They’re using wellness and not just becoming big food company. Chobani has moved beyond the food aisle in retailers. Moved into McDonalds and drink Chobani. Because these new categories are small in terms of $ value they can experiment and move quickly.
On the innovation side, they’re particularly NOT looking at acquisitions and looking at more into innovation in health and wellness. They’ve looked at cafes which aren’t doing great but they’re beyond food and just consumption.
Yogurt isn’t Chobani’s core competency. Even though they brought Greek Yogurt to the market that is not their differentiator. This is a company that is unique and natural but it’s a lifestyle company. Where Chobani is adding value is haivng this platform that allows access to these retail channels and distribution. Basis this Chobani can get into new products like salads, Gluten Free snacks and all those new product categories.
In the short term and long term scenario: We know that people are moving away from sugar and dairy. Going into adjacent categories will help them leverage economies of scale and scope. Dairy based products have stagnated in the industry in general. There has been an increase in non-dairy consumption. In the long term, Chobani should share competencies with similar companies like Chobani. This will help increase expertise in the industry and will also help hedge risk by sharing learning on a platform. Chobani should also create alliances across the industry with companies like GFB and Noka.