TL;DR: 1.5 Degree is pivoting the plant-based dairy conversation from D2C "luxury" to B2B "utility." By securing long-term contracts with corporate cafeterias and hotels, they are achieving the scale needed to rival traditional dairy prices.
The Shift from Niche to Network
Most plant-based brands fail because they target the top 0.1% of consumers through expensive retail channels. 1.5 Degree is different. By focusing on institutional food systems, they are attacking the problem at its source. I’ve seen many dairy solutions in the past, but the focus was always on flavor or shelf-life. 1.5 Degree adds a third pillar: carbon accountability.
As noted in my previous analysis of 1.5 Degree's B2B strategy, their ability to offer a 72% reduction in greenhouse gas emissions makes them an attractive partner for ESG-conscious corporations in 2026.
Vichaarak Perspective
While the environmental impact is significant, we should be skeptical of the primary driver behind this shift. Is the B2B dairy shift more about corporate cost-cutting than actual climate empathy?
Plant-based ingredients, when scaled, can often be cheaper than maintaining a cold chain for fresh milk. For large corporations, switching to 1.5 Degree’s products might be a way to pad their margins while checking a "Sustainability" box for their annual reports. If the focus remains solely on cost, the nutritional quality of these institutional meals might take a backseat to "carbon math."
Why is 1.5 Degree focusing on B2B instead of retail?
B2B allows for consistent, high-volume orders which reduces marketing and distribution costs. This scale is necessary to bring the price of plant-based products down to parity with conventional dairy.
How much lower are the emissions of plant-based dairy?
1.5 Degree claims that their offerings deliver up to 72% lower greenhouse gas emissions compared to conventional dairy, primarily by reducing the land and water usage required for livestock.
Analysis by Harkirat Singh (@harkirat1892), leveraging Google expertise in sustainability and tech trends.