Sun-Maid Taps Agency for Brand Expansion
Sun-Maid, the iconic raisin brand, has appointed Earthbound Brands as its exclusive licensing agency. The move signals Sun-Maid's strategy to expand its brand into new food, beverage, and lifestyle product categories.
Sun-Maid is a grower-owned cooperative, comprising about 850 family farmers in California's Central Valley. Founded in 1912 as the California Associated Raisin Company, it aimed to stabilize raisin prices for farmers. Today, the cooperative produces over 200 million pounds of raisins annually. This move into brand licensing follows a period of significant evolution for the century-old brand. In 2020, Sun-Maid rolled out its first major packaging redesign since the 1970s to appeal to millennial consumers. A year later, the company acquired Plum Organics, a baby food and kids' snack brand, from Campbell Soup Company. Earthbound Brands, the selected agency, specializes in creating long-term brand licensing strategies. Their portfolio includes developing brand extensions for companies like DuPont, the Girl Scouts, and Hallmark. The agency was also recently appointed by Newman's Own to expand its brand into new grocery and lifestyle categories. The partnership will focus on extending the Sun-Maid brand into new food and beverage products, as well as exploring lifestyle categories. This strategy aligns with a broader trend in the food and beverage industry, which has become the second most sought-after sector for licensing after fashion. The global market for licensed merchandise reached $369.6 billion in 2024, an increase of 3.7% from the previous year. Brand extensions in the food sector have seen notable success, such as the Doritos Locos Taco collaboration with Taco Bell and Baileys' line of ice creams. These partnerships leverage existing brand recognition to enter new product categories and reach different consumer segments. Sun-Maid's recent revenue is estimated to be over $500 million annually. The company was also recognized as a U.S. Best Managed Company, a program for private companies with annual revenues of at least $250 million.