The impact on retail bakery
So what are realistic or “must” steps that retail bakers need to take to respond to growing consumer demand for clean label products?
Ms. Sargent suggested that retail bakers need to look at what it will take to reformulate their products to adhere to the clean label demand. With a diverse range of products comes a series of challenges for bakers as they develop cleaner label versions yet still meet expectations around processing and shelf-life requirements. While consumers are looking for cleaner labels, they aren’t willing to trade that for diminished quality or taste in the products they purchase.
“Delivering baked goods with clean labels can be a complex process, and oftentimes, it involves removing or replacing highly functional ingredients traditionally used for specific purposes,” Ms. Sargent said. “As bakers rebalance ingredients, it can affect product shelf life, flavor, texture and other key characteristics that consumers expect to remain similar. It’s important for bakers to partner with an ingredient supplier that can help them develop clean label formulas that are right for their products, deliver quality, great-tasting baked goods and meet consumer expectations.”
So will consumers pay more for clean label bakery products?
“From a marketing standpoint, clean label can be leveraged by bakers as an opportunity to communicate the ingredients in their products, but also educate consumers on the benefits the ingredients bring to the baked goods,” Ms. Sargent said. “Transparency is key when it comes to marketing baked goods to consumers who are looking for cleaner labels.”
Consumers want to know what’s included in the products they purchase; they read not only the labels but also any messaging incorporated on the package. According to research Corbion conducted, 60% of consumers consider “type of ingredient” when making a purchase decision.
However, the meaning of “type of ingredient” varies by consumer segment. According to Corbion's research, 43% of consumers are focused on nutrition, while one-third (33%) are more ingredient focused. There is also a segment of consumers that are less engaged with the label content (24%) and are more likely to purchase based on price.