Beyond Meat (NASDAQ:BYND) shares gained Thursday, on word the company will introduce a whole-muscle steak alternative as part of its pivot to win over health-conscious consumers.
CEO Ethan Brown said on Wednesday that the rollout will likely include a partnership with a restaurant chain known for serving healthier food, a departure from its prior strategy of teaming up with fast-food chains such as Dunkin’ and McDonald’s (NYSE:MCD).
More than six months ago, Beyond announced a turnaround strategy that included cutting costs, hiking prices and discontinuing the jerky product it made through a joint venture with PepsiCo (NASDAQ:PEP). To revive slumping sales, the company’s marketing has focused on the health benefits of eating a plant-based diet through partnerships with organizations such as the American Cancer Society and influencer deals with college athletes. While health has always been a part of Beyond’s pitch to consumers, the company used to put more emphasis on climate change, too.
In recent months, Brown has blamed some of the plant-based meat industry’s woes on misinformation from the meat industry and cattle farmers, such as skepticism about plant-based meat’s processing.
Beyond already sells plant-based steak tips, but the new product mimics the texture of a filet with mycelium, the rootlike part of fungi. Brown envisions the steak alternative as a substitute for chicken, topping salads and stuffing burritos as a source of protein.
BYND shares crept up two cents to $5.97.
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