Advertisement

Three trends winning consumer hearts and carts

Eric Dell, president and CEO of the American Bakers Association, presenting at iba 2025 in Dusseldorf, Germany
PHOTO BY AVANT FOOD MEDIA
BY: Annie Hollon

Annie Hollon

DUSSELDORF, GERMANY — Tradeshows offer a dedicated space for professionals from all walks of life to connect on important topics for their respective industry, and iba serves as an international hub for such discussions.

During this year’s event, held May 18-22 in Dusseldorf, Germany, Eric Dell, president and CEO of the American Bakers Association (ABA), offered insight on American consumer trends to attendees from across the globe.

In his session, “Consumer Trends Shape US Bakeries: Bakery Research presented by ABA,” Dell outlined three key trends reflected in the association’s proprietary research.

Advertisement

Dollars and cents

With tariffs and inflation top of mind, consumers are tightening their purse strings. A recent ABA study noted that 94% of consumers are concerned about today’s cost of living.

Dell shared that shoppers are eating out less and opting for meals at home more often. This spurs interest in finding deals at the grocery store. While there is an uptick in value products and private label, premium baked goods are also seeing some traction from consumers willing to spend a little more on a treat every now and again.

“Virtually all consumers say they will splurge at some point when the time is right,” Dell said. “No matter if it’s a boomer, no matter if it’s Gen X; whatever the age group, they’re willing to make room in their budget for bakery.”

This rings especially true for special occasions, which consumers consider valuable experiences worth shelling out for.

“Even though times are tight and they might be worried about inflation, they’re still willing to celebrate those birthdays and special occasions together with their families with baked goods,” he said.

There also remains a space for what Dell calls “everyday escape,” where consumers opt to buy pastries for work and social gatherings.

Advertisement

Improving upon perfection

The term “fresh” is drawing consumer eyes and dollars, opening the door for baking companies to lean into par-baked products that deliver a fresh-out-of-the-oven experience.

This is connected to growth in the in-store bakery and deli segments, as consumers reach for offerings such as pizza and deli-prepared sandwiches, which they perceive as fresher.

They are also looking for variety and innovation.

“We’re seeing that on the high end with a lot of sourdoughs and specialty breads, buns and rolls being made, as well as sweet treats,” Dell said. “They’re looking for something new to try.”

To connect consumers with new products and encourage them to spend their money on baked goods, Dell shared that sampling could make a major difference.

“Folks are really concerned about the money in their wallet and how much they’re going to spend,” he said. “If you can offer sampling of an item, that may help you a lot, especially with the American consumer.”

Advertisement

Health and wellbeing

Increasing consumer interest in products with a cleaner label continues, Dell said, a result of recent scrutiny from the current president’s administration, state legislatures, and government agencies, including the FDA.

“You’re seeing a lot of activity happening in the United States in terms of ingredients,” he said, noting that ABA is following the FDA and tracking state legislatures closely. “Not only is the government encouraging us to reevaluate our products, but the consumer is changing as well.”

The better-for-you trend is all-encompassing for consumers, who are looking at health through the lens of physical and mental. Where shoppers seek these options, however, varies from generation to generation.

While boomers look to legacy brands they’re familiar with, millennials seek new innovations such as cauliflower pizza crust.

There is a bit of permissive indulgence playing into consumers’ shopping purposes as well.

“People are still wanting to go out and treat themselves,” Dell said. “Ninety-three percent agree or somewhat agree that it’s perfectly fine to occasionally treat yourself to a sweet good or something that might be seen as a treat.”

Amid uncertainty, rising costs and shifting consumer preferences, Dell encourages bakers to use this tricky window of time to drive innovation.

“We are in challenging times,” he said, “but use that as a catalyst to find the opportunities for innovation and growth.”

Related News

Advertisement

Advertisement

Advertisement

Advertisement

Popular Articles