Danone is actively expanding beyond the traditional yoghurt segment by developing protein products in new categories. According to Dairy Reporter, the company is focusing on long-life formats, plant-based protein and the meal replacement segment.

Danone remains the market leader in the high-protein yoghurt segment in the US, but is expanding its portfolio into new categories to sustain growth. Around a year ago, the company launched its Oikos brand in the long-life protein drinks segment, targeting demand for ready-to-drink (RTD) products and consumption outside of refrigerated sections.

The market for such drinks is worth over $7 billion and is growing at double-digit rates, making it an attractive opportunity for brand expansion.

Expansion beyond the yoghurt category

In the drinks sector, Oikos is positioned as a product for on-the-go consumption and functional nutrition, as well as a part of the meal replacement market.

Rafael Acevedo, President / GM Dairy Yogurt, Protein Shakes, Kids Nutrition, at Danone US said: “That combination tells us the product is not only attracting attention, but earning repeat, which is a critical indicator of long-term relevance in this space.”

The switch to the RTD format has enabled the brand to tap into new consumption scenarios and attract an audience that does not regularly consume yoghurt but does regularly purchase protein products.

Innovation and product development

The development of long-life protein drinks required new approaches to formulation in order to ensure nutritional value without the need for refrigeration.

“We are consistently challenging ourselves to refine protein quality, taste, and texture across categories, from dairy to plant-based, and Oikos Protein Shakes is one example of how we brought this leading technology to center aisle,” said Susan Zaripheh, chief research and innovation officer at Danone US & Canada.

In 2025, the Oikos brand exceeded €1 billion in revenue in the US.

The company is also expanding its plant-based protein range, notably through the launch of Silk Protein, which, according to Danone, has the highest protein content of any plant-based milk in the US chilled segment.

Demand for protein remains high

Innovation is driven by steady demand: according to data from The Hartman Group for 2026, 35% of Americans have increased their protein intake.

“Spurred by the rise of GLP-1 usage, there’s growing recognition that proteins are essential for overall health and muscle maintenance at every stage of life and across all lifestyles,” noted Zaripheh.

At the same time, consumers are increasingly focusing not only on the quantity of protein, but also on its quality, digestibility and regularity of intake.

The company also combines protein with fibre, low sugar content, vitamins and minerals, with a focus on functional nutrition.

Meal replacements as a new trend

In 2026, Danone expanded its operations in the meal replacement segment: it first launched the Alpro Meal To Go product in Europe, and subsequently acquired Huel in a deal worth €1.2 billion.

Chief Financial Officer Jürgen Essert said: “It increases our exposure to fast-growing markets, both in Europe and in the US, and so it will enhance our growth profile in both regions.”

According to him, out-of-home consumption is growing faster than retail sales, and long-life products are playing a key role in this trend.

Source: Dairy Reporter