Alternative proteins to claim third of market by 2054
Meat Alternatives
“Alternative Proteins to Claim a Third of the Market by 2054. Shifts in supply and demand of protein for human consumption will drive the rise of alternative proteins to 307 million MT by 2054, initiating significant changes in the food and agriculture landscape… Global protein consumption will reach 943 million metric tons (MMT) by 2054, rising at a 1.7% CAGR from the current 473 MMT. Alternative protein sources will pick up the slack of slowing meat and seafood growth, and could claim as much as 33% of total protein consumption by 2054”
“Novel protein sources beyond meat and fish are finding opportunities for growth within the once static protein industry… consumer preference, concerns over the planet’s ability to produce sufficient meat, impact of livestock agriculture on the environment, and mounting scientific advances are driving the changing protein demand”
Camilla Stice, Lux Research Analyst
“Soy will dominate the alternative protein space over the next 10 years. Consumption of soy, the first-generation alternative protein, has risen at a CAGR of 5.1%, versus 2.5% and 1.6% for meat and seafood, respectively, over the past decade. Soy consumption will continue to rise strongly over the next decade, reaching 31 MMT and capturing more than 80% of the alternative protein market by 2024. Second-generation plant proteins – proteins extracted from well-established plant sources like pea, rice, and canola – will only be a small slice of the overall alternative protein market by 2024 but will grow at a tremendous rate, poised for greater market adoption in the coming decades”
Lux Research, 2015
Meat substitutes worth $5 billion by 2020, cagr 6.4%
“Meat Substitutes Market worth 5.17 Billion USD by 2020… The increasing awareness about health and wellness, the growing meat-free products market, the increasing health concerns for pets, and increasing environmental issues have played a major part in providing the necessary boost to the global meat substitutes market. The market is projected to reach USD 5.17 Billion by 2020 at a CAGR of 6.4% from 2015”
Lux Research, 2015
Soy protein worth 6.3 billion in 2012 is growing at a cagr 6.3%
“The global market for soy protein ingredients in terms of revenue was estimated to be worth $6,399.9 million in 2012 and is expected to reach $9,214.4 million by 2018, growing at a CAGR of 6.3% from 2013 to 2018”
Market and Markets
Free from sales to top £1 billion
“Meat free and free from sales set to top £1 Billion in UK in 2013, Mintel Reports”
Food and Drink Business
New vegetarian food products double between 2009 and 2013
“Number of global vegetarian food and drink product launches doubles between 2009 and 2013… 12% of global food and drink products launched in 2013 carried a vegetarian claim, up from 6% in 2009. Further to this, 2% of global food and drink launches carried a vegan claim in 2013, up from 1% in 2009”
Mintel, 2014
US meat alternatives hit $553 million, up 8%
“The hunger for fake meat, or meatless meat, is getting bigger. So much so that the latest sales numbers of plant-based meat alternatives reached $553 million in 2012, representing a growth spurt of 8% from 2010”
Fortune, 2015
40% of UK has purchased vegetarian foods
“Almost 40% Brits have bought vegetarian or meat-free food”
The Telegraph, 2008
Impossible Foods
“You love meat. You love cheese. For thousands of years we’ve relied on animals to make them. Impossible Foods has found a better way. We use plants to make the best meats and cheeses you’ll ever eat”
Impossible Foods, 2015
Impossible Foods raises $108 million
“I mpossible Food Inc. has raised $108 million in a Series D round led by UBS”
Wall Street Journal, 2015
Impossible Foods raises $75 million
“Impossible Foods, has received $75 million in venture capital from Khosla Ventures, Google Ventures, Mr. Li Ka-shing’s Horizons Ventures and Bill Gates, for a plant based burger that bleeds!”
