Bloomberg Talks — Omaha Steaks CEO Talks Beef Prices, Demand

Podcast: Bloomberg Talks
Episode Date: November 25, 2025
Guest: Nate Rempe, CEO of Omaha Steaks
Main Theme: U.S. beef prices, demand, and the supply chain dynamics as Americans head into Thanksgiving

Episode Overview

Just ahead of Thanksgiving, the episode dives into the unique dynamics behind skyrocketing beef prices in the U.S., persistent consumer demand, and the complex supply chain challenges impacting the beef industry. The host interviews Nate Rempe, CEO of Omaha Steaks, who shares insights on how his company is managing these conditions and why rebuilding the nation's cattle herd is key to restoring supply and stable prices.

Key Discussion Points & Insights

1. State of the U.S. Beef Market

Time: 00:40–01:13

• Despite inflation, tariffs, and reduced cattle herd sizes, American demand for beef remains robust.
• Beef prices are high due to a classic supply-demand mismatch.
• Nate Rempe explains that Omaha Steaks leverages “flash freezing” and commodity buying to keep consumer prices stable.

Nate Rempe: "The demand is really high and the supply is low...But, you know, watching the beef market now has been just fascinating from my seat, seeing what it's doing, particularly in grocery stores across the country." [01:13]

2. Omaha Steaks’ Pricing & Supply Chain Approach

Time: 01:13–02:14

• Omaha Steaks utilizes its vertically integrated supply chain, inventory management, and market timing to control costs.
• They’ve maintained their premier gift package at $89.99 for another year, despite broader market price increases.

Nate Rempe: "Our premier gift package, that perfect gift, is going to be 89.99 again this year. ...This is one of the great moments for Omaha Steaks to really step forward and shine and leverage and flex our muscle." [01:34]

3. Domestic vs. Imported Beef Supply

Time: 02:14–03:34

• Only about 13–14% of beef consumed in the U.S. is imported, and 80% of that is lean trim for ground beef.
• The majority of premium cuts are supplied domestically, underscoring the importance of rebuilding the national herd.
• Remedies to high prices won’t be found in imports; expanding the domestic herd is essential but time-consuming (six–eight years).

Nate Rempe: "Rebuilding that herd is the inevitable requirement for bringing supply up...that’s a six to eight year process to kind of get back to what would be considered a surplus in the size of the herd." [03:13]

4. Heifer Retention and Herd Rebuilding

Time: 03:34–04:47

• Ranchers’ current incentives (high beef prices) make them send more female cows (heifers) to market instead of keeping them for breeding.
• This practice—less heifer retention—has driven the U.S. cattle herd size to a 70-year low.
• Early signs of heifer retention are emerging, but the market will get tighter before improving.

Nate Rempe: "When you make that heifer retention decision, it actually further exacerbates the size of the herd because fewer animals are going to market. So to say it’s going to get worse before it gets better." [04:32]

5. Consumer Behavior & Protein Demand Swings

Time: 04:47–05:45

• Some consumers are “trading down” from premium cuts to more affordable steaks or switching to chicken but overall beef remains a staple due to its satisfying flavor and texture.
• Omaha Steaks observes adventurous purchasing within beef categories as consumers explore different cuts.

Nate Rempe: "We are seeing some trade down kind of inside the product set of beef. You know, those consumers that may have opted for the filet mignon are now exploring how amazing the top sirloin is or...a strip or a ribeye." [05:27]

Notable Quotes & Memorable Moments

• On pricing strategy:
  “Our premier gift package, that perfect gift, is going to be 89.99 again this year.”
  — Nate Rempe [01:34]

• On herd rebuilding timeline:
  “That’s a six to eight year process to kind of get back to what would be considered a surplus in the size of the herd.”
  — Nate Rempe [03:28]

• On heifer retention impacts:
  “When you make that heifer retention decision, it actually further exacerbates the size of the herd because fewer animals are going to market.”
  — Nate Rempe [04:32]

Important Segment Timestamps

• Beef market overview & pricing: 00:40–02:14
• Domestic vs. imported beef supply: 02:14–03:34
• Herd rebuilding & heifer retention: 03:34–04:47
• Consumer behavior & shifting protein demand: 04:47–05:45

Episode Tone & Takeaways

The episode delivers a clear-eyed look—via direct, practical language from Nate Rempe—at the compounding challenges and slow solutions impacting the U.S. beef industry. Despite market volatility and historic supply constraints, strong demand persists, and firms like Omaha Steaks lean into operational strengths to maintain value for customers. The outlook? Patience is required, as rebuilding the American cattle herd will be a lengthy but necessary process.