The New Science of Better-For-You Bakery

Bakery reformulation is getting more complicated and strategic. As brands cut sugar, boost protein and fiber, navigate volatile ingredient costs and pursue cleaner labels, the challenge lies in rebuilding the full sensory experience. Peggy Dantuma, director of bakery applications at Kerry, discusses how taste modulation, enzymes, texture systems and AI are helping bakers balance nutrition, performance, cost and consumer expectations.

The Sugar Reduction Trap

Sugar reduction has evolved beyond simple sweetness replacement, creating sensory challenges in bakery applications. However, flavor modulation is helping close the gap.

"Reducing sugar without losing taste is one of the most complex reformulation challenges facing food and beverage manufacturers today," says Dantuma. "The reality is that many products fall into what we call the 'reformulation trap': a product may meet a better-for-you requirement on the back of pack, but if the full eating experience is not rebuilt, consumers immediately recognize the compromise. In bakery, that means sugar reduction must be treated as a sensory and structural challenge, not simply a sweetness challenge. This is because sugar contributes far more than sweetness alone; it shapes flavor balance, mouthfeel, temporal sweetness and overall consumer satisfaction. When these elements are not addressed holistically, reformulated products fail to meet expectations."

"When sugar is removed without rebuilding its contributions, products can develop a flat or unbalanced taste, bitter off notes, a drier structure, and loss of tenderness, volume and crumb structure and the overall eating experience consumers expect," says Dantuma. "Alternative sweeteners address the sweetness gap, but rarely the rest. This is why reduced-sugar bakery products can often signal 'reformulated' from the very first bite."Kunal Lakhotia at Pexels

Dantuma adds, "In bakery applications specifically, sugar provides bulk, moisture retention, browning, texture and preservation. When sugar is removed without rebuilding its contributions, products can develop a flat or unbalanced taste, bitter off notes, a drier structure, and loss of tenderness, volume and crumb structure and the overall eating experience consumers expect. Alternative sweeteners address the sweetness gap, but rarely the rest. This is why reduced-sugar bakery products can often signal 'reformulated' from the very first bite."

"This integrated approach delivers functional benefits beyond sweetness intensity, including improved overall balance, preserving the characterizing flavor profile and restoring more authentic temporal sweetness profiles," says Dantuma.

She adds, "Depending on the sugar reduction target, Kerry combines different technologies to deliver the desired sensory and functional outcome. In bakery applications, Tastesense Sweet and Tastesense Masking are often used together to maintain sweetness quality while masking off notes from ingredients such as leavening systems, hydrocolloids, starches and emulsifiers that become more noticeable as sugar is reduced. Manufacturers can leverage Tastesense Sweet, Kerry's natural sweet modulation technology, to achieve up to 50% sugar reduction when paired with appropriate bulking systems, while maintaining a clean sweetness profile and preserving characterizing flavors. In applications such as brioche, sweet rolls and high-sugar breads, reducing sugar with Tastesense Sweet can also improve dough handling and fermentation performance."

Finally, says Dantuma, "Beyond taste solutions, Kerry works with customers to optimize the broader formulation, leveraging technologies such as our Biobake enzyme solutions and Myvatex texture systems—modifying ingredients that help replicate sugar's structural and moisture retention functionality in baked goods. By combining expertise in taste, texture and performance, Kerry helps manufacturers achieve deeper sugar reduction targets while maintaining the texture, indulgence and consumer taste preferences."

Protein-Packed, Taste Intact

As manufacturers add protein, fiber and functional ingredients to baked goods, texture, mouthfeel and off notes often become more difficult to manage. Fortunately, flavor systems help restore indulgence without compromising nutritional goals.

"As manufacturers increase protein, fiber, and other functional ingredients, formulation complexity rises significantly," says Dantuma. "Balancing nutrition, sensory appeal, and functionality within the same product has become a big challenge. Protein fortification can introduce off-notes and texture challenges, while fiber can affect fermentation performance and digestive tolerance. At the same time, changes in sensory preferences among some GLP-1 users mean products must deliver satisfaction while accommodating greater sensitivity to certain tastes and textures."

"Changes in sensory preferences among some GLP-1 users mean products must deliver satisfaction while accommodating greater sensitivity to certain tastes and textures," says Dantuma.Pavel Danilyuk at Pexels

She adds, "Protein and fiber fortification are becoming mainstream in new bakery launches. The bakery category is embracing the high-protein trend, but for brands pursuing higher protein targets success is increasingly defined by protein quality, functionality and consumer experience. Protein can introduce challenges ranging from chalkiness, bitterness and astringency along with dough handling, water absorption and volume loss."

Kerry’s aforementioned Tastesense Masking targets the specific off-notes and sensory issues associated with different protein sources. The customized approach is designed to support higher-protein bakery formulations while maintaining taste and texture, including products using blends of multiple protein ingredients.

