April 8, 2024 – Every year, Innova Market Insights publishes our Top 10 Trends for the upcoming year. Innova’s Top 10 Trends serve as an indispensable roadmap to future market opportunities, encompassing every aspect of the food and beverage industry. The trends are based on wide-ranging global consumer surveys, our network of in-country researchers, and tracking of new product launches, and can therefore manifest differently across market categories. This blog will cover how the top trends for 2024 are featuring in the bakery market, and what other factors might impact these category trends.
Here we will look at five trends that most influence the bakery category: “Ingredients: Taking the Spotlight,” “Prioritizing Prevention,” “Indulging in Health,” “Nurturing Nature,” and “Local Goes Global.”
Ingredients: Taking the Spotlight
The first bakery trend is “Ingredients: Taking the Spotlight.” This trend relates to companies capitalizing on positive consumer attitudes toward key ingredients by promoting a product’s “star” element.
Innova’s bakery trends research shows that consumers are looking for value from the ingredients in their bakery products and are always looking for ingredients of interest on the product packaging. Of these ingredients, consumers globally say that protein is the most important ingredient.
More than one in five consumers globally say that the bakery category is their preferred protein source. However, consumers are not seeking protein simply for muscle growth. Innova’s market research indicates the top two drivers for consumers’ protein intake are energy and stamina, and for weight management.
Companies are already looking for innovative ways to include more protein in their bread products. Equii, for instance, has devised a unique method for uncovering microbial protein, which could potentially be employed in fermenting grains and crafting high-protein grain flours.
Other functional ingredients, such as probiotics and collagen are more niche, but are still accepted by consumers. Almost half of consumers will accept probiotics and collagen in their foods.
Prioritizing Prevention
“Prioritizing Prevention” refers to the trend of preventing health concerns before they arise driving consumers to products meeting their personal well-being needs. Innova’s bakery trends research shows that more than one in three consumers claim to be proactive in preventing health issues. When asked about their major concerns related to their physical health, weight management, heart health, and bone and joint health were chosen most often. These concerns are seen as being addressed by bakery product claims such as “grain fiber helps with weight management” and “improves bone health”.
Consumers are wary of their aging, and more than one in three consumers globally say that weight management and observing a balanced healthy diet are the most important steps taken for healthy aging. In bakery products, claims such as “Improves Immunity and has anti-ageing effects” are noticeable as addressing these concerns.
However, different generations of consumers have different health concerns, allowing companies to target specific audiences with their bakery product’s health claims. For instance, heart health claims have risen 17% over the past three years in bakery products, targeting older generations, while claims of preserving appearance appeal more to younger generations.
Indulging in Health
“Indulging in Health” refers to health brands moving into indulgence while comforting treats come with added goodness, creating an ideal mashup.
There is a growing consumer interest in indulgent treats with health benefits. A majority of consumers around the world indicate a willingness to sacrifice indulgence in favor of healthier food choices. Indulgent bakery products with active health claims are now on the rise, with a 14% increase in the past five years. The fastest growing health claims in indulgent bakery products are prebiotics, immune health, probiotic, and added calcium.
Additionally, Innova’s bakery trends research indicates savory snacks with active health claims are on the rise. There has been a 52% growth of savory biscuits or crackers with an active health claim over the past year. These products are also being consumed more often, with more than one in five customers globally choosing healthier alternatives for savory snacks.
Nurturing Nature
Innova’s “Nurturing Nature” trend highlights business responsibilities going beyond just sustainability, and requiring actions that make a positive difference to nature protection.
There is an increasing consumer interest in products with environmentally focused claims. More specifically, consumers place nature protection as their most desired environment focused action from brands and companies. Bakery products can be seen relating to these desires with several claims.
Food and beverage products with a forest protection-related claim have been on the rise, growing 37% between 2020 and 2023. However, carbon-related claims on bakery products have grown 48% within the same period. Finally, regenerative agriculture-related claims have grown by 383% in year over year growth between 2022 and 2023.
Local Goes Global
“Local Goes Global” relates to claims of international, “authentic” style products, as well as local ingredients growing in the bakery sector.
Two in three consumers globally say that they are open to trying new global cuisines. Alongside this consumer interest, companies are increasing production of more specific, region-based products. African flavor profiled products have increased by 13% CAGR between 2020 and 2023, while East Asian has increased 5%. Social media is also increasing the exposure of global cuisines, tapping into the market of younger consumers.
Furthermore, Innova’s bakery trends research indicates consumers are increasingly valuing locally sourced ingredients in their bakery products. When asked about which product categories they are looking for locally sourced ingredients, consumers chose bread and bread products as their number one category. Additionally, more than half of consumers globally say that they actively look out for claims and labels of locally sourced ingredients.
What’s Next?
Brands utilizing ‘star’ ingredients as a part of their product descriptions could allow for companies to develop new, innovative ingredients that can further entice consumers. Furthermore, as focus on health claims rises, these ingredients can connect to multiple markets of consumers if they tout unique health benefits.
Innova’s bakery trends research additionally indicates the combination of indulgence and health benefits is rising in bakery products, with consumers desiring the benefits of both ends of the spectrum. This may create a market opportunity for companies who manage to create healthy products, that also don’t detract from the indulgent experience consumer’s desire.
Finally, as consumers become increasingly environmentally conscious, interest in sustainable, local ingredients will likely not decrease, especially as more younger consumers enter the market.
This article is based on our report, “Top Trends 2024: Bakery – Global.”
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