What Alt proteins can learn from Tesla

#Alternative_Proteins #alternative_proteins/Cultivated_Meat #marketing

from this piece

Tesla began by targeting the luxury market. The company recognized that certain customers were less cost-conscious. Given an alternative that represented an upgrade from the status quo, they would be willing to pay a premium price.
A futuristic, minimalist interior design with a 17-inch touchscreen to control most vehicle functions
A ‘frunk’ (front trunk) for additional storage
It also garnered a 5-star rating from the U.S. National Highway Traffic Safety Administration (NHTSA) with exceptional performance in crash tests.
The car rendered oil changes obsolete, offered ongoing vehicle improvements via automatic software updates
Tesla’s supply chain innovations are perhaps its most underrated. Tesla has been rapidly building out its infrastructure to support the growth of its electric vehicle ecosystem.
These efforts were aimed at creating a vertically integrated, sustainable energy ecosystem that supports mass EV adoption.
Rather than outsourcing heavily, which was a standard in the industry, Tesla manufactured critical components in-house, including battery packs, battery cells, electric motors, drivetrains, as well as proprietary software and AI systems.
As batteries represented a crucial component for the company, Tesla forged partnerships with CATL, Panasonic, and LG Chem to scale production while developing its own battery technology.
Tesla routinely earns an NPS score that rivals or exceeds these brands, and is well above the rest of the automotive industry.
Visit Tesla’s website and you won’t see messages about how sustainable the company’s cars are, or how closely they mimic their conventional counterparts. Instead, you’ll see images of sleek cars and cutting-edge technology that offer a glimpse of the future with an invitation to engage. Would Tesla’s brand have held the power it does today if the company simply touted that its cars were electric and sustainable?
Product formats have largely focused on mimicking meat, rather than simply creating something delicious in their own right. Mimicking, by definition, positions the product as second best.
Positioning the product as an ‘alternative’ has worked better. Oatly is a prime example: no one is doing a taste test to compare it to dairy milk to see if they taste the same. Oatly has repeatedly focused on a key message – we taste better with coffee. This makes Oatly a primary choice rather than a ‘flexitarian’ option.
A premature push for affordability would have stunted Tesla’s growth potential. It is clearly harder for alternative proteins to take a similar approach, since the demand for alternative food is price elastic. Still, instead of trying to undercut conventional meat immediately, the industry could benefit from a similar strategy to Tesla’s phased approach. Premium-positioned plant-based or cultivated meats with superior taste and quality could appeal to early adopters willing to pay more, a strategy implemented successfully by plant-based milk. The key is to build consumer loyalty before competing purely on price.
The main reason behind Tesla’s success is simple: it was a far superior product. Sustainability was secondary. Many alternative protein products, however, are marketed primarily as ethical or sustainable choices rather than as superior culinary experiences.