In a relatively new category, hybrid dairy, which combines both plant-based and animal-based ingredients into a single food, has yet to fully take off. Dairy processors started experimenting with hybrid dairy after seeing meat producers come out with blended meats.

The goal of hybrid dairy is to create products that have the taste and texture of dairy while also being more sustainable and nutritious. Market research firm Mintel notes that while conventional dairy and plant-based ingredients blended together hold “considerable appeal” as a category, innovation is rare.

Bastian Hörmann, global marketing director for Sweet Goods, Dairy & Specialized Nutrition at Chicago-based ADM, notes that ingredient and protein diversity is incredibly appealing to today’s consumers, especially when considering the potential positive impact this variation may have on the food ecosystem.

“Consumers value new food experiences. For the dairy arena, there is a specific emphasis on indulgent sensory experiences, along with nutritional content, dietary diversity, sustainability and cost,” Hörmann explains. “Through blends, formulators can take the best attributes from each protein source — including dairy proteins, as well as a variety of plant-based and wholesome ingredients — and deliver the rich creaminess consumers expect while elevating nutritional value.”

According to ADM Outside Voice, the company’s research highlights that, globally, many consumers believe it is healthier to get protein from a wide variety of sources.

“As such, we see ongoing growth potential for the hybrid or blended dairy market,” Hörmann tells Dairy Foods. “Formulators can take advantage of the benefits that can be achieved with multiple sources of protein, including protein performance and functionality for ideal sensory attributes, as well as added protein content and cost optimization throughout product development.”

An antioxidant powerhouse 

Among the hybrid dairy beverages on the market, Shamrock Farms’ Swirled combines creamy dairy and natural plant-based ingredients in a chocolate milk that offers the best of both worlds, the Phoenix, Ariz.-based company says.

Available in two flavors, Chocolate Coconut and Chocolate Almond Coconut, Swirled is a blend of cocoa, coconut cream and real almonds made with milk from Shamrock Farms’ family of local farms. With less sugar than the leading chocolate milk, the indulgent hybrid milk contains nine essential nutrients and is free of artificial colors, ingredients, sweeteners and growth hormones such as rBST.

Launched in 2021, THIS PKNS, a refrigerated dairy-free pecanmilk, is the first clean-label pecanmilk on the market, the company says.  Pecan trees and pecans, the only commercial nuts native to America, are an anchor for drought-resistance as these trees can last for more than 100 years, according to the Austin, Texas-based company.

Available in Original and Chocolate in 32-ounce cartons, the low-sugar, Non-GMO Project Verified THIS PKN is lactose-, gluten- and dairy-free with a buttery, rich taste from antioxidant-powered pecans grown with minimal natural resources in North America, making it one of the most sustainable milk alternatives, the company says.

THIS PKN also is a source of Omega-3s, micronutrients and antioxidants and contains 130 calories and 10g of carbohydrates per serving in the Original flavor, while Chocolate has the same number of calories and 12g of carbohydrats.

In November, PKN JOY Barista, made in partnership with coffeehouse baristas, was unveiled. The new product features a plant-based milk that consumers can use to froth a smooth micro-foam for lattes and cappuccinos or to add indulgence to one’s coffee.  

Founded in 2021 by CEO Laura Shenkar, PKN is a female-founded and -owned company that specializes in pecan milk, non-dairy milk and sustainable foods. Its products are 100% traceable back to the field with the upcycled pecans providing a new revenue stream to help farmers make a living.

“Pecans have a higher rate of antioxidants than any other tree nut plus vitamins A, B and E, magnesium, potassium, phosphorus and zinc,” Shenkar said. “I’m so proud that we crafted non-dairy nut milks designed to bring consumers more flavor, more nutrition and that our ready-to-drink beverages are fostering important strides toward a greener planet.”

The big picture

In an executive summary titled “Dairy Products and Alternatives in the US,” Chicago-based Euromonitor International suggests there is a lot happening behind the scenes and in the pre-market space of dairy products and alternatives.

“First, a lot of activity and excitement is being seen around novel technologies, as well as the revival of classic cheese fermentation technologies. Both of these are expected to become more prominent in the coming years in cheese, and introduce new textures, perhaps impacting price bands and leaning into gut health as it becomes a prominent health and wellness claim in the industry.”

ADM’s Hörmann says that for the blended dairy sector to continue to advance, “brands will need to deliver on indulgent taste profiles with improved taste and texture, along with tapping into true-to-fruit solutions and ingredients derived from natural sources to meet clean-label targets.

