As Greek yogurt continues its surge in popularity, companies are vying for consumers’ dollars and the top spot in this yogurt revolution. Since first introduced to the American consumer in 2007, Greek yogurt now makes up 35 percent of the yogurt sales. However, not all companies have fared well in the race to win this Greek yogurt “revolution” according to an article in Advertising Age.
And the winner is…
Chobani dominates the Greek market, counting for 47.3 percent of shares. Greek yogurt fans can thank Turkish immigrant Hamdi Ulukaya, the man behind the Chobani, for introducing the product to the American market in 2007. The company has grown by leaps and bounds since its meager start, now employing a workforce of 1,200. A new yogurt factory in Twin Falls, Idaho, is also making progress and will be the world’s largest yogurt factory upon completion. Read more about his story.
In a recent report, BernsteinResearch suggested that Chobani will need to fight to stay at the top; however, the company appears to be ready for the challenge.
Bigger isn’t better
Larger companies that have traditionally dominated the yogurt market have struggled to remain competitive in the Greek yogurt sector. Kraft Foods launched its Greek yogurt Athenos in 2011, but competition drove them out. Kraft exited the Greek yogurt market earlier this year.
General Mills, meanwhile, has suffered from a late start.
"We believe that General Mills has likely missed out on Greek. … From having started late to poor positioning of the product, we consider that General Mills is unlikely to become a major player in Greek yogurt," BernsteinResearch said in a recent report.
Dannon entered into the Greek yogurt market in 2007, but the company has only recently started to aggressively win over consumers with a brand name shift to “Dannon Oikos Greek” and a big-dollar advertisement during the Super Bowl. While they are second in total yogurt sales, Bernstein projects that Dannon may "potentially see its share in Greek rise to 30 percent to 40 percent of the Greek market over the next few years … catching up to Chobani."