Dairy Management Inc.

Dairy Management Inc. (DMI) is a U.S. nonprofit trade and marketing organization representing dairy-promotion interests. Its principal funding comes from the U.S. Dairy Promotion Program, which collects government-mandated checkoff fees on dairy products. The organization uses those funds to promote American-made dairy products, support nutrition and product research, develop foodservice and consumer partnerships, and provide educational resources about dairy. The U.S. Department of Agriculture regulates DMI’s domestic milk-promotion activities but does not directly finance the organization’s domestic operations. DMI operates through or is closely associated with several dairy-industry identities and programs, including the National Dairy Council, American Dairy Association, Innovation Center for U.S. Dairy, and U.S. Dairy Export Council. These entities and brands address different parts of the dairy-promotion system: consumer advertising, nutrition education, industry coordination, innovation, and overseas market development. DMI should therefore be understood less as a consumer packaged-goods brand than as an industry-backed promotional and research platform. The organization’s institutional roots extend back to 1915, when dairy farmers and processors established the National Dairy Council during a period in which a foot-and-mouth disease outbreak threatened public confidence in dairy products. The American Dairy Association was established in 1940 to advertise milk and other dairy products to consumers, building on the earlier Dairymen’s Union of California, founded in 1891. The American Dairy Association and National Dairy Council were combined in 1970. Congress created the National Dairy Promotion and Research Board in 1983, creating a formal national framework for dairy checkoff activities. DMI was incorporated as a nonprofit corporation in 1995 by members of that board and the United Dairy Industry Association. In the same year, it created the U.S. Dairy Export Council. DMI’s work includes national marketing and public-relations initiatives, support for the Real Seal and Got Milk? campaigns, nutrition and health communications, product-development competitions, and collaborations with restaurant companies. Its stated aim is to increase the use and value of dairy ingredients across consumer and commercial food channels. The organization has promoted dairy in prepared foods, particularly cheese, and has worked with foodservice companies to identify ways to incorporate more dairy into menus. Beginning in 2009, it placed dairy scientists at McDonald’s to support menu and product development. In 2022, it partnered with Taco Bell on highly dairy-forward menu and beverage concepts, including a frozen dairy beverage made with Mountain Dew and a burrito marketed with substantially more cheese than a typical taco. In 2023, it began a public-relations effort focused on butter. DMI also funds or supports academic and applied research concerning dairy nutrition, food safety, product functionality, and human health. Its public educational materials address dietary guidance, protein, weight management, lactose intolerance, and the relationship between dairy and sports. The organization has sponsored new-product competitions, including a 2022 National Dairy Council competition focused on innovative dairy-based products for gamers. DMI has attracted criticism because its promotional mandate can conflict with public-health advice that encourages lower consumption of saturated fat. Critics have also argued that industry-funded nutrition research and health communications can favor dairy consumption or encourage the use of dairy in highly processed foods. Environmental commentators have pointed to the relatively high environmental footprint of animal agriculture. Reporting has also distinguished between the organization’s success in increasing consumption of cheese and butter and the continuing long-term decline in U.S. fluid-milk co…

