Boycott Who? Tnuva Kept Cottage Cheese Market Share

Over a month after dairies dropped their cottage cheese prices in response to a consumer boycott, Tnuva, the country's largest dairy, managed to retain its hold on the market.

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Blessed are the cheesemakers' bottom line.

Over a month after dairies dropped their cottage cheese prices in response to a consumer boycott, Tnuva, the country's largest dairy, managed to retain its hold on the market. Its share held steady in July at 56.7%, about the same as July of last year, according to the StoreNext market research firm.

Tnuva dairy products.

The Strauss dairy increased its retail dairy market share slightly, from 23.1% in July 2010 to 23.3% this year at the expense of Tara, whose slice of the market dipped to 10.2% from 10.4%.

Tnuva managed to increased its share of the cottage cheese market slightly, but that didn't increase its revenues from the product.

The protests over the price of cottage cheese resulted in a 3% decline in the number of cartons sold compared to July of last year, while revenue from cottage cheese declined by 18.5% compared to July 2010 due to price reductions. The dairies agreed to lower prices, ending the weeks-long boycott, on June 29.

The slight increase in Tnuva's share of the cottage cheese market appears to be the result of the fact that a year ago its product was selling at a higher average price because Strauss and Tara curds were the subject of more regular promotional sales.

Currently, however, cottage cheese from all three major dairies is generally sold by the supermarket chains for the same price.

Recently a number of Facebook groups have sprung up calling for a boycott of Tnuva, but even a source at one of the competing dairies predicted that Tnuva would not be hurt by boycott efforts. "Everyone says they're going to boycott Tnuva, but they're buying as usual," he said.

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