After expanding aggressively into the retail category nationwide in the United States, Impossible Foods is now eyeing a new market to drive growth and increase its market share. In May 2021, the plant-based company announced that its plant-based Impossible Burger secured the Child Nutrition (CN) Labels from the United States Department of Agriculture (USDA). Therefore, making Impossible Foods plant protein burgers eligible for distribution under federal child nutrition programs such as National School Lunch Program, and School Breakfast Program. ConsumerIntel360 expects this entry into the K-12 foodservice channel market is likely to drive revenues for the plant-based protein company.
Sizeable market opportunity for Impossible Foods from the K-12 foodservice channel
The National School Lunch Program is the second-largest food and nutrition program in the United States. Every year, billions of lunches and breakfast are distributed in various schools nationwide, for free or at a reduced cost.
Since, Impossible Foods now carries CN Labels, it will become much easier for schools to easily procure plant-based burgers and sausages from the company. Moreover, according to the National Center for Education Statistics (NCES), with more than 100,000 public schools in the United States, this entry into the K-12 foodservice channel represents a sizeable market opportunity for Impossible Foods.
Impossible Foods is gearing up to launch its products with the reopening of schools
Soon after receiving the CN Labels, Impossible Foods announced the pilot program for their plant-based food products for K-12 foodservice channels. Starting from May 2021, Impossible Foods entered different schools based in California, Washington, and Oklahoma to offer their products.
Some of their initial plant-based offerings will include Impossible Frito Pie, Impossible Street Tacos, and Spaghetti with Impossible Meat Sauce. With schools across the country starting to reopen from the pandemic, Impossible Foods is expected to roll out its plant-based product line nationwide in the coming year.
Rising awareness about climate change at the school level is likely to support the plant-based protein company
According to Impossible Foods’ survey, approximately 80% of the children agreed in reducing beef consumption after knowing the impact of carbon-intensive meat on climate change. Therefore, entering the K-12 market is a great opportunity for Impossible Foods to expand its product offering among children across the United States.
Most of the households in the United States with kids include plant-based protein in their meals. Therefore, with the entry of Impossible Foods in the K-12 category, more kids will become aware of their product offering, while developing a taste and habit for it. Therefore, ConsumerIntel360 expects that this trend is expected to boost the sales of Impossible Foods outside the K-12 market as well, with kids eating Impossible Burger at their homes.
The road ahead for Impossible Foods
Impossible Foods is expected to continue its overseas expansion, targeting a range of segments to drive growth. The company is already operating in Canada, Singapore, and Hong Kong and has also entered into a strategic partnership with Burger King Canada to launch its plant-based product line nationwide. With their entry into the K-12 foodservice market, Impossible Food is also expected to launch its IPO soon.
ConsumerIntel360 expects the competition to intensify in the K-12 foodservice market over the next few years. Consequently, opening up new investment and partnership opportunities for several global plant-based brands.
