How Molly Baz’s Ayoh managed the cost of reformulating its mayonnaise to swap seed oils for avocado oil
For a certain subset of consumers, the type of oil that a food startup uses can make or break their decision to buy.
Thanks to the Make America Healthy Again movement, some consumers have grown skeptical of seed oils. In turn, large food manufacturers like Frito-Lay have vowed to release seed-oil-free versions of their products.
This month, Molly Baz-founded Ayoh became the latest startup to announce it is ditching seed oils. Ayoh, which sells mayonnaise, is rolling out a new version of its product in over 4,000 doors, including Whole Foods, Target and Sprouts, that swaps high-oleic sunflower oil for avocado oil.
Ayoh CEO David McCormick told Modern Retail that beyond satisfying ingredient-conscious shoppers, the oil switch has improved the recipe, offering a creamier texture and a more neutral base that lets other toppings and mix-ins stand out.
McCormick, a former Whole Foods Market grocery director, acknowledged that the reformulation is a big bet on long-term interest in seed oil alternatives.
“This is a flavor-first decision,” McCormick said. “But there were certainly pressures that we’ve received on the retail side from buyers asking about a seed-oil-free version.”
Ayoh launched in late 2024 and made its retail debut in 2025 at Whole Foods markets. McCormick said that when the brand first launched, the founders chose a sunflower oil base largely for continuity and supply availability.
McCormick said the decision to swap out such a major ingredient and relaunch the revamped line meant investing in R&D. The recipe reformation was spearheaded by Baz. The decision to relaunch the full line also comes nearly a year after Ayoh raised a $4.5 million seed round to support its retail expansion.
“It is hard to find that perfect balance of an oil that likes to emulsify and also has a clean flavor profile,” McCormick said. The company had been testing a ton of oils before settling on avocado. Other trials included other neutral-tasting oils, like soybean and canola oil. “Molly is flavor-obsessed and wants to try every single option that’s out there,” he said.
“Performance-wise, olive oil is much more challenging to make an emulsion out of,” he said, which is necessary for a consistent mayo texture. For example, olive oil tends to crystallize in the fridge and would require a lot of stirring to soften. In the end, he said avocado oil ended up being the best base that allowed Ayoh flavors, like dill pickle and miso mayo, to shine the brightest.
McCormick said that the culinary-driven decision “is definitely more expensive.” It was also important for Ayoh to keep the shelf price the same, at around $8.99 per bottle, without reducing the size. McCormick said the recipe switch helps cement Ayoh’s premium positioning next to other brands and better aligns with Baz’s vision for the company. “But we certainly didn’t want to pass the cost on to the customer,” he said. “So we’re trying to get creative as a startup and reinvest in the product.”
Compared to what Ayoh was paying for sunflower oil, avocado oil is two to three times more expensive. McCormick said the Ayoh formulas that contain higher concentrations of oil, like the plain mayonnaise, saw the COGs increase by 50% just by switching from sunflower oil to avocado oil.
Aside from the move away from seed oils, the Ayoh reformulation is also betting on avocado oil-based mayo specifically, as it’s a segment that’s growing quickly within the condiments category. Avocado oil mayo sales are up 23% year-over-year, according to Spins data, while conventional mayo sales are down.
McCormick said that the Ayoh team has been working to offset these new costs elsewhere, including leveraging the brand’s economy of scale now that it is available at nationwide grocery chains.
“We worked with our bottle supplier to contract bottles this year at a lower price,” McCormick said. “We also switched some logistics and different operational parts of the business.”
McCormick added that savings to offset the more expensive ingredients can come from being more disciplined across other manufacturing and marketing areas. “We are thinking about this recipe switch as part of our marketing spend,” McCormick said. The new bottles prominently display “made with avocado oil” on the front. “Our marketing budgets were adjusted accordingly.”
He elaborated that while the new production costs would mean cutting some advertising spend where needed, the new formulation will allow Ayoh to emphasize a better-for-you messaging. “As a consumer-based company, we have to be following what consumers are doing, and it’s important to stay relevant on nutritional trends,” he said.
Food and beverage experts predict that trends like seed-oil-free products, high-protein foods and high-fiber foods will continue to dominate the CPG categories. In turn, brands are increasingly tasked with making early bets on whether their recipes and ingredient panels can weather changing preferences.
Kantha Shelke, a trendspotter who teaches in the Specialty Food Association’s education series, said that with the MAHA backdrop and increased consumer scrutiny, brands have to weigh how their formulations fit wellness trends in the long run.
“The MAHA era is seeing a fundamental shift where consumers no longer want one-size-fits-all nutrition,” Shelke said. More and more, she said, people want products to be calibrated to their biology, their age and overall health goals. “Retailers are picking up on this because their shoppers are asking for it.”
Thus far, the avocado oil recipe is also performing a bit more efficiently in Ayoh’s production facilities. “It is a marginal difference, but every little bit counts,” McCormick said.
“We haven’t been able to recoup the full investment yet,” McCormick said. “But we’ve been able to offset a fair amount of it, and we will find more ways to chip away at that investment over time.”