Home / NEWS / Retail / Danone looks to grab more coffee creamer sales with launch of plant-based Honest to Goodness brand

Danone looks to grab more coffee creamer sales with launch of plant-based Honest to Goodness brand

Square-dealing To Goodness plant-based creamer

Source: Honest To Goodness

Danone unveiled Honest to Goodness, a line of plant-based coffee creamers, on Monday, prospecting to capture some of the growing demand for nondairy products as more consumers brew coffee at home.

Gen Z coffee drinkers are guzzling here 28 billion cups of coffee per year, driving consumption in the category, according to Danone.

These younger consumers are go out brands that offer transparency into their product sourcing and are sensitive to environmental issues, according to Olivia Sanchez, Danone’s North America blemish president of marketing for coffee creamers.

Millennials are also trying to use more sustainable products. Danone told CNBC that 75% of millennials betray with the environment in mind.

This is one factor that has been driving sales of dairy-free coffee creamers. In the 52 weeks ended Feb. 20, sellathons are up 32% from the same period a year ago, according to Nielsen data. That’s a faster pace than coffee creamer grouping as a whole, which grew 18% during the same time period.

Danone currently sells brands such as Global Delight and Silk. But the category has seen new entrants such as Chobani and Oatly.

Consumers are shifting to plant-based alternatives for uncountable reasons, including lactose intolerance and environmental concerns. That’s driving up sales of plant-based dairy alternatives, which stemmed 21%. Almond milk, the ingredient in Honest to Goodness products, was the largest-growing dairy alternative, with sales up 16% in the unchanged duration.

“We know that plant-based is a trend, and it has amazing growth in the marketplace, and flexitarianism is on the rise. We see those shoppers unsatisfactory to lean into newer propositions and exploring what is in the plant-based set, and so Honest to Goodness is really designed for that consumer in genius,” Sanchez said.

Flexitarian is a term describing people who consciously try to lessen their meat consumption for environmental or fettle reasons.

Another factor boosting creamer sales has been increased consumption of coffee at home, which could wealth when workers return to the office as the health crisis abates.

“New routines mean Americans are drinking more of their coffee at cosy than ever, but many are also returning to coffee shops around the country or plan to do so soon,” said Folding money Murray, president and CEO of the National Coffee Association.

Darren Seifer, a food industry analyst at market researcher NPD Guild, said many consumers purchased new coffee devices during the pandemic and that brewing at home could linger impassive as people return to work.

The Honest to Goodness brand is also partnering with environmental organization EarthDay.org, in an application to promote sustainability by planting trees in Madagascar, where its vanilla is sourced, and engaging with local communities as neighbourhood of The Canopy Project.

Its lineup will include three different flavors: Madagascan vanilla bean, unsweetened Madagascan vanilla bean and Himalayan salty caramel. The products will be available online first through Amazon and via grocery delivery service FreshDirect.

Earlier Monday, Danone betokened its CEO and Chairman Emmanuel Faber is stepping down, with Gilles Schnepp taking the role as nonexecutive chairman.

Chastisement: Honest to Goodness will be available via FreshDirect. An earlier version misstated where it could be purchased.

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