Kids' Nutritional Dairy: 10 Key Case Studies
Report description
Dairy is the most dynamic category in the business of kids’ nutrition worldwide. The three ingredients currently getting most attention from companies are calcium, probiotics, and omega-3. Underpinning these is the strong trend towards “natural”, “free from” and “organic” positionings.
Using 10 case studies from Europe, the US and the Asia Pacific region, as well as one global brand, this report sets out the ingredient, marketing and branding strategies which are driving growth in kids’ nutritional dairy. The case studies include examples of success and failure, the creation of new brands and the reinvention of old ones.
We also set out the implications of the single-biggest event in the kids’ nutritional marketplace of 2007: Groupe Danone’s acquisition of infant and kids food giant Numico. This move opens the door for Danone to develop kids’ brands as successful as its Activia and Actimel adult brands.
Calcium for bone health is a mass-market message but a couple of companies – Yoplait in the UK and Fonterra in Asia Pacific – have developed successful, premium-priced brands through skilful marketing.
Probiotics for gut health and immunity are still niche and challenging, especially for mass-market brands. By contrast, Danone’s Stonyfield Farm has seen sales rocket by combining a probiotic message with an organic one.
Omega-3 for brain health has created a huge buzz and a lot of NPD activity but the reality is omega-3 brands have achieved sales far below what was expected of them. Omega-3 is still an ultra-niche consumer interest and this will change only slowly.
Our analysis sets out the key strategies that companies can apply to maximise the chance of success and reduce the risk of failure. This report gives you:
- Companies’ own views on the key nutritional aspects of children’s health they have chosen to target and why
- Insight into the key areas of opportunity identified in consumer research
- Insight into branding, marketing and pricing strategies – and which strategies have worked and why
- Understanding of product formats used and ingredients chosen
- Demonstration of the value of packaging innovation
- Colour illustrations of products and relevant market data.
Our analysis draws on:
3 European Case Studies: St. Ivel Advance Omega-3 milk; Yoplait Petits Filous calcium-fortified products; and Nestlé Munch Bunch, with omega-3, calcium and probiotics.
4 US Case Studies: Nestlé Nesquik; Organic Valley of Farms; Danone’s Stonyfield Farm YoBaby & YoKids organic and probiotic brands; PepsiCo’s Quaker Milk Chillers.
1 Asia-Pacific Case Study: Fonterra Calci-Yum, bone-health marketing in Malaysia and New Zealand.
1 Global Brand Case Study: Danone’s Danonino, focusing on its growing omega-3 offering.
1 Global Strategy Case Study: the implications of Danone’s acquisition of infant formula giant Numico, which has propelled the French dairy group to the No. 1 position in kids’ dairy in Europe and Asia.
As the only organisation in the world dedicated to the business of nutrition, our analysis is second-to-none for accuracy and usefulness. (see the contents page).
