The report provides an in-depth analysis of revenue and emerging market trends, with an up-to-date analysis and forecasts for various market segments and all geographical regions.
The Asian and Pacific Coast region (APAC) was "the leader in the probiotics market in 2014, and its growth is expected to continue at a steady pace during the forecast period," said Arushi Thakur, one of Technavio’s lead industry analysts for food and beverage research. "The major reason for this growth is the extensive use of probiotics in dairy products. APAC has a large dairy market that is estimated to reach close to $500 billion by 2018.
"The consumption of probiotic yogurt protects the immune system against cancer of the colon, bladder, and breast by up to 35 percent," Arushi said. "The consumption of probiotics also helps reduce dental caries, prevents oral candida infections, and manages periodontitis. Owing to such health benefits, the demand for probiotic products is expected to increase over the next five years."
Based on product application, the global probiotics market is segmented by functional food and beverages, dairy supplements, animal feed and others. Functional food and beverages, dairy supplements and animal feed are the top three segments of the self-serve kiosk market.
Perceived health benefits of functional foods and beverages are expected to spur the growth of this segment during the forecast period. The global functional foods and beverages market was valued at more than $28 billion in 2014, and is growing at a compound annual growth rate of close to 7 percent. Probiotic functional products are in high demand, with manufacturers launching probiotic ingredients in non-dairy products such as energy drinks, fruit juice and ice cream. The use of probiotics in infant formula is also gaining momentum.
Dietary supplements are the fastest-growing segment in the global probiotics market. These products are available as capsules, tablets and powders. The demand for dietary supplements is driven by an aging population and a growing number of infants. Both age groups are more prone to diseases because of their low immunity levels. These nutrients are available as food supplements, specialty nutrients and infant formula.
To expand their foothold in the market, companies are introducing supplements targeted toward women, such as probiotic dietary supplements for pregnant and lactating women. These supplements provide nutrients for brain and eye development in the fetus and strengthen the immunity and gut functions among carrying women.
With rising animal health concerns among owners of livestock and pets, the demand for probiotics in animal feed is increasing also due to an increasing demand for better-quality animal products. Probiotics such as lactic acid bacteria, Streptococcus and Bifidobacterium provide an animal with useful enzymes and fatty acids that prevent the formation of harmful chemicals in their digestive system. Probiotics also play a key role in enhancing milk production in cows and hastening the growth of chickens. With rapid development in aquaculture, the demand for probiotics is expected to increase substantially over the next four years.