Wall Street Journal, 2014
Google’s $300 million bid for impossible foods is rejected
“Google has tried to buy a vegetarian burger business called Impossible Foods for up to $300m, it has been revealed. The proposed deal was reported by technology site The Information, which cited an unnamed source as saying that the bid was rejected as too low”
Sky News, 2015
BEYOND MEAT RAISES $17 MILLION IN SERIES E
“Beyond Meat is beefing up its bank account. The El Segundo fake meat manufacturer has raised a $17 million Series E round, according to a filing with the Securities and Exchange Commission… Its backers include prominent tech investors such as Menlo Park’s Kleiner Perkins Caufield & Byers, Microsoft Corp. co-founder Bill Gates and San Francisco’s Obvious Ventures… The company’s top-selling Beast Burger, and other meat substitutes, are sold in over 7,000 stores, including Whole Foods, Target, Vons and Ralphs. It has also struck deals with sandwich chain Which Wich of Dallas and L.A. pizza chain Fresh Brothers”
Los Angeles Business Journal, 2015
“We are doubling the business annually” Ethan Brown, CEO of Beyond Meat
Ethan Brown, CEO of Beyond Meat
Fortune, 2015
It was a taste of the future of food
“Like most people, I don’t think I can be easily fooled. But that’s just what happened when I was asked to taste a chicken taco and tell whether the meat inside was real or fake…What I was experiencing was more than a clever meat substitute. It was a taste of the future of food”
Bill Gates
Gates Notes, 2013
Former mcdonald’s ceo joins beyond meat’s board of advisors
“Beyond Meat, one of a growing number of startups trying to convince the public to swap burgers and chicken wings for plant-based alternatives, announced some pretty meaty news: Don Thompson, the former CEO of McDonald’s, is joining its board of advisors”
Entrepreneur, 2015
Venture capital firm behind beyond meat invests in big problems needing solutions
“Frankly, we’ve never said we’re interested in food,” said Randy Komisar, a partner at Kleiner Perkins Caulfield Byers, a venture capital firm that has backed Google and Facebook — and Beyond Meat. “What we’re interested in is big problems needing solutions, because they represent big potential markets and strong opportunities for building great returns”
New York Times, 2014
Big Stone
“We want to get into the multi billion dollar meat industry with a plant based meat” -Biz Stone, Twitter Founder
Huffington Post, 2012
Quorn turnover a record £141 million
“Consumers’ shift to sustainable eating has led to a 20% increase in Quorn’s sales in the past two years, which resulted in double-digit growth and a record turnover of £141M” said Tim Finnigan, head of research and development at Quorn”
Food Manufacture, 2015
Quorn turnover £150 million
“Quorn ended 2014 with turnover of £150.3m, up £9m on the previous year. A £30m investment has seen a third fermenter built at its Billingham production plant where it makes around 22,000 tonnes of Mycoprotein per year, the core ingredient of Quorn products.
A global marketing push with a budget of £40m, including a TV advertising campaign starring Mo Farah and a push into Sweden and Germany, now sees Quorn exported to 16 international markets around the world.
Such is the demand for its high-in-protein, low-in-fat products in the US that the company wants to grow by 30% a year stateside with the aim of building an American operation three times its current size by 2020.
Kevin Brennan, CEO of Quorn Foods, said: There is a growing trend towards meat reduction around the world and as more consumers turn to alternative sources of protein, Quorn has seen a growth in sales globally”
Gazette Live, 2015
Quorn is britains 35th biggest brand
“Market researcher Nielsen ranks Quorn as Britain’s 35th biggest brand – overtaking family favourites such as Heinz tomato ketchup”
The Telegraph, 2014
Quorn to invest £30 million and add 400 new jobs
“Quorn Foods has announced plans to create around 400 new jobs, as it invests £30m
to increase its production capacity at its Billingham site in Nelson Avenue. Production will increase by more than a third under the expansion”
Hartlepool Mail, 2015
Quorn up for sale in £500 million deal
“Quorn Foods: Meat-free food manufacturer up for sale in £500 million deal, following a 30% surge in US sales. It comes as the meat-free food manufacturer, prepares to increase production by 50% later this month. According to reports, the new owner of Birds Eye and Findus, Nomad Foods, is planning a takeover bid, but could face competition from Toronto based McCain Foods, the world’s largest producer of frozen chips”
Quorn sold for £550 million
“The meat substitute company Quorn Foods, advertised in the UK by Olympic Gold winner Mo Farrah, has been sold to Monde Nissin of the Philippines for £550m ($831m)”
BBC, 2015
Quorn exports to 19 countries
“Quorn CEO Kevin Brennan said “Vegan is an exciting area for us. We have worked for a long time to get really great vegan products.” Commenting on Quorn’s annual results, Brennan said the company had enjoyed strong growth off the back of its first forays into Germany in 2014, with like-for-like sales there up 49.5%. “We were testing the German market for a year and it has gone well enough to go for national distribution.”
