Dunkin’ Brands Group, Inc. (NASDAQ: DNKN) joins the plant-based meat craze and partners up with Beyond Meat (NASDAQ: BYND), adding it to its menu.
The Company is offering Beyond Sausage onto their breakfast menu, starting with locations in Manhattan. The coffee giant plans to have the plant-based meat option nationwide in the future at USD 4.29 a sandwich.
Dunkin’ is not the only company that has turned to alternative meats. Other chain restaurants like Burger King, Tim Hortons and Little Caesars have also partnered with Beyond Meat or Impossible Foods, another plant-based meat company. US retail sales of plant-based foods have grown 11% in the past year, according to a July report from trade group Plant Based Foods Association and the Good Food Institute, a nonprofit that supports plant-based businesses.
For Dunkin’, the company sees the meatless option as another way to continue to increase its breakfast offerings. Breakfast sales at fast-food restaurants rose 1% last year, but overall sales were flat. The morning remains the only growth market for the fast-food industry, according to NPD.
NPD found that 18% of Americans are trying to reduce their meat intake. The U.S. market for meat substitutes reached $1.44 billion in 2018, according to Euromonitor data. Beyond’s market share is only about 2%.
Since its initial public offering in May, Beyond Meat’s stock has hit nearly 700% as investors try to get in on the plant-based meat craze. On Monday, after being ahead of its earnings report, the stock reached $200 per share and reached an all-time high of USD 208.48 on Tuesday. The stock now has a market cap of USD 11.8 billion.
Dunkin’s stock has risen nearly 25% since the start of the year. Its market value is now at USD 6.6 billion. The company rebranded last year, from “Dunkin’ Donuts” to just “Dunkin’.”