1 Global Meal Replacement Market Insight Analysis
The global Meal Replacement Market will be worth USD 16365 million in 2024, with a CAGR of 6.20% from 2024 to 2033.
A meal replacement is a drink, bar, soup, etc. intended as a substitute for a solid food, usually with controlled quantities of calories and nutrients. They are full of vital vitamins, minerals, lipids, proteins, fiber, and complex carbs that help to replace poor or high-calorie meals and stifle subsequent food cravings.
Figure Global Meal Replacement Market Size (M USD) and CAGR (2024-2033)
2 Meal Replacement Market Growth Drivers and Restraints
The meal replacement market is experiencing growth due to a multitude of factors. One of the primary drivers is the increasing health consciousness among consumers. There is a growing trend towards maintaining a balanced diet and managing weight, which meal replacements effectively address by providing nutritionally dense options with controlled calorie intake. The convenience factor is another significant driver, as busy lifestyles often leave little time for meal preparation, making meal replacements an attractive option for those seeking quick, nutritious meals.
The expansion of e-commerce and online sales platforms has also contributed to the market’s growth, providing easier access to a wide range of meal replacement products. Additionally, the product innovation in terms of flavors, textures, and nutritional compositions has broadened the appeal of meal replacements beyond traditional health and diet-conscious consumers to include athletes, individuals with specific dietary needs, and even those seeking a convenient meal option.
The market is also driven by the increasing prevalence of chronic diseases like diabetes, where meal replacements can play a role in managing blood sugar levels and providing a balanced diet. Furthermore, the influence of social media and celebrity endorsements has played a role in popularizing meal replacements among the younger demographic.
Despite the growth drivers, the meal replacement market faces certain challenges. One of the primary restraints is the threat of substitutes, with a wide array of low-sugar, sugar-free, and low-fat food products competing for the same consumer base. The market also suffers from severe homogeneous competition due to the low entry barriers and the prevalence of the OEM production model, leading to product homogeneity and making it difficult for brands to differentiate themselves.
Another restraint is the fluctuation in raw material prices, which can significantly impact the cost of production and ultimately the retail price of meal replacement products. The market is also challenged by consumer skepticism regarding the long-term health implications of relying on meal replacements, as well as concerns about the lack of variety and potential monotony in relying on such products for daily nutrition.
3 Technological Innovations and Mergers in the Meal Replacement Market
Technological innovations have been a key differentiator in the meal replacement market. There is a noticeable shift towards “clean label” products, which are formulated with fewer, more recognizable ingredients, aligning with consumer demands for transparency and simplicity in food products. Innovations in flavor technology have allowed for a diverse range of products that cater to various palates, from traditional milkshake flavors to more exotic options like lime ginger and avocado.
The market has also seen significant advancements in nutritional fortification, with meal replacements now incorporating a variety of vitamins, minerals, and functional ingredients like collagen and dietary fibers. These innovations not only enhance the health benefits of meal replacements but also expand their appeal to a wider audience seeking specific nutritional support.
In terms of corporate activities, mergers and acquisitions have played a significant role in shaping the competitive landscape. Major players like Nestlé have made strategic acquisitions to bolster their presence in the meal replacement sector, acquiring stakes in companies like Yfood and Orgain. These moves not only expand the product offerings of these conglomerates but also signal a consolidation of the market, where larger players are looking to secure their positions through strategic acquisitions.
Additionally, there has been a trend of expansion plans by established players to tap into new markets and segments. This is evident in the global expansion strategies of companies like Abbott and Herbalife, which are looking to increase their reach and cater to the growing demand for meal replacements in different regions.
4 Global Meal Replacement Market Size by Type
Powdered Products remained a significant segment, with a global sales value of $4,187 million in 2024. This type, known for its convenience and ease of preparation, accounted for a 25.58% share of the total market. Powdered meal replacements offer a quick solution for consumers seeking a balanced nutritional intake without the hassle of meal preparation.
Ready-To-Drink products saw a substantial increase, garnering a global sales value of $6,551 million. With a market share of 40.03%, these products are popular for their instant consumption and portability, making them ideal for on-the-go individuals and those with active lifestyles.
Edible Bars also held a considerable share, with a global sales value of $3,505 million, capturing 21.42% of the market. These bars are favored for their portability and as a convenient snack option that can replace a full meal, offering a balance of nutrients in a compact form.
