By Sabrina Lynch
- Nestle launches plant-based burger in the U.S.
- Investors including Trevor Noah and Serena Williams have funded competitor Impossible Foods
Nestle is moving beyond chocolate and has its sights set on plant-based profits by backing the production of “Awesome Grounds” and “Awesome Burgers” innovative substitutes for meat products. The brand will be bringing more flavor-forward food products into the market, creating healthier options for African-American diets and Black investor opportunities.
Why This Matters: One in three African-Americas, around 32% opt for meatless meals when eating out, leaving the doors wide open to Black-owned restaurants to create, and gain a positive bottom-line from plant-based alternatives to classic food dishes Black audiences love. The plant-based industry’s retail value is close to $4.5 billion and sales have already achieved double-digit growth, up 11% in the past year. Several black investors have paid to be a part of this movement by investing in what will become a Nestle competitor, Impossible Foods latest $300 million funding round like, Serena Williams, Jaden Smith, Trevor Noah and Jay-Z.
One in three African-Americas, around 32% opt for meatless meals when eating out
KFC, Dunkin Donuts (DNKN -1.73%) and Subway have made in-roads in adapting their menus to the marvels of meatless replacements; and McDonald’s (MCD -0.38%) also joined the meat-alternative movement by introducing a new P.L.T (Plant Lettuce Tomato) burger in partnership with Beyond Meat (BYND -1.61%). However, meat-alternative foods have recently come under fire by the CEOs of Chipotle (CMG -1.02%) and Whole Foods who have questioned its staying power and overall food-processing techniques.
It’s no secret that consumers demand greater transparency from food manufacturers, but despite the criticism of not being 100% faithful to “real food made with real ingredients” ethos that brands have been scrambling to uphold; the plant-based foods market won’t be slowing down any time soon.
Situational Awareness: Plant-based meat alternatives are being positioned as a viable, sustainable solution to counteract the detrimental effects of the current food system. As the industry continues to grow, investors will need to divorce their expectations from capitalizing on farming practices since real-world implications on the environment are being felt, and discussed, on a global scale.
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