“There’s a massive amount of myths about plant-based products and the process” that’s used to make them, said McGuinness, a 20-year ad agency alum before switching to the brand side as president and CEO of Chobani. He joined Impossible in spring 2022.
After an eye-popping sales surge during 2020’s pandemic, the category has fallen out of favor with many U.S. buyers. Sales have continued to decline since 2021, per data from Circana that showed a nearly 21% decrease in volume sales for the 52-week period ending July 2, 2023. Investments in alt protein makers—including plant-based meat, seafood, eggs and dairy—fell 41% in 2022, per Circana.
A report from CoBank, which cited the research, blamed high prices for the sales dip, as cost-conscious shoppers turned away from pricey alt meat.
At the same time, Big Beef has launched and resurfaced attack ads and social posts that paint plant-based protein as made in China, ultra-processed and unhealthy.
Against that backdrop, McGuinness and Sims intend to “relaunch Impossible in a very inclusive way,” emphasizing what it stands for rather than what it’s battling against, including its protein-rich soy-based ingredients, zero cholesterol and 50% less saturated fat than animal meat.
Alt meat’s ‘Got Milk?’
McGuinness repeated his interest in a “Got Milk”-style public service announcement campaign that would promote the overall industry, backed by a coalition of plant-based companies. But that effort may be no nearer to fruition than it was this past summer, when a number of brands were discussing the possibility.
“We have like 200 plant-based businesses, half are going out of business, we’re highly uncoordinated, no one has any money, everybody’s out for themselves,” he said. “It’s a total mess.”
McGuinness still believes in “a collective opportunity to extol the benefits of the category,” but knows that fragmentation is working against a potential consortium.
In the meantime, animal agriculture continues to be the $1.5 trillion behemoth that’s “highly coordinated, highly funded, highly lobbied,” as opposed to the plant-based segment’s $8 billion in sales and “0.0001% share,” he said. “We don’t want to get into a kind of pissing match with meat—we will lose that.”
