Move over, sweet and fruity

National brands dominate the yogurt category, but retailers could find success by attracting teens and adults, as well as by deviating from the products already on the shelves. About 83 percent of U.S. children ages 6 to 11 eat yogurt, according to Mintel, a global market research company, in its August 2015 report, “Yogurt and Yogurt Drinks — US.” But those percentages drop as consumers age, with 63 percent of teens and 58 percent of adults eating yogurt.

“The majority of consumers eat yogurt, and it is generally considered a healthy snack for its high-protein, probiotic and mineral content. There is still room for growth with adults and teens, particularly as consumers take steps to improve their health,” the Mintel report states. “Greater nutritional awareness and health attributes that cater to specific groups can help encourage more of these consumers to buy yogurt.”

Innovate with flavors

Older consumers could be drawn by new and innovative flavors that push past the Greek yogurt trend.

“Opportunities can be found in retailer-specific programs that don’t directly compete with the national brands,” says Alfons van Heerwaarden, director of business development for Ehrmann Commonwealth Dairy LLC, in Brattleboro, Vt. “Carve out an identity.”

To that end, there are opportunities to expand past sweet yogurts or those that mix with fruit and crunchy toppings to savory flavors that would appeal to older consumers.

“The emerging trends in yogurt focus on savory, cooking and indulgence,” says Kevin Anderson, consumer insights team leader at Schreiber Foods in Green Bay, Wis. “Savory yogurts as a standalone snack will take some time to gain traction, but savory in cooking is already taking hold.

“It’s not hard to find restaurants that are incorporating yogurt in savory applications on their menu,” he adds. “We are seeing this translate to consumers wanting to replicate this experience at home, which means more multi-serve yogurt purchases that are no longer just destined for a parfait.”

Anderson notes that ethnic variations besides Greek yogurt can be of particular interest, including Icelandic, Australian, Asian, Bulgarian and Indian offerings.

“They all bring a slightly different take that is really resonating with our new foodie culture of experiencing foods from around the world,” he says.

Stewart Cardiff, president of Shepherd Gourmet Dairy in St. Marys, Ontario, says retailers could take advantage of those emerging trends, especially if they can offer a lower price for a store brand product.

“Because of innovation and a very smart and well-educated customer base, the stores are experiencing a much more discerning customer who wants flavors from around the world at the right price and with the [right] quality,” Cardiff says.

In a September 2015 report, Mintel also suggests that vegetable-flavored yogurt drinks could be a draw for adults.

“Vegetable/savory flavors and even non-dairy formulations could help yogurt drinks break free from their image as children’s drinks and resonate more with adults,” the report states. “The addition of vegetable flavors not only expands the drinkable yogurt category in the U.S. (where it accounts for only 7 percent of total yogurt sales), but it positions yogurt drinks to adult consumers, who are considerably less likely than children to consume drinkable yogurt.”

Store brand yogurts could do especially well as an ingredient, too, Anderson notes. He suggests that retailers carry larger multi-serving containers with core flavors — and at the right price.

“Multi-serve yogurt tubs are where there is low-hanging fruit for store brand yogurt,” Anderson says. “This doesn’t mean SKU proliferation in multi-serve,” he says. “Plain and vanilla [are] really all you need, but offering usage suggestions outside of the parfait is key.”

Pair it up

Oftentimes, spoonable yogurt can be a filling snack or an addition to a meal, and the addition of other ingredients can make it more satisfying. And yogurts with sidecars or flip cups that contain fruit or crunchy toppings make that addition more convenient.

“Consumers want as little hassle as possible in their day,” Cardiff said.

In other words, if the yogurt is meant to be mixed with something, make it as easy as possible to mix.

Anderson adds that the look of the package also will go a long way in a crowded, competitive category.

“You can have a great-tasting product, but if it doesn’t stand out on shelf, consumers will never get to experience it,” he says. “Artwork that pops on shelf is so imperative to winning that consumer. If the printing is dull or the images are stuck in a previous decade, that poor artwork creates a poor first impression, which can translate to the perception of a poor product.”

Demos are king

Many yogurt-eating people are attached to a specific yogurt brand. That means getting consumers to try a new yogurt product can be difficult.

“If it’s a tremendous product, the first thing you have to do is get it in their mouths. Demoing is important,” Cardiff says.

Demoing is especially important for drinkable yogurt, where texture is a concern for consumers. Mintel’s “Yogurt and Yogurt Drinks” report says that 38 percent of consumers would rather eat than drink yogurt, and another 18 percent do not like the texture.

Anderson says retailers should look for ways to eliminate the risk for consumers who don’t want to spend money on an untested product or wind up wasting a snack opportunity on a product they find out they don’t like.

“Demoing the product is one of the most straightforward methods to eliminating the stomach risk,” he notes. “Money-back guarantees or ‘buy one of your regular brands and try our brand for free’ are great examples of eliminating the financial risk from the consumer.”

Van Heerwaarden adds that retailers should get their store brand products into the promo mix on end caps, impulse fridges and in other prominent placements.

“Don’t let national brands rule the promotional calendar,” he says. “In essence, the consumer can get the national brands also at the competing supermarket next door.”

Do look to ethnic profiles as an own-brand yogurt growth strategy.

Don’t skimp on packaging design; store brands need to stand out in the crowded yogurt category.

Do consider expanding into savory yogurt flavors.

Don’t pass up the opportunity to demo new yogurt products.