Proven practice: Innovative products have helped operators to sustain recent growth

Over the past five years, the industry has come under pressure, as demand for traditional loaves has fallen in the face of trends towards healthier lifestyles among consumers. However, innovation has been driving the industry, with many operators launching a range of healthier products. Industry revenue is expected to grow at a compound annual rate of 2.1% over the five years through 2018-19 and to increase by 2.2% in the current year, reaching £8.3 billion.UK bakers have been proactive in addressing consumer demand for healthier products in order to retain the interest of consumers, by extending their product lines. Kingsmill’s 50/50 and Super Seeded loaves have been notably successful in this regard...read more.

Industry Statistics & Market Size
Revenue
£8.3bn
Annual Growth 14-19
2.1%
Forecast Growth 19-24
Profit
Employment
79,520
Businesses
2,602

Industry Threats & Opportunities

  • The industry has responded well to changing consumer demands, recording robust growth
  • Rising obesity levels and consumer concerns with health have stimulated product development
  • A focus on product development is expected to be particularly important for operators to sustain their position
  • Industry Report - Starting a New Business Chapter

    The barriers to entering the Bread and Bakery Goods Production industry are low but vary considerably between different product segments and business models. Any new bakery must comply with government health and safety guidelines and use flour containing the levels of vitamin B1, B3, iron and calcium carbonate set out in the Bread and Flour Regulations 1998. However, the 2009 deregulation of prescribed bread weights has given operators more freedom when it comes to loaf sizes, while the changes brought about by the Consumer Rights Bill in 2014 relieved bakers that make up bread to be sold unwrapped or in open packs of the need to keep records of checks of the weight of the bread. Add...purchase to read more.

    Additional Insights for the Bread & Bakery Goods Production Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Bread & Bakery Goods Production Industry are

  • Ensuring pricing policy is appropriate
  • Effective quality control
  • Development of new products
  • IBISWorld analysts also discuss how external factors such as Demand from supermarkets and Health consciousness in the Bread & Bakery Goods Production industry impact industry performance..

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    What's in this report

    What is the Bread & Bakery Goods Production Industry?

    This industry includes companies that produce bakery products such as bread, cakes, bagels, muffins, doughnuts and baguettes. Part-baked and frozen products are also included in the industry. Supermarket in-store bakeries that do not produce goods from scratch are not covered.

    Industry Products
  • Traditional bread
  • Rolls, baps and baguettes
  • Cake and pastry
  • Industry Activities
  • Manufacturing fresh traditional bread and rolls
  • Manufacturing fresh pastries and cakes
  • Manufacturing fruit cakes, loafs and pies
  • part-baked and frozen products
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from supermarkets
  • Health consciousness
  • World price of wheat
  • Household expenditure on food and non-alcoholic beverages
  • National minimum wage

  • Current Performance
  • Profit jam
  • Health concerns
  • Artisan loaf
  • Chart: Revenue Growth

  • Industry Outlook
  • Flourishing innovation
  • Future concerns
  • Table: Bread & Bakery Goods Production Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Bread & Bakery Goods Production Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Supermarkets
  • Bakery Product Retailing
  • Full-Service Restaurants
  • Takeaway & Fast-Food Restaurants
  • Convenience Stores

  • Key Selling Industries
  • Grain Milling
  • Sugar Production

  • Products & Services
  • Cake and pastry
  • Traditional bread
  • Other
  • Rolls, baps and baguettes
  • Chart: Bread & Bakery Goods Production Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Supermarkets
  • Food-service industries
  • Bakeries and other food retailers
  • Wholesalers
  • Other
  • Chart: Major Market Segmentation for the Bread & Bakery Goods Production Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Bread & Bakery Goods Production

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Bread & Bakery Goods Production Industry

  • Industry Globalization
    Warburtons Limited, ABF Grain Products Ltd,
  • Table: Warburtons Limited - financial performance
  • Table: ABF Grain Products Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Bread & Bakery Goods Production Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Bread & Bakery Goods Production Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Acrylamide
  • A substance formed when starchy foods (such as bread) are heated at high temperatures.
  • Artisan Bread
  • Speciality bread manufactured by skilled bakers using traditional methods and recipes.
  • Plant Bakery
  • A site where bread and bakery products are manufactured on an industrial scale.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Bread & Bakery Goods Production market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Bread & Bakery Goods Production:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Bread & Bakery Goods Production market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Bread & Bakery Goods Production, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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