Dantuma continues, "Protein fortification, whether in a snack cake, muffin, bread or tortilla, all require advanced texture solutions to both processes, and provide an acceptable consumer product. Kerry’s line of Biobake enzymes and Myvatex texturants are designed to meet these challenges."

Keeping Bakery Fresh From Oven to Shelf

Consumers continue to expect freshly baked taste and texture throughout shelf life. To meet these demands, technical advances are improving flavor stability and freshness perception while also reducing food waste.

"There are three components of “freshly baked” taste and texture: 1) antimicrobial, 2) texture and 3) taste," says Dantuma. "Even if you have a product that is mold-free and soft, if the flavor doesn’t hold up, consumers are not likely to repurchase the item. Not all flavors are formulated for bake stability and extended shelf-life performance. Kerry specializes in targeted formulation for the end application whether the flavor is fry stable for a donut, encapsulated for extended shelf life in a croissant or a fermented flavor for a fresh bread experience."

"There are three components of “freshly baked” taste and texture: 1) antimicrobial, 2) texture and 3) taste," says Dantuma. Liza Summer at Adobe Stock

She notes, "By maintaining that highly desirable just-baked softness and resilience, enzymes allow bakeries to maintain  textural freshness over longer shelf life without compromising sensory quality. Additionally, to address mold-free shelf life, clean-label technologies such as fermentates and buffered vinegars can be used to maintain shelf life while protecting the product's authentic taste. Kerry’s validated Food Waste Estimator, can estimate how increasing freshness performance over shelf life through reformulation can directly mitigate financial losses and enable more sustainable production using less water and producing less CO₂."

The data points are stark:

• 10% of bread produced globally is lost or wasted, according to the FAO (2023)
• 32% of consumers regularly throw bread away, according to Kerry proprietary research
• 65% cite mold as a reason for discarding bread
• 46% cite textural staleness
• 28% cite unpleasant smell or taste

"From an operating perspective, waste is a massive financial drain," says Dantuma. "During production, dough must tolerate harsh or complex process conditions and unplanned interruptions such as equipment downtime for repair, cleaning time or labor shortages. Without sufficient dough resilience, control and tolerance, these disruptions can result in entire batches being wasted before they even reach the oven."

She adds, Enzymes and texture systems are valuable ingredients in reformatted bakery systems because they stabilize the crucial areas most likely to break down: crumb structure, moisture retention and batch-to-batch consistency. In high-protein or reduced-sugar systems, they restore softness and resilience without adding label burden, which helps with performance and clean label goals at the same time. By using enzymes to improve dough consistency and strength, this will reduce the volume of product being lost or discarded before it ever leaves the bakery."

When Commodity Costs Rewrite the Recipe

Rising costs for ingredients such as cocoa, eggs and wheat are forcing reformulation in the bakery sector. As a result, manufacturers are leveraging flavor technologies to reliance on high-cost ingredients while maintaining authentic taste and consumer acceptance.

"Bakery manufacturers are operating in a highly volatile environment shaped by supply chain disruption, raw material cost inflation, and mounting sustainability pressure," says Dantuma. "From an ingredient perspective, traditional cost-saving measures such as simply swapping one ingredient for a cheaper alternative is no longer sufficient to deliver long-term resilience. Manufacturers are actively seeking ways to mitigate the costs of volatile raw materials, such as wheat, gluten, cocoa, fruit, nuts and eggs, while maintaining the same great texture, taste, eating experience and operational performance."

Dantuma notes, "Eggs are a highly volatile and price-sensitive ingredient that can be reduced in recipes to deliver significant cost savings. As well as cost, eggs are increasingly becoming a consumer concern in relation to animal welfare and sustainability."TYSB at Adobe Stock

She adds, "In bakery, many brands discover that cost-focused reformulation can quickly fall into a trap where the consumer experience suffers. Consumers still expect the same taste, texture, aroma and overall eating experience, regardless of what is happening in commodity markets. If a reformulation removes key sensory cues without rebuilding them elsewhere, the product risks losing the authenticity and indulgence that drive repeat purchase. The challenge is no longer just ingredient replacement. It is protecting the eating experience while building greater formulation resilience and cost efficiency."

Dantuma notes, "Eggs are a highly volatile and price-sensitive ingredient that can be reduced in recipes to deliver significant cost savings. As well as cost, eggs are increasingly becoming a consumer concern in relation to animal welfare and sustainability. Cost and sustainability savings can be quantified using Kerry’s Egg Reduction Estimator, and by using Kerry’s Biobake EgR manufacturers can reduce egg content by up to 30% in muffins, croissants and brioche while maintaining volume, texture and crumb structure. Additionally, Biobake GTNCA is used to replace or reduce vital wheat gluten (VWG), maintaining dough stability while delivering significant cost-in-use efficiency."

She adds, "Cocoa has also become one of the most complex commodities in the food industry. While prices have eased somewhat from the record highs seen over the past two years, the market remains vulnerable to disruption. For manufacturers, this is about much more than ingredient costs. Ongoing market volatility can affect supply continuity, product consistency, quality expectations and long-term planning. As a result, many companies are shifting their focus from short-term cost management toward building greater resilience into both formulations and sourcing strategies."

