During this past year of COVID, meat sales — particularly beef sold to the foodservice segment — declined but increased to the retail segment, which pulled overall meat sales up versus the previous year. In the ensuing next few months and maybe even years beyond COVID, meat sales are poised to set new sales records. These meat consumption facts were reported in the Power of Meat (POM) study conducted by 210 Analytics on behalf of FMI - The Food Industry Association and the Meat Institute’s Foundation for Meat and Poultry Research and Education, from which I quote extensively below.

Certainly, like the song lyric above, we ain’t heard nothing yet that forecasts anything like the doom and gloom we experienced this past year, so we had better fill our warehouses for the sales expansion forecast to come.

By now, you have probably heard the top line of the POM, that meat sales are up a whopping 19% versus the previous year. The COVID-induced at-home shopping fueled 84% of meals prepared and consumed at home with online shopping up 40%; furthermore, 59% of those online shoppers will continue to do so post-COVID, whenever that occurs.

But wait, there’s more: Nearly all American households (98.4%) purchased meat in 2020 and 43% of Americans now buy more meat than before the pandemic, according to IRI data. Interestingly, consumers looked for meat sales/deals during the pandemic. Processed meat is selling more on promotion than fresh meat with 39.4% of all processed meat volume sold on promotion versus 32.9% for fresh. And, as a hint for future meat marketing, in-store signage remained the most popular way for consumers to research meat specials.

Lest you think that the environment wasn’t top of mind for consumers, 49% consider sustainability a rising platform driving sales. And as an education opportunity for meat marketers, environmental measures are deemed as important by 37% of consumers; they just need more education about it.

What about plant-based faux “meats?” Well, just as in the pre-COVID days, these items grew and did so this past year at 83.9% in popularity but remain a small part of the overall meat/alternative sales at 0.6%. Within this category, the vegetable/meat blends have greater appeal than the 100% plant-based varieties. I think I prognosticated this a year ago as their growth continues. Are you selling any yet?

But what is causing this forecasted dramatic increase in sales and what should we do to prepare for it? Anne-Marie Roerink, in the latest version of the POM report sponsored by Sealed Air, gives us a few clues. If you want to grow faster than your competition you had better recognize and adjust to the following trends:

More cooking at home than pre-COVID will continue. Too bad you are not in the home cooking appliance business as that segment experienced unchecked growth with instant pots, etc. But, if the Gen Xers and their friends are going to cook more at home, even with restaurants opening, then it’s in your best interest to feed this monster with not just new varieties of meats, both packaged and fresh, but also digitized recipe ideas or any other means of making the “cooking” easier and the meals more flavorful.

Another avenue for the expanding cook-at-home crowd is with premium varieties of beef. That’s right, prime beef is growing because that’s what consumers want. To their credit, the beef industry has responded with cattle feeding regimens that have increased the percentage of the upper choice and prime grades of beef.

Why is all this happening? Because 20% to 25% of the working population of 155 million people will be working from their homes up from 7% in 2017. Not only are more working remotely, but they are also eating “remotely” at home. All of this is supported by the surge in online shopping. If you are not offering your meat products online, you should be.

This trend of increased meat sales, which is forecast to continue, is an opportunity to not sit on our backsides and reap the results. Rather, it’s a time to reinvigorate ourselves for a new dynamic of sustained meat industry growth.

'B-b-b-baby, you ain't seen nothin' yet' —Bachman Turner Overdrive

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