Europe Probiotics Market - Industry Outlook & Forecast 2023-2028

INDUSTRY OVERVIEW

The Europe probiotics market size was valued at USD 12.40 billion in 2022 and is expected to reach USD 18.76 billion by 2028, growing at a CAGR of 7.14% during the forecast period. Due to the increasing number of diseases caused by disturbed gut health, and increasing health consciousness among people, are the major factors that fuel the region's market growth. EU-5 is a rapidly growing and emerging market due to the patient population, increased gut health-related issues is pushing people to buy probiotics-based products. Further, Poland, Netherlands, Russia, Sweden, and Denmark are the emerging players in the Europe probiotics market, where the consumption of probiotics-based products is increasing.

Disturbed gut health is one of the major concerns in the healthcare industry. Several factors are present, which have a high impact on the gut health of pediatric and adults, leading to many diseases such as irritable bowel syndrome, diabetes, liver issues, bowel issues, obesity, overweight, and others. Obesity and overweight are the global health concern affecting millions of people worldwide. Many people are facing various issues due to overweight and obesity in European countries.

Probiotics-based products such as food, beverages, and dietary supplements are manufactured using the probiotic strain of bacteria or yeast, which helps improve health issues in adults and pediatrics. It contains lactobacillus, Bifidobacterium, streptococcus thermophiles, saccharomyces boulardii, and other strains. Various probiotic strains are used for various functions in improving health. After the Covid-19 pandemic, awareness among people is increasing about the benefits of probiotics for improving the immune system and overall health. Thus, people prefer probiotics for improving the immune system. Further, obesity and overweight issues are increasing in European countries, which are used by disturbed gut health. Thus, people prefer probiotics to improve gut health, thereby propelling the Europe probiotics market. Also, the consumption of dairy-based products is increasing as many countries' populations are increasing rapidly.

MARKET TRENDS & DRIVERS

Usage of Probiotics as Adjuvants and Advancement in Pharmaceutical Applications of Probiotics
Probiotics are used as an adjuvant in various industries to improve their stability and quality. Probiotics are used in cancer therapy, allergic disease treatment, and vaccines as an adjuvant. Moreover, probiotics can also be used as adjuvants in health supplements that are used to improve the health of infants and adults. Further, they have various applications in the pharmaceutical industry for treating diseases such as cancers, neurodegenerative disorders, and inflammatory diseases. The government & non-government organizations and research institutes are focusing on finding the mechanism in various applications. Such factors are projected to support the growth of the Europe probiotics market.

Rise in Health-Conscious Consumer Group and Awareness of Health Benefits Associated With Probiotics

Due to rising various diseases, health consciousness is increasing in European countries. After the Covid-19 pandemic, people prefer nutritional-based food products for improving the immune system. Disturbed gut health causes many health disorders; thus, the awareness about the health benefits of probiotics is increasing for improving gut health. Many people ask for high nutritional value such as vitamins, proteins, probiotics-based food, beverages, and dietary supplements.

Vendors’ Increasing Focus on Developing Non-Dairy-Based Probiotics
Most of the probiotics are made up of dairy products. But due to increasing consumer vegetarianism in European countries, the vendors in the Europe probiotics market are manufacturing non-dairy-based probiotics. Around 75% of the world’s population has lactose intolerance. The demand for non-dairy probiotics is increasing due to lactose intolerance customers and increasing interest among vegetarians, as per the National Institute of Diabetes and Digestive and Kidney Diseases (NIDDK) of the US. Developing non-dairy probiotics is challenging due to maintaining the quality and health benefits of dairy-based probiotics.

