FMI: Shoppers go for in-store bakery over aisles

ARLINGTON, VA. — While food shoppers’ tastebuds prefer the fresh bakery department, their pocketbooks find the center-store baked food aisles more accommodating, according to FMI – The Food Industry Association’s 2026 Power of In-Store Bakery report.

From quality to value to service, a national sample of 1,519 US grocery shoppers ages 18 and older rated the in-store bakery as better than the commercial bakery aisles in 10 of 13 attributes in the FMI study, released Oct. 27.

The fresh bakery department is favored by 62% of consumers surveyed for freshness and by 56% for taste, compared with the center-store bakery aisles being deemed better by 18% of respondents for freshness and 17% for taste. In-store bakery also led the commercial bakery aisles in unique/innovative products (53% to 18%), service (52% to 17%), quality of ingredients (51% to 17%), selection (40% to 28%), product consistency (36% to 28%) and shopping convenience (32% to 30%).

“When asked what comes to mind about the in-store bakery, shoppers answer with freshness and with specific products,” FMI said in the Power of In-Store Bakery report. “‘Fresh’ and ‘freshly baked’ dominate the responses, followed by the category’s signature items, e.g. bread, cake, donuts, pastries, cookies and muffins.

“On the other hand, shoppers perceive the commercial bakery aisle as better in terms of price and value.”

Indeed, 39% of shoppers polled find the center-store bakery aisles better on price versus 26% favoring pricing in the fresh bakery. Likewise, the aisle bakery area wins out on value over the in-store bakery by 34% to 32%.

Center-store bakery also edged out fresh bakery on nutritional information by 28% to 26%. However, bigger margins of consumers rated the in-store bakery as healthy (34%) compared with the aisle bakery (22%) and as better in offering natural ingredients (42% to 18%).

“Most consumers buy from both the commercial bakery aisle and the in-store bakery, but the balance shifts with the need,” according to the FMI report. “Indulgence is what pulls shoppers to the bakery case, while everyday staples still default to the aisle.”

Nearly half (48%) of shoppers surveyed said they shop both the fresh bakery and the aisle bakery for functional bakery items, compared with 27% seeking these items from the center-store aisles and 22% from the in-store bakery. For indulgent baked items, 42% of consumers report shopping both the fresh bakery and the aisle bakery. Thirty-three percent said they go to the fresh bakery department for indulgent offerings, compared with 20% preferring the center-store bakery area for those items.

Source: FMI – The Food Industry Association

Shoppers also had different ideas about the optimum locations for the fresh bakery and aisle bakery within the store, FMI’s study revealed. Fourteen percent of those polled said the commercial bakery offerings should be situated in a separate aisle in the center of the store. However, 85% of respondents think all bakery items should be located in one area of the store, with commercial bakery items placed in or near the in-store bakery.

Of the latter group, 24% said center-store bakery products should be mixed in with the in-store bakery offerings, but sorted by item. Meanwhile, 25% see putting the commercial bakery items with the in-store bakery, but off to the side, as a better option. The other 36% said center-store baked offerings should be kept separate but situated near the in-store bakery.

“Consumers value the in-store bakery for freshness, quality and convenience,” said Steve Markenson, vice president of research and insights at Arlington-based FMI. “Nearly three-quarters (74%) of shoppers say it is important for their primary grocery store to have an in-store bakery, and the department outperforms the commercial bakery aisle on attributes including freshness, taste, service and product innovation.”

The in-store bakery has outpaced all perimeter departments except meat in dollar sales growth, FMI said in the report, citing NielsenIQ (NIQ) retail channel data for the 52 weeks ended July 11. Fresh bakery dollar sales rose 2.3% year over year to $22.04 billion, behind meat (up 4.3%) but ahead of deli (up 2.1%), produce (up 1.9%), frozen (up 1.5%), seafood (up 1.4%) and dairy (down 2.7%). In-store bakery unit sales in the period dipped 0.8%, yet the only perimeter departments generating unit growth were dairy (up 0.7%) and deli (up 0.4%).

High shopper penetration and roughly twice-monthly frequency make the fresh bakery department “one of the store’s most dependable traffic drivers,” FMI noted in the report. Citing NIQ panel data, the study said 91.6% of households made purchases from their store’s perimeter bakery department, averaging 24.9 transactions, during the 52 weeks ended June 27. FMI added that trip size and annual spend per buyer continue to grow.

“Today’s shoppers see the in-store bakery as a destination,” said David Haaf, vice president of fresh foods at FMI. “From meal planning and impulse purchases to special occasions and healthier choices, the bakery serves an important role throughout the grocery shopping trip.”