BAKERY PRODUCTS MCP-2203 A GLOBAL STRATEGIC BUSINESS REPORT CONTENTS I. INTRODUCTION, METHODOLOGY & Organic Bakery Products ..................................................II-11 PRODUCT DEFINITIONS Internationalization of Flavors ..........................................II-11 Factors Effecting Consumer Preferences..............................II-12 Classification of Bakery Companies.....................................II-12 II. EXECUTIVE SUMMARY 3. Product Overview ..................................................... II-13 1. Food Industry: A Global Perspective ........................ II-1 Bread....................................................................................II-13 Baking Industry - Worldwide Scenario ..................................II-1 History..............................................................................II-13 Market Trends........................................................................II-2 Categories of Bread ..........................................................II-13 Retailer Discounting Reduces Profit Margins.....................II-2 Bread Types......................................................................II-13 Increased Demand for Functional Food Boosts Sales in Morning Goods ....................................................................II-14 Developed Regions .........................................................II-2 Cakes & Pastries ..................................................................II-14 Indulgence - A Major Trend in Affluent Markets...............II-2 Cakes ................................................................................II-14 Sale of Industrial Products Increases due to Changes in Pastry................................................................................II-14 Eating Habits...................................................................II-2 Biscuits.................................................................................II-15 Distribution Favors International Brands............................II-2 Other Bakery Products .........................................................II-15 The Proliferation of Multinationals in Emerging Cookies.............................................................................II-15 Markets Boosts Value .....................................................II-3 Types of Cookies...........................................................II-15 Positive Health Opinions Benefit Breakfast Cereals...........II-3 Crackers............................................................................II-15 Rise in Industry Consolidation due to Merger and Muffins .............................................................................II-16 Acquisition Activities......................................................II-3 Bagels/Bialys....................................................................II-16 Value Sales Sustained by the Segmentation of the Bakery Pretzels .............................................................................II-16 Sector According to Consumer Needs.............................II-3 Croissants .........................................................................II-17 Current and Future Analysis...................................................II-4 Analysis by Geographic Region .........................................II-4 4. Product Launches ..................................................... II-18 Analysis by Product Segment .............................................II-4 Grupo Bimbo’s Dead Bread Hit the US Market ...................II-18 Historic Review......................................................................II-4 Bruegger’s Introduces Special Sandwich .............................II-18 Analysis by Geographic Region .........................................II-4 Pukka Pies Now Available in Retail Outlets ........................II-18 Analysis by Product Segment .............................................II-4 Kensey Foods Rolls Out Chocolate Products .......................II-18 Disney to Introduce Special Snacks to Fight Obesity...........II-18 2. Industry Overview ...................................................... II-5 Cinnabon Launches Bite-Size Snacks ..................................II-18 General Trends in the Industry...............................................II-5 Hostess Rolls Out New Brand in Hispanic Market...............II-19 Retail Moves.......................................................................II-5 Bakehouse Releases Frozen Baked Products........................II-19 Highlighting Trends and Facts ...............................................II-5 LU Biscuits Adds Mousse Biscuits to PIM’s Range.............II-19 Distribution Trends ................................................................II-6 United Biscuits’ Vegetarian Snacks Hit Market ...................II-19 New Retail Structures Arising from the Changing Burton’s Develops New Biscuits..........................................II-19 Shopping Behavior..........................................................II-6 Merino Accelerates into Food Industry ................................II-19 Retailer Consolidation Leads to Growth in Burton’s Food Releases Cadbury-Licensed Jaffa Cakes.......II-19 Private Label ...................................................................II-7 Huntley & Palmers Revive Biscuits .....................................II-19 Rise in Repeat Visits Driven by Loyalty Cards...................II-7 Ingredients Solutions Rolls Out Latest Food Processing Internet and Television Shopping Yet to Make a Dent in Systems.............................................................................II-20 Food Industry..................................................................II-8 Spectrum Foods Releases Nexsoy Low-Fat Soy Flour.........II-20 Supply Changes Driven by Development of In-store Clif Bar Launches Three Cookie Flavors .............................II-20 Bakeries ..........................................................................II-8 Warburtons Rolls Out Wholemeal Loaf ...............................II-20 Trade Barriers ........................................................................II-8 Warburtons Releases All in One Bread ................................II-20 Infrastructure ......................................................................II-8 Raw Material Supply ..........................................................II-9 IBC Releases 100% Whole Grain Bread ..............................II-20 Price Pressure .....................................................................II-9 Kellogg Releases Snack Crackers and Chip Cookies ...........II-20 Future Strategies ..................................................................II-10 Bear Rock Rolls Out Salads .................................................II-21 Development of International Brands ...............................II-10 Chicago Metallic Expands Line of Aluminum Cake Pans....II-21 Co-Branding .....................................................................II-10 Dawn Foods Rolls Out Top-Class Bakery Products.............II-21 Indulgent Products............................................................II-10 Mr Bagels Releases Children-Special Lunch Item ...............II-21 Age-Specific Brands.........................................................II-10 Kangaroo Brands Rolls Out Breakfast Item .........................II-21 Packaging .........................................................................II-11 Arnold Foods Launches Wheat Breads.................................II-21 Brand Localization ...........................................................II-11 Bakels Rolls Out Confectionery Concentrates......................II-22 Brand Licensing................................................................II-11 Sainsbury Releases Eating Structure for Children ................II-22 Health-Orientated Products...............................................II-11 Kellogg Launches New Whole-Grain Cereal .......................II-22 BAKERY PRODUCTS - A GLOBAL STRATEGIC BUSINESS REPORT 02/06 Page 1 This Report Is Protected With Digital Watermarks. Copyrights per US & ICC protocols. This Document May Not Be Printed, Copied or Distributed Outside Your Organization in Any Form Without Our Express Written Permission BAKERY PRODUCTS MCP-2203 A GLOBAL STRATEGIC BUSINESS REPORT CONTENTS Bruegger's Launches Stone Hearth Breads...........................II-22 Tofutti Brands Inc. Launches Tofutti Soy Bagels.................II-29 Awrey Introduces New Assorted Cakes...............................II-22 Loyd Grossman Unveils Loyd Grossman Bagels .................II-29 Kellogg Launches 'The Incredibles' Breakfast Options ........II-22 Macabee Kosher Foods, LLC Reveals Mini Pizza Bagels....II-29 Kellogg Offers Cheddar Crackers ........................................II-23 Shah Bector & Sons Introduces Bakery Products.................II-29 Kellogg Launches Special K Cereals ...................................II-23 Your Best Bakery Products, LLC Debuts Glazed Kellogg Introduces Brand Extensions for Kids' Cereals.......II-23 Butter Cakes .....................................................................II-29 Kellogg Introduces Yet Another Cereal ...............................II-23 Amarlalsai Bakery Products Releases Creamy Wafer ..........II-29 UB Launches New Mcvities range.......................................II-24 El Almendro Alimentacion, S.A. Debuts Pie and Sara Lee Bakery Launches New 100% Whole-Wheat Marzipan...........................................................................II-29