Opportunity: Transforming Traditional Dairy to Match Today’s Consumer
In recent years, consumer behaviour toward dairy has evolved significantly. Over the last few decades, consumers are significantly reducing their dairy intake due to a combination of health, environmental, and ethical concerns. Traditional dairy products can be high in saturated fats, too much of which could lead to health issues such as heart disease and stroke. Consumers are now seeking healthier alternatives that provide essential nutrients without compromising their well-being.
Moreover, with climate change and sustainability becoming critical issues, consumers are demanding food options that have a lower carbon footprint and promote ethical sourcing practices. Because of these factors, there is an increased interest in plant-based and hybrid products that combine the benefits of dairy with the environmental advantages of plant ingredients.
Kerry Dairy Consumer Foods recognised these trends and saw an opportunity to disrupt the traditional dairy category. The goal was to develop a product line that caters to health-conscious and environmentally mindful consumers, offering delicious taste, lower saturated fat, and reduced CO2 emissions. By addressing these multifaceted consumer needs, Kerry aimed to create a new category of dairy products that truly allow consumers to “have it all.”
Approach: A Nutritious and Sustainable Dairy Solution
Dairy Consumer Foods assembled a cross-functional team to develop SMUG Dairy, the UK’s first brand that combines the goodness of dairy and plants, creating a range of deliciously healthy products including: Blended Oat & Dairy Milk, Spreadable Blended Oat & Dairy Butter, and Blended Oat & Dairy Cheddar. Each product is designed to offer specific health benefits:
- Blended Oat & Dairy Milk: Contains 30% less saturated fat than semi-skimmed milk, providing essential nutrients such as calcium and dietary fiber, making it a healthier choice for consumers.
- Spreadable Blended Oat & Dairy Butter: Features 40% less saturated fat compared to standard butter and is enriched with vitamins A, D2, E, and B12, along with Omega-3, offering a nutritious alternative.
- Blended Oat & Dairy Cheddar: Delivers the taste and texture of cheddar with lower saturated fat, blending extra mature cheddar and oat drink to provide a healthier cheese alternative.
No detail was overlooked when developing these products. On top of the significant health benefits, much effort was also spent on minimising the carbon footprint of each product. In fact, SMUG Dairy is leading a sustainable dairy revolution, ensuring that their products have significantly lower CO2 emissions among other efforts.
Victoria Southern, Strategy & Marketing Director for Kerry’s Dairy Consumer Foods division, emphasised the brand’s appeal: “With SMUG Dairy, you can have it all – delicious taste, health benefits, and environmental sustainability. It’s a win-win, enough to make you feel a little ‘smug’, in fact.”
Impact: Healthier, Sustainable Dairy Solutions
SMUG Dairy has successfully transformed the traditional dairy category, quickly becoming a favourite among health-conscious and environmentally mindful consumers. The innovative product line addresses the need for delicious, nutritious, and sustainable dairy alternatives. Consumers appreciate the combination of taste and health benefits, making SMUG Dairy products a preferred choice in households.
By addressing the demand for healthier dairy options and reducing environmental impact, Dairy Consumer Foods has successfully combined innovation, nutrition, and sustainability to create SMUG Dairy. This product line meets the evolving needs of today’s consumers, ensuring they receive the best of both worlds – delicious taste and environmental benefits.