The Best Baking e-Newsletter in the Business
The Bakery-Net e-Newsletter brings you the best of Modern Baking and Baking Management magazines. Subscribe Now!

Bread sales remain strong despite commodity crisis

To save money, more consumers are packing sandwiches and choosing natural breads with fiber, whole grains and vitamins.


         Subscribe in NewsGator Online   Subscribe in Bloglines
White Wheat

Consumers are paying more attention to the ingredients in the foods they buy. “They want to know exactly what is in their food, and where the food or the ingredients it contains come from,” says Sherry Harper, director of marketing, Flowers Foods, Thomasville, Ga. “There is even a growing interest in knowing how the foods they buy impact the environment. That is one reason we continue to see interest in organic foods.”

In line with this trend, consumers continue to demand better-for-you breads that deliver a specific health benefit or offer beneficial ingredients, such as whole grains and fiber. In response, breads are offering more natural, nutritional ingredients. Nature's Own, for example, is encompassing this trend with its Double Fiber Wheat Bread with omega-3 and new breakfast breads made with good sources of calcium, and vitamins A, C, D and E. Rudi's Organic produces better-for-you organic breads that are free of high-fructose corn syrup and artificial chemicals, two ingredients that concern many consumers.

While rising food costs have forced food companies to increase their prices, bread sales continue to remain strong. Fresh bread sales were up 6.9 percent compared with last year, according to Information Resources Inc. (IRI) data for the 52 weeks ended April 20, 2008.

Consumers are demanding more natural
breads with whole grains and fiber.

Consumers are demanding more natural breads with whole grains and fiber.

“With the U.S. Department of Agriculture (USDA) Economic Research Service claims that Americans eat approximately 122 lb. of wheat flour — used for breads and other grain foods — per person per year, bread continues to be an American staple,” says Doug Radi, vice president, marketing, Rudi's Organic Bakery, Boulder, Colo.

Rising food prices are actually sending more Americans into the bread aisle as they try to save money by eating more meals at home and packing homemade lunches, instead of eating out. “This shift should benefit the bread category since sandwiches are delicious, quick and inexpensive meals that can be enjoyed by anyone on a tight budget,” Harper says.

Despite the
popularity of
whole grains
many consumers
still prefer
white bread.

Despite the popularity of whole grains many consumers still prefer white bread.

According to Mintel's product news database, consumers are demanding more natural breads with nutritional ingredients. Premium breads that feature quality ingredients and artisan breads are expected to increase in sales. Traditional grains, such as amaranth, quinoa, sorghum or spelt, are predicted to become more popular, especially for wheat-intolerant consumers. In addition, whole grain breads are expected to remain strong.

Still, white bread continues to bring in sales. Sunbeam, for example, made the top 10 bread brands list for the 52 weeks ended April 20, 2008. “Sunbeam and our other regional white bread brands continue to perform well. There are very loyal white bread consumers who enjoy the soft texture and mild taste of white bread,” Harper says.

Top 10
bread brands

Brands 52-week dollar sales % change prior year Dollar share 52-week unit share % change prior year Unit share
PRIVATE LABEL FRESH BREAD $1,564,565,000 2.4 24.5 $1,150,628,000 -5.1 37.0
NATURES OWN FRESH BREAD 338,583,400 16.9 5.3 148,806,800 9.0 4.8
OROWEAT FRESH BREAD 316,339,000 6.1 5.0 91,412,680 1.6 2.9
WONDER FRESH BREAD 247,689,100 -4.1 3.9 108,916,200 -12.6 3.5
ARNOLD FRESH BREAD 229,956,400 18.0 3.6 81,472,350 12.0 2.6
SARA LEE SOFT & SMOOTH FRESH BREAD 179,498,600 33.3 2.8 78,784,300 21.5 2.5
SARA LEE FRESH BREAD 119,758,500 -15.7 1.9 46,969,120 -21.7 1.5
SUNBEAM FRESH BREAD 112,477,500 3.0 1.8 59,644,300 -2.6 1.9
PEPPERIDGE FARM SWIRL FRESH BREAD 101,503,200 -14.0 1.6 39,455,440 -19.4 1.3
PEPPERIDGE FARM FRESH BREAD 96,906,030 14.3 1.5 33,600,660 8.8 1.1
Source: Information Resources Inc. statistics for the 52-week period ended April 20, 2008.

