Abstract: A method for preparing a cultured dairy product comprising: blending water, ultra-filtered milk and other ingredients to establish a dairy base, fermenting the dairy base to establish an intermediate yogurt product, adding a fat into the intermediate yogurt product, and blending the fat and intermediate yogurt product to produce a high fat and low carb yogurt. The amount of lactose in the dairy base is minimal, basically just enough to enable fermentation. On the other hand, instead of maintaining a low fat level, the fat, preferably a milk fat from butter, is added to increase the overall fat content to establish an overall high fat, low carbohydrate finished yogurt product.