“We are continuing to see more plant-based baked goods enter the market,” Renee Leber, technical services manager at the Institute of Food Technologists (IFT), told Bakery&Snacks.
Perhaps more importantly, plant-based launches continue to create a consumer buzz.
“We anticipate this trend will continue to grow, especially for specific applications such as plant-based cookies, breads, biscuits and desserts,” added Leber.
As such, new product developments (NPD) are entering the market to captive audiences invested in exciting and innovative releases, such as Dufour Pastry Kitchens’ plant-based pastry dough and La Brea Bakery’s plant-based brioche bun.
Facing competition from better-for-you rivals
Plant-based remains one of the many ingredient trends in bakery.
Although “it’s taking a backseat to things like all-natural, low carb and high protein,” Anne-Marie Roerink, president of 210 Analytics, told this site, consumers are increasingly seeking healthier alternatives and plant-based ingredients are perfectly poised to offer benefits such as lower cholesterol and fewer saturated fats.
Baked goods with better-for-you ingredients and messaging are drawing in the dough-based fans and manufacturers are capitalizing on this by offering healthier alternatives. Plant-based and alternative ingredients are also entering the bakery scene to amp up the offerings.
“Consumers are also looking to the inclusion of fruits and vegetables as a healthful addition, a so-called better-for-you option,” said Roerink, while Leber noted, “added fiber, protein and colors are some of the most common additions.”
Flour from almonds, chickpeas and coconut are increasingly popular alternatives to traditional wheat flour, giving more adventurous and diet-restricted consumers different nutritional profiles and textures. Manufacturers are also exploring the use of coconut oil, olive oil and plant-based margarine in lieu of butter. And adding superfoods like chia seeds, quinoa and spirulina to boost bread’s nutritional value is proving a hit among health-conscious shoppers.
Today, there are several plant-based bakeries that can also cater to the gluten-free market. Online bread and bakery store Real Foods is one, having recently released a range of plant-based, gluten-free and grain-free Real Cookie Poppers mini cookies pitched as ‘the best, healthy cookie on earth’.
Moving beyond plant-based bread’s flaws
For a number of years, vegan innovations had a less-than-stellar performance. While formulations addressed the growing consumption trend, Roerink notes “they forgot about an essential thing in bakery: taste and flavor”.
Any time ingredient substitutions come into play, there’s the potential for sensory changes. With plant-based ingredients, achieving the baked goods’ desired taste and texture can be challenging.
“When it comes to plant-based ingredients, we see primarily some off flavors and some textural changes,” admitted food technologist Leber.
While some of these are accepted – even preferred – from a consumer standpoint, that’s not always the case and reformulation can help minimize the effects of the substitution. Such as using novel fermentation processes to develop plant-based dairy alternatives with improved flavor and texture.
But essentially, the must-have for plant-based consumers is a sought-after taste profile.
In fact, according to Roerink, “in bakery – especially indulgent goods like cookies, cakes and pies – flavor and taste easily beat out price and nutrition. In a way, taste is the cake and vegan is the cherry on top.”
Today, only 5%-7% of the US population follows a vegan lifestyle, so the category remains niche and makes it hard for brands to generate sales and garner the attention needed to grow. Alternatively, a great-tasting plant-based item can draw the interest of vegans and flexitarians, giving it a much wider appeal.
“In recent years, vegan and plant-based innovations have been far more focused on creating good-tasting products that draw the interest of vegans and beyond,” said Roerink.
To continue to steer shoppers towards plant-based breads, brands need to tap into why consumers opt for these alternatives: with health, the planet and animal welfare being the three main drivers.
“In terms of health, we’re seeing a much larger focus on removing artificial colors, flavors and other ingredients,” Roerink told us.
“This has cross-population appeal, whereas especially true vegan diets are more of a niche movement.”
For consumers aiming to remove or reduce animal-based products from their diet, plant-based also aligns with their goals. On a broader level, growing awareness of animal welfare and the increasing interest in vegetarian, vegan and flexitarian lifestyles continue to contribute to plant-based bakery product demand. And then there’s research that indicates that plant-based diets are generally more sustainable, utilizing fewer resources and producing lower greenhouse gas emissions (GHG) than animal-based diets.
“Additionally, the definition of health has evolved to include emotional wellbeing, which has consumers focused on the pure enjoyment of a baked treat in the belief that emotional wellbeing and physical health are interconnected,” said Roerink.
The industry’s will to understand plant-based nutrition is not slowing down, either.
“A lot of research and scientific studies are being done on plant-based ingredients and plant proteins and the enhancement of their functional, nutritional and flavor properties,” said Leber.
The first IFT Annual Event & Expo – which took place in Chicago, Illinois, in July – saw speakers discuss the gastrointestinal digestion of plant-based foods, plant protein-based emulsions and high protein plant-based enzyme technologies.
“There were many scientific presentations on plant-based and alternative ingredients,” added Leber.
The event also showcased numerous plant-based innovations, from upcycling waste streams for eco-friendly plant-based bakeries to new applications of prebiotics.
Claims and speciality creations
Consumers don’t take plant-based claims with a pinch of salt and typically scrutinize labels.
“Millennials, in particular, are label readers and scour packages for information on ingredients, sourcing, claims and more," said Roerink.
"They are also the most plant-based forward generation, in addition to Gen Z.”
As such, bakery brands can bolster their plant-based launches by appealing to younger demographics, who are seeking out more adventurous products and ingredients. However, plant-based continues to grow in popularity among all the generations and across many segments, with a special callout for specialty bread.
According to the Speciality Food Association (SFA), in 2023, specialty food sales reached $207bn in the US alone, marking a 149% increase over the past decade The segment is forecast to grow at a 5.4% CAGR between 2023 and 2027 to hit $221.5bn in 2024. Speciality bread and baked goods sales are the fourth highest-selling category under the speciality food banner, expected to reach $6.8bn by 2027.
Combining specialty and plant-based food taps into this demand for gourmet bread, while ‘fridgeable’ and easy-to-store plant-based breads offer another avenue for producers to explore. Sales of refrigerated bread, rolls and pastry dough grew to 9% for the year ending in March 2024, Circana reported.
“Overall, consumer demand for plant-based options is here to stay as consumers continue to prioritize elements such as fiber or prebiotic claims that plant-based ingredients can bring in their purchasing decisions,” said Leber.
