Home Baking – a new trend with need for innovation
As the rise in cooking at home continues due to the current global pandemic, home baking has seen huge increases in demand as consumers look to solve availability issues by taking a DIY approach.
This should be viewed as a big opportunity for the Home Baking category, a chance to reach more consumers and potential loyal shoppers. For retailers and manufacturers then, the key is knowing what shoppers want from the category and where the opportunities lay versus the competition.
One critical area that could be an opportunity to differentiate is through innovation. Home Baking is a category that has a very strong growth potential from innovation – shoppers are much more likely to agree that when shopping this category, they’ll, “buy extra to try new and different”. 52% agreement vs. 36% for the average category – a significant over index.
Home Baking shoppers are engaged
These shoppers are also much more likely to be engaged with shopping the category making for the ‘perfect storm’. 14% of shoppers are interested to look around when shopping Home Baking, compared to only 8% on average – this isn’t an autopilot purchase! Amongst other shopper metrics (e.g. Grab&Go VS Browse shopping mode), this is an important indicator of shopper engagement.
Shoppers are not satisfied with Premium products in Home Baking
We know the potential then, but what might be stopping shoppers from buying the category more regularly? The gap could lay in more premium options. Shopper satisfaction with ‘Premium’ is currently significantly below average for the Home Baking category – ranking as the 134th category (of 181) in terms of satisfaction, there’s clearly work that needs to be done.
Home Baking shoppers are ready to switch stores
What’s more, if this satisfaction challenge isn’t addressed, there is a very real risk that shoppers won’t buy the category and will simply walk away – a lost purchase that may never be replaced. 19% of Home Baking shoppers will, “go to another store” if they can’t find their choice. Compared to the average category at 11%, this is significantly higher and amongst the top 25 categories at risk in store.
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All data in this blog post by Shopper Intelligence UK. Online survey of n=77,000 UK shoppers in all UK multiples, of which n=390 Home Baking shoppers.
Rank: rank of the % on this statement for Home Baking products category compared to 181 FMCG categories.
About the author: Chris Adkins is the Managing Director of Shopper Intelligence UK, with 20+ years of experience in Category Management and Shopper Insights.