Baking & Snack - August 2018 - 49




In the supermarket bakery, cake steps into the limelight.
by Joanie Spencer


Thank you, Food Network, TLC and Bravo.
Some years ago, these cable networks launched shows
such as Cake Wars, Top Chef: Just Desserts and Cake
Boss to intertwine cake, artistry and TV drama, and
Americans just couldn't get enough. In many cases, gluttony met glam, and millions debated fondant's correct
pronunciation. Cake became pop culture.
Sure, it did wonders for the small retail bakeries and
cupcake shops ... not to mention the wedding business.
But it also often left the in-store bakery in the dust; to
some, "supermarket" birthday cake was considered
Today, though, it's a different story. Cake producers have stepped up their game, and as this indulgent
product scoffs in the face of health-and-wellness, commercial bakeries are helping in-store operators boast
signature products that reflect fashion, pop culture and
individual personalities.

A big piece of the pie
In the in-store bakery, cakes are dominating the dessert
category, according to Nielsen Fresh's Fresh Facts data,
which was published in the International Dairy-DeliBakery (IDDBA)'s What's in Store 2018 annual report.
Although this segment experienced slightly more than
1% growth for the 52 weeks ending March 31, 2018,
cakes still represent a whopping 57% of market share.

What's more, in 2016, cakes outpaced bread in the
in-store bakery, according to IDDBA. Nielsen data
revealed that while desserts make up half (50.3%) of
all in-store bakery sales, cakes scooped up an almost
29-point share of dollars, with bread a distant second
with just 13.6.
As consumers up their standards for these types of
products, quality often trumps price. In fact, cake is
one of the highest dollar rings in the in-store bakery,
noted Jennifer LaPaugh, senior director, global market research and insights, Dawn Foods, Jackson, MI.
"When consumers come into the bakery and spend
money, when they buy a cake, it's often a significant
spend," she said.
Within in-store bakery cake sales, Nielsen pointed out
that specialty dessert cakes experienced 2.1% growth.
And while decorated cakes took a dip last year, the segment still has a 25.5% foothold on the share of dollars
for fresh cake sales. To give in-store bakeries the most
opportunities to capitalize on cakes, Dawn offers cake
products that check a number of boxes, from finished
product that's ready for the display case to plain cakes
and all the components to finish it onsite.

Over-the-top cakes
create "Insta-worthy"
opportunities at the
retail level.
Dawn Foods

Trendspotting in the perimeter
Consumers consistently claim loyalty to health-andwellness. In fact, NPD Group told IDDBA that calories / August 2018 Baking & Snack 49

Table of Contents for the Digital Edition of Baking & Snack - August 2018