Market Research Logo

Top Growth Opportunities: Dairy & Soy Food in Australia

Top Growth Opportunities: Dairy & Soy Food in Australia

Summary

Australia’s Dairy market will grow at a CAGR of 4.0% in the five years to 2021. This follows a period of decline in US Dollar terms which saw the market record a CAGR of -2.8% in the five years to 2016.

Australian Dairy market is large, stable, and growing steadily, recording a CAGR of 3.6% in Australian Dollar value terms between 2011 and 2016. Negative growth in the five years to 2016 was recorded in US Dollar terms only, following the depreciation of the Australian Dollar from 2013 onwards. With GDP set to increase in 2017, growth indicators for the Australian economy are positive. Prime Minister Turnbull’s anti-austerity measures seek to take advantage of low interest rates and boost consumer spending.

Despite a 2011- 2016 decline in US Dollar terms, Australia’s Dairy market is stable and growing steadily, with a value projection of US$12.9 Billion by 2021. Despite the government’s anti-austerity tone and pro-business stride, slow growth in real wages is a persistent threat that could continue to undermine growth in consumer spending in the five years to 2021. Inflationary pressures could make matters worse.

Australia is the largest Dairy & Soy Food market by per capita expenditure in US$ terms, ahead of other large markets including the US, China, and Japan. Strong growth in per capita expenditure is expected to resume in the five years to 2021, following a prolonged period of negative growth to 2016 in US$ terms. Australia is a large, stable, and steadily growing market with numerous opportunities for investment and growth in Dairy.

Australia is heavily dependent on Chinese demand, and a stronger than expected economic downturn in China could leave government finances exposed. The government’s recent decision to lower taxes and increase spending on innovation, entrepreneurship, and infrastructure is a boost for Australian businesses.

The report Top Growth Opportunities: Dairy & Soy Food in Australia provides an overview of the dairy and soy food market, analyzing market data, demographic consumption patterns within the category, and the key consumer trends driving consumption.

In particular, this report provides the following analysis -

  • Key consumer demographic groups driving consumption within the Australian market. Improve your consumer targeting by understanding who’s driving the market, what they want, and why.
  • A study of market value and volumes over 2011-2016 for Australia, supplemented with category, brand and packaging analysis that shows the current state of the market, and how it will evolve over the 2016-2021 period.
  • White space analysis, to pinpoint attractive spaces in the market and the key actions to take.
  • Insight into the implications behind the data, and analysis of how the consumer needs will evolve in the short-to-medium term future.
  • Examples of international and regional product innovation targeting key consumer needs.
Companies mentioned in this report: Woolworths, Coles Supermarkets, FoodWorks, Foodland, Ritchies Supa IGA, Harris Farm Markets, 7-Eleven, Friendly Grocer, ALDI, Lion Pty Ltd., Fonterra Co-operative Group, Groupe Lactalis, Devondale Murray Goulburn, The Kraft Heinz Company, Bega Cheese Ltd., General Mills Inc., Strauss Group Ltd., Kim Chua Group Co. Ltd., Arla Foods, Trader Joe's.

Scope
  • Despite a 2011-2016 decline in US Dollar terms, Australia’s Dairy market is stable and growing steadily, with a value projection of almost US$13 billion by 2021. In spite of the government’s anti-austerity tone and pro-business stride, slow growth in real wages is a persistent threat which could continue to undermine growth in consumer spending in the five years to 2021. Inflationary pressures threaten to make matters worse.
  • Despite recording negative growth in US$ value terms due to the effect of currency movements, the Australian Dairy & Soy Food market registered steady growth in volume between 2011 and 2016. The Yogurt category is forecast to record the fastest volume and value growth in the five years to 2021.
  • Hypermarkets and Supermarkets dominate the Australian FMCG retail environment, accounting for just over half of dairy consumption value in Australia in 2016.
  • However, foreign-owned retail brands such as ALDI have been steadily expanding their market share in recent years by targeting value-seekers.
  • The top three brands across all segments managed only a slight increase in their collective average value share betwen 2011 and 2016, demonstrating that consolidation in the Australian Dairy market is slowing due to reduced consumer spending and private label gains.
  • The value share of private label is growing faster than that of brands across all segments in the Australian Dairy market, highlighting a move among consumers towards private label products, which are often cheaper but increasingly perceived to be of equal value to brands.
Reasons to buy
  • This report brings together consumer analysis and market data to provide actionable insight into the behavior of Australia's dairy consumers.
  • This is based on GlobalData's unique consumer data, developed from extensive consumption surveys and consumer group tracking, which quantifies the influence of 20 consumption motivations in the Dairy sector.
  • Category, brand, and packaging dynamics are also examined.
  • This allows product and marketing strategies to be better aligned with the leading trends in the market.


