Following her recent article on the popularity of mug cakes, particularly for busy individuals at breakfast time, we spoke to Ayisha Koyenikan, Mintel Global Food and Drink Analyst, to delve into the cake-based trend.
Stand out launches
Innovations and product developments are on the rise as mug cake brands are eager to emphasise their individuality and market presence on both the physical shelves and ecommerce product pages.
Ayisha Koyenikan, Global Food & Drink Analyst at intelligence company Mintel lists three of the leading product launch categories in the mug cake arena:
1. Permissible Indulgence
Dr. Oetker Oats and Raspberry Mug Cake Mix contains wholegrain oat flakes and freeze-dried pieces of real raspberry, pushing mug cakes out of the pure indulgence space, into a new breakfast eating occasion.
2. Organic
Foodstirs Modern Baking Organic Molten Chocolate Chip Minute Mug Cake Mix. Organic claims are seldom seen in mug cakes, and so this immediately sets Foodstirs apart from the rest of the market. Foodstirs is co-founded by actress Sarah Michelle Gellar and appears to target younger Millennial and iGeneration consumers.
3. High Protein
BioTechUSA Protein Gusto Vanilla Flavoured Mug Cake. BioTech USA were early pioneers in making mug cakes more permissible, producing a mug cake with 21g of protein and no added sugar, in line with their mission to promote sports and a healthy lifestyle.
Consumer engagement
Fun and youthful brand imaging is also proving a must-have for brands entering or evolving in the mug cake space. UK-based muscle building protein brand, MyMuscleMug, has recently unveiled its unicorn cake mix, complete with marshmallows, sprinkles and white chocolate chips on a vanilla cake base with 25g protein. Drawing upon popular consumer packaging favourites helps companies connect with their target audiences.
A hive of innovation
Sharing insights on the most dynamic European markets and countries when it comes to launching mug cakes and, therefore, evolving the mug cake market, Ayisha Koyenikan, Mintel Global Food & Drink Analyst, commented: “Between October 2013 and September 2018 France has seen the highest level of mug cake innovation with 21% of all European launches, followed by Spain, the Netherlands and the UK.”
Dr Oetker is responsible for 46% of all European mug cake innovation between October 2013 and September 2018 and is “by far the largest players in the mug cake market”.
Interestingly, “80% of innovation within the category has come from brands over the past five years, but private labels have been innovating within the market in the last two to three years,” Koyenikan added.
This private label growth has been led by Lidl who, between October 2013 and September 2018, contributed to 13% of all innovation.
Healthy cakes
Today’s consumers demand clean labelling and comprehensive ingredient information, and so “ambient baking mixes can be impacted by negative consumer perceptions around health”, Koyenikan shared.
Concerns exist around control over what goes into food, with 49% of UK consumers citing this as “a major reason for scratch cooking at home”. However, this “control is somewhat diminished when using a mix”.
The impact of sugar in healthcare is also affecting consumer behaviour in baking, with 73% of Italians and 70% of Spanish consumers agreeing that manufacturers should lower the sugar content of cakes.
Baking opportunities
Mug cakes are in a highly innovative phase and so there are a number of key focal points brands can adopt to launch and evolve their selections.
Breakfast leads the way for brands looking to position mug cakes as a “healthy and convenient out-of-home breakfast alternative for the thousands of consumers who eat breakfast when they get to work”.
Awareness of this rising trend is vital for those brands that are keen to push the treat and dessert-based notion out of consumers’ minds and instead place mug cakes into “new eating occasions”.
Selecting natural, organic and health-based options is a priority for consumers. As a result, using “vegetable and fruit inclusions, cereals and grains, exploring unrefined sugar or savoury flavours and by boosting nutritional value, for example with added protein”, is a core focus for innovation.
Convenience in every way, including hassle-free packaging solutions and washing up, minimal added ingredients through the use of liquid batters, and products that include a spoon or that are sold in the vessel for cooking, will create a competitive advantage.
Manufacturing challenges
One of the biggest obstacles for brands to overcome in the near future will be to convince “more discerning consumers that mug cakes are wholesome and natural”.
As only 3% of European mug cake innovations have featured a natural claim in the last five years, “claims around organics, no additives and preservatives or ingredients such as real fruit and wholegrain would be advantageous” for brands developing new product launches, Koyenikan concluded.