European trends present North American bakers new opportunities

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European trends present North American bakers new opportunities

7 Apr 2025

Maddie Lambert

Maddie Lambert is a copywriter and editor from Joplin, MO. She graduated from Missouri Southern State University with a Bachelor of Arts in English – literary studies. When she’s not poring over the magazine or lost in the pages of a new novel, you can find Maddie exploring her local bookstores, spending time with her husband, or sharing her latest literary discoveries with fellow book enthusiasts.

ORLANDO, FL — When making a global mark on the commercial baking landscape, it’s important to consider the differences in North American and European markets. Of course, baked goods are purchased and consumed in relatively the same manner, but the amount and type differ exponentially.

These differences provide white space for North American and European bakeries to innovate and expand into new, intercontinental markets. JP Frossard, VP, consumer foods analyst at Rabobank, shared strategies bakers use — and challenges they face — when breaking into these spaces in the “Baking Across the Pond: Current European Trends” business session during the American Bakers Association (ABA)’s 2025 Convention, held March 23-26 in Orlando, FL.

The power of tourism

According to Frossard, Europe has experienced an uptick in tourism since the pandemic that has sparked an increase in baked goods sales in local restaurants, bakeries and hotels. Most European consumers — especially in Mediterranean countries — tend to buy their baked goods in local, small retail bakeries, with the exception of British and Nordic shoppers, who have an affinity for buying baked goods at grocery stores.

European consumers also tend to prefer classic baked goods with simple ingredients and fewer artificial additives.

“One of the reasons why Europe has focused on our nation is because America always brings in new products, flavors, cravings, packages and brands.” — JP Frossard | VP, consumer foods analyst | Rabobank

“We don’t see Europeans having the ultra-processed food conversation,” Frossard said. “Their total ultra-processed foods are much lower than the US. They already have regulations and discussions about what can be added and removed from food.”

He noted that for US bakers seeking to expand globally, branded products comprise only about 14% of all baked good sales in Europe, with private label and artisan items remaining the majority of those purchases.

Overall, bread consumption in Europe accounts for 82% of the total volume as opposed to other baked goods, while North Americans are consistent with their ability to broaden these purchases and try new items, resulting in a 50/50 split.

“We see croissants in France, tiramisu in Italy, pretzels in Germany, churros in Spain,” he explained. “There is no such thing as one European market. They try to make it different because it’s part of the cultural identity and the fabric of different areas.”

Investing in automation

Focusing on automation gives both sides of the pond a competitive edge. European bakeries seeking to establish a foothold in the American market must be willing to not only invest in automation but also to diversify their product portfolios for long-term stability.

“One of the reasons why Europe has focused on our nation is because America always brings in new products, flavors, cravings, packages and brands,” Frossard said. “The younger folks are always looking to try new things.”

Additionally, Americans have the opportunity to overcome cultural barriers and become key players in the European market. Consumer preferences for traditional favorites and local baked goods provide American suppliers with ample opportunity to innovate and invest more in overseas automation.

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