26 Jan 2021
Posted in Consumer
Beyond-Pepsi venture highlights need for strategic plant-based investments as 30% of US consumers drive demand
Following the news that plant-based manufacturer Beyond Meat has formed a partnership with leading FMCG brand PepsiCo;
Ramsey Baghdadi, Consumer Analyst at GlobalData, a leading data and analytics company, offers his view:
“The partnership between PepsiCo and Beyond Meat will be beneficial for both brands, especially considering the high consumer demand for plant-based alternative meats. In fact, throughout December, almost a third (30%) of US consumers claim to be buying more plant-based alternative meats*, according to GlobalData’s recovery survey.
“Consumer demand for plant-based products is large enough to make an impact in sales, as the plant-based alternative industry continues to grow. PepsiCo’s decision to widen its existing selection of plant-based snacks will be a game changer in the long-term, as more consumers naturally gravitate towards the trend. In fact, as of December, one out of five (22%)*2 US consumers consider ethically sourced ingredients to be their top priority now.
“What’s more, Beyond Meat is already a household name in the plant-based industry, offering Pepsi additional leverage over its competitors – namely Coca-Cola – should the company also enter the industry. On the other hand, the partnership will give Beyond Meat the opportunity to grow on an international level and diversify its product offerings into snacks and drinks. It’s a win-win.”
* GlobalData’s Recovery Survey (published December 9th, 2020) – US – “I have never bought this, but have started buying this now”, “I am buying slightly more than before”, “I am buying significantly more than before” and “I am stockpiling i.e. buying this in bulk or multiple times”
*2 GlobalData’s Recovery Survey (published December 9th, 2020) – US