Kefir Market Size, Share & Trends Analysis Report By Product Type: (Milk Kefir, Water Kefir, Organic Kefir, Greek Kefir, Frozen Kefir, Low-Fat Kefir), By Source: (Animal Milk, Soy Milk, Coconut Milk, Other Sources), By Flavour: (Regular, Flavored), By Application: (Dairy Products, Drinks & Smoothies, Dips & Dressings, Cosmetics, Dietary Supplements), By Distribution Channel: (Supermarkets/Hypermarkets, Convenience Stores, Online Retail, Speciality Stores, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2025-2033

Kefir Market Size

The global kefir market size was valued at USD 2.49 billion in 2024 and is projected to grow from USD 2.62 billion in 2025 to USD 4.10 billion in 2033, exhibiting a CAGR of 5.93% during the forecast period (2025-2033).

The global market is expanding significantly, propelled by heightened consumer knowledge of gut health and the advantages of probiotic-rich foods.  Kefir, a fermented dairy product, is celebrated for its substantial probiotic content, which enhances digestive health and fortifies the immune system.  The increasing incidence of digestive diseases and a heightened demand for functional foods have elevated kefir as a health-enhancing beverage.  An increase in demand for plant-based and non-dairy kefir alternatives can be seen, targeting lactose-intolerant and vegan consumers.  

Furthermore, flavour characteristics and packaging advancements are augmenting customer attraction, while the proliferation of online retail channels is expanding product availability.  Manufacturers are allocating resources to research and development to launch new versions and enhance shelf life, due to the clean-label movement and consumer preference for natural components. The market is positioned for continuous expansion and is bolstered by health trends, product innovation, and expanding distribution networks.

Currunt Market Trends

Rise of plant-based and non-dairy kefir

The global market is experiencing a significant shift towards plant-based and non-dairy alternatives, driven by increasing lactose intolerance and the growing vegan population. Consumers are seeking dairy-free options that offer similar probiotic benefits, leading to the development of kefir products made from soy, coconut, almond, and oat milk. Lifeway Foods has responded to this trend by introducing innovative, lactose-free kefir products.

• For instance, in October 2024, the company launched ten new flavours in its single-serve organic kefir lineup, including Pink Dragonfruit, Passionfruit Lychee, and Matcha Latte, all designed to cater to diverse consumer preferences. Additionally, in November 2024, Lifeway unveiled its Probiotic Smoothie + Collagen line, a lactose-free beverage to support skin and gut health.

These innovations reflect the broader movement towards plant-based diets and the demand for functional, health-oriented foods. As awareness of the health benefits of probiotics continues to grow and as more individuals adopt plant-based diets, the demand for non-dairy kefir is expected to increase, offering significant growth opportunities for market players.

Kefir Market Growth Factor

Growing awareness of probiotic health benefits

The increasing awareness of the health benefits associated with probiotics is a major driver of the kefir market. Probiotics support digestive health, enhance immune function, and positively affect mental health. Kefir, rich in probiotics, is gaining popularity among health-conscious consumers seeking natural ways to improve their well-being. Manufacturers are capitalising on this trend by highlighting the probiotic content of their kefir products and educating consumers about their health benefits. Marketing campaigns often focus on the role of probiotics in supporting digestive health and boosting immunity, resonating with consumers seeking preventive health solutions.

• For example, in March 2024, Lifeway Foods showcased its innovative probiotic salad dressings and new conventional whole milk kefir flavours at the Natural Products Expo West, emphasising the role of probiotics in supporting digestive health and boosting immunity.

As the global population becomes more health-conscious and scientific research continues to uncover the benefits of probiotics, the demand for kefir is expected to rise. This presents significant opportunities for manufacturers to expand their product offerings and reach new markets.

Market Restraint

Competition from alternative probiotic products

Despite its health benefits, kefir faces stiff competition from other probiotic products such as yoghurt, kombucha, and probiotic supplements. These alternatives are often more familiar to consumers and may have established brand loyalty, making it challenging for kefir to gain market share. Yoghurt, in particular, is a widely consumed probiotic food with a broad range of flavours and formats, appealing to a wide demographic. Kombucha, a fermented tea beverage, has also gained popularity for its probiotic content and unique taste. Additionally, probiotic supplements offer a convenient option for consumers seeking to improve their gut health without altering their diet.

To overcome this competition, kefir manufacturers must differentiate their products by emphasising unique selling points such as higher probiotic diversity, lower sugar content, and additional health benefits. Education campaigns highlighting the distinct advantages of kefir over other probiotic products can also help attract and retain consumers. Furthermore, expanding the availability of kefir in various retail channels and offering a variety of flavours and formats can enhance its appeal. By addressing these challenges, kefir can strengthen its position in the competitive probiotic market.

