Oatly sees growth amid rising plant-based milk popularity

SWEDEN – Oatly, a leading oat drink brand, has witnessed continued growth in the plant-based milk market as consumer interest increases.

The company believes increased competition will drive further conversion from dairy to plant-based options, benefiting health and the planet.

Willy Low, Oatly’s Regional Director for Southeast Asia and North Asia, highlighted their role in popularizing plant-based milk over the last decade.

“We celebrate competition because it helps increase the conversion from dairy and in growing the category, which also has a positive effect on the planet,” he said.

“The more companies that promote oat milk, the better, as it enables people to eat better and live healthier lives without recklessly taxing the earth’s resources.”

With operations spanning Europe, the US, and Asia-Pacific, Oatly plans to expand into France, Spain, Italy, Portugal, Belgium, and Mexico.

According to the company, early results indicated stable growth in these markets, and the company aims to continue its progress in 2024. Oatly’s strategy focuses on making environmentally friendly choices more accessible, aiming for a sustainable global food system.

“We will continue expanding into markets where we can help make it easier for consumers to choose more environmentally friendly options, such as low climate-impact dairy alternatives, to create a long-term shift towards a more sustainable global food system.”

Meanwhile, the brand’s success is attributed to its strong consumer resonance, which it considers a “secret weapon.“

Oatly invests heavily in brand-building and product innovation, addressing consumer and environmental needs. Their goal is to provide oat drinks that match cow’s milk’s taste and functionality but have a lower environmental impact.

Oatly’s fortified products contain vitamins D, B2, and B12 and minerals such as calcium and iodine, making them a nutritious alternative.

With a significant portion of the global population lactose intolerant, Oatly offers a diverse range of products that make it easy for consumers to switch from dairy to plant-based options without sacrificing taste or nutrition.

In addition, the company emphasized the need for a system change towards a sustainable, plant-based food industry.

Other studies show that Oatly Barista has a 44% to 76% lower climate impact than cow’s milk, contributing to a reduction of approximately 847,000 tonnes of carbon dioxide emissions by 2023.