“Germany could well be one of the top three or four markets in the world for us, after the US and UK, within five years. Meat-free is worth €130M (£97.4M) there and is growing at about 30%. We think it should continue to grow. There are 7.3M vegetarians there – the largest vegetarian market in Europe.” Exports now represent 19% of Quorn’s revenue and the firm currently supplies 15 countries.
The company saw continued global opportunities to boost sales in foodservice as well as retail channels. The business posted 10% UK like-for-like sales growth on January 22, with total global sales up 7%, to reach a record £150M, off the back of attracting 1.86M new customers. Brennan disclosed big plans to grow sales of Quorn to more than $1bn in the next 10 years”
Food Manufacture, 2015
Weisenhof’s, germany’s largest poultry producer, new vegan sausage to account for 30% of turnover by 2016
“ Wiesenhof, Germanys largest poultry producer, has launched a vegan sausage line and the German meat giant; Rügenwalder Mühle has developed a full vegan product line, including vegan meatballs
CEO, of Rügenwalder Mühle, Christian Rauffus told German Der Spiegel, “Our brand is well-positioned, but the meat industry is not. Vegetarian products are merely a logical step to us.” Rauffus has even called sausages the cigarette of the future
The move has already proven to be a success: four of the company’s ten best-selling products are vegetarian products and it expects 30% of its 2020 turnover to come from vegetarian products. If the current growth is maintained, the company should reach that forecast next year already”
Retail Detail, 2015
Gardein now worth $100 million, and growing 35% yoy
“The meat-free brand [Gardein] is now worth $100m, just five years after launching in the US as a retail brand, and is still growing at 35% year-on-year. Not so long ago, alternative dairy products such as soy and almond milk were considered niche… Look at them now… Meat alternatives are also going mainstream. More than a third of Americans (36%) buy meat alternatives now, according to Mintel, and I think this category could easily double in the next 10-15 years… We’re in 20,000 stores now including many mass-market players. Every retailer is different but Kroger is expanding
[the space it allocates to meat-alternatives], Walmart is and so is Whole Foods Market” – Gardein CEO Yves Potvin
Food Navigator USA, 2014
Gardein sold for $175m Canadian dollars
“TSG Consumer Partners said it has agreed to sell Canadian food company Gardein Protein International Inc. to Blackstone Group-backed frozen food company Pinnacle Foods Inc. for 175 million Canadian dollars. The company said Gardein is expected to generate net sales of about C$65 million this year”
Reuters, 2014
Amy’s Kitchen 2008 turnover $240 million
“Based in Petaluma, Calif., Amy’s leads the nation in prepared organic food sales and boasted 2008 revenues of $240 million. With Andy, now 61, as CEO and Rachel, 55, as head of marketing, the 1,600-employee company sells 140 vegetarian products, such as frozen black-bean tamales, in chains that include Kroger, Safeway, and Whole Foods”
CNN Money, 2009
Amy’s Kitchen to invest $100 million in new manufacturing plant
“Amy’s Kitchen, a producer of natural and organic convenience foods and frozen specialty foods, will invest nearly $100 million to establish a 500,000 square foot manufacturing facility in Goshen, New York. The construction of the organic food manufacturing plant is expected to create nearly 700 new jobs in the Hudson Valley”
Arena Development, 2014
• 1997: sales are about $25 million
• 2001: sales are more than $100 million
• 2005: sales are about $200 million
Reference for Business
• 2008: revenues of $240 million
CNN Money, 2009
• 2012: Amy’s Kitchen earned $300 million in sales in 2012 and is estimated to bring in$500 million in sales in 2015
L2Inc., 2015
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“We expect to be a billion-dollar company in five years”
Andy Berliner, Founder of Amy’s Kitchen
CNN Money, 2009
Amy’s Kitchen to open new drive-thru restaurant
“Amy’s Kitchen Is Starting a Vegetarian Drive-Thru… Amy’s Kitchen wants to be more than just a frozen food company. In late June, it will launch its first drive-thru restaurant
in Rohnert Park, Cal. to provide the same freshly prepared vegetarian foods the company is known for, but fast”
Time Magazine, 2015
