IN-STORE SWEET GOODS DRIVING TOTAL CATEGORY GROWTH: STUDY

NEW YORK -- While sweet goods may not be the hottest performer at supermarket in-store bakeries, the in-store segment of sweet goods is still strong enough to keep the total product category growing, according to a study just published by Find/ SVP, a market research firm here.ducts at in-store bakeries in U.S. supermarkets rose at a compound annual rate of 5.5% from 1991 to 1995, reaching $6.192

NEW YORK -- While sweet goods may not be the hottest performer at supermarket in-store bakeries, the in-store segment of sweet goods is still strong enough to keep the total product category growing, according to a study just published by Find/ SVP, a market research firm here.

ducts at in-store bakeries in U.S. supermarkets rose at a compound annual rate of 5.5% from 1991 to 1995, reaching $6.192 billion in 1995, the Find/SVP study said. During the same period, the overall market for sweet baked goods in the U.S. grew at a compound rate of only 3.7%, the study's summary said.

The study, conducted earlier this year, focused on sweet goods and dealt with movement of the products at all points of sale.

In the course of that research, it uncovered a number of statistics that apply particularly to in-store bakery departments. From 1991 to 1995, sales in in-store bakeries rose from $5.003 billion to $6.192 billion, it said. In-store bakery sales reached $5.225 billion in 1992; $5.457 billion in 1993; and $5.836 billion in 1994.

The study found that at least three major demographic factors seem to distinguish heavy users of sweet baked goods. The factors are marital status, the presence of children in the home and family size. The study summary said, "All three of these factors correlate highly with one another. That is, the use of sweet baked goods is heaviest in households with married consumers with several children living in the household."

In a five-year forecast, Find/SVP indicated that two categories will stand out above the others for sales growth. They are muffins, with a projected growth rate of 5.7%; and cakes, with a projected growth rate of 4.5%. For the total sweet baked goods category, a 3.5% growth rate is projected. That would take the total category from $16.074 billion sales in 1995 to $19.243 billion in the year 2000, according to Find/SVP.

Projected growth figures for in-store bakeries alone were not available from Find/SVP at press time.