The global cake products market was valued at USD 87.9 billion in 2022 and is projected to expand at a CAGR of 6.1% from 2023 to 2030. The growing demand for convenience foods, along with the introduction of innovative products, is driving the industry. Moreover, the increasing awareness about health and nutrition has encouraged consumers to choose healthier options. This has resulted in the launch of cakes made of natural and organic ingredients, providing an impetus to the industry. Additionally, the rising demand for cakes with high shelf life is propelling the market growth. For instance, in February 2021, the US-based bakery, Cakes by Design, launched a new range of cake products, which have a shelf life of up to six months.

Furthermore, the increasing demand for cakes from the foodservice industry is an important factor driving the market. The rising demand for cakes from restaurants, bakeries, and cafeterias is driving the market. For instance, in February 2021, the UK-based cake shop, Cakes by Request, launched a new range of cakes, cookies, and muffins, targeting the foodservice industry.

The growing trend of customization among consumers is expected to boost the growth of the market. Consumers are increasingly looking for cakes that are tailored to their needs. For instance, in February 2021, the US-based bakery, Bakeology, launched a new range of personalized cakes that can be customized according to the customer’s needs. The company provides a variety of options, from flavors to decorations, allowing customers to create their own unique cake.

The increasing popularity of vegan cakes is a major factor driving the market. The rising demand for vegan cakes is due to the increasing popularity of veganism among consumers. For instance, in October 2021, the US-based bakery, Vegan Treats, launched a new range of vegan cakes, targeting the health-conscious consumers. The company also launched a new range of gluten-free, vegan, and non-GMO cakes, providing an impetus to the market.

In addition, the growing popularity of online cake delivery services is propelling the industry. The increasing availability of online cake delivery services is driving the market. This is due to the convenience and affordability offered by these services. For instance, in December 2021, the US-based online cake delivery platform, Cakegram, launched a new range of cakes, targeting the busy urban consumers. The company also provides various offers and discounts on its cakes, providing an impetus to the market.

The cake mixes segment held the largest share in the global cake products market in 2019, accounting for around 43.1% of the total market revenue. The growing demand for convenience food products, increasing number of bake-off outlets, and rising demand for ready-to-eat cakes are some of the key factors driving the market. The availability of various flavors, shapes, and sizes of cake mixes is fueling the demand for the product. According to an article published by Statista, in April 2020, the United States accounted for the largest revenue share of 36.2% in the global cake mixes market.

The cakes segment is expected to expand at a CAGR of 5.7% during the forecast period. Increasing health awareness among consumers worldwide, rising demand for eggless cakes, and the availability of cakes in different flavors are some of the key factors driving the market. Furthermore, the increasing popularity of online cake delivery services is also driving the market. According to an article published by Technavio, in April 2020, online cake delivery accounted for around 9.2% of the total cake delivery market in 2019.

The supermarkets and hypermarkets segment captured the major share of over 45.2% in 2022. The segment’s growth is mainly driven by the increasing consumer preference for shopping for food items, including cakes, from supermarkets & hypermarkets. Hypermarkets and supermarkets provide a wide range of products, ranging from baked goods to ready-to-eat food items. This allows customers to purchase all their baking needs from one location. In addition, customers can also benefit from the discounts and promotional offers available from these outlets.

The online segment is anticipated to expand at the highest CAGR of 10.2% over the forecast period. The increasing penetration of the internet and the growing number of online shoppers are the primary factors driving the growth of the online segment. Online platforms offer a wide range of options to choose from and also provide discounts and offers. This makes them an attractive option for shoppers. Moreover, with the growing number of e-commerce websites, customers can benefit from convenience and cost savings when purchasing cakes online.

The packaged cake products segment accounted for the largest revenue share of 59.7% in the year 2022. The increasing demand for premium and convenience packaged cakes is propelling the growth of this segment. The growing focus of the manufacturers on product innovations and packaging solutions to attract more customers is also driving the demand for packaged cake products. For instance, in 2020, Ferrero International S.A., introduced Nutella B-Ready, a chocolate-filled wafer snack, which consists of two layers of wafer filled with Nutella.

The bakery cakes segment is anticipated to expand at the highest CAGR of 7.2% over the forecast period. The increasing focus of the consumers on healthy eating habits has also led to an increase in demand for bakery cakes. This is because bakery cakes are usually made with healthier ingredients such as whole wheat flour, fruits, nuts, and low-calorie sweeteners. Moreover, the increasing trend of online cake delivery is also contributing to the growth of the bakery cakes segment.

