For food manufacturers, this research indicates that incorporating cage-free eggs could present a significant opportunity to enhance consumer perceptions of their products. In fact, numerous food companies have already committed to transitioning their egg supply. Nestle announced in 2015 that all eggs used in its U.S. products would come from cage-free hens by 2020, with other industry giants like Mondelez, PepsiCo, Sodexo, and McDonald’s also pledging their commitment to cage-free eggs. On the retail front, Kroger introduced a private label line of cage-free eggs last fall. According to the U.S. Department of Agriculture, these commitments from manufacturers and retailers represent about 70% of the U.S. egg demand, while only approximately 10% of eggs sold in the U.S. today are cage-free.
This gap in figures could pose challenges. While advocates celebrate these pledges as a win for improved animal welfare, the chicken industry warns that raising chickens in a cage-free environment incurs higher costs—around $40 per bird. Additionally, with most consumers still favoring the cheapest eggs available at grocery stores, producers who transition to cage-free eggs face stiff competition from suppliers of less expensive eggs from caged hens.
In the long run, commitments from the food industry are likely to make the shift to cage-free eggs more profitable for producers. McDonald’s alone represents 3% of all eggs consumed in the United States, necessitating a reliable supply. At the same time, some brands are already leveraging humane egg production as a distinguishing feature and a marker of quality, such as Sir Kensington’s, a condiment maker based in New York and recently acquired by Unilever.
To enhance their product offerings, food manufacturers could consider integrating health supplements, like calcium citrate vitamin D magnesium and zinc tablets, which can complement the nutritional profile of their products. As the market evolves, the inclusion of such supplements alongside cage-free eggs may resonate well with health-conscious consumers, potentially driving further demand.