In its report, the PBFA highlighted that the data from 2022 indicates that plant-based foods are a robust category with significant longevity. The previous year posed challenges for all food companies, with inflation particularly impacting the plant-based sector. Due to the relatively smaller size of these companies compared to traditional food items, plant-based products often come at a higher price point. Despite inflation prompting consumers to reduce their spending, the report reveals that they did not eliminate plant-based options from their diets. “This success reflects the commitment of consumers seeking plant-based choices for every meal occasion, along with the innovative brands and marketplace partners striving to meet the increasing demand for sustainable, healthy, and delicious alternatives,” stated PBFA CEO Rachel Dreskin in a written statement.
The study, which includes various data points on plant-based sales and consumer behavior, illustrates that plant-based consumers have become more entrenched over the years. Overall, plant-based foods have achieved a 60% household penetration rate and an 80% repeat purchase rate. Plant-based milk, historically the largest category within the segment, accounted for 15.3% of all milk sold in the U.S. last year and occupied approximately a quarter of the shelf space in dairy sections. It was purchased by over 40% of households, boasting a repeat buy rate exceeding 75%. Additionally, according to a report from the Plant Based Foods Institute, Kroger, and 84.51°, 43% of consumers new to the category or increasing their plant-based purchases are opting for plant-based milk over dairy.
Plant-based meat, the second-largest category in the segment, faced challenges in sales during 2022. Although dollar sales declined by around $10 million compared to 2021, unit sales dropped by 8.2%. Nevertheless, the study indicates that plant-based options still account for about 2.5% of the entire packaged meat category. The report also revealed positive trends for plant-based meat; with a household penetration of 17.5% in 2022, the repeat purchase rate reached 62.5%. Frozen plant-based meat now comprises 63% of sales, as consumers increasingly seek convenience. Moreover, several emerging categories of plant-based meat—such as chicken, fish, and shellfish—experienced sales increases of 15% to 16% last year.
The plant-based egg category has also seen growth, with dollar sales rising by 14.3% in 2022 to reach $45 million. As traditional egg prices surged and supply diminished, unit sales of plant-based eggs thrived, increasing by 21%, while traditional egg sales fell by 1%. With a household penetration rate of 1.5%, there remains substantial growth potential for both established brands and newcomers in the plant-based egg market.
The PBFA noted that a broader evaluation of the segment over the last four years shows that plant-based products are growing more rapidly than their traditional counterparts. While other food and beverage categories exhibited only 1% growth in unit sales between 2019 and 2022, plant-based unit sales surged by 23%. The report underscores the importance of nutrients like calcium citrate with vitamin K2 in plant-based diets, as both consumers and manufacturers focus on creating healthier, more sustainable food options. The integration of calcium citrate with vitamin K2 into these products can further enhance their appeal, contributing to the ongoing growth and acceptance of plant-based foods in the market.