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(CityRegions.Com, May 10, 2018 ) The global butter market is expected to grow at a CAGR of 3.8% during the forecast period, 2018-2023. Butter is one of the vital ingredients of confectionary products. However, with the dropping prices of butter, the competition between substitute products has intensified. The demand for spreadable butter has been growing gradually in developing countries, as it is used in various food products.
New Product Innovation and Rising Health Consumer Consciousness
The increase in demand for natural products due to the rise in health consciousness drives the growth of this market. A rise in the disposable incomes, especially in the developing countries, is another driver of this market. In developed countries, product innovation and the increase in home-baking drive the butter market growth. Availability of healthy alternatives to butter, such as margarine, along with government regulations in the production and distribution of butter restrain the market growth. Growing demand in developing countries can be considered as an opportunity for butter market.
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Processed Butter to Hold the Major Share
The global butter market has been segmented on the basis of processing as: processed butter and non-processed butter. Processed butter holds a share of 56% in 2016. By type, the market is segmented into cultured butter, uncultured butter, cream and whipped butter, whey butter and salted butter. Regarding usage, the market has been segmented into spreadable and non-spreadable, wherein, the non-spreadable butter segment dominates the global market. The market is further segmented by the distribution channel into super markets/hyper markets, convenience stores, grocery stores and others. The super markets/hyper markets segment dominates the global market.
North America Dominates the Global Butter Market
The global butter market has been geographically segmented into North America, Europe, South America, Africa and Asia-Pacific, wherein, North America dominates the market. The United States is a major market in this region. The increase in home-baking and the growing food industry further support the growth in this region. However, Asia-Pacific is expected to be the fastest-growing market for butter, during the forecast period, with China and India being the major markets. Increasing disposable incomes and change in consumer preferences are the main reasons for the growth of butter market in Asia-Pacific.
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MAJOR PLAYERS: AMUL, ARLA FOODS UK PLC., CRYSTAL FARMS, DANONE, DEAN FOODS COMPANY, FARMERS COOPERATIVE, FRIESLANDCAMPINA, GREAT VALUE, HORIZON ORGANIC, I CAN'T BELIEVE IT'S NOT BUTTER!, KRAFT FOODS, INC., LAND O LAKES, NESTLE SA, OJSC CREATIVE GROUP, and ORGANIC VALLEY, amongst others.
Table of Content
1. Introduction
1.1 Key Deliverables of the Study
1.2 Study Assumptions
1.3 Market Definition
2. Research Approach & Methodology
2.1 Introduction
2.2 Research Designs
2.3 Study Timeline
2.4 Study Phases
2.4.1 Secondary Research
2.4.2 Discussion Guide
2.4.3 Market Engineering and Econometric Modelling
2.4.4 Expert Validation
3. Key Findings of the Study
4. Market Dynamics
4.1 Drivers
4.1.1 Change in Consumer Preferences
4.1.2 Increase in Disposable Incomes
4.2 Constraints
4.2.1 Healthy Alternatives to Butter
4.2.2 Government Regulations
4.3 Opportunities
4.3.1 Product Innovation
4.3.2 Growing Demand in Developing Countries
4.4 Porter's Five Forces Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products and Services
4.4.5 Degree of Competition
4.5 Consumer Behavior Analysis
4.5.1 Consumer demand analysis
4.5.2 Target market identification
4.5.2.1 Purchasing power
4.5.2.2 Demographic Strengths & Weaknesses
4.5.2.3 Spending patterns
Continued
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