CALF_News_April_May_2021

6 CALF News • April | May 2021 • www.calfnews.net Continued on page 11  T here are few silver linings to the COVID-19 cloud that darkened the world over the past year. For the cattle industry, there is at least one: despite the pandemic, consumers still love beef. And while statistics show that all beef continues to be in demand, ground beef has been a particular bright spot, says Shawn Darcy, senior director of market research for the National Cattlemen’s Beef Association (NCBA). “It’s some- thing consumers continue to stock up on,” he says. According to Darcy, during the summer 2020, 50 percent of consum- ers said they were buying more ground beef for at-home meals. Furthermore, ground beef sales are a menu staple in foodservice, even in a down year – both in quick-service and full-service meals. (Quick service meals have been the pri- mary driver for ground beef.) Retail has been key, however. “Our retail sales have been astronomical,” Darcy says. Retail ground beef sales hit about $12.5 billion for 2020, compared with $10.5 billion in 2019. For beef overall, U.S. retail sales hit $31.8 billion in 2020, compared with $26 billion in 2019 – an increase of 12 percent. Data suggests these trends should continue into 2021, Darcy says. “About 84 percent of meals are now being eaten at home, and we don’t see that changing a lot in the near future,” he says. “Because of the pandemic, the importance of versatility and convenience increased considerably in 2020. Consumers want quick and easy meal ideas, and ground beef delivers on that.” Since ground beef is considered a good value with lower cost, ground beef “is one of the staples that consumers will continue to rely on,” according to Darcy. Ground beef is about 50 percent of beef pounds sold, but represents 40 percent of the dollars. When beef is in the basket, more than half of the time it’s ground beef. When it comes to ground meat, poultry or plant-based products, though, beef has the category about wrapped up: ground beef has 86 percent of the market share. And it isn’t just burgers for the grill. While grilling does drive the summer peak demand for ground beef, seasonal variation generally remains within plus or minus 6 percent, according to IRI/ Freshlook. Whether it’s for tacos and burritos, meatballs for spaghetti sauce, casseroles or any number of other meals, ground beef fills a need. Research shows ground beef is used in 60 percent of beef meals. But again, ground beef is a lower ticket beef item. Consumers buy it Fire Up the Grills Ground Beef Continues to Sizzle By Walt Barnhart Contributing Editor OPPORTUNITY IS OUT THERE