Chilled Dough Market

The Chilled dough market is estimated at USD XX billion in 2024 and is projected to reach USD XX billion by 2029, at a CAGR of XX% from 2024 to 2029. In the developed markets, such as North America and Europe, is observed that consumers want to save time and have easy-to-use food products. Chilled dough meets this need by making available ready-to-bake solutions that can have wide appeal among busy households. For example, Pillsbury has managed to capitalize on this trend by developing an extensive portfolio of prepackaged chilled dough products, such as cookies, biscuits, and pizza dough, for supermarkets around the world.

Increasing the food service market, especially QSRs and bakery chains. Chilled dough products are needed for consistency in quality and convenience in preparing items such as pastries and pizza. End-user companies such as Domino's Pizza and Starbucks consume chilled dough products, thereby increasing demand.

However, one way market growth might be influenced is in the form of the growth of the health-conscious consumer. Health-conscious consumers demand more gluten-free, organic, and plant-based dough products to match their lifestyles. for example, Doughp offers clean, plant-based cookie dough for the emerging health-conscious consumer.

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Drivers: Increasing Convenience Food Demand

Increasing speeds of life in modern society create intense demand for convenience food that saves time without compromising on quality. Products from the chilled category-dough products will fit the bill since they can be easily prepared at home as freshly made or baked into tasty hot bakery products at commercial kitchens. The trend is especially robust among younger, urban consumers who are looking for fast cooking options that yet enable customization, for example, the addition of personal toppings to pizzas or fillings to pastries. Chilled dough products support efficient operations in the food service sector by eliminating the need for time-consuming dough preparation and thereby enhancing service speed and consistency.

Restraint: Short Shelf Life and Storage Problems

Chilled dough products tend to spoil if not kept at low temperatures-a complex logistical burden for the chain, adding costs to the mix. Retailers and food service providers added to this through storage constraints since these chilled items often require refrigeration-carrying areas. For the consumers, these products are typically shorter on use-by dates and therefore less appealing to those looking for pantry products that have longer shelf life. Thus, these factors impact efficiency in distribution, profitability, and convenience and thus present some serious restraints on market growth as a whole.

Opportunity: Increasing Adoptions of e-Grocery Platforms

The increasing adoptions of e-grocery platforms indicate an opportunity for the chilled dough market. Through consumer preferences regarding convenience and safety, especially during and post-pandemic, online grocery shopping has grown leaps and bounds. Chilled dough products best suit online retail since they cater to the convenience-driven consumer who shops more regularly online. Increasingly, e-commerce platforms now provide refrigerated delivery services that ensure the cold chain is maintained, thus allowing them to increase chilled availability. The entry of increasing e-commerce in mature markets and within emerging markets enables chilled dough manufacturers to access more customers and push their brands through digital marketing and promotional activities.

Challenge: Increasing Costs of Raw Materials

Due to rising raw material costs, particularly for key ingredients such as flour, butter, and sugar. Fluctuating prices, driven by supply chain disruptions, agricultural yield variances, and global demand spikes, impact production costs and, consequently, retail prices. These cost pressures can narrow profit margins for manufacturers or result in higher product prices, which may deter price-sensitive consumers. Moreover, these fluctuations are difficult to predict, making it challenging for companies to plan pricing and procurement strategies. This cost volatility, combined with consumers’ sensitivity to price increases, presents a significant challenge to sustained market growth.

Emulsion technology is rapidly emerging as the fastest-growing method in the Chilled dough market.

The cookies subsegment is the fastest-growing product subsegment in the market for chilled dough. This is because of its high appeal to consumers as well as its versatility. It is especially appealing to consumers because it allows them to bake fresh cookies at home with minimal effort using chilled cookie dough. Another trend that has stimulated this demand is social media platforms, where one can witness 'cookie baking', and, in turn, encourage and drive consumers to try out new flavors and styles. Many companies innovate within this segment by offering gluten-free, organic, sugar-free cookie dough to health-conscious consumers. Such an example is Nestlé Toll House, bringing pre-portioned, no-mess cookie dough balls to the market for convenience and portion control. And thus, both families and single consumers buy these.

The food and beverage segment are the fastest-growing end user in the Chilled dough market.

Online retail is the fastest-growing distribution channel for chilled dough products, on the back of increasing shifts to digital grocery shopping and home delivery convenience. The online ordering of fresh, ready-to-bake dough products offers a great deal of convenience, which would definitely appeal to the busy customer; at the moment, the customer wants to receive the product right at his doorstep. Retailers and manufacturers are using e-commerce platforms and DTC models to expand their reach and speak directly with consumers. For instance, Pillsbury was able to place its brands on the big e-grocery networks of Amazon Fresh and Walmart Grocery to fulfill increased consumer demand for online purchase avenues and to propel the Pillsbury brand through strategic online advertising.

The North America region is anticipated to experience the fastest growth between 2024 and 2029.

North America is the fastest-growing region in the chilled dough market. High demand from North American consumers for easy food and an established network for the distribution of chilled as well as frozen food leads to such growth. The region has strong retail chains like Walmart, Target, and Costco, through which mass-market penetrations of chilled dough products can take place through various channels. North America also boasts a large number of food service establishments where ready-to-use chilled dough products simplify a variety of preparation and delivery-related operations. Home baking and customization are currently in vogue, thus driving demand. For instance, increased in-home pizza preparation has placed pressure on North American consumers to buy more pizza dough from stores, and retailers like Trader Joe's have begun selling fresh, ready-to-use dough to fill that need.

NORTH AMERICA: CHILLED DOUGH market SNAPSHOT

Key Market Players

• General Mills, Inc. (US)
• Nestlé S.A. (Switzerland)
• Pillsbury Company, LLC (US)
• Dawn Foods (US)
• Aryzta AG (Switzerland)
• Rich Products Corporation (US)
• Europastry S.A. (Spain)
• Grupo Bimbo, S.A.B. de C.V. (Mexico)
• Conagra Brands, Inc. (US)
• Flowers Foods, Inc. (US)
• Wholesome Harvest Baking, LLC (US)
• Harlan Bakeries, LLC (US)
• La Lorraine Bakery Group (Belgium)
• Cérélia Group (France)
• Vandemoortele N.V. (Belgium)

These market players are focusing on increasing their presence through agreements and collaborations. These companies have a strong presence in North America, Asia Pacific, and Europe. They also have manufacturing facilities along with strong distribution networks across these regions.

Recent Developments

• In August 2023, General Mills Inc. (US) announced the expansion of its frozen dough plant in Missouri, investing USD 48 million to enhance production capabilities. This expansion aims to meet the growing demand for frozen dough products in North America, particularly in the food service sector.
• In March 2021, Private equity firm Lindsay Goldberg is acquired Aryzta North America, a business-to-business frozen baked goods manufacturer serving the U.S. and Canada, from parent company Aryzta AG for USD 850 million
• In December 2020, Nestle USA announced plans to invest more than USD 100 million to expand its frozen foods facility in Jonesboro. The expansion will include the addition of 90,000 square feet to the facility as well as a new production line for Hot Pockets frozen sandwiches.

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