The Fresh Bakeries Trend: Meeting Consumer Demand through Quality and Differentiation
Published on 14 Jun, 2023
The bakery industry has witnessed a remarkable shift in consumer behavior, leading to the rise of fresh bakeries as a thriving trend. Today's consumers are increasingly seeking fresh, high-quality bakery products offering unique and memorable experiences. With a focus on quality, differentiation, and being updated on customer demand, fresh bakeries have carved a niche for them in the market. However, whether it is a short-term phenomenon, or a long-term trend is yet to be seen.
Consumer preferences have undergone significant transformations in the bakery product segment, with them now placing greater emphasis on health benefits, freshness, quality, and unique offerings when choosing bakery products. Therefore, fresh bakeries have the opportunity to meet the evolving requirements of consumers by providing artisanal baked goods, healthy snacks, and fresh products made with premium ingredients.
Shift in Consumer Behavior
A recent survey shows the influence of fresh bakery has a major influence on the consumer’s store choice. Approximately 28% of buyers select a grocery store based on the options available in in-store bakery.
Customer satisfaction with the in-store bakery experience is high, with 88% of respondents in the survey rating it as excellent or very good. While fresh bakery purchases are still more commonly associated with special occasions, there is a growing trend of anytime treats and comfort purchases, with 31% of respondents buying more of these treats now than before the pandemic. Another factor in favor of in-store bakery products is affordability. Cost-conscious consumers are turning to bakery breads and rolls to save money and avoid buying breakfast from restaurants. The main segments in baked products are as follows:
- Healthy baked products – A major trend in this segment is increasing demand for healthier bakery items. Customers prefer products with clean labels and high-quality ingredients.
- Premium bakery – Personal indulgence and special celebrations call for premium baked products.
- Snacks – Smaller portions and affordable indulgences such as cookies, cake slices, and morning sweets are growing in popularity, encouraging trial, personal enjoyment, sharing, and exploration.
While most shoppers browse the bakery section during grocery visits, impulse purchases do not always follow. Only 65% of shoppers indicate that browsing leads to impulse buys, with dietary reasons being the primary factor for resisting impulse purchases.
So how can a baked product company increase its market share?
Differentiation is the Key
According to the Food Institute, differentiation is crucial for the success of fresh bakeries in an increasingly competitive market. Bakeries must establish a unique brand identity to create top-of-mind recall. This can be achieved through the introduction of specialty items, innovative recipes, and use of locally sourced ingredients, among others. By effectively differentiating themselves, fresh bakeries can attract a loyal customer base and drive sustainable growth.
The Role of Innovation and Creativity
Apart from quality and differentiation, innovation and creativity are instrumental to the success of fresh bakeries. By exploring new flavors, experimenting with unique combinations, and staying ahead of trends, bakeries can captivate customers with exciting and delightful offerings. Incorporating seasonal ingredients, introducing limited-time specials, and embracing cultural influences are strategies that fresh bakeries can employ to keep their menus fresh and enticing.
Case Study: The French Gourmet Bakery's Recipe for Success
Examining the success of the French Gourmet Bakery provides valuable insights into how fresh bakeries can thrive. This local bakery has made a name for itself by prioritizing freshness and quality. Its commitment to using natural ingredients, baking from scratch daily, and offering a diverse range of French-inspired pastries has resonated with customers seeking an authentic experience. The French Gourmet Bakery's focus on freshness has not only attracted customers but has also generated positive word-of-mouth recommendations.
The Future of Fresh Bakeries: Developing Relationships and Embracing Technology
As the bakery landscape continues to evolve, fresh bakeries must adapt to emerging trends and consumer expectations. Building strong relationships with customers through excellent service, personalized interactions, and community involvement remains a cornerstone of success. Additionally, leveraging technology to streamline ordering processes, enable online platforms, and facilitate convenient pickup or delivery options can enhance customer satisfaction and drive growth. There is high importance of health-conscious options, convenience, and sustainability in attracting young demographics. Fresh bakeries can align with these trends by incorporating gluten-free, organic, and plant-based options, while also offering convenient online ordering and ecofriendly packaging.