Trends in US Plant-Based Meat Sales: A Declining Market
According to recent data from SPINS shared with AgFunderNews, US retail sales of plant-based meat experienced a decline of 7.5%, totaling $1.13 billion for the year ending April 20, 2025. Additionally, unit sales plunged by 10% during this period.
Sales Breakdown by Category
Sales of frozen meat alternatives dropped by 5.3%, amounting to $782.3 million, which constitutes 69% of the overall category sales. In contrast, refrigerated alt meat sales saw a more significant decline of 12.1%, now at $349.7 million. This marks a continuing downward trend for the refrigerated alt meat category, which has been struggling since Q3 2021.
Growth Pockets Amidst Decline
Interestingly, there were pockets of growth within some subcategories over the 52-week period. These include:
- Frozen plant-based loaves and roasts: +0.7%
- Refrigerated cutlets, strips, and nuggets: +8.3%
- Refrigerated dogs: +1.9%
- Refrigerated seitan: +1.7%
However, refrigerated plant-based burgers, which were critical to past growth, continued their sharp decline, plummeting by 26% year-over-year.
Conventional Meat vs. Plant-Based Meat
For comparison, data from Circana analyzed by 210 Analytics indicates that conventional fresh meat sales rose by 6% during the same timeframe, with frozen processed meat and poultry sales increasing by 10.9%.
Reduced Assortments in Retail Sector
Retailers have been gradually streamlining their offerings in the refrigerated alt meat category, now averaging 9.7 items per store as of April 2025. This reflects a 10.3% decline since April 2024 and a staggering 31% drop since early 2021. Some products have been removed, while others have been relocated to frozen sections, a shift highlighted in Beyond Meat’s latest earnings call.
Sales Summary for the Year Ended April 20, 2025
Frozen Meat Alternatives
- Dollars: -5.3% to $782.3 million
- Units: -7.8%
Refrigerated Meat Alternatives
- Dollars: -12.1% to $349.7 million
- Units: -14.4%
Total Sales
- Dollars: -7.5% to $1.13 billion
- Units: -10%
Top Frozen and Refrigerated Categories
Top Four Frozen Categories
- Nuggets, strips, cutlets: -6.8% to $296 million
- Burgers: -4.1% to $209 million
- Breakfast meat alternatives: -5% to $129 million
- Grounds: -4.7% to $47 million
Top Four Refrigerated Categories
- Grounds: -14.1% to $82 million
- Dinner sausage links: -14.4% to $71 million
- Deli meats: -4.9% to $44 million
- Burgers: -26% to $40 million
Source: SPINS US retail, MULO + convenience, and natural channel, 52 weeks to April 20, 2025.
Overall Market Trends
In 2024, plant-based meat and seafood sales fell 7% to $1.2 billion while plant-based milk dropped by 5% to $2.8 billion. These findings come amid a broader retail environment where conventional meat and dairy products are experiencing growth.
Pockets of Growth
The Good Food Institute (GFI) notes that while many categories showed declines, plant-based protein powders, beverages, tofu, tempeh, and baked goods showed signs of growth. Furthermore, in the foodservice sector, plant-based protein and milk sales rose despite an overall decline, indicating that some segments are still overcoming obstacles.
Funding Trends
Investment in plant-based startups decreased by 64% from 2023 to 2024, with funding dropping from $854 million to $309 million. This shift signals tighter funding conditions, and analysts predict that this may lead to consolidation within the industry.
Final Insights
Despite the challenges faced in the plant-based meat market, there are still segments showing potential for growth. The future will depend on how companies adapt to current market trends and consumer preferences.
