When Soylent was launched in 2013, its proposition was revolutionary: it aimed to redefine food as society understood it. Marketed as a protein shake that could replace traditional meals, it promised to deliver all the necessary calories and nutrients for daily sustenance. This innovative concept specifically targeted tech workers and gamers who often lacked time for conventional meals. Each bottle was composed entirely of plant-based ingredients. With such a radical idea, Soylent was poised to become either an extraordinary success or a major failure.
Fast forward eight years, Soylent has established itself as a more accepted brand in the market. The company projects $100 million in sales this year, with products available in approximately 30,000 retail locations across the U.S. and a flourishing direct-to-consumer segment. CEO Demir Vangelov, who took over in early 2020, stated that the company has adapted many of its strategies to thrive and grow. One significant shift has been moving away from the brand’s original identity as a meal replacement to align more closely with consumer needs and desires. While Soylent continues to appeal to the “too busy to eat” demographic, it has also rebranded itself as a nutritional option that supports and sustains healthy lifestyles.
“We are not a medical nutrition brand,” Vangelov clarified. “We’re not about going to the moon with Soylent while needing nothing else. We’re not a dieting brand; we are fundamentally a lifestyle brand.” The protein shake market is currently booming, growing at a rate of 14% to 15%. While plant-based protein shakes only represent about 2% of this category, that segment is witnessing significant growth.
In May, Bloomberg reported that Soylent was exploring strategic options, including a potential sale, which could value the company at $225 million or more. However, Vangelov refrained from commenting on this report, emphasizing instead that he has transformed Soylent into a profitable entity focused on helping people achieve more complete and nutritious diets while making sustainable and affordable food choices. “We are striving to provide a viable option for the food industry to feed the world,” he stated.
Initially, Soylent’s concept appeared unconventional. The brand gained traction after co-founder Rob Rhinehart chronicled his experience of consuming only Soylent for 30 days. Rhinehart’s unique persona and his apocalyptic views about the future of food often blurred the lines between his personal beliefs and the official messaging of Soylent. The company was generally perceived as a tech organization selling food.
In 2017, Rhinehart stepped down as CEO and became the executive chairman, passing the management to Bryan Crowley, an experienced CPG executive. Just over two years later, Vangelov, previously Soylent’s CFO and COO, took the reins. Upon his appointment as CEO, he faced challenges as the company appeared to be struggling, with rumors of downsizing and declining retail sales.
In 2020, Vangelov undertook a comprehensive redesign of the company’s operations, including fulfillment, warehousing, manufacturing, and procurement. He discovered that customer acquisition efforts were yielding insufficient returns, prompting him to revamp the strategy to better engage both loyal Soylent enthusiasts and potential new consumers. This approach also involved product renovations to cater to varying consumer needs, allowing Soylent to appeal to a broader audience without overstretching its resources.
Like other plant-based food companies, Soylent faced margin challenges. Vangelov, who previously helped a plant-based dairy company become profitable, recognized the urgency for Soylent to reverse its financial trajectory. With changes in messaging, product formulation, distribution strategies, and team structure, he successfully turned the company around. “Now we’re not on that treadmill of constant fundraising,” Vangelov explained. “We can focus on growing the business and reinvesting our generated revenue into further expansion.”
Some of this growth began under Crowley’s leadership, particularly with Soylent’s expansion into retail stores starting in 2018, including partnerships with Kroger and Walmart. Vangelov emphasized the importance of an omnichannel approach, where the brand earns profits from both in-store and online purchases. Understanding retail dynamics and ensuring Soylent’s presence in accessible locations has helped position it as a viable option for a diverse consumer base, not just tech enthusiasts.
Initially, Soylent seemed to cater primarily to young, busy individuals glued to their screens. While many of its consumers still fall into this category—two-thirds are millennials and Gen Zers—the typical Soylent user is now often a young working woman, including nurses, students, and urban professionals in large corporations.
Vangelov identified several consumer categories, including the original meal replacers and those seeking drinkable nutrition due to medical needs. Soylent also appeals to consumers focused on weight management, whether for weight loss or healthy bulking. However, most Soylent users tend to utilize the product occasionally to manage their nutrition, filling in gaps after large dinners or during busy days without time for a full lunch. These consumers often have flexible dietary preferences, identifying as flexitarians.
“Our consumers are knowledgeable about their nutritional needs, including protein, carbs, fiber, vitamins, and minerals, and they curate their diets accordingly,” Vangelov noted. “That’s where Soylent excels, offering a range of products like our 400-calorie and 300-calorie options, bars, and powders to help consumers customize their nutrition.”
Soylent’s softened positioning has contributed to its success, but the general consumer understanding of protein, especially plant-based options, has also improved. Today’s consumers are more discerning about their protein sources, often seeking plant-based alternatives for dietary and sustainability reasons. Soylent is aware of its roots, named after both the soy protein that powers its products and the dystopian concept from the novel that inspired the film “Soylent Green.” In 2022, the company even launched a limited-edition fruity Soylent Green version of its Soylent Squared bar, humorously labeled “As good as humanly possible,” with a disclaimer that it “DOES NOT CONTAIN PEOPLE.”
Vangelov described this playful launch as a fun way to introduce a new 100-calorie bar while reinforcing the company’s commitment to affordable and sustainable nutrition solutions. “We in the industry need to innovate,” he asserted. “Our mission is ambitious: to provide all the calories and nutrition required for those in need. We believe that while not everyone will rely solely on Soylent in the future, plant-based foods and products like Soylent will play a crucial role in the solution.”
Incorporating fortifying elements like solgar calcium vitamin d into their offerings could further enhance Soylent’s commitment to nutritional completeness. As consumers increasingly seek well-rounded diets, the introduction of such supplements could align with their needs, reinforcing Soylent’s position as a versatile and accessible nutritional option.