Further, the companies are focusing on developing such non-dairy-based probiotics. Vegetables are used as a suitable medium for delivering probiotics. Low incubation temperature may affect the fermentation process of vegetables, such as Bifidobacterium and L. acidophilus probiotic bacteria. Thus, better to adopt L. casei, L. plantarum, and L. rhamnosus during the fermentation process of vegetables. When the temperature is constant such as at 37^0 C, the probiotic bacteria can grow faster in plant-based substrates. The probiotics supplements are made up of good probiotic strains, which help achieve the health goal by working and reinforcing mutually. For such instance, ALLERGOSAN USA, LLC offers OMNI_BIOTIC AB 10 probiotic supplement, which contains ten beneficial bacterial strains that work together to maintain and restore healthy bacteria diversity and balance in the gut. Such companies are offering vegan probiotic products.

SEGMENTATION INSIGHTS

INSIGHTS BY PRODUCT
The functional food & beverages product segment accounted for a high share of the Europe probiotics market, accounting for over 82% in 2022. Nutrient-rich food such as fruits, veggies, eggs, cereal, legumes, and juices are considered functional foods. It is further segmented as dairy-based and non-dairy-based probiotics. Dairy-based products include milk-based, yogurt, cheese, and other products, such as chocolate mousse, sour cream, ice cream, and frozen fermented dairy desserts. Milk and milk-based products are good carriers of probiotic strains because of their properties; thus, most milk and milk products must be stored at refrigerated temperatures. These dairy-based products are suitable to retain probiotics' properties, which helps support their growth and viability.

INSIGHTS BY INGREDIENTS
The European probiotics market is segmented into bacteria and yeast, and in 2022, the bacteria segment dominated the industry. Probiotics are called helpful or good bacteria because they help to keep or improve gut health. Most of the bacteria are available in the gut. Good bacteria are used to improve the digestion system. Lactobacillus acidophilus and bifidobacteria species are the main strains used in dairy-based probiotics. These strains are regularly added to fermented dairy foods like yogurt because of their proven functional benefits to gastrointestinal health.

INSIGHTS BY AGE GROUP
The Europe probiotics market by age group is segmented into pediatric and adults. Probiotics-based products improve gut health and other health-related issues in pediatrics and adults. Obesity and overweight issues are increasing in pediatrics, where diabetes, cancer, allergy, gastrointestinal issues, and other disorders are increasing in European countries. The use of probiotics-based products is higher in adults, and the awareness among the adult population is expected to drive the industry’s growth.

INSIGHTS BY DISTRIBUTION CHANNEL
The Europe probiotics market by distribution channel is segmented into supermarkets & hypermarkets, departmental stores & discounters, drug stores, and online stores. The supermarkets and hypermarkets segment accounted for a higher industry share. The expansion of supermarkets and hypermarkets is the major reason to increase the demand for probiotics in the European markets. Further, online buyers have increased in the last few years due to the growing e-commerce platform and changing buying patterns.

GEOGRAPHICAL ANALYSIS

In the Europe probiotics market, EU-5 is the leading regional market. As many major players are available in the EU-5 region, such as Germany, France, the U.K., Italy, and Spain, the demand for probiotics is very high. The high population is the major factor in increasing the consumption of probiotics-based products. Also, the number of people with various diseases such as gastrointestinal disorders, diabetes, cancer, allergy, and other disorders is used in the vaccines in EU-5 countries. Further, the demand for probiotics has increased after the Covid-19 pandemic. Health consciousness is one of the major factors in which the consumption of probiotics-based food, beverages, and dietary supplements is increasing in RU-5 countries.

COMPETITIVE LANDSCAPE

Few global players and many regional and local players characterize the Europe probiotics market. There are a few major players present in the probiotics market, such as Nestle (Switzerland), Probi (Sweden), Yakult (Japan), Danone (France), and ADM (US) are offering a wide range of probiotics-based products for the customers. The major players in the Europe probiotics market are following merger and acquisition strategies and focusing on acquiring or partnering with local & regional players. As various diseases are increasing, such as cancer, obesity, overweight, diabetes, and others in Europe, the consumption of probiotics is increasing simultaneously. Such factors boost investment in R&D for probiotics-based products, which has fueled the competition among these players.