Plant-Based Dairy: The Next Phase of Innovation

In the latest 2026 market update from FoodBev Media, industry experts explore how changing consumer expectations, improved functionality and the continued rise of flexitarians are shaping the plant-based dairy category.

Atlante founder and CEO Natasha Linhart contributed to the discussion, sharing her perspective on the opportunities for further innovation in plant-based cheese and how the wider category may develop over the next five years.

While plant-based milk has become an established part of many consumers’ routines, other areas of the category are still developing. Cheese remains one of the most technically challenging segments, as producers work to recreate the taste, texture, melt and performance consumers expect from traditional dairy products.

However, Natasha believes this also leaves significant room for innovation.

“Plant-based cheese is a younger category compared to alt-meat, with substantial room for innovation. The greatest opportunities lie in hard cheese alternatives and spreads, where technology is making significant leaps forward.”

She also highlighted the potential of formats that make plant-based products easier to incorporate into familiar meals and everyday occasions.

“We also see strong potential in ready-to-use products, such as grated and sliced options, which simplify the transition to plant-based for everyday consumption.”

This focus on convenience reflects a wider shift within the plant-based market. Rather than asking consumers to completely change their diets, the strongest products are increasingly designed to fit naturally into existing habits.

For plant-based dairy, this means developing products that work in familiar settings, whether added to a sandwich, grated over a meal, spread onto bread or used as part of a recipe. Products must not only meet dietary requirements, but also deliver a rewarding experience for a much broader audience.

As Natasha explained, improving taste, texture and affordability will be essential to making plant-based products “a rewarding culinary choice for everyone, not just those with specific dietary regimes”.

Looking ahead, she expects the category to become more focused and sophisticated.

“In the next five years, I predict a significant qualitative consolidation of the category. We will see greater segmentation of the offering, with products increasingly targeted at specific gastronomic needs.”

This greater segmentation could see brands move away from broad, one-size-fits-all propositions and towards products developed for specific occasions, formats and consumer expectations.

For Atlante, the opportunity lies in working closely with producers, retailers and partners to identify where innovation can solve genuine consumer needs. As technology continues to advance, the next generation of plant-based dairy products will need to combine strong functionality with taste, convenience and clear relevance to how people actually eat.

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