastes, the flavours featured ingredients sourced from Australia and New Zealand. They were available in both stick format and 1L tubs, offering indulgent treats that celebrated premium, locally sourced ingredients.Australia Ice Cream Market Drivers Premium and Artisanal Offerings The demand for premium and artisanal products is impacting the Australia ice cream market revenue, as consumers increasingly look for high-quality, distinctive flavours crafted from fresh, locally sourced ingredients. Artisanal brands are gaining traction for their small-batch, handcrafted offerings that focus on authenticity and distinctive flavours. This trend highlights a shift towards indulgence, with many premium brands using natural ingredients and innovative flavours to position themselves as a luxurious alternative to mass-produced ice cream. In October 2024, Connoisseur Gourmet Ice Cream collaborated with artisan chocolatier Koko Black to launch a new luxurious range for World Dessert Day, featuring indulgent flavours, including Australia’s best-selling vanilla ice cream dipped in Koko Black’s 54% dark chocolate. Plant-Based and Dairy-Free Alternatives The Australia ice cream market development is being driven by a growing demand for plant-based and dairy-free options, fuelled by the increasing popularity of vegan and lactose-free diets, alongside health-conscious consumers looking for lower-calorie or allergen-friendly alternatives. Manufacturers are expanding their offerings to include dairy-free options using almond, coconut, or oat milk. This trend appeals not only to vegans but also to individuals with lactose intolerance or those looking for healthier alternatives to traditional dairy ice cream. In December 2024, Häagen-Dazs launched its vegan Amaretto Black Cherry Toffee ice cream, which, despite its spirit-inspired flavour, was alcohol-free and non-dairy. Opportunities in the Australia Ice Cream Market Personalised and customisable ice cream experiences are a growing trend in the Australia ice cream market, with an increasing number of parlours and brands offering options to mix and match flavours, toppings, and sauces. This enables customers to create unique combinations tailored to their tastes, enhancing engagement and satisfaction. Many shops also offer custom serving sizes or limited-edition flavours, further elevating the experience. This shift towards customisation caters to the demand for unique, Instagram-worthy moments, especially among younger, trend-conscious consumers. In 2022, SuperSeed Ice Creme won the ABA100® Award for New Product Innovation at The Australian Brand Awards, being Australia’s first plant-based hemp seed milk ice cream.Market RestraintsThe Australia ice cream market faces several challenges. Rising production costs, including raw materials and energy, affect affordability, especially for smaller brands. Health-conscious consumers are shifting towards low-sugar, low-fat, or dairy-free alternatives, impacting traditional ice cream sales. The market also experiences seasonal demand fluctuations, with lower sales in winter.Intense competition from both local and international brands makes it difficult for new or smaller companies to gain traction, particularly due to price wars and limited resources. Additionally, increasing consumer demand for sustainability pressures brands to adopt eco-friendly practices, which can be costly, creating further challenges for businesses that struggle to meet these expectations.“Australia Ice Cream Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:Market Breakup by Category
Artisanal Ice Cream
Impulse Ice Cream
Take-Home Ice CreamMarket Breakup by Flavour
Vanilla
Chocolate
Fruit
Others

Market Breakup by Product
Stick
Tub
Cup
Brick
Cone
Others

Market Breakup by End Use
Retailers
Food ServiceMarket Breakup by Distribution Channel
Supermarkets and Hypermarkets
Specialty Stores
Online Stores
Others

Market Breakup by Region
New South Wales
Victoria
Queensland
Australian Capital Territory
Western Australia
Others