Fresh Bakery Products

52 Weeks Ending April 20 Dollar Sales % Change Prior Year 52 Weeks Ending April 20 Unit Sales % Change Prior Year
Bread $1,526,168,400 6.9 $3,113,493,700 -3.7
Crackers 837,910,900 2.8 1,486,310,000 -1.1
Cookies 835,636,600 -0.7 2,286,172,700 -5.1
Rolls/Buns/Croissants 444,579,600 6.9 1,193,025,000 -0.7
Cupcakes/Brownies 222,342,100 -2.9 524,380,700 -2.5
Pastry/Danish/Coffeecake 154,117,000 -0.7 284,710,800 -2.0
Donuts 150,119,600 -4.5 256,574,000 -7.1
English Muffins 128,912,200 8.7 216,749,100 2.3
Bagels/Bialys 128,173,200 9.3 179,053,500 -1.4
Muffins 81,109,060 18.1 100,743,100 0.0
Cakes (excl snack/coffee) 54,338,810 0.4 131,156,800 -6.0
Pies (excl Snack Pies) 35,170,640 -6.1 45,063,160 -12.8
Frozen Bakery Products
Bread/Biscuits/Pastry Dough $128,462,200 6.1 $202,835,700 0.4
Pies 69,875,120 -0.1 89,449,820 0.1
Sweetgoods (excl cheesecakes) 50,131,760 2.1 56,808,330 3.4
Bread/Rolls/Pastry Dough 27,956,990 5.5 42,524,570 -0.7
Pies/Pastry Shells 17,621,410 -1.4 50,289,260 -6.9
Cheesecakes 17,098,040 -4.1 13,746,540 -8.0
Bagels 11,994,500 4.8 33,418,200 -11.4
Muffins 3,852,264 105.9 2,774,993 66.7
Cookie Dough 1,795,384 139.2 1,589,690 96.7
Cookies 18,327 -40.1 28,035 51.6
Refrigerated Bakery Products
Biscuit Dough $85,277,140 0.0 $290,419,900 -5.0
Cookie/Brownie Dough 83,302,060 -3.7 138,353,100 -5.6
Bread/Rolls/Bun Dough 63,175,180 2.4 129,990,400 -1.3
Pastry/Dumpling Dough 62,369,870 4.2 127,185,700 -1.9
Cakes (excl Snack/Coffee) 15,298,980 -2.8 9,245,238 2.8
Bagels/Bialys 11,880,540 -6.8 37,463,560 -8.1
English Muffins 8,545,399 5.9 18,525,690 3.8
Pies (excl Snack Pies) 4,716,267 -20.2 4,429,334 -17.9
Pastry/Danish/Coffeecakes 4,008,002 337.3 6,755,006 318.3
Snack Cakes/Donuts 1,831,003 16.6 1,867,115 6.0
Bread 859,310 -5.4 1,724,396 -4.6
Dinner Rolls/Croissants 245,038 23.1 710,395 26.2
Muffins 21,574 37.4 36,986 247.1
Source: Information Resources
ADG May 14, 2008

Want to use this article? Click here for options!
© 2008 Penton Media Inc.

Baking Management Buyer's Guide

Use this directory as a one-stop source for all of your wholesale bakery’s needs. Keep up with the latest equipment, ingredients and product lines to keep your business well-supplied.

The Bakery-Net e-Newsletter

Bakery-Net e-Newsletter

Subscribe to the best baking e-Newsletter in the business. The Bakery-Net e-Newsletter brings montyly the best of Modern Baking and Baking Management magazines. Subscribe Now!

Upcoming Events

American Bakery Expo

Atlantic City, N.J.
Sept. 21-23, 2008
More info...

Master Class with Dara Reimers

Providence, R.I.
October 3-4, 2008
More info...

WBA Bakers Forum

Middleton, Wis.
October 14, 2008
More info...

Past Issues

Looking for a particular issue of Baking Management? Use the dropdown menu below to assist you in your search.