Disruption in the meat industry: new technologies in nonmeat substitutes

Area of Science:

• Food science and technology
• Consumer behavior studies
• Industrial organization economics

Background:

• Post-WWII shifts in food consumption, including increased dining out and convenience foods.
• Recent consumer trends influenced by health consciousness and sustainability, affecting meat preferences.
• Emergence of novel nonmeat alternatives challenging the established meat industry.

Purpose of the Study:

• To analyze the disruption of the traditional meat industry.
• To evaluate consumer spending trends and product substitution patterns.
• To determine if alternative meat product development is market- or policy-driven.

Main Methods:

• Analysis of consumer spending data across various retail and dining channels.
• Examination of market entry by new nonmeat producers (e.g., Impossible Foods, Beyond Meat).
• Economic evaluation of substitution effects between traditional meat and alternative meat products.

Main Results:

• Alternative meat products constitute a small but expanding market share.
• New nonmeat producers are emerging as competitors to traditional meat processors.
• Evidence suggests consumer spending patterns are the primary driver for alternative meat development.

Conclusions:

• The rise of alternative meat products is a market-driven phenomenon.
• Implications for future product development and the structure of the food industry.
• Understanding consumer preferences is key for navigating industry changes.