MEAT+POULTRY - April 2015 - 20

BURGER REPORT

grass-fed beef business but had to because of
consumer demand.
Frangos founded Farm Burger with Jason
Mann, who he says represents the farm side of
Farm Burger because both saw an opportunity.
Mann, an organic farmer, formerly operated a
restaurant in Athens, Ga., called Farm 255, a
full-service, farm-to-table restaurant. Grass-fed
burgers were one of the restaurant's mostpopular items.
"[Opening Farm Burger] didn't seem like a
leap of faith," Frangos says.
Wood says Panorama Meat's market
research reveals there are four distinct
demographic groups that buy grass-fed beef:
young professionals, aged 25 to 42, who
earn at least $75,000; baby boomers, who
are concerned about health and longevity;
wellness and fitness buffs of all ages; and foodallergy sufferers.
Panorama's biggest customer is Austin,
Texas-based Whole Foods Market, which
carries Panorama's grass-fed beef in 240 stores.
Panorama's biggest seller is its ground beef,
which "is flying off the shelves," Wood says.

GRASS-FED'S FUTURE

Photo courtesy of Farm Burger

The demand
for grass-fed
beef has grown
about 25
percent a year
for the last
10 years.

When the Great Recession hit in 2007,
economists expected grass-fed beef sales to
plummet because it costs more than its grainfed counterpart. But the opposite occurred
- more consumers purchased grass-fed beef
and growth continued.
"It boggles the mind, but that's precisely
what happened," says Williams, explaining
that while the financial downturn caused more
consumers to dine out less, many of them
opted for more-upscale foods to eat at home,
such as grass-fed beef.

MORE THAN NIBBLING
Darrell Wood, president of Panorama Meats,
says the "turning point" in the grass-fed beef
segment happened about seven years ago
when consumers and meat-industry insiders
no longer considered it a fad. Wood contends
many retailers didn't want to get in the

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MEAT+ POULTRY | 04.15 | www.meatpoultry.com

Williams predicts double-digit sales for grassfed beef will continue for the foreseeable
future, especially if the major packers and
processors get more involved.
Cargill has already delved into the segment.
In 2013, the Wichita, Kan.-based packer
entered into an agreement with Teys Australia
to bring Australian grass-fed beef to the US.
Even though it's imported grass-fed beef, it
will heighten awareness of the sector in the
US and lead to more demand for US-produced
grass-fed beef, Williams believes.
If the Big Four - Cargill, Tyson Foods,
National Beef and JBS - implement
homegrown grass-fed beef programs, the
category will experience another growth spurt,
which will be "exponential", Williams says.
"[The Big Four] have the ability to really
heighten consumer awareness," Williams adds,
noting the companies' resources for marketing
and promotion.
While smaller grass-fed beef companies may
feel threatened by imports and the Big Four's
entry into the sector, Williams welcomes both. "I
believe that a rising tide lifts all boats," he adds.
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