Market Opportunity

Our Growth

We see significant growth potential for our yogurt products. We have unlocked meaningful new whitespace in adjacent categories through the highly successfully recent launches of our oat milk, coffee creamer, ready-to-drink coffee, and plant-based probiotic beverage product lines. Net sales for our Yogurt products for 2020 and the nine months ended September 25, 2021, were $1,243.7 million and $1,045.2 million, respectively. Net sales for our Other products, which include cream, Chobani Oat Milk, Chobani Coffee Creamers, ready-to-drink Chobani Coffee, and Chobani Probiotic beverages, for 2020 and the nine months ended September 25, 2021, were $157.7 million and $167.8 million, respectively. For the nine months that ended September 25, 2021, 39% of our product net sales were generated by product innovations in North America, which include innovations in the yogurt category, such as Chobani Flip yogurt snacks, Chobani

Less Sugar Greek yogurt, drinkable yogurt and Chobani

Complete lactose-free Greek Yogurt and our non-dairy yogurt alternatives, and innovations in our new categories, Chobani Oat Milk, Chobani Coffee Creamers, ready-to-drink Chobani Coffee and Chobani Probiotic beverages. We expect new and existing consumers of our newest product platforms to also support demand for our established yogurt products.

Non-Dairy Probiotic Beverages

During the 52 weeks that ended October 16, 2021, the overall non-dairy probiotic beverage market grew 5.3% year-over-year, while the smaller, non-kombucha, non-dairy probiotic beverage subset, which includes products like our plant-based probiotic beverages, has expanded the category and grown 11.4% over the same time period. In June 2020, Chobani launched Chobani Probiotic, a full portfolio of fermented, plant-based probiotic beverages with immunity, digestion, and gut health-supporting probiotics. Since then, we have also launched dairy probiotic yogurts and drinks and Little Chobani Probiotics for kids, including pouches and shakes, to increase the visibility and availability of probiotics within our product assortment. Chobani Probiotic currently sells in more than 12,500 retail locations. In the 13 weeks that ended October 16, 2021, total Nielsen reported sales of Chobani Probiotic grew 56% as compared to the prior 13-week period.

Coffee

The U.S. dairy-based coffee creamer segment represents 12.8% of the total U.S. coffee creamer category as of the 13 weeks that ended October 16, 2021. Following its launch into the dairy coffee creamer category in December 2019, Chobani secured the #4 position within the category with 11.4% of the total Nielsen reported market share for the 13 weeks that ended October 16, 2021. For the 13 weeks that ended October 16, 2021, total Nielsen reported sales of Chobani Coffee Creamers have grown 99.4% as compared to the same period in the prior year. In the overall plant-based coffee creamer category, oat creamers continue to drive growth, with Chobani Oat Creamers outpacing the category in total Nielsen reported sales. Chobani benefits from our consumers’ desire to consume delicious products that are made with fewer natural ingredients. We also offer a full line of oat-based coffee creamers that are made with gluten-free oats and natural flavors. The coffee creamer category, like many others, is benefiting from a variety of both dairy- and plant-based options, which are disrupting the category with their craft product positioning.

Coffee Creamers

The U.S. ready-to-drink coffee market generated approximately $2.3 billion in total Nielsen reported sales for the 52 weeks ended October 16, 2021, and is growing at 18.6% for the last 13 weeks ended October 16, 2021. The ready-to-drink coffee market continues to benefit from the long-term, secular consumer trend towards convenient, on-the-go consumption due to consumers’ increasingly busy lifestyles. In January 2021, ready-to-drink Chobani Coffee launched with four SKUs: Pure Black, Sweet Cream, Vanilla Cream, and Oat Milk. During the 52 weeks that ended October 16, 2021, total Nielsen reported sales of ready-todrink multi-serve Chobani Coffee have grown 45.1% and our multi-serve cold brew offering has been well received since it reached shelves in April 2021. Ready-to-drink Chobani Coffee’s speed to market benefited greatly from our ability to leverage our existing assets and capabilities, including our manufacturing lines in our production facilities and other product inputs and ingredients, such as our coffee creamers and oat milk.

Yogurt

Since June 2020, Chobani has been the #1 brand in the total Yogurt category. Following three consecutive years of market share growth in the total Yogurt category, Chobani is the category leader with a 20.2% market share as of the 13 weeks that ended October 16, 2021. Chobani is also the market leader within Greek Yogurt, and as of the 13 weeks ended October 16, 2021, holds 43.5% total Nielsen reported market share. Over the past three years, Chobani has had the highest market share increase among the top three players, who collectively hold approximately 52.3% share based on total Nielsen reported sales as of 13 weeks ended October 16, 2021. In the 52 weeks that ended October 16, 2021, the total yogurt category grew 3.4%, while Chobani significantly outpaced the market, growing 9%.

Plant–Based Milk

The U.S. oat milk market, specifically, has experienced explosive growth in recent years and is the fastest-growing segment of plant-based milk. In the 52 weeks that ended October 16, 2021, it was a $376 million category, growing 79.6% year-over-year. Oat milk is gaining a significant share within the overall plant-based milk category, rising from 10.7% to 17.6% during the 52 weeks that ended October 16, 2021, compared to the prior 52-week period. Oat milk is also taking share from other popular plant-based milk alternatives, like almond milk, whose market share decreased from 67.8% to 63.9% over the same time period.