IBIE - 2019 Special Edition & Show Preview - 132

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look at trends in the top five markets in the world.
Insights from Euromonitor International

US: Indulgence categories grow despite
health concerns
US consumers are trying to live healthier lives, and this
is having a huge impact throughout the entire food industry. Given this trend, baked goods should be one of
the most challenged segments of the broader market,
since many of common ingredients used in these items
are being avoided by health-conscious consumers wary
of carbohydrates and sugar.
Despite this dynamic, many baked goods were still
growing as manufacturers are adapting to global health
trends by incorporating better-for-you ingredients and
developing new and unique package sizes.
The bread category is a great example of this trend.
While consumers are moving away from traditional
packaged leavened white bread, other categories such as
flatbread, packaged differently and perceived as featuring fewer carbohydrates, are glowing with good results.
Another trend that shows how well companies are
adapting to new eating habits can be seen in cakes and
pastries. Many companies have discovered the benefits
of appealing to nostalgia, resulting in consumers being

132 PreShow Guide IBIE 2019

more likely to reward themselves by purchasing treats
that remind them of their childhood, in spite of leading
healthier lifestyles.

China: Packaged cakes lose popularity
Years ago, packaged cakes swamped the Chinese marketplace with unique textures and various flavors, but
now the situation has changed with customers being
overwhelmed by other alternatives in packaged bread
and pastries. The decline of packaged cakes is partly due
to their high fat and sugar content. Pie, for example, is a
major category under packaged cakes that Chinese consumers now recognize as containing too much sugar.
Five years ago, it was still a major revenue contributor, but in the past two years big cake manufacturers
like Dali, Orion and Fuma have observed a downward
trend. Another major reason for the waning popularity
of packaged cakes is that fewer innovations happen in
this category than in packaged bread and pastries. For
example, in recent years, only steam cakes and packaged cakes gained some attention, whereas in packaged
bread and pastries, star products such as shreddable
bread, pocket bread and yogurt bread, which are innovative in terms of content and outlook, were very popular
among consumers.

Brazil: Focus on nutrition
Manufacturers are responding to a movement toward
unpackaged baked goods by launching fresher-looking
packaged breads and cakes. It is also important to note
consumer preferences for packaged bread with healthier
ingredients, differentiated packaging and clean labels. In

©TAW4 - stock.adobe.com

The world-wide baked goods market is fluctuating based
on diverse trends in all parts of the planet. Euromonitor
International explains how nutritional trends in the US
are affecting bread sales, while countries like China are
starting to focus more on sugar reduction. Meanwhile,
South America and other parts of Asia are seeing packaged baked goods sales skyrocket. Here are some of the
trends Euromonitor International is keeping tabs on in
several key markets across the world.

IBIE - 2019 Special Edition & Show Preview

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