Beyond Meat, once hailed as the future of food, is now betting on a surprising new product: a protein-infused soda called Beyond Immerse. This move marks a radical shift for the company, abandoning its core mission of meat replication in favor of tapping into the booming functional beverage market. The move isn’t random; Beyond Meat is facing a brutal reality: its plant-based burger business is faltering, and investors are losing faith.
The Market Reality: Beyond Burgers Are Failing
For years, Beyond Meat enjoyed rapid growth, fueled by hype and early adoption. The company went public in 2019 with a sky-high valuation, securing deals with major fast-food chains like McDonald’s and KFC. However, the hype has faded, and Beyond Meat has consistently posted losses. Revenue has steadily declined since 2021, falling to $326 million in 2024. The stock price is now below $1 per share, risking delisting from the Nasdaq.
The problem isn’t just Beyond Meat’s execution; the entire plant-based meat category is shrinking. U.S. sales dropped 7% from 2023 to 2024, marking the third straight year of decline. Even Impossible Foods, Beyond’s main competitor, faces similar struggles, with CEO Peter McGuinness admitting the category is “smaller today than it was two years ago.”
Why the Shift to Protein Soda?
Beyond Immerse is a calculated gamble. The functional beverage market—including protein drinks, kombucha, and electrolyte-packed beverages—is exploding, reaching over $200 billion in 2024. While plant-based protein still represents a smaller slice of this market ($450 million in 2024), it’s growing.
The soda is designed to appeal to health-conscious consumers who might not embrace meatless patties but will readily consume a convenient, protein-packed beverage. With 10–20g of protein, 7g of fiber, and zero actual meat, Immerse sidesteps the criticism leveled at processed plant-based burgers. The initial launch sold out quickly, suggesting some consumer interest.
The Double Standard: Processed Food vs. ‘Healthy’ Choices
The success of Beyond Immerse hinges on a key trend: consumers are increasingly wary of ultra-processed foods… except when they come in beverage form. While the backlash against processed meat alternatives is growing, health-focused shoppers readily buy protein powders, kombucha, and energy drinks – all heavily processed.
This hypocrisy gives Beyond Meat an opening. As long as the health halo around functional beverages persists, the company can leverage its plant-based expertise to capture a slice of this lucrative market.
A Desperate Play for Time
Beyond Meat’s pivot isn’t about long-term sustainability; it’s about survival. The company needs time to stabilize its stock, appease investors, and hope for another shift in consumer trends. Whether protein soda can deliver remains to be seen, but for now, it’s Beyond Meat’s best chance to avoid collapse. The company must either convince the market it can thrive beyond burgers or risk becoming another cautionary tale in the volatile world of food tech.
