Vegan products are taking over the meat and dairy market by storm, with demand for nutritionally competitive vegan meat and dairy products gaining impetus with every passing year.
With scientists highlighting the positive effect of vegan lifestyle on one’s own health and the environment, it’s safe to say veganism is here to stay. Here’s what industry insiders say about the vegan industry and growth strategies adopted by top market players.
Frozen desserts setting the trend
With scientific research establishing a deeper connection between diet, health, and environment; demand for vegan alternatives has increased exponentially. The frozen dessert segment has been one of the biggest beneficiaries of this trend. Top market players are increasingly making moves to introduce vegan ice-cream options to capture maximum market share. For instance, Froneri, an ice cream manufacturer, owned by R&R and Nestle, introduced a novel-plant based ice cream range ‘ROAR’.
Following increased awareness of the detrimental influence of food additives, chemicals, and animal antibiotics on human health, consumers are switching towards vegan protein alternatives. To cater to such demands, Smithfield Plc. recently introduced its Pure Farmland plant-based protein product range.
Likewise, Kellogg’s launched its new INCOGMEATO plant-based ground package manufactured with 100% plant protein with 48% less saturated fat.
Key Trends to look out for
- Top fast-moving consumer good (FMCG) companies are leveraging social media platforms to reach a wider audience by collaborating with celebrities and influencers.
- They are also strengthening their digital channels, retail, foodservice, and direct-to-consumer sales.
- Emerging alternative protein companies are finding these changing market conditions quite challenging as they heavily relied on earning from retail shelf space.
- COVID-19 pandemic has already blurred the line between retail and e-commerce and led to emergence of hybridized segment. Trail and testing in this new domain will create lucrative opportunities for new start-ups.
- A surge in number of vegan café kiosks, grab-and-go products, and autonomous delivery can be expected to continue
- Companies must focus on winning the game at taste and pricing. Urbanization and high demand for quick and fresh vegan products might help these plant-based alternatives to thrive.
Europe and North America leading the vegan revolution
Collaboration between market players is on the increase as producers work to make vegan food items more accessible. For instance, Subway collaborated with Beyond Meat Burger in order to provide more efficient products and services to their customers.
Industry Insider predicts that both companies and investors involved in the vegan business have backed the right horse, given the expected growth of the vegan food sector. With Europe and North America leading the vegan revolution and collectively holding 65% of the global protein supplement market, according to MarketNgage, a potential strategic advantage is emerging for these regions going forward.
With thanks to Hakimuddin Bawangaonwala of MarketNgage for the input.