Mushrooms were a hot food trend in 2023 due to their versatility, their popularity in plant-based diets and fungi's headline-grabbing health benefits. Although overall sales dipped slightly in the last year, consumer interest remains high.
“Increasingly, shoppers are looking for functional benefits in the food and beverages they consume,” said Anne-Marie Roerink, president of 210 Analytics. “These include inherent product benefits, but also functional enhancements.”
According to Circana MULO+ universe data, which also includes major e-commerce sales channels, fresh mushrooms generated $1.5 billion in the 52 weeks ending July 14, 2024. This is a 2.5% decline compared to the previous year, with similar performance trends for units and volume.
McKinzie Koons, marketing and public relations manager at J-M Farms in Miami, Okla., said she has noticed inconsistencies in the market.
“Overall, we are doing about the same volume, but we have high and low weeks,” she said. “Consumers aren't buying mushrooms like they did even three years ago.”
While most mushroom varieties continue to experience some volume pressure, Roerink said, performance is in line with total food and beverage sales and with that of other produce items.
Here's a look at the latest mushroom trends and fungi-focused marketing efforts.
Organic outpacing conventional
Packaged produce is outperforming bulk in virtually all categories, Roerink said, including mushrooms. Packaged items account for about 96% of fresh mushroom sales.“Bulk sales were already losing ground to prepackaged items, but this accelerated during the early years of the pandemic and has stuck,” she said.
Another trend is that value-added products such as pre-cut mushrooms are seeing below-average performance.
Organic mushroom sales increased 2% over the past year and volume sales grew 3.6% —surpassing the conventional category's performance. Organic sales now comprise 22% of total mushroom dollar sales.
Garth McLean, vice president of sales and marketing at Farmers' Fresh Mushrooms in British Columbia, said he has seen an increase in retailer demand for organic mushrooms. The company offers both conventional and organic varieties.
“Conventional is always driven by price, however, most stores are ordering organic,” he said. “We've just expanded our California farm to grow organic because of the local demand.”
Likewise, Highline Mushrooms in Ontario is seeing growth for organic offerings.
“We have seen a 10%-plus increase in organic volume sales versus the same period last year,” said Devon Kennedy, national marketing manager.
Specialty mushrooms driving growth
Specialty or exotic mushrooms were a key driver for growth during the past year, increasing 4.6% in dollar sales and just over 3% in pounds.“There's been an explosion of products that leverage the vast array of functional benefits in mushrooms,” Roerink said, noting that these items are often made from specialty varieties. By association, she added, this has led to a spike in sales of fresh specialty mushrooms — and increased availability at retail locations.
Varieties showing sales growth and generating at least $7 million in sales in the MULO+ universe include oyster, up just over 14%, and shiitake, up 0.1%.
“Many other varieties show higher sales increases, but this is on a small base,” Roerink said.
Bryan Shelton, vice president of sales and marketing at Giorgio Fresh Co. in Temple, Penn., which offers a range of specialty mushrooms along with sauté kits and stuffed mushrooms, has also seen more interest in exotic varieties.
“These mushrooms offer numerous health benefits and can be utilized in a variety of ways, surpassing conventional mushrooms in versatility and enhancing the appeal of dishes,” he said.
For Kennett Square, Penn.-based specialty mushroom grower Caputo & Guest, shiitake and pearl oyster varieties are gaining popularity.
“Shiitake is almost a staple mushroom these days with pearl oyster chasing,” said Kristyn Lawson, chief sales officer. “Lion's mane has had large chatter in social media and in health and wellness circles. As a result, we're seeing emerging, exotic mushrooms growing rapidly.”
The company offers several specialty varieties and recently released two new “chef's mix” offerings: Umami and Gourmet Sauté. The idea, Lawson said, is to encourage non-mushroom users to give exotic varieties a try.
Mushroom classics
Growers report that among conventional varieties, crimini mushrooms are on the rise.“White mushrooms lead our volume sales, but cremini continue to gain in popularity,” said Sean Steller, director of business development at Phillips Mushroom Farms, Kennett Square.
