Product quality is the most important attribute for 53% of meat consumers, according to the 2023 Power of Meat report.

The higher the quality, the better — which means strong demand for premium cuts.

“While not every consumer wants premium meat products, there is strong interest in the category, particularly among younger, food-centric consumers who seek to elevate their at-home dining experiences,” said Britney Banuelos, Tyson’s senior brand manager, beef and pork marketing.

Hannah Kern, senior marketing manager for Cargill Protein, couldn’t agree more.

“Beef consumption had been on the rise prior to the pandemic, but the pandemic broadened and grew the consumer base for premium meats.”

Those patterns have held post-pandemic, with younger consumers, and especially Gen Z and Millennials, driving consumption growth, according to proprietary research from Cargill.

Producers and retailers who continue to look for innovative ways to show consumers how to cook premium meats at home will see even bigger growth in the category.

“They want to explore new cuts, recipes and cooking methods but they’re looking for assistance,” Kern said. “Gen Z specifically gets recipes and tips primarily from social media.”

Cargill Protein and other suppliers also continue to tap into the phenomenon of people replacing the restaurant experience by purchasing premium items in grocery stores.

“At-home meal occasions continue to grow, while foodservice hasn’t fully recovered to pre-Covid levels,” Kern said. “Consumers are looking for more cost-effective ways to get great meals, and cooking more premium meats at home is a way to do that.” 

Cooking premium meats at home means consumers get the experience of indulging themselves while also spending less than if they went out to eat.

Elevated burger options 

Cargill Protein’s premium meats lineup includes both USDA Prime and Angus beef, premium inclusion patties and specialty holiday items like Stuffed Turkey Breast.

Fresh Beef Patties is an area where the company is seeing particularly strong growth, Kern said.

“We continue to innovate and test new flavors and offerings. Over the summer, we launched a line of premium source-grind fresh patties, as well as a few seasoned varieties. Consumers are looking for elevated experiences when celebrating special occasions and we believe elevated burger offerings meet this need.”

That said, demand for premium meats remains strong across the board.

Premium product, Kern said, provides a great center of the plate option for consumers following a low carbohydrate, high protein diet.

“Not only are these shoppers getting the protein they need to reach their health goals, but premium beef allows consumers to eat flavorful, juicy and tender products throughout their health journey.”

Demand is not equally strong, however, among all demographics, Kern said.

While higher-income consumers express a willingness to pay more for premium types of meat such as USDA Prime, Angus, grass-fed, organic and Wagyu beef, Cargill Protein has seen inflation impacting some consumers, especially those with lower incomes who are being more thoughtful about what they purchase.

This article is an excerpt from the November 2024 issue of Supermarket Perimeter. You can read the entire Premium Cuts feature and more in the digital edition here.