Five Key Growth Trends in American Fresh Bread Market

Looking ahead to 2023, market research firm Packaged Facts in the report U.S. Food & Beverage Market Outlook 2019 projects retail dollar sales of the fresh bread market will increase from USD16bn to USD17bn.

Market gains will be driven primarily by healthier, more nutritious products with clean labels and all-natural ingredients. Premium product prices will help spur dollar increase gains, and rolls and buns, as well as bagels,  will continue to outpace the total market.

“Virtually all American consumers eat some form of bread, but many are doing so less frequently and are consuming a lower quantity. Health and diet concerns, changing eating patterns and ethnic influences on food have notably impacted the market. Yet there remain opportunities for growth. Expect next-generation bread products to further expand current trends including clean label, better-for-you, grain diversity, and crafted, artisan quality,” says David Sprinkle, research director for Packaged Facts.

Packaged Facts’ key opportunities for future growth:

  1. Farm to table: focus on authenticity and craftsmanship, treating ingredients like wheat as if they were local produce—e.g. single-origin heirloom wheat. Local farms and bakeries are creating unique products.
  2. New ways to deliver better health and nutrition claims: incorporating fruits, vegetables, probiotics or other healthy ingredients.
  3. Grain-free: more choices for those who avoid grain.
  4. Moving out from center store: consumer perception of freshness and quality increases when packaged bread brands secure placement away from the center of the store and as close as possible to the in-house bakery or deli department.
  5. Marketers should also explore ways to merchandise around other fast-growing perimeter departments including produce and meat.

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