Protein is reinventing legacy CPG categories.
Once relegated to the pantry shelves of bodybuilders and health buffs, protein has risen to become a staple ingredient in your waffles, pasta, and even gummies. In an era where consumers demand more from their food – more nutrition, more function, and more convenience – protein-packed products have lately become rising stars of the consumer packaged goods (CPG) industry. But this surge is not just about muscle; it is about meeting the needs of a fast-evolving, health-conscious market that’s hungry for innovation in staple categories.
What has propelled protein into the mainstream? According to Kantar’s Defining Better 2024 study, among the shoppers seeking healthier items, 42% said they are interested in seeing more high-protein grocery products. I would argue protein is an accessible and easily understood message to signal the health value of a product. The trendiness of protein requires no consumer behavior change for a protein-packed product to be successful. In contrast to more obscure messaging with substances like nootropics or goji, protein is a fundamental part of the human diet that has been most commonly associated with animal meat for centuries. What is different now is protein is diffusing into other use cases and meal occasions. Staple foods – bread, cereal, pasta – are easy targets for a lower carbohydrate, higher protein offering with attractive packaging meant to signal a new paradigm for these legacy categories.
Breakfast, in particular, has seen an explosion of products highlighting their protein-forward offerings. In fact, the space is seeing a follower effect in which the large incumbents are latching onto the strategies of disruptors. Mason Dixie Foods, one of the fastest-growing frozen comfort food brands in the U.S., best known for its clean-label biscuits, sandwiches and waffles, has seen 87% dollar growth since 2021. Meanwhile, Banza, famous for its chickpea waffles, created a protein-packed chickpea waffle. Larger CPG conglomerates have been diving into the space as well, scrambling to play defense against dynamic startups. Kellanova launched a protein-packed version of Eggos in May of this year, while General Mills has released several cereal SKUs focused on protein, such as the new Wheaties Protein and Ghost Protein Cereal, in collaboration with well-known protein powder manufacturer Ghost.
Part of the push into protein from food conglomerates has been a response to the rise of weight loss drugs like Ozempic, Mounjaro and Wegovy. With around six percent of US adults having used or currently using weight loss drugs, concerns around muscle mass loss are prompting food conglomerates to evaluate new ways to serve these consumers at a moment when these drugs threaten overall packaged food volume. In response, Nestlé created Vital Pursuit, a new line of foods intended to be a companion for GLP-1 weight loss medication users, set to launch in the fourth quarter of 2024. Vital Pursuit will offer a variety of protein-forward frozen formats such as bowls with whole grains or protein pasta, sandwich melts, and pizzas.
Large CPG players are also facing competition from well-capitalized startups in the space, whose recent fundraises highlight growing investor interest. In September 2024, Create, an early stage CPG company building innovative creatine-based products, notably creatine gummies, announced it had raised $5 million in a Series A funding round led by Unilever Ventures. Izzy Hemington, Principal at Unilever Ventures, commented that they were impressed by Create’s ability to “reimagine the creatine landscape with products which resonate with a broader audience.” The company believes it will skyrocket to $25 million in revenue this year, primarily through Amazon and TikTok Shop with additional distribution in GNC and Wegmans.
Meanwhile, David, founded by Peter Rahal, known for founding and selling RXBAR for $600 million, announced a $10 million fundraise in August 2024. David claims to produce “science-based, delicious food” that will have “the most protein per calorie of any currently available protein bar” while remaining sugar-free and artificial sweetener/flavor-free. The company is affiliated with popular gurus in the health and wellness space: Peter Attia, M.D., and Andrew Huberman, Ph.D. Their support will elevate the product in the hyper-aware digital health social media bubbles that fed their prominence. Rahal’s second venture in the space is indicative of a certain belief that science-backed formulations can unlock incremental demand to compete with Rahal’s former company. Rahal eventually aims to apply the same underlying philosophy of David’s protein bars to other categories, namely ice cream and other salty snacks to help customers build muscle and lose fat.
Protein has even made its way to the entrepreneurial scene on campus. Dylan Paul (MBA ’25) is building Pluff, a high protein treat focused on providing consumers with a delicious alternative to traditional high protein products. Pluff is made from high quality ingredients, including Greek yogurt, heavy cream and whey protein blended together, producing a pudding-like consistency. Every serving features 20 or more grams of protein, low sugar content and a total calorie count below 200, all within 4oz. Paul decided to create Pluff as he believes “consumers are tired of the same boring high protein products such as protein bars, powders and shakes and are dying to try something new that tastes better.”
With increased interest from the investing world, CPG conglomerates, and startups, protein appears to be a powerful framework by which to reinvent legacy and emerging CPG categories. What is new feels old; the key to muscle strength is hidden in your everyday staples. As consumers continue to prioritize health and functionality in their food choices, the focus on protein not only reinvents legacy categories but also opens up new frontiers for innovation, driving the food industry toward a more nutrient-dense and sustainable future. According to McKinsey, over the past five years, $4 billion has been invested to develop novel ingredients ranging from mycelium proteins to animal-free eggs. While it may be difficult to find protein newsworthy or novel, it is clear that innovation and the mainstreaming of high protein foods will create strong brands in the years to come, muscling out the legacy options.
Jake Goodman (MBA ’26) is originally from Davie, Florida. He graduated from Brown University with an honors degree in English and Economics in 2019. Prior to HBS, Jake worked in corporate development, strategic finance, and retail strategy and operations at Gopuff, a rapid convenience app, in Miami, and for Barclays in New York City. He is an avid banjo and guitar player and misses the Florida sun dearly.
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