Chobani is significantly investing in its rapidly expanding creamer segment with the introduction of a new plant-based product line. The Chobani Plant-Based Coffee Creamers, which are now appearing on store shelves, aim to capture a larger portion of the at-home coffee market that has surged during the ongoing pandemic. This new offering also targets consumers who may have been deterred by the texture or flavor of existing plant-based options. “We want to disrupt the creamer category. Our goal is to provide better alternatives and attract more consumers to help grow the market,” stated Peter McGuinness, Chobani’s president and chief operating officer, in a recent interview. “These [plant-based creamers] were crafted to resemble dairy creamers as closely as possible.”
The development of this new plant-based line took approximately 18 months and is composed of a blend of ingredients sourced from coconut, sunflower, and pea protein. The creamers will come in four flavors: Caramel Macchiato, Chocolate Hazelnut, Sweet & Creamy, and French Vanilla. Chobani entered the creamer market two years ago with the intention of revitalizing a stagnant sector dominated by a few major players by offering natural, non-GMO ingredients while avoiding artificial flavors, sweeteners, or preservatives—similar to their approach with yogurt back in 2007. At that time, the top four creamer brands held nearly 80% of the market share with oil-based products lacking real cream and often relying on artificial ingredients.
Since launching its dairy coffee creamer in 2019 and an oat-based version a year later, Chobani has experienced remarkable growth and gained confidence that it could further penetrate the market with plant-based products. According to Nielsen data referenced by the company, sales of Chobani’s dairy-based creamers increased by 120% during the 52 weeks ending December 25, 2021. McGuinness remarked that the success of Chobani’s existing creamers “provided us with the permission and confidence” to deepen our involvement in this sector.
Chobani’s entry into the creamer market in 2019 coincided with the COVID-19 pandemic, which pushed more individuals to work from home and reduce visits to local coffee shops or restaurants. Consequently, many sought to replicate the out-of-home coffee experience at home, leading to increased demand for creamers. In 2021, U.S. retail sales of coffee creamers reached $3.9 billion, a nearly 40% increase from 2016 to 2021, as reported by Euromonitor. This expansion of its creamer line positions Chobani in direct competition with consumer packaged goods giants like Nestlé and Danone, who dominate much of the category.
The growth of Chobani’s coffee platform signifies a strategic move to broaden its market presence beyond its signature Greek yogurt, laying the groundwork for future sales growth and evolving the 15-year-old business into a comprehensive food company. In 2020, yogurt alone generated $1.2 billion in sales for Chobani, according to a filing with the Securities and Exchange Commission last November. Other products, including cream, oat milk, coffee creamers, ready-to-drink Chobani Coffee, and Chobani Probiotic beverages, accounted for net sales of $157.7 million. McGuinness highlighted that the success of the company’s ventures into new areas demonstrates the brand’s reach and recognition in the marketplace, which is a primary reason for branding each product, such as the creamers, under the Chobani name rather than creating an entirely new brand.
“Now that we are in these additional categories, we understand that the brand can thrive across various platforms and transcend yogurt,” he stated. “We are very strategic about these extensions and evolutions.” Chobani, which filed for an initial public offering last year under the symbol “CHO,” is anticipated to officially launch on Wall Street later this year. Cristina Alesci, Chobani’s chief corporate affairs officer, noted that the company has gained insights from its oat-based creamer regarding how plant ingredients interact with coffee when developing the latest product.
“Achieving that ideal blend, to provide everything you love about dairy without the dairy, was critical. And yes, it’s a challenge,” McGuinness acknowledged. “There’s a lot of poor-quality food out there.” Chobani enters a growing plant-based creamer market, joining competitors like Nestlé with its Coffee-mate Natural Bliss line and Starbucks Non-Dairy Creamers, as well as Danone’s Silk brand. Several emerging brands, such as Califia Farms and Laird Superfood, also have products available. Additionally, Chobani announced the release of a limited-time, fan-inspired dairy coffee creamer flavor called Sizzlin’ Brown Sugar. Last February, the company invited fans to create a flavor, leading to a vote on three finalists, including Strawberry Shortcake and Lemon Blueberry Pie.
Moreover, Chobani’s plant-based creamers are fortified with 300 mg of calcium citrate, ensuring that consumers not only enjoy the taste but also receive added nutritional benefits. This focus on health and quality further distinguishes Chobani in the competitive landscape.