Sales, Coupons, and Kids are Biggest Bakery Purchase Drivers according to IDDBA's Consumers in the Bakery

For Immediate Release

Madison, WI, April 4, 2008 — Consumers in the Bakery: Who's in Store is The International Dairy-Deli-Bakery Association's™ (IDDBA) original research on bakery consumers' attitudes, preferences, and buying behaviors. When looking at purchase drivers for in-store bakery products, the study found that sales on products, coupons, and kids have the biggest influence.

More than half (58%) of survey respondents say they are much more likely to buy products they like that are on sale. Forty-four percent (44%) are much more likely to buy a product if they have a coupon for it. Thirty-nine percent (39%) of those with children say they are much more likely to buy it if their children want it.

Those significantly more likely to say they are much more likely to buy a product on sale from their in-store bakery are:

• Those ages 18-29 (64%)
• Those who are single (63%)
• Those with children in the household (63%)
• Those with 3 in the household (62%)
• Those with 4 or more in the household (65%)
• Those with incomes between $35K and $50K (64%)
• Those who are African American (75%)
• Those who are not Caucasian or African American (65%)
• Those who live in the West (65%)

As you examine these demographic breaks, a pattern of the most frequent buyers emerges — buyers with children living in their households and younger consumers (18-29). Single consumers also tend to use the in-store bakery as their primary source for baked sweet goods.

Seventy-three percent (73%) say they are more likely to buy a product if they have a coupon for the product (this includes 44% who say they are much more likely to buy the product). One percent (1%) say their supermarket already does offer coupons, 16% say it makes no difference, 3% say the question is not applicable to them, and 6% say they are less likely to buy a product if they have a coupon for it.

Percent of consumers who say they are much more likely to buy a product if they have a coupon for it are:

• Those ages 18-29 (45%)
• Those ages 30-49 (45%)
• Those who are single (47%)
• Those with children in the household (46%)
• Those with 3 in the household (47%)
• Those with 4 or more in the household (48%)
• Those with incomes between $35K and $50K (48%)
• Those who are unemployed (45%)
• Those who are African American (58%)
• Those who are not Caucasian or African American (47%)
• Those who live in the Northeast (50%)
• Those who live in the South (46%)
• Those who live in the suburbs (45%)

Of those with children, 74% say they are more likely to buy a product if their children want it (this includes 35% who say they are much more likely to buy the product). Ten percent (10%) say it makes no difference, 1% say the question is not applicable to them, and 14% say they are less likely to buy it. Appealing to children's tastes and desires has a profound effect on parent purchase decisions.

Percent of consumers who say they are much more likely to buy a product if their children want it are:

• Those ages 50 or older (49%)
• Those who are African American (68%)
• Those who are not Caucasian or African American (48%)
• Those who live in the Northeast (46%)
• Those who live in large cities (57%)
• Those who are divorced/widowed/separated (50%)
• Those with 2 in the household (53%)

Target these demographics by using marketing techniques that appeal to small household sizes, such as smaller cakes, and half-portions for singles. But also emphasize techniques that appeal to children and their parents, as this is the loyal demographic for baked sweet goods.

This benchmark study looks at where bakery items are purchased, where they're consumed, the frequency of eating them at work, at home, in the car, and at the store. Data is compared with earlier studies to show tracking trends, projections, and growth opportunities. Attitudes, lifestyle, buying behavior, and demographic data are included.

The full report is available from IDDBA. The cost is $395 for members and $795 for non-members, plus shipping and handling. For more information, or to order, call the IDDBA Education Department at 608.310.5000 or visit the Web site, www.iddba.org.

Information on IDDBA's research, education, and other industry activities is also available on the Web site, www.iddba.org, or by calling 608.310.5000. Now in its 44th year, IDDBA specializes in promoting the dairy, deli, cheese, and bakery industries. Member companies enjoy many benefits and services including the annual seminar and expo, leading-edge research, video and CD-ROM training programs, management tools, on-line training, an annual trends report, and a member directory of key industry contacts.

Jessica Hughes, Communications Coordinator
International Dairy-Deli-Bakery Association (IDDBA)
636 Science Drive, Madison, WI 53711-1073
PO Box 5528, Madison, WI 53705-0528
Tel: 608.310.5000 Fax: 608.238.6330
jhughes@iddba.org