By Steve Markenson, Director, Research & Insights, FMI

These days, it feels like there’s a celebration nearly every day of the year. Whether it’s a traditional holiday, Supermarket Employee Day or even the Store Manager Awards, there are lots of reasons to celebrate and  in-store bakery can make any occasion shine.

FMI’s fresh foods research traditionally has covered departments like produce, meat, seafood and foodservice. This year, we added in-store bakery to the mix, as this department is growing in popularity among shoppers. Here are just a few of the key insights from our inaugural report:

In-Store Bakery is on the Rise

While many fresh departments in the grocery store are seeing decreased unit sales this year, the in-store bakery has seen strong increases in dollar (+14.3%) and unit (+7.4%) sales. Household penetration for in-store bakery remains high (82.7%) with purchase frequency (+3.6%) and size up in dollars (+10.4%).

Expand the Variety  

Some of the most frequent suggestions from shoppers involve the variety of products offered by their in-store bakery. But as outlined in this report, variety can mean a lot of things from ethnic/cultural products, the use of natural colors, personalization, better-for-you, requests for specific products or something else.

Impulse to Indulge  

Many shoppers acknowledge that their purchases of indulgent items such as donuts, cookies, snack/coffee cakes, single-serve desserts, and cupcakes are impulse purchases. Whether for functional or indulgent items, shoppers say they would be impacted by sale specials or promotions to make impulse purchases.

The Power of In-Store Bakery is stuffed with functional and indulgent insights to enjoy as you celebrate the holidays and plan for 2023. Learn who your bakery competition is, who the in-store bakery customer is, what they want and how you can deliver on their needs. Our new report format offers you a one-page Executive Summary to share with senior management, an easy-to-read summary of findings and an Appendix filled with detailed data for the data nerds like me.

The Power of In-Store Bakery