Oatly, the Swedish-owned oat milk brand, recently announced its plan for further expansion in the Chinese market following its recent IPO success. The brand first entered the Chinese market in 2018 and its products are currently sold in over 11,000 cafes and 6,000 brick-and-mortar stores across China. After securing new funding, the brand is set to expand even further.
Oatly ice cream is 100% plant-based and, as its name suggests, is made from oat milk – meaning it contains no animal fat, lactose, or transfat. According to some studies, up to forty times more individuals suffer from lactose intolerances in Asian countries compared to other European countries. This makes the country an ideal market for plant-based products like Oatly, a significance not lost to the brand.
Vegan Ice Cream Brand Expansions
Oatly Announces Further Expansion Plans in China
Trend Themes
1. Plant-based Food Products - The growing demand for plant-based products like Oatly ice cream in lactose-intolerant markets presents an opportunity for disruptive innovation.
2. Expansion in Emerging Markets - Oatly's successful expansion in the Chinese market indicates a trend of companies expanding into emerging markets and finding success with innovative plant-based products.
3. Sustainable Packaging - As Oatly continues to expand globally, there is an opportunity for innovation in sustainable packaging solutions for their plant-based products.
Industry Implications
1. Food and Beverage - The food and beverage industry can capitalize on the trend of plant-based products and emerging markets to drive growth and innovation.
2. Packaging - The packaging industry has an opportunity to innovate and collaborate with companies like Oatly to create sustainable packaging solutions for plant-based products.
3. Retail - As the demand for plant-based products grows, the retail industry can leverage this trend by offering a wider selection of these products to consumers.