As "beefflation," a surge in beef prices, becomes entrenched in the United States, this year's per-capita beef consumption is expected to increase further. Instead of giving up beef altogether, consumers are turning their attention to less popular cuts offered at lower prices, such as round.
According to Bloomberg on the 23rd (local time), the U.S. Department of Agriculture (USDA) projected that beef consumption in the United States this year will hit a record high for the first time in 15 years. Despite soaring prices, steady demand combined with dining and retail strategies tailored to prices is creating a new beef consumption landscape, analysts said.
According to the Bureau of Labor Statistics (BLS), as of January, beef and veal prices jumped 15% from a year earlier, showing a steep rise. With higher feed costs and strong profitability, ranchers shifted breeding cows to slaughter rather than keeping them for reproduction, causing the cattle herd to plunge. The number of cattle in the United States is now at its lowest since 1951, and the supply contraction has become a long-term phenomenon.
Even so, consumers' willingness to buy beef has not faltered despite the soaring prices. The United States has traditionally ranked among the world's highest in per-capita beef consumption, and recently, a high-protein trend centered on social media (SNS) has further stoked demand. Mark Butcher, a director at the National Restaurant Association, said, "The more unstable the economic and political environment, the more American tastes return to meat," pointing to economic uncertainty as another factor pulling demand.
The restaurant industry is looking for strategies to offset price increases. Some establishments are bringing in lower-grade cuts instead of filet mignon (the top grade of tenderloin) and compensating for texture by scoring, brining, and braising (searing at high heat and cooking low and slow). They are also offering relatively inexpensive top sirloin (rump) as sliced steak, making ground beef into hamburgers and meatballs, and mixing it with pork and chicken—moves aimed at lowering costs while preserving the steak experience.
These efforts are also active in retail. Omaha Steaks, a company that sells flash-frozen beef, launched a 35-day-aged top sirloin filet that delivers tenderness similar to filet mignon from a broader area below the waist, while costing $50 less per four-pack than filet mignon (about 70,000 won). Nate Rempe, CEO of Omaha Steaks, said, "We sharply reduced the meat cost to cover the aging storage expense."
At home, consumers are clearly trying to maximize their beef experience with lower-cost cuts. According to ButcherBox, a home subscription meat company, sales of top sirloin last year rose 118% from a year earlier, outpacing the overall business growth rate including poultry and seafood. Reba Hatcher, head of business at ButcherBox, noted, "Consumers are choosing to cook steaks at home instead of dining out."
Mesa Khalil, who lives in Chicago, said the person plans meals around a goal of 130 grams of protein per day, and that beef is unavoidable to meet it. Khalil said, "On ordinary days I add ground beef to rice or pasta, and once a week I buy a New York strip steak to grill," adding, "The price is a burden, but I'm not planning to cut out beef."
Ariel Merhav, who lives near San Antonio, Texas, said, "I started buying picanha (rump), a Brazilian steak cut, or chuck roast (shoulder and neck) instead of the ribeye steaks I used to eat," adding, "Premium cuts are too expensive, so I've broadened my choices to more affordable ones."