Frozen pastries such as frozen cakes, frozen tarts, frozen muffins, frozen croissants, and frozen breads are widely popular bakery products due to their long shelf-life and convenience. These products are increasingly being used as snacks as well as desserts at homes and commercial segments like cafes, restaurants. In addition, rising preference for ready-to-eat food products among busy consumers has augmented the demand for frozen pastries.
The global frozen pastries market is estimated to be valued at US$31.63 Bn in 2023 and is expected to exhibit a CAGR of 7.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
With increasing internet penetration and rising preference of consumers towards online shopping, major frozen pastries manufacturers are partnering with prominent online retailers and launching their own e-commerce platforms. This is helping them expand their market reach to untapped regional areas. Furthermore, online channels offer added advantages like convenience of home delivery, discounts & offers, and easy product comparison. Frozen pastries are well-suited for online retail as they have long shelf-life and do not require refrigeration during transit. Growing penetration of online grocery shopping is expected to drive the demand for frozen pastries through online channels, thereby presenting lucrative market opportunity over the forecast period.
Porter’s Analysis
Threat of new entrants: The frozen pastries market has moderate threat from new entrants due to high capital requirements and strong presence of established players. However, new brands can pose threat by offering differentiated products.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes and differentiated products offered by various players. However, strong brand loyalty in frozen pastries limits their influence.
Bargaining power of suppliers: Suppliers have low to moderate bargaining power due to availability of a variety of raw material suppliers in the market. However, brands loyal to suppliers have some influence.
Threat of new substitutes: Threat from new substitutes like baked goods and fast food items is moderate due to consumer preference for convenience foods like frozen pastries.
Competitive rivalry: The market has high competitive rivalry due to strong brand recognition of major players.
SWOT Analysis
Strength: Wide availability of products through retail stores and online channels. Strong brand recognition of major established brands.
Weakness: High capital requirement for manufacturing and R&D limits new entrants. Seasonal demand fluctuations.
Opportunity: Growing demand for convenience and ready-to-eat frozen foods. Product innovations to suit new consumer preferences. Expanding into untapped regional markets.
Threats: Strict regulations regarding food quality and safety compliance increase operating costs. Threat from substitutes offering similar convenience.
Key Takeaways
The Global Frozen Pastries Market Size is expected to witness high growth during the forecast period.
Regional analysis: North America is the largest frozen pastries market globally majorly driven by the US. The region accounts for around 35% market share attributed to busy lifestyles demanding convenient food options. Europe is the second largest market led by countries such as Germany, Italy and UK. Asia Pacific is expected to witness highest growth during the forecast period led by India, China and other developing countries demand for packaged and frozen foods.
Key players: Key players operating in the frozen pastries market are Pfizer Inc., TherapeuticsMD Inc., Allergan plc (AbbVie Inc.), Duchesnay USA, Novo Nordisk A/S, Merck & Co., Inc., Endoceutics Inc., Bausch Health Companies Inc., Mylan N.V., Teva Pharmaceutical Industries Ltd. Major players are focused on new product launches, enhancing production capacities and expanding to regional markets for sustaining lead.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
