Beyond Meat Demand Rises
By: Alyssa Garcia
Due to COVID-19 there has been a drop in meat production rates across the U.S. Around the US, 170 meat and poultry processing facilities reported coronavirus cases. According to the CDC, nearly 5,000 workers have fallen ill. At least 45 have died. This has lead to closures in 38 factories causing a decrease in meat production.
Grocery stores, restaurants, and fast food chains are beginning to put a limited quantity on meat purchases, as well as adjusting menu options due to the meat shortage. Due this Beyond Meat is expecting to see a rise in demand for their products. Beyond Meat CEO Ethan Brown said on CNBC Wednesday he has his eyes set on introducing plant-based food to more consumers this summer as beef supplies fall and prices rise amid a coronavirus pandemic.
Beyond Meat is a company that has a goal of creating plant based meats that come close to the taste and cook of real meat. Beyond Meat also provides an alternative source of plant based protein. With the decrease in meat productions consumers are turning to this company’s meat alternatives. The demand for Beyond Meat is so high that, their stock has risen nearly 60% in 2020.
The meat alternatives are currently priced higher than meat products, but the company has plans to temporarily reduce its cost admits the pandemic, since the demand is high. Beyond Meat’s CEO Ethan Brown stated, “We’ll do heavier discounting on some of our products as long as this disruption continues in the animal protein market”. The discounting of their prices is timely with the meat shortage and should bring in newer consumers who typically buy their products which are usually vegans and vegetarians.
Beyond Meat’s stocks are expected to continually grow and gain higher demand, but may see a downfall once meat production is no longer limited. The temporary price reduction may not be enough to keep new consumers on their products considering their prices can range anywhere from $6-$10 in local grocery stores.
