Dairy is winning with consumers and the national checkoff is helping lead the charge, thanks to investments in research, marketing, partnerships and innovation.
That was the message from Dairy Management Inc. (DMI) President and CEO Barbara OโBrien at the 2025 Joint Annual Meeting of the United Dairy Industry Association, the National Dairy Promotion and Research Board and the National Milk Producers Federation, which drew nearly 800 farmers and industry representatives to Arlington, Texas, Nov. 10-12.
โOver the last few months, I spent time visiting local promotion boards and going on farms in Michigan, Maine, Kansas and more,โ OโBrien said. โVisiting farms offered valuable insights into various business operations, technology and teamwork that define dairy farming today, regardless of geography or scale.
โTheir story is our story โ rooted in tradition, fueled by innovation and united by a belief that together, we can achieve what no single farmer can do alone. Thatโs the premise on which dairy checkoff was founded, and itโs the spirit that drives our industry forward today.โ
OโBrien said the checkoffโs mission is clear: to turn farmersโ and importersโ investment into momentum by building trust, growing demand and securing a strong future for U.S. dairy.
โWe bring science, scale and speed-to-market on behalf of farmers and importers,โ she said. โTogether, that collective strength drives results for dairy in powerful, measurable ways.โ
According to Circana retail data, dollar and unit sales are up across eight of 10 top dairy segments and real dairy products are growing nearly 6% year over year. Across key refrigerated categories, dairy products generate seven times more sales than plant-based alternatives, which are now in decline.
Three out of four U.S. households purchased a dairy product in the past week, OโBrien said, while nearly two-thirds specifically bought milk, cheese or yogurt.
โWhen it comes to dairy, consumers are looking for the real thing,โ she said. โAnd that didnโt happen overnight. Itโs the result of years of research, collaboration and consistent farmer investment.โ
Analysis Confirms Checkoffโs Value
The meeting featured a presentation by Dr. Oral โJugโ Capps Jr., executive and regents professor at Texas A&M University, who has evaluated dairy promotion programs since 2011. His independent economic analysis showed substantial positive impacts from checkoff-funded efforts in four key areas: domestic foodservice partnerships, fluid milk innovation, whole-fat science and dairy exports.
The findings โ though not comparable to one another โ found:
- Foodservice partnerships with McDonaldโs, Taco Bell and Dominoโs contributed to 18.5 billion additional pounds of dairy sold at retail, providing $875.9 million cumulatively to farmers from 2009-24. For every dollar invested by dairy farmers and importers, Cappsโ research found the net return is $3.49.
- Fluid milk innovation from 2018-24 contributed 10.4 additional pounds sold per dollar spent, totaling $121.5 million in benefit and a return of $1.68.
- Whole-fat science research from 2012-24 generated 8.2 billion additional pounds sold and nearly $400 million in cumulative value for a return of $34.55.
- Dairy export promotion resulted in 43.5 additional pounds exported per dollar spent, translating to $4.6 billion in value to farmers from 2013-24, returning $12.17 on the dollar.
Dr. Capps emphasized that each analysis was independently verified and met rigorous economic and statistical standards.
โThe bottom line when examining each of the four areas is that there are healthy returns to dairy farmers and importers,โ Capps said. โThe investments are highly successful in boosting volumes of dairy products sold.โ
Building Trust Through Science, Storytelling
OโBrien said a major emphasis of the past year has been building consumer trust by addressing what DMI calls โFuels and Frictionsโ โ the factors that either strengthen or challenge dairyโs reputation. Checkoff programs leaned into dairyโs โfuelsโ of taste, health and science-backed nutrition while addressing โfrictionsโ such as questions about animal care and sustainability.
One example was an educational campaign focused on dairyโs role in the First 1,000 Days of Life, developed by DMI and promoted through the checkoff-founded U.S. Dairy Export Council (USDEC), state and regional checkoff teams and MilkPEP. This work โ highlighting dairyโs important role in brain health and cognition โ reached more than 60,000 pediatric specialists and generated 21 million media impressions.
On the sustainability side, the โSee Dairy Differentlyโ campaign placed stories about dairy farmersโ environmental progress in major media outlets such as The Economist, Washington Post and Forbes, earning above-average engagement and driving consumers to learn more at www.USDairy.com. Consumer surveys showed significant gains, with perceptions of dairyโs relevance and nutritional value both rising in 2024.
โTrust builds when people understand who we are, what we stand for and how we care for our animals, land and communities,โ OโBrien said. โThatโs why our marketing and communication efforts meet consumers where they are โ whether itโs in schools, fitness programs, food shows or even online gaming platforms.โ
Partnerships Continue to Deliver Growth
DMIโs partnerships with leading foodservice and retail brands remain a cornerstone of demand growth. Despite a challenging economy and cautious consumer spending, dairy use increased more than 8 percent each at Dominoโs, Taco Bell and Raising Caneโs.
These results come from checkoff-led menu innovation that highlights cheese, milk and other dairy ingredients in new and exciting ways, from Dominoโs four-cheese mac & cheese and Taco Bellโs dairy-based beverage line to Raising Caneโs menu that features dairy in multiple components.
Beyond foodservice, retail collaborations such as DMIโs โWe Are Familyโ e-commerce campaign with Instacart, Walmart and Costco are keeping dairy top of mind with families and young adults. The 2025 back-to-school activation generated 1.5% sales growth in participating markets and brought new buyers into the category.
DMIโs checkoff-funded research continues to yield new insights that strengthen dairyโs position in the health and wellness landscape. More than 40 active studies are underway exploring dairyโs benefits for heart, gut and mental health, along with the Mayo Clinic collaboration to advance understanding of dairyโs role in cardiovascular and metabolic wellness.
OโBrien said innovation extends across the supply chain.
โProducers are diversifying their operations and focusing on milk that meets modern market needs,โ she said. โYouโve driven remarkable progress in milk composition and efficiency, and processors have followed suit, investing over $11 billion in new and expanded processing capacity. Thatโs transformation in motion, and checkoff-funded science helped spark it.โ
Farmers at Heart of Dairyโs Progress
Marilyn Hershey, DMI chair and Pennsylvania dairy farmer, told attendees that the checkoffโs success depends on collaboration across the national, regional and local systems.
โThis yearโs meeting theme, Driving Results for Dairy, captures what weโre doing together โ less duplication, more action,โ she said. โNational programs rely on local engagement, and local programs depend on unified national priorities that make every farmer dollar work harder.โ
Hershey encouraged farmers to take pride in dairyโs momentum.
โOur dairy consumption is at an all-time high, full fat is celebrated, protein is powerful and we want to keep that momentum rolling,โ she said. โAnd we need to! A few years before my parents started dairy farming, each farmer was feeding 25 people. Today, we are responsible for approximately 166 people worldwide. And that number will only grow, but the responsibility is real.โ
OโBrien closed her remarks by thanking farmers for their partnership and perspective.
โAt the heart of every result we deliver is your dedication,โ she said. โYour investment fuels a future where dairy doesnโt just keep up with food trends โ it sets them.โ