Australia Ice Cream Market Share Market Analysis by Category According to the Australia ice cream market analysis, artisanal ice cream in Australia offers premium, small-batch products made with high-quality, locally sourced ingredients. This segment is expected to grow at a CAGR of 1.70% from 2024 to 2032. It caters to consumers seeking unique flavours and more personalised, handcrafted experiences, capitalising on the increasing demand for sustainable, natural ingredients while appealing to health-conscious and environmentally aware buyers. In September 2022, popular dessert brand Streets, known for Golden Gaytime and Paddlepop, launched Cornetto Soft. This treat combined a familiar Australian favourite with a new style of dairy, featuring a soft-serve texture with creamy vanilla ice cream filling the cone.The Australia ice cream market revenue is also impacted by impulse ice cream, which benefits from its convenience and affordable pricing, targeting spontaneous purchases. Its widespread availability in supermarkets, convenience stores, and vending machines makes it easily accessible. This segment is popular among consumers seeking quick indulgence, catering to a broad demographic, and driving high-volume sales. In December 2024, Mr Whippy introduced two new ice cream cup flavours, Vanilla Bean and Chocolate, in Metro Petroleum stores nationwide. The iconic Australian brand partnered with Metro Petroleum to bring its 120ml ice cream cups to 300 locations, allowing more Australians to enjoy the fun and joy of Mr Whippy. Market Analysis by Flavour According to the Australia ice cream market report, chocolate ice cream remains highly popular due to its rich, indulgent taste and broad consumer appeal. It is a versatile flavour that complements a variety of mix-ins and toppings, making it a favourite in both premium and impulse ice cream segments. It’s comforting nature ensures it is enjoyed by all age groups. In December 2023, McDonald’s Australia confirmed that its chocolate soft serve ice cream would become a permanent addition to the menu nationwide. After a 12-month trial in select stores across NSW, Queensland, and South Australia, the flavour is now available in all restaurants, including via the MyMacca’s app or McDelivery, expanding the dessert range.The demand of the Australia ice cream market is also driven by fruit-flavoured varieties, which offer a refreshing, natural alternative to traditional creamy flavours. With rising demand for healthier, lower-fat options, fruit-based ice creams attract health-conscious consumers. Often perceived as lighter and more refreshing, their vibrant, natural flavours appeal to those seeking unique, artisanal ice cream experiences. In September 2024, Peters Ice Cream launched a new Frosty Fruits frozen treat with a tropical flavour and 50% less sugar. This reduced-sugar tropical offering will join the existing Frosty Fruits flavours, including tropical, watermelon, and fruit stack, and will be available in supermarket freezers nationwide for around USD 9. Market Analysis by Distribution Channel The growth of specialty stores in the Australia ice cream market is driven by their curated selection of premium and artisanal brands. These stores cater to consumers looking for high-quality, unique flavours and exclusive products not commonly available in supermarkets. The personalised shopping experience and support for local producers foster customer loyalty and segment growth. In December 2024, Vegan Cornettos were introduced in Australia. These dairy-free cones feature soy-based ice cream, dairy-free chocolate, and are topped with dark chocolate pieces and crunchy hazelnuts, all in a chocolate-coated wafer cone. They are available in Woolworths, IGA, and select specialty stores nationwide.Online stores in the Australia ice cream market have seen growth due to the convenience of home delivery, enabling customers to purchase their favourite ice creams from home. This segment is projected to grow at a CAGR of 1.90% from 2024 to 2032, benefiting from a wider reach, exclusive flavours, and subscription services. It appeals to tech-savvy consumers seeking convenience and variety, expanding market access. In March 2024, Pizza Hut launched a ‘world-first’ ice cream flavour in collaboration with Nickelodeon. Thirty Australians had the chance to sample it before the official launch, with the menu also featuring SpongeBob SquarePants-themed items like new pizza flavours, wings, and a drink.Australia Ice Cream Market Regional Insights New South Wales Ice Cream Market Regional Insights According to the Australia ice cream industry analysis, the ice cream market in New South Wales benefits from a varied consumer base and a strong focus on artisanal products. This segment is projected to grow at a CAGR of 1.70% from 2024 to 2032. With Sydney as a central hub, the demand for innovative flavours and premium offerings fuels market growth, particularly catering to health-conscious consumers seeking unique, high-quality ice cream experiences. In January 2024, the Norco ice cream factory, one of the largest employers in the Northern Rivers, reopened following a USD 34.7 million funding grant from the Australian and NSW Governments, provided through the Anchor Business Support Grant Program. Queensland Ice Cream Market Trends Queensland's ice cream market is showing an increasing preference for premium and artisanal products. The rise in disposable incomes and a focus on locally sourced ingredients are driving growth, while creative flavours and health-conscious options are appealing to a broader range of consumers. According to the Queensland Government, Queensland's dairy industry produced 299 million litres of milk in 2021-22. With approximately 150,000 milking cows across farms from the Far North to south-east Queensland and the Darling Downs, the state's dairy industry plays a pivotal role in the expansion of the ice cream market. Western Australia Ice Cream Market Dynamics The ice cream market in Western Australia is seeing rapid growth, especially in artisanal products and distinctive flavour combinations. This sector is expected to grow at a compound annual growth rate (CAGR) of 1.40% from 2024 to 2032. According to Dairy Australia 2022/23, the price of milk increased by 20% from 2021-22, with milk income making up an average of 82% of gross farm income, highlighting the substantial impact of higher milk prices across WA.Competitive LandscapeThe Australia ice cream market key players specialise in a wide variety of products, including premium ice cream brands. These companies are known for producing high-quality, innovative food solutions and aim to provide unique, delicious options for customers. With a strong emphasis on quality and sustainability, they have built a reputation for sourcing local ingredients and maintaining strict manufacturing standards. Serving both domestic and international markets, these companies ensure their products are accessible to a broad audience.Key Industry Players  Australasian Food Group Pty Limited: Headquartered in Melbourne, Australia, Australasian Food Group Pty Limited was established in 2004. The company is known for its diverse range of food products, including premium ice cream brands. It focuses on delivering high-quality, innovative food solutions, serving both domestic and international markets. Golden North Ice Cream : It was founded in 1923, and is an iconic Australian ice cream brand based in Laura, South Australia. Renowned for its commitment to local ingredients and traditional methods, the company is celebrated for its creamy, handcrafted ice cream, offering a wide range of delicious flavours. General Mills Inc. : It is an American multinational food company headquartered in Minneapolis, Minnesota, established in 1928. Known for its extensive portfolio of food products, General Mills also owns popular ice cream brands like Häagen-Dazs. The company focuses on providing high-quality, innovative, and nutritious products globally. Unilever Limited: Established in 1929, Unilever is a British-Dutch multinational company headquartered in London. The company is a leader in consumer goods, including food, beverages, and personal care products. Unilever owns well-known ice cream brands such as Magnum, Ben & Jerry’s, and Cornetto, focusing on sustainability and innovation.Other key players in the Australia ice cream market report are Regal Cream Products Pty Ltd., Invidia Foods, and Supatreats Australia Pty. Ltd., among Others

.Recent Developments December 2024 Halo Top launched its vegan ice cream range across Australia at Woolworths, following the success of its seven vegan flavours released in the U.S. last year. The brand also introduced select vegan flavours at its first scoop shop in November and added seven more vegan options to its lineup. October 2023 Asembl has partnered with iconic Australian brands Menz Violet Crumble and Bulla to create a branded Violet Crumble ice cream on a stick. Available in a four-pack in major supermarkets and as a single serve at Coles Express and 7-Eleven, the ice cream features honeycomb-flavoured ice cream coated in milk chocolate with crunchy honeycomb pieces. Show more