Dairy Management Inc. developed from earlier U.S. dairy-promotion institutions created by farmers, processors, and dairy organizations. The National Dairy Council was founded in 1915, when an outbreak of foot-and-mouth disease threatened confidence in dairy products. Its early purpose was to provide information and promote the nutritional and commercial reputation of milk and other dairy foods. A separate promotional tradition emerged through the American Dairy Association. That organization was founded in 1940, building on the Dairymen’s Union of California, which had been established in 1891. The American Dairy Association focused particularly on advertising and consumer communications designed to support demand for U.S. milk products. In 1970, it was merged with the National Dairy Council, bringing consumer promotion and nutrition-oriented industry communications into a more unified structure. The federal policy framework for modern dairy checkoff activity was strengthened in 1983, when Congress created the National Dairy Promotion and Research Board. The board became part of a national system in which mandatory assessments on dairy products finance promotion, research, and related activities. The U.S. Department of Agriculture regulates the domestic promotion of milk under this system, but the department does not directly fund DMI’s domestic work. Overseas dairy promotion has involved a different arrangement: USDA funding has supported the U.S. Dairy Export Council’s international activities. Dairy Management Inc. was incorporated in 1995 as a nonprofit corporation by members of the National Dairy Promotion and Research Board and the United Dairy Industry Association. The same year, DMI created the U.S. Dairy Export Council. Over time, the organization became associated with multiple operating identities, including the National Dairy Council, American Dairy Association, Innovation Center for U.S. Dairy, and U.S. Dairy Export Council. These platforms enabled DMI to address consumers, health professionals, food manufacturers, restaurants, dairy farmers, and overseas buyers. Its activities have included advertising campaigns, product research, nutrition education, foodservice partnerships, and programs intended to make dairy ingredients more useful in prepared foods. DMI is associated with the Got Milk? and Real Seal campaigns and has promoted cheese, milk, butter, and other dairy products in both consumer and commercial settings. It has also distributed educational material on dietary guidance, protein, weight management, lactose intolerance, sports, and dairy nutrition to consumers and health professionals. The organization has increasingly worked with food companies to expand dairy usage. In 2009, it placed two dairy scientists at McDonald’s to explore dairy applications in the chain’s menu. In 2022, it partnered with Taco Bell on conspicuously dairy-heavy concepts, including a frozen drink combining dairy with Mountain Dew and a burrito promoted with an unusually high cheese content. In 2023, DMI initiated a public-relations campaign centered on butter. It has also sponsored product-development competitions; a 2022 National Dairy Council competition sought innovative dairy-based products for gamers. DMI’s research and communications have generated debate. Public-health critics have argued that promoting dairy can conflict with dietary guidance aimed at reducing saturated-fat intake. Other critics have questioned the independence and framing of industry-funded research, particularly when dairy is incorporated into highly processed foods. Environmental criticism has focused on the resource and emissions footprint of animal agriculture. At the same time, reporting has noted a divergence in dairy categories: marketing has supported demand for cheese and butter, while fluid-milk consumption in the United States has continued to decline from its levels in the 1970s. The organization was led for many years by Tom Gallagher. After Gallagher retired, Barbara O’Brian was identified as chief executive in 2021. DMI remains a central institution in the U.S. dairy checkoff system, combining industry promotion with research, education, innovation, and export-related functions.

1. 2021Barbara O’Brian identified as chief executive

   Barbara O’Brian led DMI after the retirement of longtime chief executive Tom Gallagher.

   Source
2. 2009Dairy scientists placed at McDonald’s

   DMI began placing dairy scientists at McDonald’s to help develop menu applications that used more dairy.

   Source
3. 1995Dairy Management Inc. incorporated

   DMI was incorporated as a nonprofit corporation by members of the National Dairy Promotion and Research Board and the United Dairy Industry Association.

   Source
4. 1995U.S. Dairy Export Council created

   DMI created the U.S. Dairy Export Council to support international promotion of U.S. dairy products.

   Source
5. 1983National Dairy Promotion and Research Board created

   Congress created the board that became a central part of the national dairy checkoff structure.

   Source
6. 1970American Dairy Association merged with the National Dairy Council

   The two organizations were combined, consolidating major consumer-promotion and nutrition-communication activities.

   Source
7. 1940American Dairy Association founded

   The American Dairy Association was established to promote U.S. milk and dairy products through consumer advertising.

   Source
8. 1915National Dairy Council founded

   Dairy farmers and processors created the National Dairy Council during a foot-and-mouth disease crisis that threatened the public image of dairy products.

   Source
9. 1891Dairymen’s Union of California founded

   An early California dairy organization was established and later served as a predecessor to the American Dairy Association.

   Source

An industry-backed, checkoff-funded platform intended to increase the demand, use, and perceived value of U.S. dairy products through marketing, research, nutrition communications, innovation, and export development.

• National Dairy CouncilNutrition education and dairy research1915

  The National Dairy Council is DMI’s principal nutrition, research, and education identity. Its work includes communications about dairy nutrition, protein, food safety, lactose intolerance, healthy weight, sports, and human health. It also supports research and innovation activities intended to improve the use and perceived value of dairy products.

• American Dairy AssociationConsumer marketing1940

  The American Dairy Association is a consumer-facing dairy-promotion identity with roots in advertising milk and other U.S. dairy products. It represents the promotional side of DMI’s operating structure, complementing research, education, and industry-coordination functions associated with other DMI programs.

• Innovation Center for U.S. DairyIndustry innovation and collaboration

  The Innovation Center for U.S. Dairy coordinates dairy-industry innovation and collaboration. Its activities are intended to help companies and dairy stakeholders develop new applications, products, and commercial opportunities for milk and dairy ingredients.

• U.S. Dairy Export CouncilExport promotion1995

  Created by DMI in 1995, the U.S. Dairy Export Council supports international promotion and market development for U.S. dairy products. Its export-oriented role differs from DMI’s domestic promotion activities, which are regulated by USDA under the dairy checkoff system.

