The Changing Business Model Of Greek Yogurt
For a product category that wasn't even around a year and a half ago, Greek-style yogurt has run away with the dairy case in most grocery stores. It seems like everyone has jumped on the Greek yogurt bandwagon. Now, it appears that the craze has moved to yogurt bars.
The country's top Greek yogurt maker, Chobani, is opening up its first "yogurt bar" in New York City on Wednesday as it looks to strengthen its position in a rapidly growing market. Dannon, a long-time industry giant, also opened up a shop in New York City earlier this month called The Yogurt Culture Company that serves both fresh Greek and traditional varieties.
It should come as no surprise.
The companies that make Greek yogurt - just like any business model - need to expand their base to increase their market share. The slide into the growing yogurt bar business helps them do just that.
Sales of Greek yogurt have more than doubled over the past five years to $1.6 billion, now accounting for about 21 percent of yogurt sales, according to Euromonitor International. That's up from 1.5 percent in 2006.
Fans of Greek yogurt tout it's thicker texture, higher protein levels, and lower fat content.