Table of contents
1. Introduction
2. Strategies in kids’ nutritional dairy
2.1 Packaging innovation
2.2 Communication strategies
2.2.1 Sampling
2.2.2 Third-party endorsement
2.2.3 Brand health ambassadors
2.2.4 Health professional communications
2.2.5 Education
2.2.6 The power of word-of-mouth
2.3 Brand strategies
2.3.1 Calcium
2.3.2 Probiotics
2.3.3 Omega-3
2.3.4 Naturally healthy, organic or ‘free from’
2.3.5 Successful brands are ‘expert brands’
2.3.6 Marketing multiple health benefits – clear or confusing?
3. European Case Studies
Case Study 1 St. Ivel Advance Omega-3 milk stumbles
Case Study 2 Yoplait Petits Filous: Successful little rascals
Case Study 3 The Nestlé Munch Bunch Chronicles
4. U.S. Case Studies
Case Study 4 Nestlé Nesquik – a better-for-you makeover in progress
Case Study 5 Organic Valley Family of Farms
Case Study 6 Stonyfield Farm harvests bumper sales of kids’ yoghurts
Case Study 7 PepsiCo freezes out Quaker Milk Chillers
5. Asia-Pacific Case Study
Case Study 8 Fonterra redefines kids’ dairy with ‘expert’ calcium brand
6. Global Brand Case Study
Case Study 9 Danone Danonino – Danone chooses omega-3 for brain development
7. Global Strategy Case Study
Case Study 10 Danone takes the No.1 slot in kids’ dairy
Photographs, Charts, Tables & Boxes
Photographs
1. The top three benefit platforms in kids’ nutritional dairy
2. Danone Danonino & Danino omega-3 yoghurt (drinkable & spoonable)
3. Packaging innovations in kids’ nutritional dairy
4. Danone Actimel Kids Pack
5. Danone Actimel
6. Müller Dairy Vitality 3-in-1 drinkable yoghurt (6-pack)
7. Organic Valley Family of Farms Lactose Free Lowfat Milk
8. Still from online advertising video by MilkPEP
9. St. Ivel Advance Fresh Milk with Omega-3
10. Professor Robert Winston
11. Still from TV advertisement for Yoplait Petits Filous Plus drinkable yoghurt
12. Yoplait Petits Filous Goodness Guarantee
13. Yoplait Petits Filous fromage frais (6-pack)
14. Yoplait Petits Filous Plus probiotic drinkable yoghurt
15. Still from TV advertisement for Yoplait Petits Filous
16. Yoplait Petits Filous’ “two halves of a bone” logo
17. Yoplait Petits Filous Plus probiotic drinkable yoghurt (6-pack)
18. Yoplait Petits Filous Frubes (9-pack)
19. Nestlé Munch Bunch Drinky+ probiotic drinkable yoghurt (6-pack)
20. Nestlé Munch Bunch Calci+ range
21. Still from TV advertisement for Nestlé Munch Bunch Calci+ range
22. Puleva Max Defensas probiotic drinkable yoghurt
23. Still from Nestlé Nesquik online-only video advertisement
24. Organic Valley Family of Farms Lowfat Milk range (4-packs)
25. Stonyfield Farm YoBaby & YoKids yoghurt (drinkable & spoonable)
26. Quaker Milk Chillers range
27. Fonterra CalciYum (New Zealand) spoonable dairy food (6-pack)
28. Fonterra CalciYum (Malaysia) spoonable dairy food (4-pack)
29. Fonterra’s high-visibility display space in a Malaysian supermarket
30. Fonterra CalciYum (New Zealand) Squeezables (4-packs)
31. Fonterra CalciYum (New Zealand) flavoured milk
32. Danone Danonino Petit Genio omega-3 drinkable yoghurt
33. Danone Danonino with lemon balm
34. Danone Danonino brand mascot Dino the dinosaur
35. Danone Danino Go omega-3 drinkable yoghurt (4- & 8-packs)
36. Danone Danino omega-3 spoonable yoghurt (4-pack)
37. Print advertisement for Danone Danino
38. Dannon Danimals probiotic drinkable yoghurt (8-pack)
39. Omega-3 DHA-fortified kid-specific dairy products
40. Jan Bennink, CEO of Numico
41. Numico’s Frutapura range
42. Numico & Danone kid-specific products
Charts
1. Product positionings, added ingredients and health benefit platforms used by kids’ nutritional dairy brands covered in this report.
2. Munch Bunch delivers more calcium for your pound with Calci+
3. Sales comparison of Nesquik, Ovaltine & Hershey’s chocolate milk flavourings in the US
(2002-2006)
4. Organic Family of Farms yearly sales 2002-2006
Tables
1. Top five selling children’s SKU’s in the UK CYD segment (year to March 2006)
2. Kids’ CYD sector (year to March 2006)
3. Share of kids’ CYD segment by manufacturer (year to March 2006)
4. Share of kids’ CYD segment by brand (year to March 2006)
5. Munch Bunch Drinky+ (Raspberry variety) – ingredients and nutrition facts
Boxes
1. America awakes to the potential of daily dose
2. Danone Actimel – reinforcing a position in mothers’ minds
3. Can milk be cool enough for teens?
4. Dairy Crest – a leader in kids’ nutritional dairy
5. Genuine benefit obsured by advertising blunder
6. Petits Filous’ Goodness Guarantee
7. Immunity defence with bugs from mother’s milk
8. Nesquik strawberry milk flavouring (10.9oz) – ingredients & nutrition facts
9. ‘Give them something they’ll like ... and that’s good for them’
10. The dangers of multiple messaging
11. Dean Foods – adding the “organic” benefit to daily dose
12. YoBaby drinkable yoghurt (Banana) – ingredients & nutrition facts
13. Down on Stonyfield farm
14. CalciYum spoonable dairy food (Chocolate) – ingredients & nutrition facts
15. Fresh dairy for babies – a new strategic focus for Danone
16. Everybody’s getting into DHA
17. A focus on kids’ health makes for a Chinese success story
Related research categories
By sector: Dairy, Case studies
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