This report discusses retail in-store bakeries (ISBs), defined as bakeries placed within supermarkets, mass merchandisers or club stores offering an assortment of bakery products, such as breads, cakes, pies, bagels, cookies, donuts, and muffins. Unlike the bread aisles found in these stores, ISBs generally have staffed counter space, and often bake products on-site.

In this report, Mintel examines industry trends, market sales data and consumer attitudes to provide an understanding of this important sector. Specifically, this report analyzes the key factors driving ISB sales as well as sales trends. Mintel details the mix of products being sold through ISBs, and looks at exclusive consumer research to determine why consumers choose to buy there. Consumer product and service preferences are also revealed. Drawing on these findings, this report predicts future sales and industry trends.

In this report, readers will learn that ISBs are experiencing stagnant growth after several years of expansion, due in part to rapid maturity of the category as well as competition from other types of bakeries and products. Given this difficult environment, innovative products, high quality, and focused marketing efforts will remain key to success in the ISB category.

Creating healthier offerings is one possible approach. Consumers remain interested in purchasing indulgent desserts, but whole grains and low-trans fats are gaining interest amongst many consumers. Appealing to a more diverse audience is another strong tactic for driving sales. The nation’s growing Hispanic population is a strong target market for ISBs. These insights are just part of the analysis in this report which can help ISBs and their suppliers better understand the trends driving this sector.