Recent months have been described by many as turbulent – and unfortunately, this seems to have become the norm. How do you assess the current condition of the bakery and confectionery industry?
We have a large group of customers who have maintained their momentum – continuing to grow and expand their product range – and they are performing well. From my experience and observation, when quality is truly high, it becomes your strongest competitive advantage. Market fluctuations may occur, and sales may temporarily decline, but the impact is usually short-lived. It is natural for customers to occasionally try lower-priced alternatives, but they ultimately return to products that consistently deliver quality.
Do you notice any new patterns in consumer decision-making? Have you observed changes in customer habits or purchasing behaviour?
Customers are becoming increasingly aware and actively looking for high-quality products. When they find one, they remain loyal. This trend is particularly visible in larger cities.
As for our transactions, classic solutions continue to prove most effective. From time to time, producers try to stand out by introducing unusual shapes – such as ovals or hearts – but we observe that these trends tend to be short-lived. In the long run, traditional shapes like rectangles and squares consistently perform best.
There is also another important shift – many of our partners are choosing smaller moulds. By reducing product weight, they can adjust pricing more effectively while remaining competitive.
Rising gas and electricity prices, along with inflation, inevitably increase the cost of producing everyday bread. Do you observe producers facing a dilemma – balancing passion and product quality with the economic realities of rising costs?
That’s true – producers are making every effort to offer products at prices customers can still accept. At the same time, consumers prefer to shop more frequently and buy fresh products rather than stock up in larger quantities. This shift is clearly visible in bakeries, where the assortment remains wide, but individual products are often smaller in weight.
Interestingly, bread is increasingly being sold by the slice, and this is becoming a standard practice. It makes the price per kilogram less noticeable and more accessible from a customer’s perspective. This sales approach is appreciated by both younger consumers and retirees.
In today’s rather uncertain times, do you still see opportunities for new bakeries to grow? Is this a good moment to enter the market – is there still potential?
Certainly, we see existing bakeries expanding – mainly established players who continue to invest in increasing their production capacity. In larger cities, if someone offers a truly high-quality product, then yes, I believe there is still room to enter the market. However, this clearly means sourdough-based products, premium flour and offerings aimed at demanding, conscious customers.
We work with such clients – small artisan bakeries in cities like Warsaw or Kraków, where a single sweet bun may cost 12 PLN, and there is still strong demand for it.
So “price works miracles” is no longer the only dominant sales trend. In your opinion, is this shift here to stay?
If you think back to Fat Thursday a few years ago, people were leaving discount stores with boxes of doughnuts – buying them in bulk, twelve at a time. This year, I did not see that, and it is happening less and less. Most customers prefer to buy fewer products, but of higher quality, even at a higher price.
Smaller, niche bakery and confectionery brands are also entering online sales more confidently. Larger players, on the other hand, still tend to focus on expanding their brick-and-mortar networks and developing their own retail chains.
In my view, those who have already secured their place in the market will continue to perform well. It is no surprise – today, there is no room for chance. Customers return to a good baker because they know it is worth it.