Something for the Sweet Tooth

When it comes to bakery, pastry, and mostly desserts, product development is paramount as the competition is probably stronger than in other frozen food segments. Manufacturers constantly come up with new flavors while trying to preserve aspects that have been successful throughout the years.

The bakery and pastry industry is a dynamic sector that produces a variety of grain-based foods, such as bread, cakes, pies, pastries, cookies, frozen desserts, baked pet treats, and related items. The sector is largely supported by bakeries, baking ingredients, equipment, and supplies. Consumers’ purchase decisions are significantly influenced by baked goods’ appearance, flavor, texture, aroma, shelf life, and fortification.

While bakery item prices have a significant impact on older consumers, quality has a greater impact on younger consumers. In order to preserve the quality of baked goods and satisfy the expectations of the growing population, bakers primarily use baking ingredients. Due to the change in eating habits brought on by food crises, environmental concerns, and lifestyle problems, there is also a growing market for sustainable and natural bakery ingredients like fibers. Customers who were stuck at home because of the COVID-19 shutdown began baking more frequently, which increased demand for ingredients like baking soda, baking powder, cocoa powder, and other condiments. It is anticipated that the market for baking ingredients will reach USD22.3m by 2026, rising at a CAGR of 6.0% from 2021. The leading companies in the market for baking ingredients are Kerry Group Plc, AAK AB, Cargill, and Associated British Foods Plc (Ireland). Scales, mixers, industrial ovens, and refrigerators are examples of equipment.

Automating bakeries can boost flexibility across various operations and lower labor and energy costs. Robotic automation is the most recent development in processing technology, and food producers are implementing it to increase productivity, lower costs, and increase throughput. Robotics in bakery processing decrease waste and improve product quality by roughly 20%. The proper handling of large-scale bakery manufacturing is made possible by automation. Also, it makes it possible to blend substances precisely and consistently throughout processing. Automating processes like depositing, baking, and handling is not too difficult. Robotic equipment is offered by businesses like Global Bakery Solutions (UK) and Erica Record (US) for panning and depinning bread and other bakery goods. Pans, utensils, and food-grade containers are examples of bakery supplies.

Trends for the Future

All industrialized countries have four segments for the baking market: retail, wholesale, in-store, and foodservice. The wholesale bakeries are the foundation of this sector. A retail bakery is a small business where a variety of baked goods are produced and sold to clients all in one place. Although whole-grain and multigrain bread is now widely accessible in retail bakeries, flavor is still regarded by customers as being an essential element. The three parts of the wholesale baking sector include crackers and cookies, frozen bakery items, cake, bread, and associated products. A wholesale bakery frequently has large production facilities and provides services to customers through retail businesses like grocers and restaurants.

In-store bakeries, which are found in grocery stores and are relatively modest but provide a large assortment of freshly baked foods, are producing an increasing number of whole-grain breads. Most of the baked goods that are consumed in cafeterias and restaurants in the foodservice sector are produced by wholesale bakeries. Together with in-store bakeries and foodservice companies, retail bakeries have seen a decline in sales over the previous ten years. Convenience, enjoyment, and health are three major themes in bakery and pastry product advancements. Longer workdays, changed family dynamics, and shifting societal norms are all strongly connected with convenience. Consumers are now choosing foods that need less time to purchase, prepare, and clean up due to lengthy work hours, busy lifestyles, and a lack of time. To meet the rising demand for fresh and frozen bakery goods as well as a variety of baking ingredients, local bakery enterprises, cafes, and supermarkets have mushroomed in industrialized nations like the US and the UK in recent years.

Pleasure was the dominant trend in the past and accounted for half of all new releases. There are three primary paths for new things in the “Pleasure” category: “novelty and fun,” “ethnic and exotic,” or “indulgent and premium.” In fact, the bakery and pastry industries are significantly driven by innovation thanks to the health trend. Consumers tend to view many bakery products as healthy, while those that are viewed as luxurious, like cakes and pastries, are usually successful when given “low and light” qualities that allow for “guilt-free pleasure.”

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