Burger chain Shake Shack is launching some new dairy-free dessert items.
The future, or at least a part of it, is dairy-free, and many fast-food and fast-casual chains are adapting their menus to feature more alternative milks and other vegan items.
A longtime leader in this regard, Starbucks (SBUX) – Get Starbucks Corporation Report recently added its third shaken espresso with an alternative milk. This is alongside dozens of other options that are either explicitly dairy-free or can be made so by swapping almond milk or oat milk for regular milk.
And while chains will often market each new non-dairy item as care for the environment, economics also plays a part. A report from Fior Markets found that between 2020 and 2028, the alternative-milk market will quintuple to $47.95 billion from $9.79 billion, a compounded annual growth rate of 11.7%.
Not to be outdone, Shake Shack (SHAK) – Get Shake Shack, Inc. Class A Report is adding two new dairy-free items to its menu.
What Are Shake Shack’s New Dairy-Free Items?
Shake Shack is making a nondairy chocolate shake and a nondairy chocolate frozen custard available at select New York and Florida locations beginning May 17. The prices will vary from location to location due to food price fluctuation, but the shake is around $6.19 and the custard will be $4.69.
Created in partnership with the Santiago, Chile, plant-based-food company NotCo, the two items are more or less copycats of the New York burger chain’s regular chocolate milkshake and frozen custard. The only difference is, naturally, that they will be suitable for those who do not consume dairy.
“NotCo’s first-of-its-kind technology allows the company to create better plant-based products that don’t require you to compromise on taste, functionality or consumption experience,” the company said in a news release.
The tagline Shake Shack chose is “all of the sweet, none of the dairy.” The items are currently in a trial period and are slated to eventually leave the menu — unless they prove popular enough that Shake Shack determines to make them permanent items.
Why Are Dairy-Free Products So Important?
Dairy-free options are quickly becoming mainstream. A recent study by Morning Consult found that one in three American consumers use a nondairy milk at least once a week.
While almond milk is the most popular, oat, soy and coconut options are not far behind. The market for dairy-free milk is getting larger and, with it, so is the need to offer products beyond just an alternative milk to put in coffee.
This spring, Starbucks rival Peet’s Coffee launched an entire plant-based spring menu with four oat-based lattes, a vegan “egg” breakfast sandwich and a Mediterranean flatbread with vegan smoked provolone cheese and pesto.
“Plant-based foods are not alternatives or substitutes at Peet’s Coffee,” Lori Fulmer, a senior manager at Food R&D for Peet’s Coffee, said in a statement in March. “[Over] the last 12 months, the number of plant-based meat, cheese and dairy products available to consumers in the marketplace has more than doubled.”
Starbucks, meanwhile, has been partnering with Swedish oat-milk maker Oatly (OTLY) – Get Oatly Report since 2021.
While Shake Shack regularly experiments with limited-edition versions (see the “Wake And Shake” and “Chocolate Pie Shake”), the dairy-free desserts would likely be a good fit on its restaurants’ permanent menus.
