ARLINGTON, Va. — In-store bakery sales rose 2.3% to $22 billion over the past year, with bread and muffins leading category growth as shoppers relied on bakery departments for meal staples, treats and special occasions, according to new research from FMI – The Food Industry Association.
The gain made bakery the second-fastest-growing perimeter department in dollar sales, behind meat, according to FMI’s fifth annual Power of In-Store Bakery report. Nearly 92% of U.S. households shopped at an in-store bakery, averaging 24.9 bakery purchases per year.
“Today’s shoppers see the in-store bakery as a destination,” said David Haaf, FMI’s vice president of fresh foods. “From meal planning and impulse purchases to special occasions and healthier choices, the bakery serves an important role throughout the grocery shopping trip.”
According to FMI, 74% of shoppers say an in-store bakery is important when choosing their primary grocery store. Consumers value the department for its freshness, quality and convenience, and rate it higher than the commercial bakery aisle for freshness, taste, service and product innovation.
Bread and muffins posted the strongest category gains, with sales up 6.5% and 5.8%, respectively. Three in four shoppers include bread or rolls in their meal plans, and 69% add them to meals at least occasionally.
The findings highlight opportunities for retailers to better connect bakery products with meal planning. Haaf said food retailers can build loyalty and boost bakery sales by focusing on freshness and innovation, while gaining a better understanding of consumer preferences.
“Food retailers should focus on stronger meal-solution merchandising and be a key resource for shoppers seeking meal ideas,” he said.
Shoppers also expressed interest in a broader product selection. More than 60% would like stores to carry cultural or ethnic bakery items, but only 44% believe their store currently offers them.
Health and nutrition are also shaping everyday purchases: More than three-quarters of shoppers said these factors influence their choices of everyday in-store bakery products.
The report draws on an online survey of 1,519 U.S. grocery shoppers conducted August 1–8, 2026, along with NielsenIQ sales and household panel data. The survey’s maximum sampling error is plus or minus 2.5 percentage points at the 95% confidence level.
The research was sponsored by Rich Products Corp.
