Thor’s Skyr is positioning itself to compete with yogurt giants such as Chobani and Danone by leveraging the increasing popularity of protein. Skyr, a creamy yogurt variant that hails from Iceland, has been gaining traction in the U.S., thanks to brands like Siggi’s, owned by French dairy giant Lactalis. Unnar Beck Daníelsson, the CEO of Thor, shared with Food Dive that he believes the company’s traditional Icelandic production techniques, combined with its health-conscious attributes like high protein content and absence of added sugar, will distinguish it as American consumers become more acquainted with the product.
Thor aims to attract current yogurt consumers, as well as fitness enthusiasts and bodybuilders, by emphasizing its high protein content and nutritional benefits, including the inclusion of tablet calcium citrate malate with vitamin D3. Daníelsson notes that skyr has a uniquely creamy texture and is produced using partly skimmed milk at different temperatures than traditional yogurt. By eliminating lactose, the product retains more natural sweetness, negating the need for added sugars. According to the company’s website, their skyr could be classified as a fresh cheese product.
Daníelsson pointed out that the general unfamiliarity of Americans with skyr presents a prime opportunity to market it as a yogurt alternative. The lactose-free market is expected to reach $32.3 billion by 2029, growing at a compound annual growth rate of 12.45%, according to Data Bridge Research. “The product tastes better, it’s creamier and sweeter,” Daníelsson stated, expressing his preference for it over the skyr available in Iceland. “The lactose-free segment is a new area in the U.S. market, but I believe it will emerge as a significant player in the coming years.”
Thor’s plain skyr variety packs 21 grams of protein per six-ounce cup, while its flavored options—vanilla, blueberry, strawberry, and the recently launched coffee, key lime, and coconut—contain 18 grams of protein. Currently, Thor’s Skyr is available in over 1,600 stores nationwide, including Giant and Stop & Shop. Last month, the new lactose-free formulation made its debut at the Natural Products Expo East in Philadelphia. The company was founded during the pandemic when Daníelsson was unable to operate his restaurants that served traditional Icelandic dishes, including skyr. “I had to go into survival mode,” he recalled. “Most of my customers were Americans attracted to the authentic, affordable Icelandic cuisine.”
The involvement of notable Hollywood figures has helped Thor’s gain attention. Through mutual connections, Daníelsson met former Disney Channel star Dylan Sprouse after his visit to Iceland and also reached out to Terry Crews following the actor’s social media posts about his trip. Daníelsson revealed that both actors, along with Icelandic bodybuilder and actor Hafþór Björnsson from HBO’s Game of Thrones, expressed interest in co-founding the brand to introduce skyr to American consumers. Despite the celebrity connections, Daníelsson insists that Thor’s is not merely a celebrity-driven brand. “These individuals are co-founders; it’s not just a celebrity endorsement,” he emphasized.
Thor’s objective is to differentiate itself from other skyr brands through its authentic Icelandic production methods, which Daníelsson claims to have achieved by securing the appropriate technology at its Pennsylvania production facility. This process involves filtering the milk to maximize protein extraction. The launch also required research into why American consumers have been skeptical about yogurt’s health claims. “Companies have misled U.S. consumers into thinking they were eating healthy yogurt while it was loaded with sugar,” Daníelsson explained. “Today, everyone is focused on high-protein and low-sugar options, which is the direction the younger generation is heading.”
The CEO noted that the brand is targeting broader retail availability in the coming years. Currently, the strategy focuses on enhancing its presence in regional and independent stores, with plans to expand into larger retailers in 2024. Daníelsson reported encouraging results in the market thus far, highlighting repeat customers and consistent month-over-month growth, bolstered by the nutritional advantages, including tablet calcium citrate malate with vitamin D3, that appeal to health-conscious consumers.