A $10,000 donation to help California wildfire victims; ringing the closing bell at the NASDAQ financial market; an interview with Katie Couric; the introduction of National Kefir Day; the proposal of a voluntary dairy certification standard; a drone show over Lake Michigan to celebrate its upcoming 40th anniversary in 2026; the sponsorship of NASCAR driver Josh Bilicki; and the return of the Basics Plus line of kefir and colostrum supplement shots.

These are just several of the headlines involving Morton Grove, Ill.-based Lifeway Foods Inc. and its CEO, Julie Smolyansky, in 2025. Not to mention, the company reported record net sales of $186.8 million in 2024, good enough for No. 85 on the Dairy Foods Top 100 list. Revenues are likely to surpass $200 million this year, based upon already-reported earnings results this year.

Hence, Lifeway Foods is clearly a company on the rise, which we honor this month as our Processor of the Year. Dairy Foods will present the award to Smolyansky at next month’s IDFA Dairy Forum in Palm Springs, Calif.

“We built a modern brand on top of an old-world product. Kefir has centuries of credibility, which is our edge,” Smolyansky tells Dairy Foods during an in-person New York City interview. “Kefir has been passed down from generation to generation, and we popularized it. We took a recipe that was carried by word of mouth and added a layer of science and research.”

The CEO adds the world is at a tipping point as society is now making a connection between food and medicine. “There is no better healing food than kefir and Lifeway is the brand that has the original culture and story. We have led the effort of hitting a cultural zeitgeist. This has always been the dream of my father (Michael Smolyansky). I have made every effort I can to carry that torch,” Smolyansky says.

We are in a “great moment where many people understand the science around microbiome and friendly bacteria. We are just scratching the surface of the microbiome and every way it contributes to our health,” Smolyansky stresses. “Science has to guide our choices. The pendulum has swung. The plant-based diet when people consumed no dairy could be dangerous, as we’ve seen people become frail with osteoporosis. The foods we eat can help prevent several diseases. Dairy should never be eliminated from a diet unless absolutely necessary.”

She adds that drinking Lifeway products is so important for consumers because nobody is ever too young or too old to consume it.

“Lifeway is from cradle to grave. Our demographic is everyone who consumes food. It can even be used for patients at the ICU (intensive care unit),” Smolyansky maintains. “…It has been my greatest privilege to lead a conversation around health and raise awareness about health and wellness. There is nothing better than seeing the brand’s impact and how it has changed people’s lives.”

Smolyansky acknowledges getting the word out to consumers has been difficult, but tremendous progress has been made. “I believe Lifeway is a brand that meets the moment and a brand on the move,” she asserts. “Sponsoring a NASCAR driver is a great example. We are having a moment of cultural collision where healthy eating of products like Lifeway are part of the cultural conversation. We have not even scratched the surface.”

Lofty goals

Smolansky suggests that Lifeway is an “overnight success story 2,000 years in the making.” “We are celebrating the American dream. I believe we are the only dairy company to have a drone show, where we were celebrating both Chicago and our team,” she says. “Many of our team members have been with us since day one. At one facility, we have had zero turnover. When I see that, it not only says we built a brand, but a culture.”

Smolyansky further reflects, adding helping the overall dairy industry grow is not something she takes lightly. It was Michael Smolyasnsky’s dream to have kefir in every refrigerator in America. “It is my goal to see it in every refrigerator in the world. We are the No. 1 brand also in Mexico, the United Arab Emirates and South Africa. We have really put our flag in the ground,” she maintains.

Although the goal of having kefir in every refrigerator could take some time, there is plenty of it in America. Following our interview, Dairy Foods hopped in an Uber, along with Smolyansky, to check out Westerly Natural Market in Manhattan. The number of Lifeway SKUs in just this one small supermarket is amazing, as is evidenced in the first photo accompanying this story.

Another key to the company’s success was promoting its products early on social media, the CEO adds. The company was an early adopter of Twitter — now X — and Facebook, something Vogue magazine recognized in a feature story. Celebrity influencers like Bethenny Frankel also have certainly advanced the brand, according to Smolansky.

Impressive growth

According to data from Chicago-based market research firm Circana and presented in our September “Market Trends” article, Lifeway’s kefir dollar sales rose more than 17% year over year during a recent 52-week period. Lifeway Farmer Cheese dollar sales rose 77% year over year during a similar period, according to Smolansky.

Kefir sales, though, stand out in what could be considered a mature market, considering Lifeway will celebrate its 40th anniversary in 2026.

Smolyansky attributes several factors for its impressive kefir growth. Among these are changing consumer perceptions during the COVID-19 pandemic, celebrity endorsements touting dairy as “sexy” again, and outstanding product innovation.

“One example is the cast of ‘Love Island,’ [one of the summer’s hottest shows on streaming service Peacock] drinking Lifeway. That was a big thing,” the CEO explains. “Innovation that drove sales includes new flavors like Passion Fruit Lychee, Matcha Latte and Pink Dragonfruit. We wanted to take the hot tropical trends we saw and marry it into cultured dairy products. A couple of the ‘Love Island’ cast members helped launch these flavors.”

According to Smolyansky, 15% of Americans now take GLP-1 receptor agonist medications, yet another source of Lifeway’s growth. “When you are on those medications, it is critical you consume high-quality bioavailable proteins. What people on those medications lose is muscle mass, which can be dangerous. It is even more important as people age,” she relays. “Also, people on these medications are eating less, so they are not getting all the good bacteria they need. It is really important to consume probiotics every day, and pills are not effective for that. Dairy is.”

Dayparting is yet another Lifeway focus. Kefir used to be thought of as mainly a breakfast beverage. That has changed, as many consumers now drink kefir at night, before going to bed, to reduce bloat.

“People are specifically creating TikToks about it to drive the message. That is exciting,” Smolyansky explains. “Retailers are also helping a lot. Today, Amazon, Walmart and Target not only sell Lifeway but want to be the first to stock it on their shelves. Before, they used to wait for it to be a hit. That is no longer the case. These large retailers realized they wanted to set the trends.”

A look at the future

Smolyansky reveals she is always thinking about the next product launch. In fact, she has five years of ideas already stowed away, with production times the only obstacle.

Among its latest product introductions was the expansion of Lifeway’s ProBugs line with the launch of ProBugs Kefir, made with conventional whole milk in three new flavors. The new ProBugs Conventional Whole Milk Kefir pouches debuted in three kid-friendly, lactose-free flavors: Creamy Orange, Goo-Berry and Strawnana.

“We see whole milk as having a moment. We saw that when people went back to dairy from plant based, they sought premium dairy, such as grass-fed, organic, A2 and regenerative,” Smolyansky says. “…There is also a movement away from artificial colors and flavors, so large companies will need to catch up to what we have been doing with our products.”

Collagen is another exciting new SKU. “We are marrying the Lifeway brand with skin health. It is a new opportunity for Lifeway. We are trying to get branded coolers at top beauty retail locations,” Smolyansky reveals. “The pet food space is another space we are looking to expand with licensing deals. There is now a lot of research regarding the importance of probiotics and pet health.” DF