Checkoff, General Mills Partnership Emphasizing Yogurt Innovation, Sales

Yogurt is a powerful entry point to attract younger consumers to the dairy category.

It also can be a re-entry point for people who may have stopped eating yogurt but who are willing to give it a second chance thanks to new innovations.

In either scenario, the dairy checkoff sees the opportunity to grow sales. Consider that each percent increase in yogurt category sales has the potential to move approximately 43 million milk equivalent pounds.

This is why we are partnering with one of the world’s top yogurt companies, General Mills, a longtime leader in the consumer product goods space. The company generates more than $18 billion in global sales with 30-plus brands that are household names.

In my book, General Mills very much is a “dairy company.” In fact, yogurt sales – led by its star brands Yoplait® and Yoplait ®Go-Gurt® and newer brands Oui TM by Yoplait® and :ratioTM – are second only to its cereal business, but there may come a day when the order flips.

General Mills is serious about yogurt innovation, which makes it an ideal partner for the checkoff to continue our strategy of working with and through powerful companies to grow trust and sales for dairy. General Mills is focused on accelerating innovation through technical excellence, health and wellness benefits and taste. Its Dairy Operating Unit’s mission is to deliver dairy’s many benefits to consumers of all walks of life.

We share alignment on our strategic goals, including:

· Reaching Gen Z and other young consumers with new products that appeal to their preferences

· Demonstrating nutrition leadership by leveraging General Mills’ respected voice with the century-long legacy of the farmer-founded National Dairy Council

· Keeping the focus on real dairy innovation – as General Mills is doing – vs. increased focus on plant-based alternatives

· Strengthening dairy’s sustainability story through General Mills’ participation in many Innovation Center for U.S. Dairy initiatives

Examples of success

The dairy checkoff has a long history of offering our expertise and other resources with partners and that is playing out again with General Mills. We are in the second year of our partnership and have supported General Mills in several ways, including DMI amplifying in-store and digital marketing promotions with leading retailers nationwide to:

· Reposition its Oui TM by Yoplait® brand to a “Whole Milk French Style” yogurt. “Whole milk” previously was not part of its label, but the change positions Oui TM by Yoplait® to capitalize

on growing consumer demand for full-fat dairy and General Mills continues to add more flavors to this product.

· Promote the expansion of :ratioTM, which is rapidly increasing market share as consumers seek Keto-Diet-friendly products that are high in protein and low in sugar. Notably, :ratioTM earned an industry-respected BASES Breakthrough Innovation award last year, one of four dairy products among 35 winners across all retail categories

· Bring attention to the launch of cereal-topped yogurt, which leverages its known kid-friendly cereal brands (i.e. Cinnamon Toast Crunch and Lucky Charms).

We’re just scratching the surface with supporting General Mills and the products it has in the marketplace. I’m excited to also share that work is in the pipeline where the checkoff is providing research and development expertise, nutritional guidance and consumer insights to help introduce more dairy products.

General Mills also believes in dairy’s sustainability story and is seeking to better bring this important aspect to life for consumers. General Mills very much understands how dairy farmers’ longtime commitments to sustainability are critical to its business.

As we’ve experienced with other partners, General Mills welcomes us with open arms, and it feels like a true collaboration. The company is eager to leverage the resources and expertise we bring to the table, and this is when the magic happens. A company with General Mills’ clout takes what we provide, and they create, promote and market dairy products and brands.

We are showing that together, we can grow yogurt sales bigger and faster and give plenty of reasons to introduce – or bring people back – to the dairy category.

To learn more about your national dairy checkoff, visit www.USDairy.com/forfarmers or to reach us directly, send an email to TalkToTheCheckoff@dairy.org.