Fueling Dannon's Launch into the KETO Market

The Ketogenic diet (KETO) has grown significantly in popularity in recent years, as followers touted significant weight loss and better overall health. Comprised of a diet of low carbohydrates and high fat and protein, the absence of sugar to burn kept followers’ bodies in a state of fasting, burning fat for fuel.

To capitalize on this trend, Dannon wondered if they could position their Two Good Greek-style low fat yogurt to appeal to KETO dieters while not losing interest from non-KETO users. It seemed a natural fit. Although not currently marketed as a KETO product, Two Good is high in protein and low in carbohydrates, and it comes in a variety of delicious, lightly sweet fruit flavors, without added carbohydrates or sugar thanks to the use of Stevia.

Dannon partnered with 360 Market Reach (now Leger) to get a better understanding of Ketogenic Dieters’ philosophies and dietary needs as a baseline in addition to general yogurt consumers’ perceptions of products labeled as “keto-friendly” through an online quantitative survey. In addition to attitudes and usage measures, consumers were shown one of three concepts of the Two Good product labeled with #ketofriendly and icons specifying the KETO-friendly fat source (MCT Oil, Olive Oil or Avocado Oil). These fat sources are nutritional staples to the KETO diet, and they increase the fat content in the Two Good product to meet the nutritional requirements allowing the KETO-friendly label.

The result of this research informed Dannon about potential product success as well as cannibalization risks. 360 Market Reach (now Leger) guided Dannon on product launch potential, optimal brand positioning to provide new usage without cannibalization, and key flavors needed to make this unique. In addition, specific on-package messaging was selected and optimized to ensure maximum appeal, during the current KETO craze and well into the future.

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