Danone Have Just Cut Their Dairy Ad Budget, And Here's Why!

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?Danone is a multinational food-products corporation based in Paris

?Danone is a multinational food-products corporation based in Paris

Yogurt giant plans to spend less on dairy advertising and shift focus to plant-based company WhiteWave Foods, their new acquisition.

Danone plan to cut costs over the next three years by $1.1 billion, according to an announcement at their 2016 annual results conference last week.

CFO Cecile Cabanis stated that the marketing budget would be particularly affected, motivated by reduced dairy demand and increased milk prices.

In July last year, Danone announced its acquisition of food company WhiteWave, who last week revealed that its total net sales were up nine percent from last year. WhiteWave are the parent company of several plant-based brands including Silk, So Delicious, and Vega.

The dairy-free market is expected to surpass $35 billion by 2024, with a predicted annual growth rate of at least 10%.

The dairy-free market is expected to surpass $35 billion by 2024, with a predicted annual growth rate of at least 10%.