“Functionality must also not be overlooked, with a focus on fiber fortification and protein diversity, as well as digestive health support through the inclusion of biotics,” he continues.

In October, ingredient solutions provider Ingredion expanded its plant protein line with the release of a new pea protein isolate — VITESSENCE Pea 200 D — that the Westchester, Ill.-based company says is a “game-changing” pea protein that delivers superior solubility, quick dispersibility and is designed to set a new standard for taste, lump-free texture and nutrition.

The goal of the North American-made and produced ingredient is to “shake up drinking experiences” by helping dairy and beverage manufacturers overcome barriers in the nutritional beverage market.

Developed to solve challenges often experienced in nutritional beverages, VITESSENCE Pea 200 D brings improved dispersibility to applications where higher solubility is essential to building a smooth and creamy mouthfeel. The pea protein also has a neutral flavor profile, contains 80% protein on a dry basis, offers versatility and minimizes the need for maskers, the company says.

“We are thrilled to unveil a significant advancement in the plant protein industry. This product will help manufacturers appeal to Ready-to-Mix (RTM) beverage consumers seeking plant-protein fortification with superior flavor and texture,” said Jeff Billig, Ingredion’s vice president and general manager of protein fortification. “This innovation underscores our commitment to the industry and sets a new benchmark for quality and nutrition.”

ADM’s Hörmann concurs that blended yogurt drinks with added protein sources, such as soy, pea and oat, as well as active nutrition protein shakes that combine the benefits of whey and plant protein are sparking the dairy industry.

Building upon decades of protein innovation expertise, ADM brings together different protein sources to deliver the synergistic advantage of hybrids or blends.

“We’re dedicated to accelerating blended protein innovation and expanding and strengthening our ingredients pantry and capabilities. Specifically, through our state-of-the-art protein solutions center in Decatur, Ill., we’re moving the needle in blended protein possibilities with high-quality plant-based ingredients and systems,” Hörmann says.

He points out that not only has the ingredient company diversified its solutions library, but each of its protein sources have been diversified to support a range of applications with a variety of functionalities, concentrations, textures and more.

“With an exceptionally dynamic portfolio, we’re assisting dairy manufacturers innovating in this sector with highly functional solutions for new hybrid or blended products that will encourage repeat trial from consumers,” he says. “For example, in blended dairy drinks, yogurts and frozen treats, we can combine whey isolates or milk concentrates with our plant-based ingredients, including our highly functional, clean-tasting and neutral-in-color soy, pea and wheat proteins.”

A new twist on classic flavors

Consumer research from FMCG Gurus’ Reinvigoration of Dairy in 2024 finds that the top three dairy categories most appealing to shoppers looking for more plant-based options are milk, yogurt and ice cream.

“When considering product purchases, consumers are influenced by taste, price and ‘natural’ formulations,” the research stated. “However, there are factors driving consumers to not try plant-based options, including ‘real dairy preference,’ ‘alternative dairy lacks in taste’ and ‘alternative dairy lacks in appealing texture.’”

While blending different protein sources together is not a new phenomenon, blended or hybrid dairy products can help address these concerns and overcome associated formulation challenges, Hörmann says.

In addition to the aforementioned Shamrock Farms’ hybrid milk, several dairies are formulating with milks that combine dairy milk with soy isolates, pea isolates and other plant-based ingredients.  

In 2019, Minneapolis-based Live Real Farms, a brand of Dairy Farmers of America (DFA), Kansas City, Kan., introduced Dairy Plus Milk Blends — a line of blended beverage options that combine lactose-free dairy with almonds or oats. The line comes in response to consumers’ demand for more variety in their milk choices. In fact, 42% of consumers purchase both dairy milk and plant-based alternatives, Live Real Farms said.

These lactose-free hybrid milks are a 50/50 blend of cow's milk and plant-based milk, such as almond or oat milk. Nutrition-wise, they contain less sugar and calories than regular dairy, while still providing the protein of dairy milk. In fact, DFA Dairy+ Milk Blends have five times the protein of most plant-based alternatives, DFA stated.

Over the next several years, Hörmann expects there to be ongoing refinement of blended options, introducing consumers to new ways of consuming protein and dairy products without drastically changing their diets or lifestyles.

“The advancement of the hybrid dairy sector will facilitate the development of delicious, nutritious and economical products, while helping address environmental concerns,” Hörmann concludes. “Further on the horizon with ingredient research, investment in new processing technologies and as acceptance of blends and different alternative products increases, we’ll see more use of novel sources and technologies like fungi-based protein, precision fermentation or cell cultivation.”