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To: richardred who wrote (1448)6/14/2012 10:44:06 PM
From: richardred  Respond to of 3363
 
Anything-but-Ordinary Mom Pitches for Chobani Yogurt By STUART ELLIOTT Published: June 14, 2012

TOO bad for Greece, and perhaps the euro, that the Greek economy is in no way helped by the surging popularity of Greek yogurt among American shoppers. In another sign of that interest, Chobani, the market leader in Greek yogurt in this country, is stepping up efforts to sell its new children’s product.

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Chobani Champions is a Greek yogurt marketed for children. TV commercials feature the former American Olympian Jennie Finch.

The product, called Chobani Champions, was already being advertised in magazines and on Web sites read by parents. Commercials are being added to the mix this month, featuring the first celebrity endorser for any kind of Chobani: Jennie Finch, a pitcher for the United States Olympic softball teams that won the gold medal in 2004 and the silver in 2008.

Ms. Finch appears in the commercial with one of her two sons, Ace, who is 6. (The other, Diesel, turns 1 Tuesday.) The signing of Ms. Finch is no coincidence: Chobani is an official sponsor of the 2012 United States Olympic team.

The campaign for Chobani Champions, which carries the theme “Win the day,” is being created by the New York office of Leo Burnett USA, part of the Leo Burnett Worldwide unit of the Publicis Groupe. Leo Burnett New York is the advertising agency of record for Chobani and Chobani Champions. (Big Spaceship, an interactive agency in Brooklyn, is the digital agency for both Chobani products.) The budget for the Chobani Champions campaign is estimated at $12 million.

The commercial for Chobani Champions, running on television and online, arrives 16 months after the first television commercials for the main Chobani brand, which carry the theme “Nothing but good.” Like the campaign for Chobani, the campaign for Chobani Champions also has a significant presence in social media like Facebook.

Greek yogurt now accounts for 35 percent of total American yogurt sales, according to a report by Bernstein Research, part of AllianceBernstein, up from 30 percent last year and only 4 percent as recently as 2008. Chobani, sold by Agro Farma, leads the Greek yogurt segment with a market share of 47.3 percent, according to the report, followed by products from Groupe Danone, at 19.7 percent, and the Fage brand from Fage Dairy Industry, at 13.9 percent.



The children’s yogurt market is as competitive as the adult market. Chobani Champions faces rivals like Danimals and Dan-o-nino, from the Dannon Company division of Groupe Danone; YoBaby, YoKids and YoKids Greek, from the Stonyfield Farm unit of Groupe Danone; and Yoplait Kids, Trix and Go-Gurt, from General Mills.

The Chobani strategy is encapsulated in the “Win the day” theme, said Doron Stern, vice president for marketing at Agro Farma in New Berlin, N.Y., in that “it talks to the insight that moms, and to some degree dads, struggle with choices for products for their children.”

Parents want products that are healthy, to make them happy, and tasty, for “happy kids,” he added. “We can offer both.”

Ms. Finch’s role in the commercial echoes the casting of the commercials for Chobani, Mr. Stern said, which feature “real people” like a student from Cortland, N.Y., and an office worker from Richmond, Va.

The Chobani Champions commercial begins with a couple of lighthearted nods to the athletic prowess of Ms. Finch, who calls herself, tongue in cheek, “a typical mom.” In one scene, she stops at a booth at an amusement park and knocks over enough bottles to win Ace a giant stuffed bear. Then, at his baseball game, she casually catches and tosses a ball without paying much attention.

“And just like any typical mom, I’m thrilled when my champion loves to eat something nutritious like Chobani Champions yogurt,” Ms. Finch says.



The spot ends with Ms. Finch proudly placing Ace’s (tiny) trophy on a mantel in a living room, in between her Olympic medals.

“So even though I’m an Olympian,” she says, “around here I’m just another mom trying to help her champion win the day.”

The humorous tack is important, said Jay Benjamin, chief creative officer at Leo Burnett New York, because “while these products are healthy products, they should still be able to have fun.”

Without that, he added, they risk being perceived as too serious or self-important, in the vein of an oft-quoted New Yorker cartoon from 1928 in which a daughter tells her mother at the dinner table, “I say it’s spinach, and I say the hell with it.”

“We loved the idea” of basing the commercial on the premise that Ms. Finch “may be an Olympic medalist,” Mr. Benjamin said, “but like every mom she’s facing the same challenge: feeding her kids.”

As for plans with Ms. Finch after the 2012 Summer Olympics, “I’m sure we’ll be seeing more of her,” he said, because she is “a great ambassador for the brand.”

Agro Farma also has big plans for the Chobani brand, which include a second plant to join one in New Berlin. A job fair for the new plant, in Twin Falls, Idaho, recently drew hundreds of applicants.

As for additional new products, “we have a lot of innovative, exciting ideas cooking up in our labs,” Mr. Stern said.

nytimes.com



To: richardred who wrote (1448)9/14/2012 10:50:17 AM
From: richardred1 Recommendation  Read Replies (1) | Respond to of 3363
 
Hidden Chobani Billionaire Emerges as Greek Yogurt Soars



By Devon Pendleton - Sep 14, 2012 10:39 AM ET


Billionaire Behind Chobani Yogurt Sued by Ex-Wife

A shuttered plant, a small business loan and Americans’ growing taste for Greek-style yogurt combined to make 40-year-old Turkish immigrant Hamdi Ulukaya a billionaire.