Key Market Opportunity

Expansion into emerging markets

Emerging markets present significant growth opportunities for the kefir industry. As awareness of health and wellness increases in regions such as Asia-Pacific, Latin America, and the Middle East, consumers are seeking functional foods to support their well-being. Countries like China and India are experiencing a surge in health-conscious consumers, creating a favourable environment for kefir market expansion. Tailoring products to suit regional tastes and cultural norms can enhance acceptance and adoption.

• For example, in September 2024, Lifeway Foods announced its expansion into the South African market, marking the brand's first distribution of kefir products in the region. The company introduced its kefir and ProBugs products to a mix of independent and health food stores and established chains like Pick n Pay and Shoprite.

Additionally, partnerships with local distributors and retailers can facilitate market entry and expansion. By strategically entering and establishing a presence in emerging markets, kefir manufacturers can tap into new customer segments and drive significant growth in the coming years.

Regional Insights

Europe maintained its dominance in the global kefir market in 2024, with a market share exceeding 45.7%. The region's cultural affinity for fermented dairy products—particularly in Eastern European countries like Russia, Ukraine, Poland, and Bulgaria—supports consistently high consumption levels. Germany, the UK, and France are witnessing growing interest in kefir due to increasing probiotic awareness. Government health initiatives and the inclusion of kefir in dietary guidelines are promoting its regular intake. Strong retail infrastructure ensures widespread availability, while organic and artisan kefir brands are gaining popularity. Additionally, traditional recipes and local dairy cooperatives contribute to a steady regional supply and innovation.

• The UK kefir market is expanding at a CAGR of 4.8%, propelled by rising awareness of gut health, the demand for low-sugar beverages, and adopting plant-based diets. Homegrown brands like Biotiful Dairy have spearheaded category growth by offering a wide range of flavoured kefir drinks and yoghurts, including dairy-free options. Major supermarket chains—Sainsbury’s, Tesco, and Waitrose—have increased shelf space for kefir in both chilled and health food sections.
• Germany’s market benefits from its robust dairy processing infrastructure and longstanding cultural acceptance of fermented dairy products. Consumers increasingly prefer natural, probiotic-rich options for preventive health. Regional co-operatives and dairy farms are investing in small-batch, artisanal kefir to tap into premium health-conscious demographics. The trend toward clean eating and sustainability in Germany also complements kefir’s natural profile, helping it gain traction in organic and health food stores nationwide.

Asia-Pacific Market Trends

Asia-Pacific is the fastest-growing region in the market, with a projected CAGR of 7.02% from 2024 to 2030. Rising disposable incomes, rapid urbanisation, and shifting dietary habits foster greater demand for probiotic-rich and functional beverages. China and Japan are leading markets, followed by emerging potential in India, South Korea, and Southeast Asia. Consumers in these countries increasingly adopt kefir due to health trends, digestive wellness education, and lactose intolerance. Retailers and e-commerce platforms are expanding their offerings to include imported and local kefir brands. International companies enter partnerships or establish production facilities to cater to regional preferences.

• China is among the fastest-growing kefir markets, with a CAGR of 5.5% projected through 2030. Rapid urbanisation, a rising middle class, and increasing demand for gut-health-focused functional foods drive growth. Global players like Danone and local startups introduced kefir-based beverages tailored to Chinese tastes, including red date and goji berry. Joint ventures and collaborations with domestic dairy producers, such as Yili and Mengniu, enhance local production capabilities. E-commerce platforms like JD.com and Tmall are expanding product accessibility, while health-focused KOLs are educating consumers about kefir's benefits.
• India’s market is still nascent but growing steadily, with a projected CAGR of 3.6% through 2030. Rising awareness about probiotics, especially in metro cities, and a growing interest in natural health solutions are creating demand. Startups like Kefir Culture and Yakult India began offering locally produced kefir variants in dairy and plant-based formats. These brands are leveraging digital platforms and health food stores for outreach. India's large lactose-intolerant population makes non-dairy kefir especially promising, and improved cold-chain logistics and retail expansion are further enabling growth in Tier 1 and Tier 2 cities.

North America Market Trends

North America remains a significant and steadily growing market for kefir, supported by a health-conscious population and an established dairy industry. The U.S. accounts for most regional consumption, driven by increased interest in probiotics, clean-label foods, and plant-based alternatives. Canada also shows strong growth, particularly in organic and functional food segments. Leading brands such as Lifeway Foods continue to innovate with flavoured, lactose-free, and non-dairy kefir products. Retailers and online platforms offer wide accessibility, and health influencers have played a role in mainstreaming kefir among younger demographics. Product innovation and consumer education are central to sustaining regional momentum.

