Market Trends of North America Bakery Products Industry
Demand For Convenient and Healthy Snacking is Impacting the Demand for Morning Goods
The demand for convenience snack products is growing rapidly due to changes in consumption patterns and increasing awareness about concepts like portion control. A calorie deficit dietary preference is driving a more significant number of brands to offer small/on-the-go consumption packs of bakery products. North American consumers are increasingly focusing on taste, health, and convenience, and grab-and-go bakery snacks are often picked by consumers to quench appetites on busy days or to replace their meals on hectic days. This drives the consumer to choose morning goods. The United States has become a nation of grazers, with people looking for solutions that fit their healthy lifestyles and elevated tastes. Snacks high in protein are gaining traction in the region, especially in the United States. In 2023, among US consumers, the consumption of protein-based snack products rose across all age groups, with the most prominent being among people aged 32-45 years. Protein pancakes were among this group's most favored snack products, underscoring the importance of protein for satiety and the morning meal.
Bakery products claiming to contain natural and organic ingredients witnessed increased demand in the United States. This concept has been evolving across other markets as well. Product launches with various label claims, such as no artificial additives, no preservatives, non-GMO, and reduced sugar, are becoming increasingly popular. As a result, the increased consumer demand for nutritious products and the rising clean-label claims on products accelerated the market growth in this region. Thus, the change in eating patterns and the growing preference for on-the-go snacks among North American consumers due to the evolution of work and home life are propelling the growth of bakery products in the region.
The US Market is Expected to Dominate the Regional Market
Health consciousness and indulgence are two parallel trends dominating the US bakery market. The demand for bakery products that can be rapidly prepared at home or grabbed on the go has increased in the United States due to an increase in busy lives and the desire for quick and simple meals. The growing working population and improving consumer lifestyles have enhanced the consumption of ready-to-eat (RTE) food products such as healthy bread, pizza rolls, chicken puffs, and muffins throughout the country. Further, the market is experiencing growth due to the increasing number of bakers in the country. This has resulted in a wider range of bakery goods and increased production capacity. The increase in the number of bakers also caters to the emerging trend of healthy snacking. This trend is fueled by the launch of products that contain wholegrain, high fiber, or other health-promoting ingredients.
Baked goods have very high permissibility, and American consumers prefer the occasional baked treat as part of their daily routine. In July 2022, the American Bakers Association reported that 84% of Americans considered it acceptable to occasionally treat themselves to baked goods like cookies, cupcakes, doughnuts, or pies. American Gen Z and millennial customers preferred baked goods such as pizza, flatbreads, wraps, and tortillas. Almost 90% purchased a selection of these products, according to the American Bakers Association. The need for convenience and frozen bakery products is increasing, driving market expansion.