  • INTRODUCING A TOP GROWTH MARKET FOR DAIRY
    • TOP OPPORTUNITY MARKETS
    • GLOBALDATA Consumer's OPPORTUNITY SCORING METHODOLOGY
    • TOP 10 GLOBAL GROWTH OPPORTUNITIES SCORES
    • TOP GLOBAL ISSUES
    • ASSESSMENT AGAINST GLOBAL STRATEGIC ISSUES
    • GlobalData's STRATEGIC ISSUES MAP
    • PREDICTED FUTURE ISSUES FOR THE GLOBAL DAIRY SECTOR
    • AUSTRALIA REWARD AND RISK ASSESSMENT
    • OPPORTUNITY SCORE - AUSTRALIA OVERVIEW
    • CONSUMER DAIRY SPENDING TRENDS - PEER GROUP COMPARISONS
    • POLITICAL, ECONOMIC, SOCIAL AND TECHNOLOGICAL: ANALYSIS POLITICAL
    • ENABLERS AND INHIBITORS OF GROWTH
    • DAIRY & SOY FOOD - REWARDS AND OPPORTUNITIES FOR GROWTH
      • Table MARKET VALUE OF Australia's DAIRY & SOY FOOD MARKET, 2011 – 2021
    • SUMMARY OF THE DAIRY MARKET IN AUSTRALIA
  • MARKET INSIGHT - IDENTIFYING THE OPPORTUNITIES TO MOVE INTO
    • MARKET GROWTH BY CATEGORY
    • VALUE GROWTH OF Australia's DAIRY & SOY FOOD MARKET BY CATEGORY
    • CONTRIBUTION TO CHANGE BY VALUE
      • Table CATEGORY VALUES (US$ MILLIONS)
    • VOLUME GROWTH OF Australia's DAIRY & SOY FOOD MARKET BY CATEGORY
    • CONTRIBUTION TO CHANGE BY VOLUME
      • Table CATEGORY VOLUMES (MILLIONS KG)
    • LEVEL OF PREMIUMIZATION BY CATEGORY
    • CATEGORY ANALYSIS - KEY DRIVERS OF CHANGE IN DAIRY
  • RETAIL AND DISTRIBUTION INSIGHT - KEY CHANNELS AND RETAILERS DRIVING GROWTH
    • DAIRY & SOY FOOD RETAIL CHANNEL SHARE - AUSTRALIA
    • KEY RETAIL CHANNEL TRENDS
    • ROUTES TO MARKET - RETAIL OVERVIEW
      • Table HYPERMARKETS AND SUPERMARKETS DOMINATE THE DAIRY RETAIL LANDSCAPE
    • ROUTES TO MARKET - KEY RETAILERS
    • DRIVERS OF CHANGE IN THE DAIRY SECTOR
  • COMPANY AND BRAND INSIGHT - THE COMPETITIVE LANDSCAPE DEFINED
    • DAIRY & SOY FOOD CATEGORY FRAGMENTATION
    • COMPANY AND BRAND STRENGTH
    • PRIVATE LABEL PENETRATION
      • Table PRIVATE LABEL VALUE PENETRATION 2016 PRIVATE LABEL GROWTH COMPARED TO BRANDS BY CATEGORY (IN VALUE TERMS), IN THE AUSTRALIAN DAIRY & SOY FOOD MARKET, 2011-2016
    • BRAND SHARE BY LEADING SUPPLIER FOR TOTAL DAIRY
    • INTERNATIONAL AND DOMESTIC BRAND ANALYSIS
      • Table TOP 5 INTERNATIONAL DAIRY & SOY FOOD BRANDS
      • Table TOP 5 DOMESTIC DAIRY & SOY FOOD BRANDS
