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Insight of the Day: Consumers don't want cheap plant-based meat and dairy

Findings: A European study found that consumers are more likely to buy plant-based meat and dairy alternatives when they are priced the same as animal-based products, rather than lower.

Key Takeaway: Lowering prices on plant-based products may not be the most effective way to increase sales. Consumers associate higher prices with quality and are willing to pay for what they perceive as valuable.

Trend: This challenges the traditional marketing approach of undercutting competitors on price, especially in the growing plant-based food market.

It is about whom: European consumers, specifically those interested in plant-based meat and dairy alternatives. The study doesn't specify age groups.

Description of product/service: Plant-based meat and dairy alternatives, including fermented options like yogurt and steak alternatives.

Conclusions:

  • Consumers are willing to pay a premium for plant-based products perceived as high quality.

  • Taste, familiarity, and convenience are bigger barriers to adoption than price.

  • A systems approach combining consumer education, research, and product development is needed to overcome these barriers.

Implications for brands:

  • Plant-based brands should focus on quality and taste rather than solely relying on lower prices.

  • Marketing strategies should emphasize the value and benefits of plant-based products.

  • Consumer education is crucial to dispel misconceptions and increase familiarity with plant-based options.

Implication for society:

  • This finding could encourage a shift towards a more sustainable food system, as consumers show a willingness to support plant-based products at comparable prices to animal-based ones.

  • By focusing on quality and taste, plant-based brands can make these products more appealing and accessible to a wider audience, potentially leading to a reduction in meat consumption and its associated environmental impacts.

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