We have a deep understanding of the coffee buying process, which helps us meet the needs of consumers economically and also take into account the needs of suppliers. This commitment includes having employees in major coffee-producing regions to ensure the relationships and transparency needed to fulfill our promise. Crafting unique flavors from different geographies requires time, diligence, and passion, and we are proud to offer delicious roasts and varieties for all coffee lovers. This commitment is maintained throughout the entire process.
At The J. M. Smucker Company, you can reach your full potential with the support of our team. Through acquisitions from other companies, coffee is now JM Smucker's core business, and its Folgers brand is the largest in North America, accounting for nearly 20% of retail volume.
Other brands include Millstone, Café Pilon, Café Bustelo, and Kava. In January, P&G announced that it would split or separate Folgers as it focused on faster-growing segments such as health and beauty. P&G President and CEO A. G. Lafley said in a statement that selling the business to Smucker in a tax-free stock deal meets the P&G targets set when it announced plans to divest from Folgers: maximizing the after-tax value of the coffee business for P&G shareholders and minimizing earnings per share dilution.
The deal is also better for P&G shareholders than a direct spin-off due to cost savings and other benefits Smucker can gain by combining Folgers with its existing portfolio, Lafley said during a conference call with analysts. Sales are expected to increase 6% annually in the long term, with gains 8%, Smucker said, adding that it will continue to look for acquisitions to help drive sales. The addition of Folgers will add to the products Smucker brings to retailers, allowing more marketing options, said Richard Smucker, President and Co-CEO of Smucker. As the largest coffee roaster in North America, The J. Smucker Company consistently offers delicious high quality coffee in a variety of formats, from liquid to whole or ground beans. We can adapt our coffee systems to meet the unique needs of any business.
More Americans start their day with a cup of coffee at home from a Smucker coffee brand than any other company. Meyer-Hawkes said they have taken advantage of emerging cafes to bring this experience to consumers, which usually takes place over a weekend and offers consumers the opportunity to bring their families, sample coffee and listen to live music. The most loyal consumer is a Dunkin' Shop consumer who wants to recreate that coffee experience at home. Commenting on how consumers, particularly younger generations, have been affected by the third wave of coffee, Stanziano said Smucker wants to be able to bring that influence to mainstream markets. To ensure that its coffee brands attract new consumers today and in future generations, Smucker continues to develop its coffee strategy to keep pace with consumer preferences and plans to further expand and diversify its coffee portfolio. It is held every year in a different coffee-producing country and brings together thousands of global coffee experts in a two-day event ranging from championships to round tables. In fact, Folgers imports so much green coffee a year that its silo in the port of New Orleans has 100 containers - the largest in the world. In keeping with its focus on darker and bolder roasts while drawing inspiration from the third wave exclusive to the brand, Smucker is launching Folgers Noir this summer.
It is designed to help consumers understand the nuances of coffee such as flavor notes but in an accessible and easy-to-navigate way said Meyer-Hawkes. To help consumers understand nuances like flavor notes but in an accessible way, Smucker is launching Folgers Noir this summer. This will help keep pace with consumer preferences while further expanding and diversifying its coffee portfolio. Coffee has become an integral part of advertising as it changed how people perceive the number one coffee brand in the United States. While budget-conscious shoppers bought fewer Uncrustables sandwiches to defrost and eat, Hungry Jack potatoes and Smucker's fruit spreads, sales of Folgers and Dunkin' Donuts took off outperforming projections and making the whole company more profitable.
