Dairy is one of the most frequently shopped grocery departments, with 36 trips per year, finds the International Dairy-Deli-Bakery Association’s (IDDBA) “What’s in Store 2014” report. The same report also notes new dairy product introductions are robust, at approximately 12,000-13,000 products annually. Nevertheless, those introductions are finding a host of competitors from other segments and a variety of factors influencing dairy consumers, including declining U.S. middle-income households; a diversity of shoppers by age and ethnic group; and access to smart technologies (encouraging unprecedented levels of transparency).
One of the trademark segments of the dairy category is facing a dilemma similar to a major segment of the beverage category. Carbonated sodas have faced years of declining consumption trends, and the same has held true for fluid milk consumption. Milk processors, in response, have turned to efforts to make milk a more convenient option, with extended shelflife packaging and on-the-go convenience.