Chobani expands La Colombe RTD capacity with $567M Michigan investment

Chobani is investing $567 million to expand its La Colombe Coffee Roasters ready-to-drink (RTD) coffee plant in Norton Shores, Mich., adding more than 200,000 ft² of production space. The multi-phase expansion comes as demand continues to rise for La Colombe’s RTD lattes, a segment that has helped push premium cold coffee further into everyday consumption occasions.

Why it matters for convenience services operators

For vending, micro markets and office coffee service (OCS), the investment signals continued momentum behind premium RTD coffee, particularly café-style formats that bridge retail and workplace consumption.

La Colombe’s core RTD lineup — including draft lattes and cold brew — is not designed as a traditional OCS program, but it is increasingly relevant as a premium add-on in unattended retail environments such as micro markets and smart coolers, premium pantry programs and as supplemental OCS offerings.

Unlike legacy OCS coffee suppliers, La Colombe’s RTD portfolio is built around single-serve cans and specialty cold formats, which limits its role in large-scale, value-driven office programs but reinforces its position in higher-end workplace environments.

Scaling RTD production and dairy demand

The expansion will significantly increase milk sourcing from Michigan dairy farms, growing from approximately 30 million pounds annually to an expected 615 million pounds over the next several years. That scale-up reflects both category growth in RTD coffee and the continued premiumization of workplace beverage programs, where cold coffee is gaining share alongside traditional hot offerings.

For operators, the takeaway is clear: as RTD coffee demand accelerates, capacity investments like this help ensure supply stability for premium brands.