Highline Mushrooms has seen a similar increase for crimini, along with a new offering called white flats.
“They're similar to a portabella, but it's a large, white mushroom,” Kennedy said. “They are slightly milder in flavor than a portabella but absorb any flavor you are cooking with.”
The biggest sellers for Monterey Mushrooms in Watsonville, Calif., which offers both specialty and conventional varieties, are conventional white mushrooms and baby bellas, followed by their organic counterparts.
“The specialty category is experiencing some price sensitivity,” said Bruce Knobeloch, vice president of marketing and product development.
New mushroom marketing efforts
To help the mushroom industry boost consumer awareness and sales, The Mushroom Council launched a “Mushroom Monday” initiative in March.The campaign works with chefs and restaurants nationwide to spotlight mushroom-centric dishes. It also partners with dietitians and health influencers to encourage consumers to start the week with healthy mushroom dishes. Participating grocery retailers offer specials and inspiration to promote fresh mushroom sales.
“The campaign is gaining traction nationwide in new and exciting ways,” said Mushroom Council spokesperson Eric Davis. In addition to restaurants highlighting their mushroom menu items on the Mushroom Council website, he explained, “Social influencers are kicking off the work week by visiting their favorite local restaurant and spotlighting their Mushroom Monday orders on Instagram and TikTok.”
In June, the association hosted a Mushroom Monday experience for more than 85 food media and social influencers in New York City. The event featured James Beard Award-winning chef Kiki Aranita and James Beard Award-winning mixologist Danny Childs, who prepared mushroom dishes and cocktails while growers shared their stories.
Growers are also making efforts to reach consumers with the mushroom message.
With exotic mushrooms in particular, Lawson said, shoppers may not know how to use them. “The Caputo & Guest packaging is designed to stand out on the shelf with bold graphics, appetite appeal shots and QR codes for consumers to easily scan for recipe ideas,” she said.
The company's PR team is also spreading the word through in-store promotions, targeted coupons and social media marketing.
Giorgio Fresh uses social media and works with influencers to promote fresh mushrooms.
“Our social media channels feature educational content, recipe inspiration, and trendy posts designed to engage younger generations,” Shelton said. “Giorgio's collaboration with influencers showcases the versatility of our mushroom products and attracts new audiences.”
Highline Mushrooms focuses on amplifying the health benefits, working with retailers' in-store dietitians as well as influencers.
“Consumers seem to know that mushrooms are healthy and nutritious, but only a few know why,” Kennedy said.
For National Mushroom Month in September, the company will partner with retailers to promote mushrooms via shelf talkers, floor decals and POS signage, and promote the month on its digital platforms.
For retailers, Roerink sees opportunities with Mushroom Monday.
“They can highlight stuffed mushrooms in the deli department as an easy appetizer or meal solution, fresh mushrooms in the produce department to add great flavor and nutrients to any meal, or even put the spotlight on frozen or deli pizzas that feature mushrooms,” she said. “The council has many resources for social media and in-store that help retailers to very easily execute what we like to call ‘Taco Tuesday's next-door neighbor.'”
Knobeloch of Monterey Mushrooms has seen retailers broadening selections and offering better value for larger packages.
“This works well for consumers wanting to make less trips to the store and for families focused on quality,” he said.
To encourage sales of exotic mushrooms, Lawson suggests that retailers create a special section for them and promote specialty varieties with support from their chefs and nutritionists.
“They can also tie in exotic mushroom promotions with complementary produce to create simple, plant-based meal solutions for consumers” or utilize video to show shoppers how to use specialty mushrooms at home, she said.
Kennedy of Highline Mushrooms emphasizes cross-promotion with items like herbs and cheese, as well as strategic placements.
“Displaying mushrooms next to the meat counter makes it easy for consumers to pick them up when they select their steak,” she said.
J-M Farms promotes its offerings through retailer ads, food shows and recipes. Koons said she would love to see retailers calling more attention to mushrooms.
“The consumers that have always purchased mushrooms will continue to do so,” she said. “It's the younger generation we need to appeal to.”
She sees potential in value-added items such as stuffed mushrooms, microwaveable options and easy side dishes.