Lactose-free milk is on the rise in San Diego
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Lactose-free milk is the rising star of the dairy aisle in San Diego, and it's now more popular than plant-based alternatives.
Why it matters: Health-conscious consumers — many of them lactose intolerant — are redefining what "healthy milk" means and moving away from almond and oat drinks.
By the numbers: Local sales of lactose-free and lactose-reduced dairy milk (think: brands Fairlife and Lactaid) have been growing in recent years, topping $31 million in 2024, per NielsenIQ data shared with Axios.
- That's a 14% increase from 2023, and a 45% increase from 2021.
- Nationally, sales also grew about 14% in the past year, and have driven dairy's overall comeback.
- Meanwhile, plant-based milk sales have dropped 5% nationally year over year — "very counter to what we've seen for many years," says Chris Costagli, NIQ VP of food insights and a dairy industry veteran.
Catch up quick: Soy milk led the alt-milk charge in the '90s, followed by almond (still the category leader despite a recent dip) and oat.
What's happening: Consumers are returning to cow's milk because they're getting wise to the fact that there are additives like texturizers in many plant-based alternatives, Costagli says.
- Plus, lactose-free dairy milk offers inherent protein and calcium, which is why dietitian Tamara Duker Freuman says she's switched lactose-intolerant patients to it.
- And taste is a factor. Unlike plant-based milks, dairy milk tends to froth better, taste creamier and not curdle in hot beverages.
Between the lines: Lactose-free dairy milk is typically cow's milk with an added enzyme that breaks down the lactose.
Yes, but: There's still room for plant-based milk in a healthy diet — especially if you opt for varieties without carrageenan or added gums, Freuman says.
The bottom line: Whether you're pouring oat, almond or ultra-filtered cow's milk, today's consumers are getting smarter about what's actually in the carton.
What we're watching: Whether tariffs on dairy products will affect Americans' milk-buying habits.