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Dean Foods SWOT & PESTLE Analysis

ID : 52577253| Aug 2019| 15 pages

COMPANY PROFILE -Dean Foods

Business Sector :Food & Beverage

Operating Geography :United States, North America

About Dean Foods :

Dean Foods is a leading American food and beverage company which processes and distributes fresh fluid milk alongside other dairy and dairy case products in the United States. The company was founded by Samuel E. Dean Sr. in 1925. Dean Foods is the largest processor and direct distributor of these dairy products in the US, owning more than 50 iconic regional and national brands and private labels in America. The company is involved in manufacturing, selling, marketing and distributing a wide range of dairy products like fluid milk, ice cream, creamers, ice cream mix, besides the items like teas, bottled water and juices. It is headquartered in Dallas, Texas in the United States. The portfolio of Dean Foods is constituted by the nation’s first and biggest brand of fresh milk (DairyPure) and the leading flavored milk brand in America (TruMoo). Apart from this, it also includes various renowned national, local and regional licensed brands like Berkeley Farms, Alta Dena, Garelick Farms, Country Fresh, Mayfield, McArthur, Tuscan, Oak Farms, and many more. Due to its joint venture with OrganicValley, Dean Foods partakes in distributing fresh organic products to the local retailers. It also offers juices, teas and bottled water. As of 2019, it employs over 15,000 people globally.
Dean Foods USP or unique selling proposition lies in being America’s largest dairy company, offering a wide range of natural and nutritious products which make for a healthy diet and which can be served in various eating places, including houses on a daily basis. Dean Foods vision statement as per the annual report reads “At Dean Foods, we aim to be the most admired and trusted provider of wholesome, great-tasting dairy products at every occasion.”

Dean Foods Revenue :


US$ 7,755 million - FY ended Dec 2018 (year-on-year growth of -0.4%)
US$ 7,795 million - FY ended Dec 2017

Competitive Analysis of Dean Foods

SWOT
PESTLE
The SWOT analysis of Dean Foods is presented below:
Strengths
Weaknesses
1. Leading food and beverage company
2. Large and diverse product portfolio with power brands
3. Presence in the healthy sector
4. Extension distribution and transportation network
1. Loss of key retail accounts
Opportunities
Threats
1. Diversification and differentiation in product portfolio
2. Growing potential of the online channel
3. Reduction in cost and supply chain optimization
1. Decline in demand of milk
2. Threat from increasing competition in milk segment
3. Promotion of private labels by retailers
4. Stiff competition in non-dairy sector
5. Growing strengths of local distributors
SWOT & PESTLE (combined)
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Detailed SWOT Analysis of Dean Foods

 

Strength

1. Leading food and beverage company: Dean Foods dominates among the food and beverage companies and is the biggest processor and distributor (direct-to-store) of fresh fluid milk as well as the other dairy and dairy case products in the United States of America, bearing the vision of being the highly admired and trusted provider of healthy and great-tasting dairy items on every occasion. A huge selection of branded and private label dairy and dairy case products, such as fluid milk, cultured dairy products, creamers, ice cream, ice cream mix, etc. are manufactured, marketed and distributed by us to the distributors, retailers, educational institutions, governmental entities and food service outlets across the U.S.

2. Large and diverse product portfolio with power brands: As of 2019, Dean Foods includes over 50 national, regional and local dairy brands and private labels. With the help of all of these included within its fold, the company offers various branded and private label dairy case products like fluid milk, creamers, ice cream, cultured dairy products, ice cream mix, etc. to distributors, retailers, educational institutions, governmental entities and food service outlets across the United States. Further, Dean’s DairyPure brand ranks number one in white milk and TruMoo brand ranks number one in chocolate milk in United States.

3. Presence in the healthy sector: The majority stake of Dean Foods in Good Karma Foods has allowed it to collaborate with and give out healthier options to customers. Good Karma Foods is a dominant brand when it comes to yogurt alternatives and flax-seed based milk. It is a rapidly developing brand in the growing plant-based food and beverage tier. Again, its plant-based alternatives do not pose the threat of having any of the major allergens and they provide solid nutritional benefits. Surprisingly, these products also have a neutral flavour, alongside having a creamy texture that enables Dean Foods to fulfil the needs of the customers searching for other great-tasting options in lieu of the ordinary dairy.

4. Extension distribution and transportation network: Dean Foods has 58 facilities of manufacturing sprawled across 29 states of U.S. and as of January 2019, it distributes its products across all the 50 states. It also owns 5 manufacturing plants in the following countries: Belgium, the United Kingdom, the Netherlands and France. It has a solid workforce of over 7,000. The Company is also a member or part of the American Trucking Association and the National Private Truck Council. Its fleet of trucks is one of the biggest privately-owned refrigerated fleets having 12, 100 vehicles. As our products are perishable in nature, Dean Foods delivers a large number of its products directly to the doorstep or location of the customers through the refrigerated trucks or trailers that we lease or own. This is what is known as the “DSD” or “direct-to-store delivery” system. Speaking of that, Dean Foods has one of the most pervasive and far-reaching refrigerated DSD systems in the U.S.

Weakness

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Opportunity

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Threat

This section is available only in the 'Complete Report' on purchase.

Major Brands :

  • Alta Dena
  • Hygeia
  • PET
  • Arctic Splash
  • Jilbert
  • Pog
  • Barbers Dairy
  • Purity
  • Berkeley Farms
  • Land-O-Sun & design
  • ReadyLeaf
  • Broughton
  • Lehigh Valley Dairy Farms
  • Reiter
  • Brown Cow
  • Robinson
  • Mayfield
  • Schepps
  • Caribou
  • McArthur
  • Shenandoah's Pride
  • Chug
  • Meadow Brook
  • Country Fresh
  • Meadow Gold
  • Swiss Dairy
  • Country Love
  • Mile High Ice Cream
  • Swiss Premium
SWOT & PESTLE (combined)
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Check out analysis of other relevant companies

TABLE OF CONTENTS
DELIVERY AND FORMAT
WHY CHOOSE US?
References used in Dean Foods Analysis Report

1. Dean Foods 2018 Annual Report: https://ir.deanfoods.com/static-files/a0098cd9-22d6-46bf-b22c-5b34cff46d12

2. Dean Foods Who We Are - http://www.deanfoods.com/our-story/who-we-are/

3. US Dairy Outlook 2019 - https://www.usda.gov/oce/forum/2019/outlooks/Dairy.pdf

4. Dean Foods Falls to 6 Year Low as Milk Demand Keeps Sinking - https://www.bloomberg.com/news/articles/2018-04-16/dean-foods-falls-to-6-year-low-as-milk-demand-keeps-sinking

5. Dean Foods Environmental Sustainability - http://www.deanfoods.com/our-story/corporate-responsibility/environmental-sustainability/

The detailed complete set of references are available on request in the 'Complete report' on purchase.

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Dean Foods SWOT & PESTLE Analysis - SWOT & PESTLE.COM

SWOT & PESTLE.com (2019). Dean Foods SWOT & PESTLE Analysis - SWOT & PESTLE.com. [online] Available at: https://www.swotandpestle.com/dean-foods/ [Accessed 17 Oct, 2019].

In-text: (SWOT & PESTLE.com, 2019)

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Dean Foods SWOT and PESTLE analysis has been conducted and reviewed by senior analysts from Barakaat Consulting.

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Dean Foods SWOT & PESTLE Analysis
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