Baking & Snack - November 2020 - 49

" WHILE WE EXPECT TO SEE
CONTINUED ONLINE BAKERY
SALES GROWTH, WE ALSO
ANTICIPATE CONTINUED
PERIMETER BREAD GROWTH
AS WE MOVE THROUGH THE
PANDEMIC AND AS MANY
CONSUMERS PLAN TO WORK
FROM HOME MORE OFTEN,
EAT OUT LESS AND PREPARE
MORE MEALS AT HOME. "
Tim Grzebinski, IRI

Proofed for the new normal
While researchers are still analyzing the trend data from
2020 to provide a clearer picture of the full impact of
COVID-19 on the bread market, key indicators show
the pandemic has just accelerated preexisting trends.
" In addition to responding proactively to adapting
health trends, bread producers have scrambled to keep
up with America's diverse and ever-changing palate, "
Mr. Diment said. " By continually expanding their product portfolios with new bread varieties and flavors,
successful operators have been able to attract new consumers while offsetting overall drops in demand for conventional baked goods. "
New product launches slowed in 2020 to accommodate surges in demand for traditional bread prod-

ucts. Innova Market Insights data showed that product
launches through August 2020 for bread were less than
half of what they were for all of 2019.
" Bread is often used for lunches for kids and adults,
and in this time of COVID-19, many children are not
packing a lunch to eat at school because they may be
attending school remotely, and the same applies to
their parents, " Mr. Vierhile explained. " This is one
factor that is likely to be depressing the new product numbers. "
Despite the slow grind of new product releases, certain claims touting nutrient and diet benefits are capturing a signification portion of the sales growth in 2020,
Mr. Grzebinski said. And IRI studies show that consumers are doing more this year to take care of their physical
and emotional health.
" In thinking about product messaging or innovation
moving forward, 31% of consumers focus more on their
health as result of the pandemic, and 22% are changing
eating habits to be healthier, " Mr. Grzebinski said.
During COVID-19, IRI has tracked immunity
offerings and has found that they are posting significant growth and are outpacing total store sales
growth. Vitamins, supplements and other ingredients
like zinc and echinacea are showing strong promise,
Mr. Grzebinski added.
" I think the pandemic has only strengthened the bakery health and wellness and BFY trends as consumers
are more focused on health and immunity than ever, " he
said. " We know consumers are looking for retailers and
manufacturers to help them boost health and specifically their immunity.
Take a snapshot of the bread aisle in 2021, and it may
look similar to 2020. But the path to get there will no
doubt bring with it continued change as more brands
migrate to the supermarket perimeter and healthy or
specialty bread varieties populate more shelf space.

Sliced bread is evolving
with new inclusions and
toppings to add nutritional
value and premium appeal.
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