Bakery Cafes: Still an Underdeveloped Growth Opportunity, Says Technomic.

CHICAGO -- Citing a recent consumer survey, foodservice consultants Technomic noted that 57 percent of roughly 3,500 respondents had never been to a bakery cafe restaurant. The top reason for lack of patronage among these non-customers? No bakery cafe restaurants in their area (48 percent). An additional 28 percent of non-customers don't visit bakery cafes because they are not familiar with what food items the concept offers.

"We believe this spells significant, untapped opportunity for the already-successful bakery cafe segment," noted Darren Tristano, Executive Vice President of Technomic Information Services. "With less than a quarter of non-users citing 'negative' factors, such as price or preference, it appears that bakery cafe operators' greatest challenge is simply providing additional access and awareness."

Among the consumers who have been to a bakery cafe restaurant, 54 percent visited Panera on their most recent occasion. The remaining 46 percent had been to a combination of smaller national or regional bakery cafe chains. In consumers' minds, Panera Bread has defined the bakery cafe segment and set the standard for what other bakery cafe concepts should offer in terms of food, atmosphere and service.

The research also revealed interesting differences in expectations by varying demographic groups. For example:

* Both women and younger consumer cohorts use bakery cafes not only as a place to eat but also as a place to socialize with friends. Due to the importance they place on the social aspects of bakery cafe concepts, these groups find amenities like soft music, fireplaces and comfortable armchairs more appealing than other demographic groups.

* Males and consumers with an annual household income of $100,000 or more find Wi-Fi access to be very appealing. It is likely that these groups are using bakery cafes as an "office away from the office."

* Asian and Hispanic consumers generally place greater emphasis on family dining, which may be one reason why communal tables at bakery cafes were more appealing to these ethnic groups.

* The fact that communal tables were more appealing to consumers with an income of $25,000 or less per year may suggest that some may be using bakery cafes for special occasions to dine with a group of friends or family members at a lower price point than they would have at full-service restaurants.

The research also found that bakery cafes are gaining in popularity as a breakfast destination, with nearly 2 in 10 (18 percent of) survey respondents indicating that they most recently visited a bakery cafe for breakfast. Portable breakfast sandwiches, baked goods, and new smoothie options are among the breakfast menu offerings most appealing to consumers.

These and other findings are presented and interpreted in the new Bakery Cafe Consumer Trend Report, which was developed to give operators and foodservice suppliers vital market and consumer insights to drive business-building efforts in this category. It includes nearly 600 pages of detailed reporting and data tables on bakery cafe customers, menus, and competitors, based on an in-depth survey of over 1,500 consumers, as well as Technomic's proprietary MenuMonitor database. To purchase or learn more about the Bakery Cafe Consumer Trend Report, please visit www.foodpubs.com or contact one of the individuals listed below.

About Technomic Information Services

Technomic Information Services has been tracking the foodservice industry for over 40 years, providing industry intelligence, forecasts, data and training support to manufacturers, operators, distributors and others allied to the field. Our numerous publications and digital products--featuring quick-read newsletters, analytical annual reports, training handbooks, sales guides and restaurant chain profiles--help industry leaders keep a finger on the pulse of the entire foodservice terrain. Technomic Information Services delivers distinctive, premium content to its customers.

About Technomic, Inc.

Technomic provides food and foodservice clients with the research, insights and strategic consulting support they need to enhance their business strategies, decisions and results. Its services include category and channel analyses, customer satisfaction studies, opportunity assessments, benchmarking programs and brand equity enhancement.