Last updated on January 3rd, 2025
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Jake Huber, U.S. sales director for St Pierre, discusses how – and where – consumers will be spending their money in 2025, after 12 months marked by rising costs of living, disrupted with an election and five years post the pandemic that changed the world.
Whilst value for money is paramount for retailers competing for custom in a fiercely competitive market, Huber also highlights how these challenges create opportunity for brands that can balance consumer demand for quality with the need for a value proposition.
“Bakery, as a total category, has faced its challenges this year. In aisle and in-store bakery categories are facing decline in units and very minimal value growth. It’s been another year where St Pierre bucks the trend though, with unit growth of 1 percent in an in-store bakery category showing more than 4 percent decline.
“In-store bakery has traditionally been the domain of private label but a premium branded offering – like the one from St Pierre – delivers an experience that starts in-store and continues at home with a superior product quality. The fact that St Pierre is growing in a declining market demonstrates that consumers are willing to pay slightly more for a supremely better experience.
“The most promising sector for in-store bakery currently is sweet baked goods, which correlates with what we’re seeing at St Pierre, with our waffles and pastries (croissants) showing both value and volume growth. This reaffirms what we know – people shopping in-store bakery are there to be inspired and open to trying new products. Meanwhile, our range of authentic brioche burger buns and rolls are also showing unit growth – offering an upgrade to everyday meals.
[RELATED: Growing In-Store Bakery Sales]
“When we launched into the U.S. market in 2015, we saw an opportunity for brands in the in-store bakery category that was – at the time – totally untapped. Retailers were missing a trick and over the past 8 years, we have developed innovative merchandising – specifically to cater to the ISB shopper – that helps to drive sales for U.S. retailers.
“The shopper mission in in-store bakery is different to the shopper mission in centre store. The centre store shopper is shopping habitually, selecting their staple items and moving to the next category, but this is not true in ISB. Our research has shown that the in-store bakery shopper is looking for inspiration, for new ideas and impressive items to help them entertain at home. This is truer than it has ever been in the wake of a pandemic and increases in the cost of living, but it ties in perfectly with St Pierre’s reason for being.
“St Pierre is all about delivering a quality experience. As America’s No. 1 brioche brand in in-store bakery, we are driving innovation and offering consistent premium quality goods, but the ‘brand’ experience – offering a taste of Paris with every meal – is something that starts in store – and that’s where merchandising effectively is paramount.
“Our Eiffel Tower displays offer in-store theatre, but they do more than just draw attention to our products. They communicate our authenticity and premium offering; they act as a ‘trip-trigger’, increasing footfall through the in-store bakery department and they are helping retailers to increase sales in other areas of the store. Our merchandising solutions help shoppers to understand that St Pierre products are a premium offering, and as such, they are more likely to upgrade in accompanying purchases.
“Our merchandising solutions are there to inspire shoppers, but they must also offer convenience for retailers – and we do that by working to understand shopper habits and retailer requirements. Our Eiffel Tower displays are stunning, but they’re not practical for every store which is why we have developed a ‘table-topper’ version of the same stand. We have also developed cross-merchandising solutions with our Parisian inspired ‘knee-knockers’ – designed to allow retailers to cross-merchandise St Pierre products with chilled goods, such as meats and cheeses.
“We develop our solution in-house and offer a range of options at no cost to retailers – that’s very appealing for buyers, especially when we can demonstrate that they drive incremental sales. As the category-leader, it’s important that we continue to innovate.
“In-store bakery is more of a destination for shoppers and if retailers consider that when laying out the store, they will do better. We would encourage retailers to feedback to us, too – what can we develop that will meet the needs of your store? As a brand, we are collaborative because when our retailers are winning, so are we.
“We’ll be working hard in 2025 to ensure that the brand experience reaches consumers through more touchpoints than ever before. Delivering a premium quality product is always the priority, but the way we execute our authentic French positioning, through in-store comms, merchandising and marketing will also be even more ‘magnifique’ this year to retain our position as America’s No. 1 brioche brand for in-store bakery.”
[RELATED: St Pierre ‘Putting The Consumer First,’ Continuing To Educate]
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