• Got Milk?Advertising campaign

  Got Milk? is a major milk-promotion campaign associated with DMI and the broader U.S. dairy-promotion system. The campaign used consumer advertising to reinforce milk consumption and the cultural visibility of dairy products.

• Real SealDairy identification and promotion

  The Real Seal is a dairy-industry identification and promotional program associated with DMI. It communicates the connection of qualifying products with real dairy ingredients and supports consumer recognition of dairy products.

• 2023Butter public-relations campaign

  United States

  DMI began a public-relations campaign designed to promote butter and maintain consumer interest in dairy fats.

  Outcome. The supplied material does not report a quantified outcome.

  Source
• 2022Taco Bell dairy partnership

  United States

  DMI partnered with Taco Bell on a dairy-based frozen drink made with Mountain Dew and a burrito promoted with an unusually high cheese content.

  Outcome. The partnership demonstrated DMI’s strategy of expanding dairy use through restaurant menu development; a specific commercial outcome was not provided.

  Source
• Got Milk?

  United States

  A nationally recognized milk-promotion campaign associated with DMI and the U.S. dairy checkoff system. It used advertising and cultural messaging to encourage milk consumption.

  Outcome. The campaign became one of the most visible examples of U.S. dairy promotion, although the supplied sources do not provide a definitive standalone measurement of its financial outcome.

  Source
• Real Seal

  United States

  A dairy-identification and promotional initiative associated with DMI that communicates the use or presence of real dairy products.

  Outcome. It strengthened consumer-facing identification of dairy products; the supplied sources do not quantify its independent commercial effect.

  Source

• 2023Increase public-relations support for butterStrategy

  DMI continued to seek demand growth across dairy categories, including products other than fluid milk.

  What changed. The organization initiated a public-relations campaign promoting butter.

  Aftermath. The campaign reflected a category strategy focused on butter and other dairy products even as U.S. fluid-milk consumption remained in long-term decline.

  Source
• 2022Launch dairy-heavy Taco Bell conceptsProduct launch

  DMI was pursuing restaurant partnerships that could increase the volume of dairy used in prepared foods.

  What changed. DMI and Taco Bell introduced a dairy-based frozen drink with Mountain Dew and a burrito promoted with substantially more cheese than a typical taco.

  Aftermath. The concepts provided high-visibility examples of checkoff-funded dairy innovation in quick-service restaurants.

  Source
• 2009Embed dairy scientists within McDonald’sStrategy

  DMI sought to increase the use of dairy ingredients in prepared food and restaurant menus.

  What changed. It placed two dairy scientists at McDonald’s to support menu and product-development work.

  Aftermath. The arrangement illustrated DMI’s move beyond advertising into direct foodservice innovation and commercial collaboration.

  Source

• 2024Reporting examined the environmental and consumption effects of dairy promotion

  Grist reported that dairy marketing had helped increase consumption of products such as cheese and butter, while U.S. fluid-milk consumption continued its long-term decline and environmental concerns surrounding animal products remained.

  Other
  Source
• 2023Dairy Management Inc. launched a butter public-relations campaign

  The organization began a public-relations campaign intended to promote butter and support demand for dairy products.

  Campaign
  Source
• 2022Dairy Management Inc. expanded promotion through Taco Bell concepts

  DMI partnered with Taco Bell on a dairy-based frozen drink made with Mountain Dew and a burrito promoted as containing substantially more cheese than a typical taco.

  CampaignProduct launch
  Source
• 2021Barbara O'Brian led Dairy Management Inc. after Tom Gallagher's retirement

  Barbara O'Brian was identified as DMI's chief executive after the retirement of longtime leader Tom Gallagher.

  Leadership change
  Source
• 2014A report criticized dairy-industry promotion of processed foods

  Michele Simon published a report arguing that dairy-industry and USDA-linked promotional activity presented highly processed or junk foods through a health-oriented framework.

  Other
  Source
• 2010Critics challenged dairy promotion on saturated-fat grounds

  Walter Willett criticized dairy-promotion efforts as potentially inconsistent with public-health goals that called for reducing saturated-fat consumption.

  RegulationOther
  Source
• 2009Dairy Management Inc. partnered with McDonald's on dairy-focused menu development

  Beginning in 2009, DMI placed two dairy scientists at McDonald's to help identify ways to incorporate more dairy into the restaurant chain's menu.

  Other
  Source

1. Dairy Management Inc.
2. Dairy Management Inc. official website