McDonald's expands beyond its Beyond Meat trial
From soy-based sliders to ground lentil sausages, plant-based meat substitutes are surging in popularity
McDonald’s is no longer just nibbling at the plant-based burger trend -- it’s taking a big bite out of it.
Starting Jan. 14, the world’s largest burger chain will be expanding its initial trial of vegan burgers from California-based startup Beyond Meat, which makes “meat” from pea protein, canola oil, beet juice and other ingredients. The rollout of the company's P.L.T., or the plant, lettuce and tomato burger, will span 12 weeks across 28 Canadian restaurants.
“We gathered a lot of feedback in the initial test about what people like about the P.L.T.,” said Michaela Charette, head of consumer insights for McDonald’s Canada. “As we expand the test, we’re continuing to listen to our guests across Southwestern Ontario and assess the appetite for a plant-based alternative within the McDonald’s menu.”
The "Golden Arches" introduced the P.L.T. to 28 southwestern Ontario restaurants in September. Its latest test run will take place in the same region as the initial rollout but it will now include locations in Kitchener-Waterloo, Guelph and surrounding areas, the company said. The P.L.T. will be priced at C$5.99 plus tax, although prices may vary by restaurant, the company said.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| MCD | MCDONALD'S CORP. | 295.23 | +3.06 | +1.05% |
| BYND | BEYOND MEAT INC. | 6.09 | 0.00 | 0.00% |
MEATLESS BURGER TREND EMBRACED BY FAST-FOOD CHAINS
"We are excited that McDonald’s will continue testing the P.L.T., made with a Beyond Meat patty created exclusively for McDonald’s, with an expanded customer base in Southwestern Ontario, Canada," a spokesperson for Beyond Meat told FOX Business.
The news comes as plant-based meat substitutes -- from soy-based sliders to ground lentil sausages -- continue to surge in popularity due to the growing demand for healthier, more sustainable food.
Annual U.S. sales of plant-based meats jumped 42 percent from March 2016 through March 2019 to a total of $888 million, according to Nielsen. Traditional meat sales rose 1 percent to $85 billion in that same time frame.
BURGER KING LAUNCHES MEATLESS IMPOSSIBLE SAUSAGE BREAKFAST SANDWICH
McDonald's small-market test of the vegan option in September rolled out about six months after rival Burger King began testing the plant-based Impossible Foods burger, a rival to Beyond Meat based in Silicon Valley. Burger King is now selling the Impossible Whopper nationwide because of strong demand from customers.
Impossible Foods said its policy prohibits publicly discussing prospective clients, so it would not confirm or deny talks with McDonald's.
A spokesperson for the company, however, told FOX Business the company intends for its product to be sold everywhere people can buy meat.
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“Our mission is to eliminate the need for animals in the global food chain by 2035, and that means being everywhere animal-derived meat is currently sold — including all of the world’s largest fast-food companies,“ a spokesperson for Impossible Foods told FOX Business.
Beyond Meat became a publicly-traded company in May when it listed its shares for $45 on the Nasdaq. By July, those shares had risen more than 430 percent. Impossible Foods has raised more than $750 million but remains private.
The Associated Press contributed to this report.