Stonyfield Farm case study: maintaining growth in the troubled organic food sector

Stonyfield Farm case study: maintaining growth in the troubled organic food sector

Introduction

This report on Stonyfield Farm forms part of Datamonitor's case studies series, which explores business practices across a variety of disciplines and business sectors. It looks at the rapid rise seen in the organic market over the past decade and the recent decline in this sector. It examines how Stonyfield has continued to drive growth in organics by specific targeting of mothers and children.

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Datamonitor view 1
CATALYST 1
SUMMARY 1
Analysis 2
The functional foods category has gained much popularity with consumers 2
Busy consumers have made functional food and drinks a rapid growth area 2
Probiotic yogurts have successfully been positioned as functional foods 2
The 'credit crunch' will negatively impact the functional foods market 4
Stonyfield Farm presents itself as an ethical company making healthy dairy products 5
The company was founded in 1983 as an organic yogurt maker 5
Stonyfield Farm has looked to portray an ethical image through its business operations 5
Stonyfield Farm's product lines have been successfully diversified into other areas 6
Stonyfield Farm has successfully introduced product variants designed for young children and expectant mothers 6
Stonyfield Farm offers a range of its yogurts especially for babies and children 6
The yogurt line was expanded in 2008 to include products suitable for expectant and nursing mothers 7
Stonyfield Farm is effectively marketing more relevant products to the same target audience 8
APPENDIX 9
Case study series 9
Methodology 9
Secondary sources 9
Further reading 9
Ask the analyst 9
Datamonitor consulting 9
Disclaimer 10
List of Tables
Table 1: The value of the functional drinks and smoothies markets in the US, 2002-2012, US$ million 2
List of Figures
Figure 1: Sales of yogurt continue to increase in the US 4
Figure 2: Stonyfield Farm has sought to contribute to ethical and environmental causes since its inception 6
Figure 3: The YoBaby and YoKids ranges aim to provide essential nutrients for babies and children in a convenient sweet-tasting format 7
Figure 4: The Stonyfield Farm YoMommy range aims to provide essential nutrients for pregnant and nursing women 8