LONDON — The 2020 buzzwords of resiliency and innovation are part of this year’s recipe for success in the cookie category.
Universally appealing and infinitely snackable, cookies, particularly in the perimeter, are poised for a comeback throughout 2021. But the question remains: Can the category reach the levels of 2019 or is there additional work around innovation and formulation yet to be done?
It’s probably safe to say the $7.22 billion cookie category will never be completely out of demand. This is evidenced by the continuing strength of center-store cookies at $668 million in sales, a 9.3% increase from a year ago, according to IRI. Center store saw huge wins in 2020 with a surge in sales of larger sizes, perfect for offering a brief respite from the extra hours spent working and schooling from home.
With COVID-related restrictions around the in-store lessening and more consumers returning to shop in-store, perimeter cookies, currently at $1.84 billion, a 3.6% loss, could be poised for a rebound in 2021. The question now is how consumers post-pandemic will be shopping the perimeter bakery department.
Manufacturers have experienced growth in the past through timely, experiential limited-time offers, fun flavor combinations and a growing number of co-branding initiatives with candy combos being a popular favorite. They rely on nostalgia and new twists on old favorites as well.
A US Foodservice trend report from Mintel indicated desserts and snacks are a prime area for innovation such as mashups with an emphasis on playfulness With many still feeling restrictions on the home front, food and in-home baking remain the go-to entertainment. But as life opens back up, the impact of busy lifestyles will once again be a concern, and consumers will seek out opportunities to build in permissible indulgence wherever possible.
Sally Lyons Wyatt, executive VP and practice leader, client insights for IRI predicted increasing mobility will drive the need for smaller package sizes as consumers return to work. Many people will also have their children going back to in-person school where the associated events and celebrations will resume demand for bulk items such as cookies.
Frozen cookie dough, which achieved almost triple-digit growth over the past year, can also help ignite some of the familial joy of home baking discovered during the pandemic months. Cookie tray/kits also saw incredible growth of 1,107.3%. Frozen and ready-to-bake cookie doughs and kits provide consumers the experiential elements of home baking while offering the convenience consumers demand.
