Flash Report: Plant-Based Price Premiums

Figuring out how to price your consumer product to optimize sales is a challenge every new business faces. This flash report gives you exclusive insights into how plant-based buyers think about price premiums. It's your key to understanding the role that price plays as plant-based products move from niche to mainstream, and how to best position your own products in a quickly changing landscape.

This 10-page PDF report with key takeaways, charts, and tables showing who is willing to pay a premium for plant-based foods, and how much. We provide breakdowns based on gender, age, household size, dietary status, and motivations/barriers related to buying plant-based foods.

Highlights and Key Takeaways

• Men are more willing to pay higher premiums for plant-based foods, even though about two-thirds of plant-based buyers are women.
• The more members that a person’s household has, the more willing that person is to pay a premium for plant-based foods, and to pay a higher one.
• Most plant-based buyers are willing to pay a premium for great-tasting plant-based foods, but not a big one. Plant-based brands should keep striving for price parity, but may not have to fully achieve it.
• There is a very direct and correlated relationship between age (generation) and willingness to pay a premium
• Background: Younger generations - Generations X, Y, and Z - are significantly more willing to pay a premium, and a much larger one, than the “Boomer” and “Silent” generations. This aligns with what we know to be true of the younger generations; they are more willing to pay for products that align with their worldview and they are still in their income-generating years. This is especially true of Generations Y and Z. 
• Takeaway: Targeting younger generations makes sense for many emerging categories and brands that sell at a premium. For brands considering targeting the Boomer and/or Silent generations, it’s important to know that there is very little tolerance for price premiums among these groups. At the same time, for a company whose products are comparably priced to conventional, animal-based meat and dairy, the older generations represent a largely untapped market that is hungry for these products (if the price is right).