The year of drinkable yogurt: Cultured dairy product sales are up; plus, formulation tips to become a player in the drinkable yogurt category, which is poised for unprecedented growth

Dairy Foods, April, 2002 by Donna Berry

Make These Bacteria Go to Work for You." With headlines such as this appearing in newspapers and consumer magazines around the country, it's no wonder that sales of cultured dairy products, particularly yogurt, are thriving.

This article with the above headline had the potential to impress a significant number of consumers. It was written by a reputable author-- Jane Brody--in a distinguished newspaper--the New York Times. The problem is it appeared on Dec. 25, which is one of the slowest newspaper reading days of the year. It also contained a few inaccuracies, such as the statement that yogurt contains inulin. (Yes, some yogurt contains inulin, but that's because a processor chooses to add this prebiotic to the product. It's not inherently present, which is what the article suggests.)

Nevertheless, the cultured dairy products industry is thankful whenever it gets some free positive press. After all, today's consumers are very aware of the need for a healthy diet. Educating consumers to the healthful attributes of cultured dairy products is a win-win for the consumer and the manufacturer.

Marketing cultures to consumers

The $4.2 million retail cultured product market encompasses cottage cheese, fermented beverages (i.e., drinkable yogurt and kefir), refrigerated dips, sour cream and yogurt. Yogurt has more than 50% share of the category, and positive consumer public relations campaigns promise to further grow the business.

For example, the National Yogurt Association (NYA) recently launched a website (www.aboutyogurt.com), which is positioned as the consumer center for information about yogurt. The site offers helpful facts on yogurt's health attributes, quick-and-easy recipes and nutrition tips for the whole family. It also provides information about live and active cultures.

"Although many Americans may not be thinking about their health when they reach in the fridge for a yogurt, in actuality, few foods meet our nutrition needs at every stage of life better than live and active culture yogurt," says Leslie Sarasin, NYA president. "Aboutyougurt.com is designed to help consumers, and health professionals as well, understand the role yogurt can play in their overall nutrition strategy and how yogurt's live and active cultures may benefit both the intestinal tract and the immune system."

The site functions as a resource for curious consumers, dairy processors and health professionals and features an overview of kids' nutrition as well as a health experts' corner with information presented for different life-stages, including tips on meeting one's daily calcium quota; information on yogurt as a protein alternative for kids and adults; and promising research on the attributes of live and active cultures. For more information on how dairy processors can use this site to educate their own consumer base, contact NYA at 703/821-0770.

The Dannon Co., Tarrytown, N.Y., recently published some interesting research confirming the value of educating health professionals on the positive attributes of yogurt. So often, yogurt marketers forget that getting their message to health professionals is as important, if not more important, than educating consumers.

For the study, Dannon surveyed 565 primary care physicians across the country and found that doctors who take the time to discuss nutrition with their patients typically recommend the consumption of yogurt with live and active cultures. The information they relay, though basic, can significantly impact consumer usage.

"Doctors who share this nutrition information with their patients are putting to work years of research," said Dr. Allan Walker of Harvard Medical School, Boston. "Several studies suggest that the consumption of adequate amounts of the appropriate strains of live active cultures, like those found in yogurt, may help some better tolerate dairy products. Research is also investigating the role of specific live active cultures to help maintain overall gastrointestinal health."

In addition, yogurt is a recommended food in the DASH (Dietary Approaches to Stop Hypertension) diet. The DASH clinical trials have found that a diet rich in fruits, vegetables and low-fat dairy foods, coupled with reduced saturated and total fat intake, can substantially lower blood pressure.

The Wisconsin Milk Marketing Board (WMMB) has produced a booklet entitled "Cottage Cheese. Ohhh...the Possibilities." The booklet is a result of a market research study on consumer preferences by WMMB and offers pages of serving suggestions and recipes, all suited to the healthful, active lifestyles of today's consumers. Additionally, four colorful posters are available to help merchandise cottage cheese at the dairy case.

Processors and retailers of Wisconsin-made cottage cheese can use these tools to market cottage cheese. To obtain a copy of the booklet, contact WWMB at 800/373-9662.

Retail cultured product sales

According to Information Resources Inc., (see table and pie charts) in 2001, retail dollar sales of yogurt were $2.2 million, growing 6.6% from 2000. As mentioned, yogurt accounts for more than half of all refrigerated dairy cultured product dollar sales. Low-fat yogurt is the leading yogurt variety, with 56% share. However, full-fat yogurt, with only 9.0% share, grew the most from 2000 to 2001-an impressive 18.3%.