Startups Making Egg Substitutes Poised To Poach New Customers

Egg lovers have had good reason to gripe about price spikes and shortages lately. One group that’s not complaining, however, are plant-based egg startups.

Against a backdrop of higher egg prices and heightened concerns around the avian flu outbreak, demand for egg substitutes is on the rise. This could leave companies innovating around this alternative protein niche unusually well-positioned to pull in new customers.

As it turns out, there are quite a few startups working in this area, several of which are quite well funded. Using Crunchbase data, we put together a sample list of eight that fit the bill.

Egg-focused startups

The list contains some companies that are primarily focused on eggs, and others for which eggs is one of multiple offerings.

Among primarily egg-focused startups, the largest funding recipient is The Every Co. (formerly Clara Foods), which has raised more than $240 million to date. The San Francisco company has also introduced the Every Egg, a product made with yeast-brewed egg protein, and has been working with restaurants to incorporate it into their menus.

While its most recent venture round was back in 2021, Every secured a grant from the Department of Defense in December for a manufacturing feasibility study. The grant is part of a program aimed at securing food supply chains from risks including animal disease outbreaks.

Helsinki-based Onego Bio is another well-funded player devoted to the eggless egg. The 3-year-old company, which raised more than $55 million last year, is using precision fermentation to produce animal-free egg white protein.

Other startups working on egg replacements have raised smaller sums. One is Berlin-based Neggst, which makes plant-based substitutes for boiled, poached and sunny-side-up eggs. Another is Paris-based Yumgo, which raised a $3.1 million Series A last summer to produce plant-based egg alternatives for cooking, with a particular focus on baked goods.

Alt protein startups also cooking up eggs

Several startups better known for alternative meat and dairy also have egg offerings.

The front-runner in this category is Berkeley, California-based Perfect Day, which has raised more than $800 million to date. It uses precision fermentation to produce a dairy substitute called ProFerm. While alternatives to dairy products such as milk, ice cream and yogurt are the primary use case, the startup also promotes ProFerm as an egg replacement.

Meanwhile, San Francisco-based Eat Just is another along these lines. The 14-year-old company has raised $465 million in funding over the years, with plant-based eggs, mayo and creamy salad dressing as its primary product lines. Its commercially available “Just Egg” lineup includes a liquid base for omelets, breakfast burritos and a folded egg that can be cooked in the toaster.

An easy sell

For startups with products to sell, consumers ought to be particularly receptive to their pitches these days. The average price of eggs has shot up to its highest point in years, and that’s for those who can find them. Commonly, shoppers are also finding local retailers don’t have any in stock.

So, purveyors of plant-based egg substitutes can still pitch their products as more sustainable and humane alternatives. Additionally, they may be the only option available.