Plant-based foods surge as consumers embrace healthier, bolder choices in 2023

Plant-based foods and drinks saw strong growth in 2023. Sales of alternatives like oat and almond milk rose sharply, while interest in other plant-based products also climbed. Consumers are increasingly exploring new flavours, ingredients, and health-focused options. Oat milk sales jumped by 22.6% last year, contributing to an 11% rise in overall non-dairy milk sales in the US. Almond milk remains the most popular choice in this category. Dollar sales for plant-based milk have steadily increased since 2019, reflecting growing demand.

Interest in plant-based options extended beyond milk. Over 80% of consumers expressed curiosity about plant-based proteins, while nearly 90% showed interest in mushrooms. Specialty mushroom sales rose by 63% in 2023 compared to 2012, with overall mushroom sales up nearly 20% over the past decade.

Other trends included a surge in pickle orders on GrubHub, up 89%, and a rising preference for hot sauces among younger shoppers. Half of millennials and Gen Zers regularly purchase hot sauces and seek more variety. Meanwhile, 60% of people now recognise buckwheat as an ingredient, up from 23% in 2021.

Health concerns also shaped purchasing habits. Three-quarters of Americans want to limit or avoid sugar, with 83% worried about sugar in beverages. Nearly 40% actively look for drinks that improve health, a category now worth $1.2 billion in annual grocery sales. The cold brew coffee market is projected to grow from $650 million in 2022 to $5.48 billion by 2032.

Innovation continues in alternative foods. At least 62 companies are developing animal-free milk through precision fermentation. The plant-based seafood market could expand at a rate of over 30% annually through 2032, while the vegan chocolate market may grow by more than 10% annually in the same period. The shift towards plant-based and health-conscious food choices is clear. Sales of alternatives like oat milk and mushrooms have risen, while demand for sugar-free and functional products grows. These trends suggest lasting changes in consumer behaviour and market opportunities.