Table Global Meal Replacement Market Size and Share by Type in 2024
|
Type |
Market Size (M USD) 2024 |
Market Share 2024 |
|---|---|---|
|
Powdered Products |
4187 |
25.58% |
|
Edible Bars |
3505 |
21.42% |
|
Ready-To-Drink |
6551 |
40.03% |
|
Others |
2122 |
12.97% |
5 Global Meal Replacement Market Size by Application
Retail Stores continued to dominate the market, with an expected market size of $8,872 million, capturing a 54.21% share. This segment includes sales through supermarkets, food stores, and snack stores, reflecting the traditional retail approach to meal replacement product distribution.
Online Sales emerged as a significant segment, with a forecasted market size of $4,948 million, holding a 30.23% share. This growth is attributed to the increasing trend of online shopping and the convenience it offers to consumers, allowing them to purchase meal replacements from the comfort of their homes.
Table Global Meal Replacement Market Size and Share by Application in 2024
|
Application |
Market Size (M USD) 2024 |
Market Share 2024 |
|---|---|---|
|
Retail Stores |
8872 |
54.21% |
|
Online Sales |
4948 |
30.23% |
|
Others |
2545 |
15.55% |
6 Global Meal Replacement Market Size by Region
North America is expected to lead with a market size of $5,255 million, maintaining a 32.11% share of the global market. This region’s growth is driven by a health-conscious population and a strong presence of key players in the meal replacement industry.
Europe follows with an expected market size of $4,401 million, capturing a 26.90% share. The region’s market is influenced by a growing health and wellness trend and the presence of a mature consumer base that is increasingly adopting meal replacements for convenience and health reasons.
Asia Pacific is projected to have a market size of $4,914 million, with a 30.03% share. The region’s growth is attributed to the rising middle class, increasing health awareness, and the growing demand for convenient food options in countries like China and India.
Latin America and Middle East and Africa are expected to have smaller but significant market sizes of $771 million and $1,024 million, respectively, with shares of 4.71% and 6.26%. These regions are witnessing growth due to increasing health consciousness and the entry of global players into these markets.
Figure Global Meal Replacement Market Size (M USD) by Region in 2024
7 Global Meal Replacement Market Analysis by Major Players
7.1 Abbott
Company Introduction and Business Overview:
Abbott is a multinational healthcare company with a rich history dating back to 1888. It has manufacturing bases primarily in the United States and China, and its sales regions span across the globe. Headquartered in the USA, Abbott is known for its diverse range of healthcare products, including nutritional products for both pediatric and adult use.
Abbott discovers, develops, manufactures, and sells a broad spectrum of healthcare products. These include branded generic pharmaceuticals, diagnostic systems, medical devices, and nutritional products. The company is committed to improving health and wellness through its high-quality products and services.
Products:
One of Abbott’s meal replacement products is ENSURE HIGH PROTEIN Shake, a low-fat, high-protein supplement designed for supplemental nutrition and oral use.
Market Performance in 2024:
Abbott achieved sales of 2,097.8 million units, with a price per unit of $1.5, resulting in revenue of $3,075 million. The gross margin for Abbott’s meal replacement segment was $1,002.61 million.
7.2 Premier Protein
Company Introduction and Business Overview:
Premier Protein, established in 1997, is a company focused on nutritional supplements. With manufacturing bases mainly in the United States, Premier Protein’s sales regions include North America, Europe, and the Asia Pacific.
Premier Nutrition Corporation is known for its high-protein shakes, bars, and cookies. The company offers the Premier Protein shake, which has become a popular choice among health-conscious consumers.
Products:
Premier Protein’s meal replacement product lineup includes the COOKIE DOUGH PROTEIN SHAKE, which is rich in protein and low in sugar, making it an ideal choice for health and fitness enthusiasts.
Market Performance in 2024:
In 2024, Premier Protein recorded sales of 770.2 million units, with a unit price of $1.5, leading to revenue of $1,192 million. The gross margin for the year was $364.38 million.
7.3 Glanbia
Company Introduction and Business Overview:
Glanbia, founded in the 1960s, is a dietary supplement company with a strong presence in the manufacturing of cheese, dairy, and non-dairy nutritional ingredients. The company operates globally and is headquartered in Ireland.
Glanbia’s product portfolio is extensive, including protein powders, protein bars, and a range of nutritional ingredients. The company operates through a portfolio of brands such as Optimum Nutrition, BSN, Isopure, and others.
Products:
Glanbia offers SlimFast High Protein Shakes, a meal replacement product that provides 20 grams of protein and 24 vitamins and minerals in every bottle, designed to curb hunger for up to four hours.
Market Performance in 2024:
Glanbia achieved sales of 53.9 million units in 2024, with a unit price of $15.4, resulting in revenue of $831 million. The gross margin for the year was $169.70 million.
