Even during an economic downturn amid uncertainty caused by the COVID-19 pandemic, Impossible Foods is thriving.
After consistent growth over the last two years for Impossible Foods and other alternative protein companies, Impossible recently announced it would cut prices of its signature products for foodservice distributors in the U.S.
The cut would be about 15%, and Impossible is encouraging distributors to pass along the savings to restaurants and grocery customers.
This cut puts Impossible Burgers at, at the lowest, $6.80 per pound, which is still considerably more than organic or low-fat ground beef prices, which range from around $2 to $3.
David Lee, CFO of Impossible Foods, sat down with us to share some thoughts on why the company made the decision to drop prices for distributors.
Part of what has allowed Impossible to grow has been its strategy to target meat-eaters, who make up around 90% of its customer base. That strategy has allowed it to expand from 150 grocers in January 2020 to 15,000 globally by late October 2020.
With this growth, Impossible has plans to reduce distributor costs in international markets, as well, such as Canada, Singapore, Hong Kong and Macau.
*Bloomberg contributed to this content.
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