Blue Buffalo
2018
$8.0B
Why
General Mills made its largest acquisition ever by purchasing Blue Buffalo, the leading natural pet food brand in the United States, to enter the fast-growing premium pet food market. Pet food was experiencing structural growth driven by pet humanization trends that consumers were trading up from commodity pet food to premium and natural options.
Impact
Blue Buffalo immediately became General Mills largest single brand by revenue, generating over 1.5 billion dollars annually. The acquisition brought General Mills into retail pet specialty channels including PetSmart and Petco alongside traditional grocery, expanding its distribution footprint.
Outcome
Blue Buffalo has continued to grow under General Mills ownership and has extended into additional product lines including wet food, treats, and veterinarian-recommended formulas. The acquisition validated General Mills strategy of diversifying beyond human food into the premium pet nutrition segment that continues to outgrow most consumer staples categories.