Europe accounted for the largest revenue share of the global cake products market in 2022. Growing demand for bakery products due to increasing disposable income in the region is a key factor driving the market. Additionally, the emergence of new flavors and varieties of cakes is expected to fuel the demand for cake products in the region. For instance, in January 2022, Waitrose, a British super market chain, launched a new cake range including vegan, gluten-free, and no added sugar options.

Asia Pacific is expected to witness the fastest growth in the coming years. Rapid urbanization and changing lifestyles in the region are propelling the demand for convenience foods such as cakes. Additionally, increasing demand for organic and gluten-free cakes is further expected to contribute to the market growth in the region. For instance, in July 2021, Sattviko, an India-based food technology startup, launched a range of gluten-free cakes in India.

In this part of the cake products business plan we will provide a detailed breakdown of all income and expense categories of the business. These forecasts include cash flow projections and capital requirements for your cake products business. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions

The main source of revenues for a cake products business comes from retail sales, wholesale orders, catering orders, and special events. Here you will find a list with a description of each of them and other possible sources of profit such as online sales, fundraising, and the sale of merchandise.

Projecting Expenses

In this section, all the regular expenses related to keeping the cake products business running will be described. The list of operating expenses includes ingredients, packaging, wages, maintenance and repairs, utilities, insurance policies, advertising, and others.

Some of the key companies operating in the cake products market are increasingly focusing on product launches and expansion of the distribution channel to gain prominent visibility among consumers. Some of the initiatives are:

– In June 2022, Betty Crocker launched a new line of cake mixes, offering a variety of flavors including classic, chocolate, and vanilla.

– In August 2022, Duncan Hines launched a range of cake mixes, offering a variety of flavors including red velvet, lemon, and strawberry.

– In October 2022, Dr. Oetker launched a range of ready-made cakes mixes, offering a variety of flavors including vanilla, chocolate, and banana.

Some of the prominent players in the cake products market include:

– Betty Crocker
– Duncan Hines
– Dr. Oetker
– Pillsbury
– Bimbo Bakeries USA
– Ferrero
– General Mills
– Mondelez International
– Nestle
– Groupe Danone

This report forecasts growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global cake products market based on product, distribution channel, type, and region:

1. Product Outlook (Revenue, USD Million, 2017 – 2030)

– Cake Mixes
– Cake Frostings & Decorations
– Cupcakes
– Pies & Tarts
– Others

2. Distribution Channel Outlook (Revenue, USD Million, 2017 – 2030)

– Supermarkets & Hypermarkets
– Specialty Stores
– Online
– Others

3. Type Outlook (Revenue, USD Million, 2017 – 2030)

– Mass
– Premium

4. Regional Outlook (Revenue, USD Million, 2017 – 2030)

– North America
– Europe
– Asia Pacific
– Central & South America
– Middle East & Africa

[Q]: What is the Market Size of the Global Cake Products Market?
[A]: The global cake products market was valued at USD 24.7 billion in 2019 and is expected to reach USD 36.3 billion by 2027, growing at a CAGR of 5.2% over the forecast period.

[Q]: What are the Key Drivers of the Global Cake Products Market?
[A]: The growth of the market is primarily driven by the increasing demand for convenience foods, rising health consciousness among consumers, and increasing demand for organic products. Additionally, rising disposable incomes and changing lifestyles, as well as increasing investments by leading manufacturers, are expected to boost the global cake products market.

[Q]: Who are the Major Players in the Global Cake Products Market?
[A]: The major players in the global cake products market include Nestle S.A, General Mills, Inc., Cargill, Inc., Mondelēz International, Inc., Grupo Bimbo S.A.B. de C.V., Premier Foods plc, Aryzta AG, Puratos Group, Dawn Food Products, and Rich Products Corporation.

[Q]: What are the Key Trends Impacting the Global Cake Products Market?
[A]: Key trends impacting the market include the increasing demand for premium cakes, rising demand for low-calorie cakes, and the growing number of supermarkets and hypermarkets. Additionally, companies are focusing on product innovation and various marketing strategies to increase their market share.

[Q]: What are the Opportunities for Growth in the Global Cake Products Market?
[A]: The increasing demand for cake mixes, frozen cakes, and gluten-free cakes, as well as the increasing use of natural and organic ingredients, are expected to provide significant growth opportunities for the market. Additionally, the increasing popularity of innovative flavors and the growing demand for cakes in various occasions, such as weddings and birthdays, are expected to drive the growth of the global cake products market.