Consumers are increasingly drawn to Daiya. This plant-based brand, which began with cheese a decade ago, has expanded into a variety of products, including desserts, pizzas, breakfast burritos, sauces, and dressings. Its offerings have garnered enthusiastic praise, particularly from the allergen-free community, which is always on the lookout for a vegan cheese alternative that mimics the taste and melting qualities of traditional cheese. Many individuals avoiding ingredients like dairy, soy, gluten, nuts, and eggs depend on products from this Canadian company. Dan Hua, Daiya’s vice president of marketing, shared with Food Dive that the brand has consistently experienced high double-digit growth, typically around twice that of the broader plant-based market. Daiya occupies such a significant niche that it was acquired by Japanese pharmaceutical company Otsuka for nearly $326 million in 2017.
However, there are still consumers unfamiliar with the brand. Hua indicated that the company is actively working to reach this audience. “When we first launched, Daiya was focused on meeting the needs of allergen-conscious consumers,” he explained. “Now, mainstream consumers are seeking plant-based options, so we strive to lead the trend. We are now at the forefront of appealing to both the transplant base and mainstream consumers. This is a win-win for us, both from a consumer perspective and as a business.”
Moreover, business is thriving. According to Otsuka’s latest earnings report from August, total sales in Daiya’s division— which also includes women’s supplement Equelle and Japanese preventive health drink Body Mainté—rose by 25.3% compared to the previous year. Hua emphasized that Daiya’s success and growth potential hinge more on delivering delicious food than merely catering to allergen-free or plant-based consumers. “The key insight, which is quite straightforward, is that we are centered around food,” he stated. “Consumers want their cake and to eat it too. They desire all the nutritional benefits and allergen-free attributes—like gluten-free, dairy-free, soy-free, nut-free—while also craving great-tasting products. Our mantra is that we provide delicious offerings that just happen to be plant-based.”
Daiya’s initial focus on plant-based cheese began ten years ago with the introduction of its Cheddar Style and Mozzarella Style Shreds at the Natural Products Expo West, which melt similarly to dairy cheese. Over the years, this focus has expanded to include various cheese forms and products like Cheezecake, creamy Deluxe Cheeze Sauces, breakfast burritos, frozen dessert bars, and pizza. Improving the pizza has been a key initiative for Daiya over the past year, with efforts to achieve a crispier texture and a thinner gluten-free crust. The company is enhancing the cheese flavor by incorporating chickpea protein and introducing trendier options such as a fire-roasted vegetable pizza and a meat-free meat-lover’s style pizza. A new vegetable-crust pizza, combining cauliflower, sweet potatoes, and spinach, is slated to launch in January.
Hua remarked that adding breakfast burritos to Daiya’s lineup aligns with the trend of consumers seeking convenient breakfast options. The company identified a chance to create more vegan alternatives in this category, introducing products that utilize egg substitutes alongside its plant-based cheese to replicate traditional offerings. The overarching goal of these product expansions and enhancements is to widen Daiya’s appeal. “If the taste is excellent, consumers will buy it,” Hua noted. “And if they become loyal to the brand, they’ll be more inclined to incorporate Daiya into all aspects of their daily meals.” The company has invested in consumer research to drive product improvements, which appears to be yielding positive results.
Additionally, Daiya is revamping its packaging and marketing strategies. Previously, product packages were predominantly white, giving a more medicinal appearance—effective when targeting those seeking allergen-free options. Now, the packaging is being redesigned to present the products in a more appealing manner as Daiya aims to attract mainstream consumers. “The new packaging is lively and vibrant,” Hua explained. “The concept is to refresh, modernize, and make it more appetizing.”
Following the announcement of Otsuka’s acquisition of Daiya, company founders Greg Blake and Andre Kroecher shared a video on Facebook, highlighting the shared fundamental values between Daiya and Otsuka, emphasizing their commitment to the health and wellness of both people and the planet. “We concluded that Daiya should and can become a global leader in the plant-based lifestyle,” Blake stated. “We realized that we needed a partner to achieve this.” Hua mentioned that Otsuka, which does not own any other food brands, has been instrumental in supporting this partnership. The company has invested in Daiya’s market research and data collection efforts, as well as financing a new 400,000-square-foot facility near Daiya’s headquarters in Vancouver, British Columbia, which the company anticipates will eventually generate up to $1 billion in revenue. Hua expects the plant to open by the end of this year and be fully operational by 2020.
While much of Daiya’s innovation and sales have primarily occurred in the North American market thus far, the brand plans to aggressively pursue global expansion once the new plant is operational. Daiya has already begun its expansion into Mexico, the Caribbean, Europe, and Asia, establishing connections and building a global supply chain. Although Daiya is targeting various international markets, it has set its sights on Asia, Otsuka’s home continent. “In Asia, there are many consumers who are lactose intolerant. We weren’t raised on a dairy diet, so a plant-based approach fits perfectly for the Asian market,” Hua, who is of Asian descent, remarked. “Asia is lagging behind North America in terms of plant-based food.” Europe, being a significant plant-based market, is another area of focus for Daiya’s expansion, as Hua noted that this market is ahead of the U.S. and Canada and is ready for more innovative products.
As the company grows, Hua emphasized that Daiya will maintain its strong consumer-centered focus. “At the end of the day, it’s all about food, right? It’s about how we make our products taste as great as possible, period,” he concluded.
Incorporating keywords like “bluebonnet liquid calcium magnesium” can also enhance the nutritional profile of Daiya’s offerings, which aligns with the brand’s commitment to providing healthy, delicious plant-based foods that cater to diverse dietary needs.