What is Beyond Meat’s supply chain strategy that makes it the leader in the plant-based meat industry?
Beyond Meat, one of the leaders in the plant-based meat industry, has launched its $3.8 billion IPO on May 2, 2019, and has reached $13 billion by summer that year (Neil Bendle, 2020). Aiming at the mainstream meat-eaters as the target market, Beyond Meat has surpassed established plant-based food brands such as Tofurky in terms of market share. I believe one of the key contributors to Beyond Meat’s success is the streamlined supply chain strategy.
Beyond Meat develops and manufactures its innovative plant-protein base– the ingredient for its delicious plant-based meat with no soy, gluten, or GMOs. Beyond Meat produces burger patties, sausages, and crumbles that cater to meat-loving consumers who would like a healthier and more sustainable version of meat. According to the consumers, Beyond Meat tastes almost identical to real meat in terms of texture, flavor, and satiation. As Beyond Meat puts in more resources in expanding its sales channels, it is expected that the brand will have to adopt a more strategic supply chain strategy.
To supply the demand of its retailers, which include major supermarkets (i.e. Whole Foods, Safeway, Giant, etc.) as well as well-known quick-service restaurants (i.e. TGI Fridays, Dunkin, Del Taco, etc.), Beyond Meat has been building processing facilities for mass production and diversifying its supplier base for key ingredients (pea protein). What’s worth mentioning is the placement of Beyond Meat products– instead of placing them in the “vegan” section of the supermarket, they are placed alongside other sirloin steak and ground beef, and this embodies Beyond Meat’s brand message: “Our mission is to create The Future of Protein — delicious plant-based products that appeal to both meat and non-meat eaters.”
Sources:
Getting to Know About Beyond Meat Business Model
SupplyChainDive: Beyond Meat supply chain ready for fast food volume, CEO says
Vertical Integration in Plant-Based and Cell-Based Meat
Beyond Meat: A Speculative Bet On A Meatless Eating Future
https://seekingalpha.com/article/4450739-beyond-meat-stock-is-on-its-path-to-irrelevance
