Progressive Grocer Independent

JUN 2016

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30 | Progressive Grocer Independent | June 2016 Bakery Departments W hether grocery retailers consider the bakery part of a one-stop-shopping format, an image builder, a destination department or a necessary feature, the category is a sales driver, bringing in $13.5 billion, a 3.6 percent increase from last year, accord- ing to Nielsen data. "I think if the in-stores want to grow their business, we need to go back to basics," says Scott Fox, VP bakery operations for Dorothy Lane Markets, based in Bakery sales are holding their own as retailers focus on quality products made with clean ingredients. By Katie Martin Dayton, Ohio. "Good merchandising and good, decent quality products. And keep it fresh — don't keep it out too long." More than 42 percent of indepen- dent retailers reported that bakery sales increased from 2014 to 2015, and more than 44 percent expect sales to contin- ue to increase in 2016. Profts remain largely unchanged, however, according to 60 per- cent of independent retailer respondents to Progressive Grocer's 2016 Bakery Market Research. Only 17 Sweet Sales percent reported an increase in profts, while 23 percent saw a decline. Te category has experienced a sales increase this year at Dorothy Lane Market, but Fox admits that "it has been a bit of a struggle," with a lot of new competition opening up. Te past few weeks have seen a bump in sales, however, with the department garnering record sales over Mother's Day, he adds. Focus on Clean Harmons, an independent chain with 17 stores in Utah, also has seen sales increase, according to Samantha Mitchell, bakery sales director. "Our integrity and our passion for real food "Everybody's looking for the magic bullet, but at the end of the day, we have to make sure it tastes good. We have to make sure it's fresh. I think it's where we can build our image." —Scott Fox, Dorothy Lane Market

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