Almost as quickly as it was acquired, the Noosa yogurt brand is being sold again.
In March 2024, Campbell Soup Co. acquired Noosa as part of the Sovos Brands Inc. acquisition, according to a press release. Campbell shared that the yogurt category was not core to its overall strategy and, last week, it announced it would be selling Noosa to lakeview Farms, a manufacturer of fresh dips, desserts and specialty products, the release goes on to say.
Does this sale signify trouble for the yogurt industry? Let’s see what a few experts had to say.
Is Yogurt on its Way Out?
A quick scan of social media or the internet illustrates that strong interest persists regarding the offering.
“Yogurt is still relevant. Growing consumer interest in gut health has led to a sharp increase in Google and TikTok searches for ‘yogurt’ and ‘gut health’ since last year,” Gen La Rocca, professional chef, owner and recipe developer of Two Cloves Kitchen and Meal Planning Pro, a meal planning site, told The Food Institute.
“Yogurt’s natural probiotics make it an ideal product for marketing campaigns focused on digestive wellness.”
According to Statista research, revenue in the global yogurt market amounted to $181.3 billion this year. The market is expected to exhibit a 6.8% compound annual growth rate through 2029.
Sarah Bond, food scientist, nutritionist and recipe developer at Live Eat Learn says that yogurt is still a household staple, but growth has slowed somewhat due to market saturation and changing consumer preferences.
“Many shoppers are looking beyond traditional dairy for plant-based or functional alternatives, putting pressure on yogurt brands to innovate or risk losing relevance,” Bond told FI.
Keys to Relevancy
Ditch the spoon, Edward Smolyansky, founder of Pure Culture Organics, and the former COO at Lifeway Foods, said.
“Today’s consumers, especially millennials, want portable, on-the-go options that fit their busy lifestyles,” Smolyansky said.
La Rocca feels yogurt companies need to evolve.
Prioritizing health and convenience appears to be key. Think high-protein, low-sugar options in a portable format, experts suggest.
Ultimately, although yogurt remains popular, it’s imperative that brands adapt to evolving consumer behaviors in order to stay relevant. Convenience and health are major attractors for today’s consumer.
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