THIS changes everything. How one unconventional startup is cooking up a storm in the UK’s £1.8bn plant-based market
UK food start-up, THIS, is causing a stir with its hyper-realistic plant-based chicken and bacon. In a hotly-contested space, what sets THIS apart?
Cluck me – plant-based chicken never seemed so good
THIS was founded on the principle that plant-based foods should mean zero compromise: all the taste of animal products, none of the nasty drawbacks.
It’s clearly a message that resonates with consumers. In little over 12 months, THIS has notched up a pretty impressive list of achievements:
£5.5m in annualised revenue
5 million portions sold
2000+ stockists UK-wide (partner restaurants and retail)
£4m raised in crowdfunding in just 2.5 days
So far, so good.
What’s in a name? Mischievous marketing and an SEO headache
THIS is an SEO nightmare.
Not to mention the name is bloody confusing, too.
But intentionally so. It’s part of a wider strategy to portray a light-hearted, fun image of the company. Marketing stunts to date include fooling 25 food critics with a Michelin-starred meal and hiring an Ed Sheeran lookalike to hand out vegan chicken nuggets around London.
Creating viral content on social media is a tried and tested playbook. Co-founders Andy Shovel and Pete Sharman have previous. In 2014, whilst working on their previous venture, Chosen Bun, they launched a burger and chips into space using a house-sized balloon – and filmed it all on a GoPro.
No surprise then that the future promises even ‘bigger and naughtier’ stunts.
Good for the planet, good for your tastebuds
THIS’s current offering consists of three types of chicken (the goujons are dank af) and the insta-famous THIS isn’t bacon.
It took 2 years of R&D to perfect the plant-based recipe, including working alongside scientific experts in the field of texture and flavour. The end result is a soy- and pea-based product which tastes like meat, and contains more protein, iron and B12 than actual chicken. Less fat and calories, too.
As for the carbon footprint? At 1.2kg CO2 per kg of food produced, THIS emits 5x less CO2 than chicken, and a whooping 40x less than beef.
Shh…did someone say ‘v----’?
It’s the dark secret of the plant-based industry and all the big players know it. Whisper it quietly, but labelling your products as ‘vegan’ just isn’t cool.
In fact, directly appealing to vegans is a sure way to alienate large swathes of customers who don’t want to be pigeonholed. Beyond Meat? Impossible Foods? Plant-based. No trace of the v-word to be found on any of their products.
THIS takes the tacit rule to another level, belittling competing vegan brands, as well as tofu and seitan, two stalwarts of the vegan diet. Whether or not this is advisable remains to be seen. You need only look at the boycott of Rude Health to understand that the risk of a public backlash outweighs any benefits.
A dual approach to distribution
THIS have nearly 100 restaurant partners, including Honest Burgers (42 UK locations), Coco Di Mama (27) and Barburrito (21). They also have agreements with major retailers: Waitrose, Co-op , Tesco, Sainsbury’s and Asda.
Sales are split fairly evenly between restaurant and retail; an unusual trait for the industry. Take the two market leaders, for example: Impossible Foods’ distribution was limited to restaurants until July this year, whereas Beyond Meat began as retail only.
With great growth comes great challenges
Focusing simultaneously on both retail and commercial distribution has enabled THIS to scale quickly, albeit not without growth pains.
There have been a couple of product recalls to date. Costly, but nothing too alarming.
However, with the plant-based meat market projected to grow globally at a CAGR of 15%, reaching $27.9bn by 2025, THIS must expand their team fast to place themselves in a position to capture a big slice of the pie.
What’s next for THIS?
Make no mistake, THIS is still a relatively small player, having just a 2% share of the UK’s plant-based meat market. Domestic growth is the short-term priority. The company will look to new retail partnerships as the primary way to increase market penetration and presence in the UK.
On the R&D front, THIS are investing £1m in a ‘Willy Wonka style’ innovation centre in London. The lab will house food-scientists, engineers and flavourists (a real job, apparently). Having promised 10 new products a year over the next three years, the pressure is on to deliver. Expect ready-to-eat products (THIS BLT sandwich anyone?) to complement any new ‘creations’.
Over the longer term, international expansion will be key to bringing home the big bacon.
The EU has been earmarked as the next market to target from 2022 onwards. With eco-conscious consumption thriving, particularly in Northern Europe, it could prove to be a lucrative move. And, if inroads can be made into the US market, could we be looking at the next plant-based unicorn?
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