Milling & Baking News - March 23, 2010 - 47

Buns and Rolls Update 

Reinventing the roll
Buns and rolls take on new form in changing marketplace

ust as thinly-sliced bagels have
captured the imagination of baking companies and piqued the
interest of consumers across the
United States, buns and rolls that have
been recreated to resemble something
between a slice of bread, a tortilla and
a bun have rejuvenated their respective bakery category.
In the 52 weeks ended Feb. 21, dollar sales in the buns and rolls category
totaled $2,387,078,000, according to
Information Resources, Inc., up nearly
5% from the same period a year ago.
Unit sales also rose nearly 5%, to
1,235,545,000.
The strength in the segment has
not been driven by private label. Unit
sales of private label buns and rolls
rose only 0.78% to 625,394,600 during
the latest 52 weeks, I.R.I. said, while
dollar sales fell 0.85% to $848,526,600.
Instead, branded companies, through
the introduction of new products -
such as "thins" or "flats" - are carrying the day in the category.
After introducing Sandwich Thins
under the Arnold brand in the



according to I.R.I. Unit sales also
soared, climbing 170% to 65,816,380.
The Sandwich Thins are available
in four varieties: 100% Whole Wheat,
Multi-Grain, Whole Grain White and
Seedless Rye. The 100-calorie products
also contain whole grains, ranging
from 6 grams to 11 grams per serving,
depending on the variety.
Another company "going thin" is
Pepperidge Farm, Inc., Norwalk, Conn.
Last October the company introduced
Deli Flats, 100-calorie thin rolls available in three varieties: Soft 100% Whole
Wheat, Soft Oatmeal and 7 Grain. Each
roll has 5 grams of fiber.
The addition of the Deli Flats has
helped drive a 20% gain in dollar sales
and a 16% increase in unit sales at Pepperidge Farm over the past 52 weeks,
according to I.R.I.
"We have been seeing strong results from our Deli Flats product,"
said Tim Hassett, senior vice-president and general manager for fresh
and frozen bakery at Pepperidge
Farm. "We recently expanded Deli
Flats, and they are now available

Top-selling buns and rolls brands

Arnold
Martin's
Sara Lee
King's Hawaiian
Pepperidge Farm
Wonder
Oroweat
Aunt Millie's
Sunbeam
Private label

Per cent
Dollar
change from
sales
year ago
$185,937,900
174.4
$144,192,300
0.1
$130,426,100
-11.0
$95,550,580
8.9
$69,093,770
-3.2
$62,993,070
18.7
$53,989,910
-6.0
$38,844,970
-4.4
$35,287,560
-6.3
$800,575,700
0.0

Unit
sales
65,816,380
45,701,840
50,199,120
43,754,420
24,299,920
36,566,140
16,933,650
20,388,830
15,526,840
594,856,300

Per cent
change from
year ago
170.2
-1.9
-9.5
8.1
-5.5
59.7
-1.1
-2.3
-9.3
1.5

52 weeks ended Feb. 21, 2010
Total U.S. supermarkets
Source: Information Resources, Inc.

Eastern United States in late 2008,
Bimbo Bakeries USA, Inc., Horsham, Pa., expanded the launch
to the West in July 2009 under the Oroweat brand. Described by the company as
"thinner than a roll, healthier than most sliced bread,
and more practical than a
pita," the product helped
drive a 174% spike in dollar sales for the Arnold brand
to a category leading $185,937,900,
42 / March 23, 2010 Milling & Baking News

everywhere Pepperidge Farm breads
are sold. Knowing that many consumers use Deli Flats for grilling, this
summer we will launch a new variety.
In addition, we are finding that Deli
Flats are being used for all meal occasions, including breakfast."
Mr. Hassett said Pepperidge "hit
the trifecta" with the Deli Flats, as the
product delivers on health, versatility
and taste.
"At 100 calories, thin rolls allow
consumers to enjoy the foods they

love, without having to sacrifice taste,"
he said.
Mr. Hassett said Pepperidge will
continue to seek out similar new products for the bun and roll category going forward.
"Innovation in the category is very
important," he said. "We are working on new ideas that continue to offer consumers a better bread and roll
experience. As well, I think flatbreads
are fertile ground."
A couple years after receiving a
boost from the introduction of Sara
Lee Soft & Smooth Wheat Hot Dog and
Hamburger Buns Made with Whole
Grain, Downers Grove, Ill.-based Sara
Lee Corp. hopes to recharge sales with
several new products and expanded
distribution of others.
The company is expected to launch
EarthGrains 100% Natural Thin Buns
later this year featuring Eco-Grain
wheat. In addition, the company's
Soft & Smooth Plus line featuring
DHA omega-3 fatty acid is expected to
eventually be extended from the bread
aisle to the bun and roll category.
Sara Lee also hopes to get a boost
from wider distribution this spring of
the 80-calorie Sara Lee Delightful Wheat
Bun launched in mid-summer 2009.
A different strategy appears to have
spurred growth at Hostess Brands, Inc.,
Irving, Texas. Despite the lack of new
product launches during the past year,
unit sales jumped 29% and dollar sales
rose 4% driven by a 47c decline in the
average price per unit, according to
I.R.I. At $1.93 per unit, Hostess buns
and rolls compared favorably with an
average retail price of $1.36 for private
label product. By comparison, the average price per unit for Martin's Famous
Pastry Shoppe, Inc. was $3.16, while
Sara Lee's buns and rolls averaged
$2.55 per unit and Flowers Foods, Inc.
averaged $2.35, according to I.R.I. MBN
- Eric Schroeder
bakingbusiness.com / world-grain.com

http://www.bakingbusiness.com http://www.world-grain.com

Milling & Baking News - March 23, 2010

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