Caramelized Onion Dip is the kind of appetizer that draws a crowd before the main event even hits the table. Slow-cooked, jammy sweet onions folded into a creamy, savory blend of sour cream, mayo, and cream cheese, this bowl doesn't just disappear… it gets guarded.
Ready In: 3 hours 15 minutes (mostly chilling) | Serves: 8 | Difficulty: Easy | Make-Ahead Friendly: Yes, even better the next day!
This rich, savory dip starts with slow-caramelized sweet Vidalia onions, cooked until golden, jammy, and packed with natural sweetness. After chilling, the flavors deepen into a party-ready appetizer that tastes like the Southern cousin of French onion dip, but with real onions, not a packet of dry onion soup mix in sight.
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Why you'll love this recipe
- Like my Cranberry Brie Bites and Bourbon Pecan Brie Bites, it's a holiday appetizer show-stopper that looks fancy but is surprisingly easy.
- Vidalia onions add natural sweetness without extra sugar (plus, they're grown just about 200 miles away in Vidalia, Georgia; we grab them by the bagful when they're in season!).
- Like my Blue Cheese Spread with Pecans and Chicken Ranch Dip, the make-ahead chill time means you can prep it hours before guests arrive.
- It pairs beautifully with everything from ruffled potato chips to toasted baguettes.
- It's truly homemade, with slow-cooked onions instead of a powdered soup packet.
Main ingredient notes and easy substitutions
Let's talk ingredients: what you need, what you can swap, and how to make it work with what's in your pantry. These are the main ingredients; the full list is waiting down in the recipe card.
- Vidalia onions (or any sweet onion): When they're in season, choose Vidalia. Their higher natural sugar content caramelizes beautifully, creating jam-like onions with zero added sugar.
- Butter + olive oil: Butter adds flavor; olive oil keeps it from scorching as the onions slowly cook.
- Cream cheese + sour cream + mayo: Together, these create a creamy, balanced base, tangy, rich, and perfect for those caramelized onions.
→ Want it lighter? Use Greek yogurt in place of sour cream. - Worcestershire sauce: Adds savory depth, don't skip it!
- Fresh chives: Stir some into the dip and save a little for garnish.
Southern Hostess Tip: If your onions start sticking, add a splash of water, white wine, or broth and scrape up those browned bits; that's pure flavor.
Recipe variations and twists
- Smoky Bacon Version: Fold in half a cup of crisp, crumbled bacon before chilling.
- Baked Gruyère Version: Spread dip in a buttered baking dish, top with shredded Gruyère, and broil until bubbly.
- Lighter Greek Yogurt Version: Replace sour cream with Greek yogurt and use light cream cheese.
- Spicy Kick: Add a dash of hot sauce or a pinch of smoked paprika or cayenne.
- Vegan Version: Use vegan cream cheese + vegan mayo + caramelized onions cooked in olive oil only.
How to make caramelized onion dip (step-by-step)
This is a summary of the steps; the complete directions are in the recipe card below.
- Cook the onions low and slow. Slice thin, then cook in butter + olive oil for 40-45 minutes until deep brown and jammy.
- Season the onions. Add salt, pepper, and Worcestershire, then cool completely.
- Make the creamy base. Blend cream cheese, sour cream, and mayo until smooth.
- Bring it all together. Fold in onions, garlic powder, and chives. Save some onions to garnish.
- Chill to let flavors develop – Refrigerate for at least 1 hour (up to 24 hours), then serve and enjoy with chips or crostini – Before serving, garnish with the reserved onions and chives.
Serving ideas (beyond potato chips!)
Sure, wavy/ruffled chips are classic, but Southern holiday hosts like a little flare. Try:
- Sweet potato chips
- Mini toasted baguette slices
- Sturdy crackers
- Fresh crudités like celery or bell pepper strips
- For a Southern-style appetizer table or buffet, serve this dip alongside a chafing dish with Crab Mornay Dip, or Shrimp Scampi Dip, Cranberry Pecan Mini Goat Cheese Balls, and Southern Cheese Crackers. This is the kind of appetizer spread that stops conversations, because everyone's too busy eating.
Leftover Serving Ideas
If you're lucky enough to have leftovers, repurpose this dip the next day; its rich, caramelized flavor adds depth to:
- baked potatoes, mashed potatoes, or roasted vegetables
- savory quiches or frittatas
- sandwiches or paninis
- pasta (a spoonful melted into warm noodles is divine)
- Or, my favorite, slather the dip over chicken breasts, top with breadcrumbs or fried onions and Parmesan cheese, then bake until done.
It's not just a dip - it's a shortcut to your next meal.
Recipe FAQs
Yes! In fact, it tastes better after it chills for a few hours. Assemble up to 24 hours in advance and refrigerate.
Low, slow heat allows the natural sugars in sweet onions (especially Vidalias) to caramelize without burning. This is what gives the dip its rich, jammy flavor.
You can use all sour cream and mayo, but the dip will be looser and less velvety. Cream cheese gives it structure.
Stir in a tablespoon of milk until you reach the desired consistency.
Store in an airtight container in the refrigerator for up to 4 days.
Tips for perfect results every time
- Don't rush the onions. Low heat = caramelization, not burnt bits.
- Cool onions before mixing. Warm onions will melt the cream base.
- Room-temperature cream cheese prevents lumps.
- Deglaze if sticking. A splash of water, broth, or even white wine works.
- Make extra onions and freeze them! They freeze beautifully for up to 3 months. (Use them in soups, burgers, quiches, casseroles, everything!)
More Holiday Dip Recipes You’ll Love
If you need more ideas or inspiration, here is a link to all of my holiday appetizer recipes.
Join the conversation
Hosting a party soon? Let me know if this dip makes it to your table! I love hearing what everyone pairs it with, especially if you go Southern creative with it. Please give it a star rating, leave me a comment below, and share your serving ideas!
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Caramelized Onion Dip
Ingredients
- 2 tablespoons butter
- 1 tablespoon olive oil
- 3 large sweet onions thinly sliced, Vidalia if possible
- 1 teaspoon kosher salt
- ½ teaspoon black pepper
- 1 tablespoon Worcestershire sauce
- 8 ounces cream cheese room temperature
- ¾ cup sour cream
- ¾ cup mayonnaise
- 1 teaspoon garlic powder
- 3 tablespoons fresh chives chopped, divided
Instructions
- Melt the butter and olive oil in a large skillet over medium-low heat. Add the onions. Cook them for 40 to 45 minutes. Stir occasionally until they’re deep brown and very soft.
- Season the onions with salt and pepper. Continue cooking for a few more minutes. Stir in the Worcestershire sauce and remove from the heat.
- Reserve about two tablespoons of the caramelized onions for garnish. Let the remaining onions cool.
- Combine the cream cheese, sour cream, and mayo in a large bowl. Mix until smooth.
- Stir the garlic powder and two tablespoons of chives into the cream cheese mixture. Fold in the caramelized onions.
- Transfer to a serving bowl, cover it, and chill in the fridge for at least an hour.
- Garnish with the reserved caramelized onions and the remaining one tablespoon of chives before serving. Waffle potato chips are a classic pairing, but toasted baguette slices, or any sturdy crackers, are also delicious.
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