In 2023, the plant-based food industry in the US saw a decline in sales, with meat and seafood alternatives experiencing significant drops in both value and volume. According to the Good Food Institute’s latest State of the Industry report, dollar sales of plant-based foods decreased by 2% to $8.1 billion, with sales volumes down by 9% to 1.8 billion.
Specifically, sales of meat and seafood alternatives fell by 12% since 2022 and 13% since 2021, reaching $1.2 billion in 2023. Unit sales growth for plant-based meat and seafood also saw a decline of 19% compared to 2022 and 26% compared to 2021, amounting to 215 million.
Furthermore, household penetration rates for plant-based meat and seafood dropped by four percentage points to 15% in 2023, indicating a need to reengage consumers. Plant-based meals also experienced significant declines, with dollar sales falling by 14% to $498 million in 2023 and unit sales decreasing by 22% to 96 million.
Despite these declines, milk alternatives remained the top-selling category, with dollar sales growing by 1% compared to 2022 and 9% compared to 2021. However, unit sales for milk alternatives fell by 8% year-on-year and 10% compared to 2021.
When it comes to repeat purchase rates, plant-based milks had the highest rate at 79%, followed by plant-based creamers at 65% and meat and seafood alternatives at 62%. Plant-based eggs and cheeses had the lowest repeat purchase rates at 48% and 49% respectively.
Overall, the GFI reports that retail sales of plant-based foods in the US have grown by 51% since 2017, reflecting ongoing trends in consumer preferences towards plant-based options in the food and beverage industry. [food and beverage industry trends, food and drink business, food and drink consumer trends]
