Evergreen Importance of Baked Goodies such as Bread & Biscuits as Everyday Food Sustains Growth of Bakery Products

The global market for Bakery Products is projected to exceed US$570 billion by 2024, driven by the evergreen importance of baked goodies such as bread, biscuits, cakes and pastries as everyday food coupled with continued innovation-driven metamorphosis into healthy-for-you food which helps retain relevance in a transforming food market dominated by health and safety concerns.   

Once perceived as food of a sick man, bakery products comprising bread, breakfast cereals, biscuits, cakes and pastries, among others, eventually evolved to become important food items among a vast population globally. These products are even witnessing increasing popularity among consumers in countries where rice has been a staple food for several decades. After sweeping through the developed economies, the convenience food trend is presently benefiting penetration through the developing economies. Growth in the market is attributed to various factors including availability of broad range of products at reasonable price points, convenience of ready-to-eat products, rapid urbanization, hectic lifestyles, vast product offerings with different tastes and textures, and growing health benefits of baked goods over other food options. Bakery products with clean labels and health and wellness claims, frozen finished products and artisanal products are currently recording healthy growth with significant number of consumers, particularly millennials and health freaks, viewing a clean label as a key factor in their purchase decision making.

Future growth in the market will be driven by the ever-evolving health, indulgence, and convenience needs of the consumer. Transforming consumer trends over the years include the renewed interest in food preparation from the hitherto enjoyment of convenient processed food, and rising awareness about health and quality issues from the disconnected attitude towards food and food origins of previous decades. Other major consumer trends influencing demand for bakery products include growing prominence of locally sourced, environment friendly, free-from, multi-grain and whole grain based baked goods that are low-fat, low calorie, organic, and enriched with vitamins and minerals; rising sophistication in flavor preferences; growing consumption of bread supported by robust demand for western styled bread products in majority of the populous Asian markets; and the gradual shift towards brown bread, whole wheat bread, multi grain bread and other healthy varieties. Additional growth drivers benefiting market expansion in the near term include growing preference for fortified, functional, sugar-free, and gluten-free bakery products; and steady demand for doughnuts purely driven by the indulgence factor. While bread continues to remain the most consumed bakery product worldwide, future demand is expected to be supported by cakes and pastries, which represent the fastest expanding category in the market. Demand for cakes and pastries is fueled by indulgence, introduction of innovative flavors, and increasing penetration in some of the fastest growing regions such as Latin America and Asia-Pacific.

As stated by the new market research report on Bakery Products, Europe represents the largest market worldwide. The constantly changing taste palettes coupled with increasing demand for healthier options and the steady launch of innovative products that use new ingredients are sustaining growth in the developed markets. Asia-Pacific ranks as the fastest growing market with a value CAGR of 5.9% over the analysis period. Exponential increase in population along with low per person consumption of baked goods, extensive advertising and promotional activities of multinationals, increasingly westernized lifestyles and reduced time for making elaborate home cooked meals/breakfast represent key growth drivers in the region. Improved transportation and logistics and expanding retailing network and infrastructure is helping bakery products, particularly bread, achieve greater market penetration and visibility in these markets thereby benefiting market demand.

Key players in the market include Allied Bakeries, Arnott's Biscuits Limited, Aryzta AG, Associated British Foods plc, BAB Systems, Inc., Bahlsen GmbH & Co. KG, Bakers Delight, Barilla Holding Societa per Azioni, Bimbo Bakeries USA, BreadTalk Group Limited, Britannia Industries Ltd., Bruegger’s Enterprises, Inc., Campbell Soup Company, Canada Bread Company Limited, Dunkin' Donuts, Einstein Noah Restaurant Group, Inc., Finsbury Food Group, Flowers Foods, Inc., Frank Roberts & Sons Ltd., George Weston Foods Ltd., Goodman Fielder Pty Ltd., Grupo Bimbo, S.A.B. de C.V., Harry-Brot GmbH, Hostess Brands Inc., Hovis Ltd., JAB Holding Company, Kellogg Company, La Brea Bakery, Lantmännen Unibake, Lieken AG, McDonald's Corporation, McKee Foods Corporation, Mondelēz International, Inc., Nestlé SA, Parle Products Pvt. Ltd., Pepperidge Farm, Inc., pladis, Savor Street Foods, Strauss Group Ltd., Tasty Baking Company, The Great Canadian Bagel, Ltd., Tyson Foods, Inc., Warburtons, Ltd., Yamazaki Baking Co., Ltd., and Yildiz Holding A.S., among others.

The research report titled “Bakery Products – Market Analysis, Trends, and Forecasts” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, mergers, acquisitions and other strategic industry activities of global companies.  The report provides market estimates and projections in value (US$) and volume (Tons) for all major geographic markets such as the US, Canada, Japan, Europe (France, Germany, Italy, UK, Spain, Russia, and Rest of Europe), Asia-Pacific (Australia, China, India, South Korea, and Rest of Asia-Pacific), Latin America (Argentina, Brazil, Chile, Colombia, Mexico, and Rest of Latin America), and Rest of World. Product segments analyzed in the report include Bread, Breakfast Cereals, Cakes and Pastries, Savory Biscuits, Sweet Biscuits, and Other Bakery Products.

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