According to a recent report by Circana, the white milk subcategory has been declining in volume for some time, despite being the largest dairy subcategory in stores. Retailers need to ensure that proper shelf space is given to white milk in order to boost sales. While fifteen dairy categories saw a decline in volume, the sector witnessed an overall sales growth of $8.85bn year-over-year. Private label brands are leading this growth, with eight of the top fifteen fastest growing brands being private label offerings. Moreover, brands with the clean label claim of being trans-fat-free are making a comeback, with consumers keen on buying dairy products that are trans-fat-free. No/less oil, no/low trans-fat, no/low cholesterol, grass-fed animal claim, and animal claims of humanely raised are the top five dairy claims driving sales growth, whereas antioxidants and fiber claims have seen a decline in sales volume. Although claims such as protein and low/no sugar have seen growth within the dairy milk subcategory, the size of this growth is not large enough to offset the overall decline. Overall, consumers are still consuming dairy products, but specific claims have contributed to pockets of growth in the sector.
Circana reports that as trans-fat-free claims make a comeback, dairy consumers are still opting for lower-priced options.
