Baby food and infant formula: Key market research findings
- The need for optimal nutrition is a driver for market growth
- The milk formula segment currently dominates the market
- Key vendors—Abbott Nutrition, Beingmate, Danone, HiPP, Kraft Heinz, MJN, and Nestlé
Technavio’s market research analysts estimate the global baby food and infant formula market to grow at a CAGR of almost 8% between 2016 and 2020. The increase in health concerns amongst parents is the primary driver for the market. Parents look to substitute breastfeeding with food that has optimal nutritional content to ensure the best diet for the baby. Improving economic conditions and increasing disposable incomes make high-quality, expensive baby foods more affordable. Currently, the APAC region dominates the global baby food and infant formula market by accounting for around 45% of the total market share. Favorable economic conditions, the availability of organic baby food, and the increase in prices are some of the factors that are likely fuel market growth in this region during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the baby food and infant formula segments by product type.
“Packaging and innovation is the latest trend in the global baby food and infant formula market. Pouches are expected to experience rapid growth during the forecast period due to their ease-of-use and flexibility. These containers with plastic spouts on the top from which food can be sipped of people make them an appropriate source of nutrition while on the go,” says Vijay Sarathi, Lead Analyst, Food & Beverages, Technavio Research.
In 2015, the milk formula segment accounted for almost 60% of the market share to dominate the global baby food and infant formula market. The convenience of giving milk formula anywhere and at any time make it a convenient alternative for mothers who are not able to pump breast milk or breastfeed their infants. The availability of choices within the milk formula for infants vertical is a factor that is expected to influence the market positively in the coming years.
The key vendors in the global baby food and infant formula market include Abbott Nutrition, Beingmate, Danone, HiPP, Kraft Heinz, MJN, and Nestlé. The market is highly fragmented because of the presence of numerous small and large suppliers. The vendors in the market compete in terms of price, quality, innovation, reputation, and distribution. Competition in the market is expected to intensify during the forecast period owing to the rapidly changing consumer demands and preferences, which will propel manufacturers to distinguish their product and service offerings through a clear and unique value proposition.
A more detailed analysis is available in the Technavio report, Global Baby Food and Infant Formula Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
Other related reports:
