i.e. a really big animal-friendly umbrella food giant that owns lots of smaller brands.
Or will it be more the case that any decent vegan/vegetarian brands simply get bought up by the already existing mega-corps? A good example being Innocent smoothies. A successful British brand that is now owned by Coca-Cola.
Over the last few years some of the vegan stocks have tanked. From the super hype and highs of the Covid new normal era to drastically terrible.
This all interests me for a few reasons. Firstly - like I said - I'm still stocking around on the stock market. Secondly, though not vegan, I am vegetarian, so I do like the idea of a world free of animal cruelty. Thirdly, I work in food distribution - just a normie job in a warehouse - so I see some of these foodstuffs coming through the system every day. Not in enormous amounts, but enough to make me think, "Well, some people must be eating this stuff."
Personally, I tend not to eat meat substitute products. Though occasionally I might buy Linda McCartney sausage rolls for the novelty of having something different. This means I'm not in a great position to judge the products themselves. Maybe it would be a nice experiment to try? Though I've never been a big meat-eater, even back when I actually ate it, way back as a child. I've just never had the craving for it, and I haven't missed it since officially forgoing it.
My thinking goes beyond the individual products though, as I feel that the best ones will just get bought up by larger brands eventually anyway. So, for instance, even if the Beyond Meat product isn't the one that becomes popular in of itself, perhaps they'll just buy up the ones that do become popular. Meaning if you own stock in Beyond Meat you'll get there in the end either way. This brings me back to my initial question though. Will it be Beyond Meat (or some other vegan company) that becomes the vegan heavyweight - the vegan Nestlé? Or will Beyond Meat just disappear and crash out of business if its product isn't successful, as the pre-existing Coca-Colas and Nestlés of this world buy up anything that's worth having?
My Portfolio
I've actually bought some shares in Beyond Meat as a little punt. I also bought some stock in the Swedish milk substitute company Oatly.
About $160 of Beyond Meat and $100 of Oatly.
I bought them cheap, but they've since become cheaper. So I'm now down about $90 between the two. The direction of travel seems to be only one way.
(It's not too bad though, I'm actually doing fairly well overall. I'm beating the SPX500 over the last twelve months, so I'm not doing too shabbily.
Meaning I can afford myself a little fun.)
Non-vegetarians eating vegetarian products
I've also noticed over the last few years non-vegetarian people eating these meat substitute products. I guess they're doing it partly for the novelty, partly for the cost (if meat is expensive it becomes a comfortable alternative, assuming the taste is up to scratch), partly for the health benefits (or sense of such), and maybe even partly to lessen their impact on animals and the environment - a kind of partial vegetarianism.
So I wonder if the biggest market for vegan products will eventually be just normal people who like meat, but who can't afford it on a regular basis, so need a substitute. The vape to the cigarette, so to speak. Not so much actual vegetarians like me that already avoid meat.
People view becoming vegetarian or vegan as a purely ethical decision, but in reality these decisions are as much about ease as about ethics. For example, it would be hard to be vegetarian if you were stranded on a desert island, clinging on to survival, but it's much easier when you can just head to Sainsbury's and choose from the thousands of options on the shelves. So a bet on veganism is kind of like a bet on things becoming more civilised.
If things get better - and people have more comfort and options - they'll have more leeway to avoid things that cause animal cruelty. Though I'm contradicting myself a bit here - as I'm also suggesting poverty and lack of options might push people to the alternatives too. It's tricky.
On top of all this, we also have this idea that the powers-that-be want us all to go vegan. Or to 'eat the bugs' - the weird zombie sister of veganism. Where we don't eat meat, but we do start eating creepy-crawlies. It's a weird world isn't it. I sometimes wonder if the threat of the bugs is just the scary monster used to corral us towards the vegan products. Though with the EU approving the use of mealworm powder in food one has to wonder. There's certainly a lot to think about when it comes to this topic.
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