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Hamdi Ulukaya, CEO of Chobani Greek Yogurt, at his plant in South Edmeston, N.Y. Photographer: Mike Groll/AP Photo



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Chobani, the best-selling yogurt brand in the U.S., has given Hamdi Ulukaya a net worth of at least $1.1 billion, according to data compiled by Bloomberg. Source: Chobani Inc.




Chobani, the best-selling yogurt brand in the U.S., has given Ulukaya a net worth of $1.1 billion, according to the Bloomberg Billionaires Index. He is founder and sole owner of Chobani Inc., whose sales have quintupled since 2009, and has never appeared on an international wealth ranking.

Based in Norwich, New York, the company -- formerly known as Agro-Farma Inc. -- began producing Chobani five years ago. It controls about 17 percent of the U.S. yogurt market, more than double the share of Yoplait Original, according to Chicago-based market research firm SymphonyIRI Group. The Yoplait Original brand, which is made by Yoplait USA Inc., is a subsidiary of Minneapolis-based General Mills Inc. (GIS)

“Chobani’s growth is unbelievable,” said Sam Hamadeh, chief executive officer of PrivCo, a New York-based firm that analyzes private companies’ financial data, in an interview earlier this month. “If you blocked out its name, you’d think it’s a software company.”

Chobani says on its website that it processes more than 3 million pounds of milk every day. The company’s revenue more than doubled to $745.6 million in the year ending May 13, 2012, according to London-based research company Mintel Group Ltd. The company’s $1.1 billion valuation is based on the average enterprise value-to-sales and enterprise value-to-Ebitda multiples of two publicly-traded dairy companies, Danone SA (BN) and Saputo Inc. (SAP)

Classified Advertisement Ulukaya’s grip on the company is being threatened by competitors and his ex-wife, Ayse Giray, a pediatrician, who sued him in New York last month seeking more than half of Chobani.

The billionaire, in an e-mailed statement sent by Nicki Briggs, a company spokeswoman, said the suit is “without merit.” He declined to discuss his net worth.

Richard Feldman, Giray’s lawyer at New York-based Rosenberg Feldman Smith LLP, declined to comment.

Ulukaya came to the U.S. in 1997 from Turkey, where his family operated a dairy farm. After taking a few business courses at the State University of New York at Albany, he began making feta cheese at a factory in Johnstown, New York.

He got into the yogurt business in 2005, after seeing a classified advertisement for a factory near Utica, New York, that Northfield, Illinois-based Kraft Foods Inc. (KFT) had shuttered. He bought the facility with help from a Small Business Administration loan. The first cases of Chobani Greek yogurt were shipped to Long Island supermarkets less than two years later.

Turkish Shepherd Since 2009, sales of Chobani have increased almost 400 percent, according to PrivCo. That surge has been fueled in part by Americans’ appetite for Greek-style yogurt, which contains less sugar and more protein than the regular variety. Greek yogurt is strained to remove excess liquid, leaving the concentrated whey protein behind. A 6-ounce serving of Chobani yogurt contains 13 grams of protein.

“At a consumer level, the Greek yogurt trend is the biggest innovation in the dairy industry since individual packaging of things like yogurt and mozzarella sticks,” said Robert Ralyea, head of Cornell University’s Food Processing and Development Laboratory. The company, he said, has “marketed it really well.”

Chobani, whose name is derived from the Turkish word for shepherd, was a London Olympics sponsor this summer. One of its TV advertisements touted its grass-roots origins, with scenes of a rural community building a makeshift theater to watch the games. In July, the company opened its first retail store, in Manhattan’s SoHo neighborhood. The yogurt bar offers 10 different combinations of toppings and sells bottled water branded with the name of the company’s foundation, Shepherd’s Gift.

Ex-Wife Sues According to Nielsen Co. data, Chobani controls half of the U.S. Greek yogurt market, a segment whose sales have doubled every year since 2009.

Competition looms. Alpina Foods, the U.S. arm of Bogota, Colombia-based food manufacturer Alpina Productos Alimenticios SA, and Purchase, New York-based PepsiCo, Inc. -- through its joint venture with German dairy company Theo Muller GmbH -- are building Greek yogurt plants 175 miles from Chobani’s headquarters.

The U.S. plant of the country’s second-most popular Greek yogurt, Fage, is about 90 miles away, in Johnstown. Sales of the brand, which is made by Fage Dairy Industry, have grown at an average annual rate of 34 percent since 2009, according to a bond rating outlook by Moody’s Investors Service.

Ulukaya is also under fire from his ex-wife, Ayse Giray, who sued him on Aug. 13 in New York State Supreme Court, demanding a 53 percent stake in Chobani.

Defunct Factory According to court filings, Giray claims she gave Ulukaya $500,000 between 1997 and 2003 to help start and build his original feta cheese business in return for a majority stake in the company.

Giray says instead of using the funds to expand the cheese operation, Ulukaya spent some of the money to acquire the defunct Kraft Foods factory and start Agro-Farma. The couple divorced in 1999.

When Giray learned of the new yogurt business in 2007, she confronted Ulukaya, who agreed that her interest in the feta unit applied to Agro-Farma as well, according to the complaint. The suit also alleges that Ulukaya then refused to pay her share of the profits from Chobani or the cheese business, and has misappropriated her stake in the operation.

“The real story here is the collective success of Chobani and how we as a company, through our fans and community, have left an indelible mark on the yogurt industry,” Ulukaya said in a statement.

bloomberg.com