Market Trends of South America Bakery Products Industry
This section covers the major market trends shaping the South America Bakery Products Market according to our research experts:
Demand for Convenience Food Products Drives the Market
The consumer demand for convenience foods is evolving with dynamic demands from consumers. The primary driver for the growth of the bread segment in the South American countries is the increasing demand for bread, cookies, fruit, and organic flavored cakes containing whole grain, high in fiber, gluten-free, or healthy and fortified bread. Such products are becoming increasingly popular with consumers due to enhanced uptake of the healthy lifestyle concept. Moreover, the competition is uneven due to product diversity and many informal channels producing bread. Moreover, packaged bread sales outnumbered unpackaged bread sales in South American countries. South American people prefer having convenience food products in their day-to-day life. Thus, bakery products are considered feasible and easily accessible options among all other products. Furthermore, several giants or private label manufacturers are providing different types of bread such as gluten-free bread, anadama bread, cookies, cakes, whole wheat bread, multi-grain biscuits, and bread as per consumer demand.
Specialty Stores to Become The Fastest Growing Segment
The specialty stores have recorded to have the fastest growth in the South American market. These mainly include artisanal bakers/small bakeries/home-based bakers, which supply the products to café chains, kiosks, traditional trade/wet markets, offices, and general consumers. Specialty stores also became gathering places for enthusiasts, especially for conducting any special events or parties. Constant product innovation is a major challenge for specialist retailers. Given that many of the product types offered at artisanal bakeries are best enjoyed absolutely fresh, efficient production and inventory management is a must-tackle challenge. Specialty stores sell only within a given category, which can sell a much wider range of goods. A specialty store can carry more goods within its chosen category. The specialty stores will likely witness significant growth during the forecast period.
