A French boycott cut Danone's fresh-product sales by 10% in 2001

In early 2001, Danone announced a restructuring plan that included closing factories in France and cutting hundreds of jobs. The announcement came after years in which the company had promoted a socially responsible image, making the cuts look like a betrayal of its own brand promise.

Consumers responded with a boycott organised through websites and word of mouth. Within weeks, Danone acknowledged that sales of fresh products in France had fallen by roughly 10%. The boycott spread across the company's yoghurt, biscuits and water brands, and became a national political issue.

Danone's initial response was to seek court orders against boycott websites and to emphasise that no jobs had actually been lost yet. The strategy backfired, reinforcing the image of a company that was legally aggressive rather than socially engaged. It later softened its approach and negotiated with unions.

The boycott eventually faded and Danone's sales recovered, but the episode is remembered as a classic example of how a brand built on trust can be punished when stakeholders believe it has broken its own values.