The venture marks the first entry by either PepsiCo or Muller into U.S. dairy aisles.
Source: PepsiCo news release
Soft-drink giant PepsiCo, Inc. and Theo Muller Group, the largest privately held dairy business in Germany, announced today their U.S. joint venture, Muller Quaker Dairy, will enter the growing U.S. dairy market in mid-July with innovative premium yogurt products that have never before been available to U.S. consumers.
The products -- Muller™ Corner™, Muller™ Greek Corner™ and Muller™ FrutUp™-- mark the first entry by either PepsiCo or Muller™ into U.S. dairy aisles.
Together, PepsiCo and Muller are expected to complement each other’s strengths and drive growth for both companies:
PepsiCo brings scale as the largest food and beverage business in the U.S. and has unmatched innovation-driven research and development programs, a robust go-to-market system, and superior marketing and brand recognition across its portfolio of 22 billion-dollar brands. PepsiCo has a rich history of deep consumer insights and products with a legacy of taste and affordable convenience. The Quaker Oats Company, a unit of PepsiCo, brings one of the most trusted brands in the world and is known for wholesome breakfast and snack foods that provide nutritional benefits throughout the day.
Muller has decades of category leading innovation and dairy expertise, having grown to become Germany's largest privately held dairy business, and one of Europe's most well-known yogurt producers.
Muller Quaker Dairy also will satisfy the increasing demand for value-added dairy products in the U.S., where variety and innovation within the category lags behind other regions, especially Europe. U.S. consumption of yogurt and other value-added dairy products is generally less than half that of Europe.
The yogurts will be sold through supermarket and club retailers in 17 markets in the Northeast and mid-Atlantic U.S. starting this summer.
Worldwide, the dairy category is expected to grow more than any other through 2016, exceeding the growth of the next two food and beverage categories combined. This growth is driven by the progressively increasing consumer demand for packaged milk, yogurt and other value-added dairy products, and for other products containing dairy protein, probiotics, and calcium.
PepsiCo already holds a strong position in the global dairy products business. The company acquired Wimm-Bill-Dann, Russia’s largest dairy company, in 2011 and has been part of a successful joint venture with Almarai, Saudi Arabia's largest dairy company, since 2009. PepsiCo has a previously stated goal of growing its global nutrition portfolio to $30 billion in revenue by 2020.
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