• The S.remains the largest and most mature market for kefir globally, supported by a well-established health and wellness culture and increasing interest in gut health. The presence of leading manufacturers like Lifeway Foods, which controls a substantial market share, has helped promote kefir as a mainstream functional beverage. In 2024, Lifeway expanded its plant-based kefir product line and partnered with retail chains like Whole Foods and Kroger to increase shelf presence. Digital marketing and influencer endorsements further boost awareness and trial among millennials and Gen Z consumers.
• Canada’s market for kefir is experiencing stable growth, driven by increasing consumer focus on digestive health, clean-label ingredients, and non-dairy alternatives. The strategic acquisition of Agropur’s yoghurt portfolio, including kefir, by Lactalis Canada in 2021 has allowed for wider distribution and brand consolidation. Local brands like Riviera and Happy Gut Pro launched new kefir-based wellness drinks targeting functional benefits beyond digestion, such as stress reduction and immunity. Government support for domestic dairy and clean eating initiatives also aligns with kefir’s positioning, aiding market penetration in urban and rural regions.

Type Insights

Milk kefir holds the largest market share due to its established consumer base, rich nutritional profile, and broad availability. Its probiotic content aids digestion, supports immune health, and is often recommended by health professionals as a daily supplement. The growing awareness of gut health and the increasing popularity of natural functional foods have significantly boosted its demand globally. As consumers seek alternatives to sugary beverages and processed foods, milk kefir is gaining preference as a healthier substitute. The segment is projected to grow at a CAGR of 5.51% from 2024 to 2030, especially in urban markets where wellness trends dominate.

Source Insights

Animal milk-based kefir accounts for 66.5% of the market, valued at approximately $1.57 billion in 2024. Its dominance is attributed to its traditional roots, rich calcium and protein content, and established consumption patterns in regions like Europe and North America. Cow and goat milk kefir are the most prevalent, offering natural nutrition and bioavailable probiotics. While plant-based kefir is gaining popularity, animal-derived kefir remains preferred for its thicker texture and familiar taste. Many producers focus on sourcing organic and grass-fed dairy to appeal to premium consumers, helping maintain this segment’s lead despite the growth of non-dairy alternatives.

Category Insights

Flavoured kefir leads the category segment, attracting health-conscious consumers who prefer enjoyable taste experiences without compromising nutrition. The availability of diverse flavours, such as strawberry, blueberry, mango, vanilla, and matcha, enhances consumer engagement and repeat purchases. Innovation in flavour combinations is also helping brands stand out in a competitive marketplace. Flavoured kefir appeals to children, teens, and new probiotic consumers, expanding the category's reach. Brands also reduce added sugar and incorporate natural ingredients to meet clean-label demands. This segment benefits from marketing campaigns emphasising flavour variety alongside health benefits, positioning flavoured kefir as a tasty and functional product.

Application Insights

Kefir is predominantly used in two application areas: dairy products and drinks & smoothies. In dairy, kefir is incorporated into yoghurts, frozen desserts, cheese spreads, and butter alternatives, often enhancing these products’ probiotic value. In the beverage segment, kefir smoothies and drinkable kefir have surged in popularity due to convenience and portability. These drinks appeal to on-the-go consumers seeking healthy meal replacements or digestive aids. Functional beverage trends and demand for fermented drinks are major drivers in this segment. As consumer education around probiotics improves, manufacturers are exploring additional applications, such as kefir-based cooking sauces and meal kits.

Distribution Channel Insights

Supermarkets and hypermarkets are the leading distribution channels, offering broad visibility and easy access to various kefir products. These stores benefit from high foot traffic and shelf space, helping brands gain exposure. Strategic product placement in dairy aisles, health sections, in-store sampling, and promotional offers enhances product trial and adoption. In 2024, over 55% of kefir sales occurred through large-format retail stores. Private-label kefir options from major supermarket chains are also growing, increasing affordability. Meanwhile, retailers are dedicating more shelf space to plant-based and flavoured variants to meet evolving consumer demand across demographics.

Company Market Share

The global kefir market is moderately fragmented, with key players focusing on product innovation, strategic partnerships, and expansion to strengthen their market positions. 

Lifeway Foods, Inc.: Lifeway Foods is a leading player in the U.S. market, known for its wide range of kefir products, including organic and flavoured varieties. The company's focus on innovation and quality has helped establish a robust market presence. 

• In July 2021, Lifeway Foods expanded into the French market by securing a listing at Costco France.This move represents the company's efforts to broaden its international footprint and cater to the growing demand for European probiotic products.

Recent Developments

• February 2025- Danone expanded its product range under the Actimel brand, introducing immunity-boosting kefir shots in European markets, including Germany and France. These new offerings are fortified with specific probiotic strains to enhance gut health and support the immune system, reflecting the company's focus on functional health products.
• March 2024- Lifeway Foods announced the launch of its new "Plantiful" line, a plant-based kefir product made from organic oats. This initiative aims to cater to the growing demand for vegan and lactose-free alternatives in the functional beverage sector. The "Plantiful" line emphasises probiotic content and sustainable packaging, aligning with consumer trends towards health and environmental consciousness.