NEW YORK -- Supermarket fresh meals programs are key areas for potential growth for the in-store bakery, according to a report on the future potential of the latter department published by marketing research firm Find/SVP.
rs concur that the in-store bakery can go hand-in-hand with meals programs. At Homeland Stores, Oklahoma City, Okla., the new meals departments will incorporate cheesecake slices, individual desserts in cups, and breads, courtesy of the stores' in-store bakery, according to Patrick Quinn, director of deli and bakery for the chain.
The in-store bakery operation at D&W Food Centers, Grand Rapids, Mich., feeds the meals program with single-serve desserts as well as half-loaves of bread, called the Frugal Pack, said Ed DeYoung, director of bakery sales.
The study cites industry analysts who caution, however, that the manner in which supermarkets implement meals programs in their stores could make or break in-store bakeries.
"On the one hand, if supermarkets intend to include sandwiches, rolls, desserts, or pizza doughs made on-site in their in-store bakeries in HMR offerings, and require in-store bakery departments to furnish these baked goods to HMR programs at cost, then in-store bakeries could suffer," noted the study.
"On the other hand, HMR programs provide a unique opportunity for in-store bakeries to move beyond baked goods and redefine the traditional role of the supermarket bakery."
Likewise, some in-store bakeries have fostered a demand for their products by catering to specific ethnic communities in which the stores are located. Other bakeries incorporate ethnic ingredients into their products, creating cross-over items such as jalapeno bagels.