inStore - September/October 2013 - (Page 44)

department spotlight cake DEPARTMENT SPOTLIGHT by John Unrein W hen evaluating the success rate of your cake program, sales trends over the past five years shed valuable light. Five years ago, weekly cake sales averaged $2,601 per store at US instore bakeries, according to Nielsen Perishables Group. In 2013, the average jumped to $3,267. This marks a sizeable gain, especially when you consider that cakes can hardly be considered a recessionproof item. Americans did, indeed, cut back on luxuries during the great recession of 2008-2009, and yet they did not cut back on “affordable luxuries” like cakes. A closer look at the changing dynamics of sub-category shares within the cake category since 2008 reveals even more interesting tidbits to evaluate and act upon. Cupcakes still trend upward. Dessert cake sales are sliding. Those trends are well documented, and explained by the steady movement among bakery shoppers to migrate toward desserts offered in smaller serving sizes. “I’m so excited about cupcakes,” says Buddy Valastro, who is working with Dawn Food Products to bring the first-ever Cake Boss cupcakes and fondant cakes to instore bakeries this year. The expanded Cake Boss Cake Line from Dawn Foods now includes cupcakes in four flavors: Baby Bloom, Peanut Butta Lova, Choc It To Me and Va Va Velvet. “We’re not trying to compete with six cupcakes for $2. These are all center-filled and made with ganaches and buttercream or cream cheese icing.” Now look at some other sub-categories that don’t get a lot of attention, but are following in the footsteps of cupcakes – on their way up. Crème pudding/pound cakes have gained 2.4 points since 2008. Cheesecakes are up 2 percentage points. So what’s happening and why? Marc Schulman, president of Eli’s Cheesecake Company, points out that cheesecake continues to gain ground as a strong seller within the instore bakery, as departments expand the number of flavors and Cake Sub-Category Shares 2008 2013 35.8% 29.9% 16.0% 17.4% 15.7% 9.1% 8.7% 11.1% 5.9% 7.9% 6.5% 5.8% 5.9% 5.7% 7.0% 5.6% 1.8% 1.7% DECORATED CAKES CUPCAKES DESSERT CAKES 44 • SEP + OCT 2013 • instore CRÈME PUDDING/ POUND CHEESECAKES INDIVIDUAL DESSERTS ICE CREAM CAKES SNACK CAKES SPECIALTY DESSERT CAKES 0.3% 0.5% WEDDING CAKES

Table of Contents for the Digital Edition of inStore - September/October 2013

inStore - September/October 2013
Editor's Note - Convenience
What's In store for March & April
Table of Contents
On Our Radar
Consumer Insights - Cookies
Sugar-Free Shoppers
March Madness
Department Spotlight - Cake
Sandwiches & Burgers
Product Trends - First to Market
Bizarre Holiday - International Waffle Day
Ad Index
Next Up - Gear Up for Graduation

inStore - September/October 2013