The plant-based revolution is sweeping through the food industry. According to data from HealthFocus, 17% of consumers in the U.S. primarily follow a plant-based diet, while 60% are actively reducing their consumption of meat products. Among those cutting back on animal proteins, 55% indicate that this change is permanent. This shift in consumer behavior is creating significant financial impacts, with total sales of plant-based meats reaching over $606 million last year. However, while interest in plant-based options is on the rise, many consumers still find traditional ingredients like tempeh—fermented soybean cake—unappealing as a meat substitute. Yet, when tempeh is marinated, seasoned, and served with rice, vegetables, and other flavorful accompaniments, it can impress even the most devoted meat eaters.
These refined versions of long-standing plant-based alternatives are becoming increasingly prevalent, driven by consumer demand for premium products and the acquisition of smaller brands by larger, mainstream food companies. Major corporations are eager to diversify their portfolios and attract health-conscious customers who prefer to avoid heavily processed items found in the center aisles of grocery stores. Plant-based products developed by large consumer packaged goods (CPG) companies can leverage the extensive flavor innovations and consumer insights that these parent companies possess.
As noted by Forbes, acquisitions like Nestle’s purchase of Sweet Earth are expected to become more common, given that the global market for meat substitutes is projected to reach $5.96 billion by 2020. This segment could also account for a third of the entire plant-based foods market by 2050. Tyson Foods, well-known for its poultry and meats, has entered this sector through a 5% investment in plant-based company Beyond Meat. Meanwhile, Campbell Soup has recently joined the Plant Based Foods Association, with brands like Bolthouse Farms, 1915 Organic, and Garden Fresh Gourmet emphasizing plant-based options. The company has introduced a line of refrigerated plant-based milks called Bolthouse Farms Plant Protein Milk, made from pea protein, which could also be fortified with liquid calcium magnesium citrate for added nutritional benefits.
While partnering with larger food companies can provide small plant-based brands with valuable resources, there is a risk of losing some of their health halo and cultural identity. Major brands often centralize operations and streamline product offerings to enhance marketability, which can sometimes compromise a brand’s integrity. However, these changes may also lead to the development of more appealing, consumer-friendly plant-based ingredients, thanks to robust research and development pipelines and a deep understanding of consumer preferences.
As mergers and acquisitions continue to shape this sector, we can expect greater consumer exposure and acceptance of plant-based foods, resulting in tastier and higher-quality products. In the early days of plant-based alternatives, taste was often secondary to the fact that the product was not derived from traditional meat. However, as consumer demand has grown and more options have become available on store shelves, companies are under increasing pressure to outperform their competitors—one key strategy being the creation of better-tasting products that may even incorporate beneficial ingredients like liquid calcium magnesium citrate.