Tesco will be closing meat, fish and hot deli counters across 317 of its stores in response to the growing plant-based sector, according to analysts at GlobalData.
Yesterday’s announcement saw the Big 4 grocer close some of its deli counters where it has seen “lowest demand” due to changes in customer habits.
However, GlobalData senior consumer analyst Ana Purcaroiu highlighted the results of a recent UK survey that showed 62% of people are actively trying to reduce red meat or eat in moderation – and 65% reported the same for dairy.
“In this light, divesting deli counters certainly makes sense,” she said.
“People will increasingly base their choice of retailer on the availability of plant-based products, with the younger generations leading the trend.
READ MORE: Tesco credits Veganuary as demand doubles for vegan products
“GlobalData’s survey also revealed that 21% of UK millennials claim that the availability of special dietary products is the most influential factor when deciding where to do their grocery shopping.”
The news comes as Pilgrim’s Food Masters has forecasted the growth of the plant-based category to be worth £998 million by 2026 – a 74% increase over the next four years.
As a result, Veganuary is considered a key selling occasion for the plant-based sector. This year, the campaign exceeded last year’s total sign-ups with more than 600,000 participants.
Veganuary’s head of communication Toni Vernelli said: “Making planet-friendly food choices is also becoming much easier thanks to the businesses embracing Veganuary and providing delicious and accessible plant-based alternatives to familiar foods.”
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