Meat Continues to Dominate Grocery Fresh Departments
Meat sales trended upward in 2024, reaching a record high of $104.6 billion, with pounds sold increasing 2.3% and dollar sales growing 4.7% year-over-year. These findings from the Meat Institute and FMI — The Food Industry Association’s annual "Power of Meat" report underscore the category’s dominance over other grocery fresh departments, as well as American consumers’ reliance on meat options.
The report, which is marking its 20th anniversary and was formally presented at this year’s Annual Meat Conference in Orlando, found that consumers purchase meat more than once per week on average, with 98% of households making purchases in the category. Getting enough protein is important to 90% of Americans, and 73% believe meat is an overall healthy choice.
With 94% of consumers reporting being concerned about today’s cost of living, however, price and promotions in the meat department have become more important than ever. More consumers are meal planning, making more trips to the store and purchasing larger packages, which corresponds with an increase in home-prepared dinners with meat.
As such, both value and premium cuts of meat grew as consumers looked to replace restaurant occasions.
“As shoppers’ definition of value has expanded to include price, quality, relevance, convenience and experience, they are including meat in 90% of home-cooked dinners and looking for various options to suit their schedules, tastes, and interests,” said Rick Stein, VP of fresh foods for FMI. “Whether shoppers are looking for the convenience of new ground meats or incorporating semi-prepared options in their meal prep, the meat department delivers.”
Today’s reliance on convenience is top of mind in the meat category, with 53% of consumers saying their typical meal preparation is a mix of items cooked from scratch and fully or semi-prepared products. Value-added, deli-prepared and frozen meat and poultry solutions are specific areas of interest.
While the "Power of Meat" report found that 58% of consumers have tried-and-true meat or poultry favorites, they would also be interested in exploring more within the category. Barriers include cost, habit and lack of cooking confidence, but top areas of interest for new recipes include comfort meals, quick preparation options and creative cooking with basic ingredients such as chicken or ground beef.
Price often remains another barrier to purchase, though 94% of consumers can be persuaded to spend more on meat and poultry when celebrating holidays or given sales promotions. Specific cuts or kinds of meat or poultry consumers deem healthier, a preferred pack size or brand, and convenience are also considered splurge-worthy.
Importantly, the report found that 62% of new unit meat sales in 2024 came from Millennials, highlighting an opportunity to re-align assortment, marketing and merchandising since Millennials’ approach to meat and poultry is vastly different than that of Baby Boomers. For their part, Millennials tend to focus on health benefits, convenience and sustainability, as well as meal favorites, preparation devices, cook time and inspiration.
