Plant-based sales in the US continue to slide – Image for illustrative purposes only (Image credits: Pexels)
Retail data for 2025 shows that plant-based food sales in the United States continued their downward trend for the second consecutive year. Total dollar sales fell 2 percent while unit sales also dropped 2 percent, bringing the overall market value to $7.9 billion. The declines were milder than those recorded in 2024, yet they confirm a clear shift away from the rapid expansion seen earlier in the decade.
Market-Wide Results Point to Steady Contraction
The latest figures from SPINS, analyzed by the Good Food Institute, place the entire plant-based category at $7.9 billion for the full year. Both dollar and unit volumes moved lower across the board, though the pace of decline slowed compared with the prior period. Plant-based meat and seafood experienced the steepest losses, with dollar sales falling 10 percent to $1 billion and units dropping 11 percent. Non-dairy milk remained the largest single segment at $2.5 billion, yet it too recorded a 2 percent decline. These results reflect broader retail patterns rather than isolated category weakness. Conventional meat and overall food and beverage sales also faced pressure, but plant-based products declined at a faster rate in several key areas.
Category Performance Reveals Mixed Signals
Within the meat and seafood alternatives, refrigerated burgers posted particularly sharp drops, with sales falling 26 percent year over year. Other refrigerated formats saw dollar sales decline 12.1 percent. In contrast, certain traditional plant proteins showed resilience. Purchases of tofu, tempeh, and seitan rose 1 percent, suggesting that some consumers are returning to simpler, less processed options. Foodservice channels presented a slightly different picture. Broadline distributor sales of plant-based proteins reached $291 million, down 7 percent in dollars. While still negative, the contraction was less severe than in retail, hinting at steadier demand in restaurants and institutions.
Consumer and Economic Pressures Drive the Trend
Higher prices remain a central barrier. Plant-based items typically carry significant premiums over conventional counterparts, and recent inflation has made shoppers more selective. Surveys indicate that gaps in taste and perceived value continue to limit repeat purchases for many households. Health considerations still motivate some buyers, yet price sensitivity now outweighs those factors for a growing share of the market. Industry observers note that the category has moved past its initial hype phase. Early rapid growth from 2019 to 2021 gave way to moderation and then outright contraction as consumers recalibrated expectations around affordability and everyday appeal.
Outlook Centers on Closing Key Gaps
Companies in the space are focusing on product improvements that address taste, texture, and cost. Some subcategories and formats posted gains even as overall numbers declined, pointing to pockets of opportunity. Global plant-based sales, by comparison, grew modestly in 2025, underscoring that the challenges are more pronounced in the United States retail environment. The data suggest the market is consolidating around stronger offerings rather than expanding broadly. Continued innovation aimed at price parity and better sensory experiences will likely determine whether the category stabilizes or resumes growth in the years ahead.