    • COMPANY AND BRAND STRENGTH
  • CONSUMER INSIGHT - WHO, WHAT, WHEN, WHERE AND WHY
    • STRATEGIC ISSUES MAP - PITFALLS AND OPPORTUNITIES
    • KEY CONSUMER DRIVERS FOR DAIRY
    • KEY CONSUMER TRENDS IN THE AUSTRALIAN DAIRY MARKET
    • CONSUMER GROUPS - KEY CONSUMER TARGETS
      • Table 2016 CONSUMPTION VOLUME SHARES BY CONSUMER GROUP
    • KEY HEALTH & WELLNESS TRENDS
    • HOW HEALTH & WELLNESS BENEFITS WILL CONTRIBUTE TO GROWTH
    • PENETRATION OF HEALTH AND WELLNESS CLAIMS BY CATEGORY
    • CONSUMER TRENDS SUMMARY
  • PRODUCT AND PACKAGING INSIGHTS
    • KEY PRODUCT INSIGHTS IN DAIRY
    • TRENDS AND STRATEGIC ISSUES - OTHER NOTABLE PRODUCT TRENDS
    • PRODUCT & PACKAGING INSIGHTS - KEY PRODUCT INNOVATION CASE STUDIES
    • KEY PRODUCT INNOVATION CASE STUDY: EVIA PODS - GREEK YOGHURT - RASPBERRY WITH HONEY SPICED TOASTED MUESLI
    • KEY PACKAGING INSIGHTS
    • TRENDS AND STRATEGIC ISSUES - PACKAGING MATERIAL TRENDS
    • TRENDS AND STRATEGIC ISSUES - PACKAGING CLOSURE
    • PRODUCT LAUNCH KEY TAKEOUTS
  • WHITE SPACES AND INNOVATION OPPORTUNITIES - SPACE TO MOVE INTO
    • HIGHEST GROWTH SEGMENTS TO TARGET WHEN ENTERING THE AUSTRALIAN DAIRY MARKET
    • CONSUMER SPACES TO TARGET WHEN ENTERING THE AUSTRALIAN DAIRY MARKET
      • Table TOP VOLUME CAGR CATEGORIES 2011 - 2016
    • SEGMENT FOCUS - OPPORTUNITIES
    • PRICE CHANGE BY CATEGORY IN THE AUSTRALIAN DAIRY MARKET
    • PRICING STRATEGIES - MOVEMENTS IN AVERAGE PRICES FOR LEADING BRANDS
      • Table MONTHLY AVERAGE PRICE POINT, US$
    • PRODUCT LAUNCH KEY TAKEOUTS
    • RECOMMENDATIONS FOR NEW WAYS TO ENTER THE DAIRY MARKET IN AUSTRALIA
  • APPENDIX
    • DEFINITIONS
      • CATEGORY DEFINITIONS
      • CHANNEL DEFINITIONS
    • RESEARCH METHODOLOGY
      • CONSUMER PACKAGED GOODS RETAIL DATA
      • HEALTH & WELLNESS DATA IS BUILT USING DETAILED STORE AUDITS IN COMBINATION WITH MARKET VOLUMES FROM GLOBALDATA’S MARKET DATA RESEARCH
      • ONLINE PRICE INTELLIGENCE METHODOLOGY

Download our eBook: How to Succeed Using Market Research

Learn how to effectively navigate the market research process to help guide your organization on the journey to success.

Download eBook

Share this report