Coca-Cola-Owned Fairlife Hits $1 Billion in Retail Sales, Driving New Growth in Fluid Milk Category

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Launched in 2012 as a joint venture between Select Milk Producers and Coca-Cola, fairlife has evolved from milkshakes made with high-protein Core Power RTD milk to multi-portion cartons of ultra-filtered milk (launched in 2014) , lactose-free milk , nutritional shakes and pints of ice cream. In 2020, Coca-Cola acquired the remaining 57.5% stake in the brand to become the sole owner of fairlife and lead its next chapter of growth.

As one of some positive points in the liquid milk category​​, value-added milk volumes – encompassing lactose-free, health-enhanced or organic milk – increased by 15.5% in 2021 compared to 2019, while traditional milk volumes decreased by -7, 7% over the same period, according to the most recent sales data from the Milk Processors Education Program (MilkPEP).

In the value-added milk segment, lactose-free milk increased by 30% in 2021 compared to 2019.

“We say fairlife is first and foremost a nutrition company, and as the pandemic continues, high-quality nutrition has never been more important to consumers,”said fairlife CEO Tim Doelman in a press release. “2021 has reinforced the importance of our mission to feed the world with our products that are better for you, and we have delivered on that commitment by bringing our wide range of fairlife products into more homes than ever before.”

Based in Chicago, fairlife products are available worldwide in the United States, Canada and China.

Achieve $1 billion in annual retail sales.

Throughout 2021, fairlife delivered double-digit week-over-week sales growth, culminating in the new annual record of over $1 billion in U.S. retail sales from $500 million dollars in retail sales recorded in 2019. The brand also saw significant growth in its value share. -Added the dairy category to the top 10 retailers and took the top selling brand spot in the category on Instacart, Fairlife reported.

While many businesses have struggled to maintain stamina in the face of the headwinds of global supply chain issues, fairlife and his team have remained nimble and focused on making the right decisions for the business, including a new facility in Goodyear, Ariz., which became fully operational in 2021, will significantly increase the brand’s capacity and ability to meet growing consumer demand, Doelman said.

The past two years have not been without challenges, however, as the brand has had to abandon two of its product lines – fairlife Creamers and Good Moo’d milk – to focus on optimizing production, he said. he adds.

“This has allowed us to meet consumer demand for our best-selling ultra-filtered milk and Core Power protein shakes, while seeing unprecedented growth for new products, like fairlife Nutrition Plan.​.

“Rest assured, innovation is always at the center of the fairlife spirit, and we have exciting new products planned for the future that deliver the great taste and nutrition expected from fairlife,” he added.

Milestones in Animal Welfare and Environmental Stewardship

Along with its commercial success, fairlife – which garnered some negative media attention in 2019 after the release of shocking picturesshowing abuse at Fair Oaks Farms, the ‘flagship’ farm supplying milk to the fairlifebrand – says it has made significant progress towards its animal welfare and sustainability goals, including the adoption of animal care standards across all of its supply farms and major advances towards its goal of 100% recyclable packaging by 2025, according to its Management report 2021​​.

The company is also on track to achieve B Corp certification in early 2022.

“It is our commitment to the quality of our products that has brought us this far and our equal commitment to supporting our communities, caring for the animals that provide us with milk and operating more sustainably that will accelerate the next phase. of our growth,he added.

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