Finally, she says, "Advances in taste technology mean manufacturers no longer need to choose between reducing cocoa usage and delivering an authentic chocolate experience. For example, Kerry's Cocoa Booster technology can enable up to 50% cocoa powder reduction using natural solutions that help replicate cocoa's depth, richness and flavor complexity."

The Clean-Label Tradeoff Is Over

Clean-label expectations continue to grow, yet simplifying ingredient lists often limits formulators' technical toolbox. Flavor and taste technologies are evolving to deliver premium sensory performance with more label-friendly formulations.

"Historically, bakers faced tradeoffs when relying on conventional additives, having to balance product stability against consumer demand for simpler labels," says Dantuma. "However, by leading with advanced enzyme technologies, bakers do not have to accept a sacrifice in performance to achieve a label-friendly formulation."

She adds, "Today, Kerry’s advanced clean-label flavor technologies are enabling manufacturers to transition from artificial flavors to cost-effective natural alternatives. Kerry also offers ultra-clean dairy and non-dairy flavor solutions that support allergen-friendly and free-from product development without compromising sensory performance. To meet the demand for clean-label products, bakeries are increasingly turning to advanced biotechnology solutions as a practical tool. Enzymes are biocatalysts found in all living things, including the flour and yeast used in baking. They are produced through fermentation, the same natural process used to make traditional foods like wine, beer, yogurt and kimchi."

Dantuma says, "In bakery applications, enzymes, such as Kerry’s Biobake portfolio, act as highly targeted processing aids during dough preparation, improving performance at specific stages of production. Because they are deactivated during baking and do not remain active in the final product, they allow bakers to enhance quality while supporting simpler ingredient labels. And since they are classified as processing aids, they generally do not require declaration on the final packaging. Additionally, working alongside hydrocolloids and other stabilizing ingredients, enzyme systems can reduce or replace traditional emulsifiers, supporting cleaner labels without compromising quality. That combination makes them one of the more powerful tools available when navigating multiple reformulation goals at once."

She adds, "Clean label bakery without compromising on quality is only achievable when the formulation accounts for what’s being removed. Replacing traditional emulsifiers and additives that do real functional work requires purpose-build systems that rebuild those functions. Protein, fiber, sugar reduction, clean label, and shelf life aren't separate formulation problems that can be solved in sequence. They operate as one system, and approaching them this way helps unlock stronger, more consistent product performance."

It's necessary, then, to leverage taste modulation, biotechnology, formulation expertise and sensory science to balance reformulation trade-offs, ultimately prioritizing products that deliver the taste and performance needed to drive repeat purchase, not just a cleaner label.

The New Bakery Balancing Act: Health and Indulgence

Consumers increasingly expect bakery products to deliver both indulgence and wellness. In response, companies are balancing flavor intensity, sweetness, aroma and mouthfeel in products positioned around health, functionality or GLP-1-friendly eating patterns.

"Consistent with other published data, Kerry’s proprietary research shows that consumers taking GLP-1 medications seek foods richer in proteins—which poses interesting masking challenges—alongside and less sugar and carbohydrates," says Dantuma. "Research suggests an increased sensitivity to sweetness, reduced tolerance for overly sweet products and a preference for smaller portions with higher nutritional quality."

She adds, "For brands, the challenge is to increase nutritional density while maintaining the comforting, indulgent eating experience that drives repeat purchase. Protein quality, functionality and sensory performance therefore become just as important as protein quantity. Kerry’s targeted approach to protein masking, helps address the bitterness, astringency and lingering off-notes commonly associated with protein fortification, while Kerry’s line of Biobake enzymes and Myvatex texture systems help rebuild the richness and fullness that can be lost in nutritionally optimized formulations."

Dantuma continues, "At the same time, brands look to shift away from maximum sweetness intensity toward better sweetness quality. Sweetness optimization enables products to feel satisfying without excessive sweetness, making it particularly relevant for GLP-1-aligned product development."

Finally, she says, "This consumer group is proactive about their health choices and often sophisticated about the nutritional value of the products they consume. Our holistic approach to sweetness optimization and emphasis on masking off-notes associated with added protein and functional ingredients enables formulators to deliver nutrient-fortified products without compromising on taste or clean labels."

The Future of Bakery Is AI, Enzymes and Taste Science

"The biggest advances in bakery taste and performance over the next five years will not come from a single breakthrough ingredient, but from the convergence of enzyme science, taste modulation, biotechnology and AI-enabled formulation tools," says Dantuma. "As bakery formulations become more complex, manufacturers are increasingly being asked to balance nutrition, cost, sustainability, clean-label expectations and consumer enjoyment simultaneously. Solving these challenges requires a more integrated approach to formulation."

She adds, "Enzyme technology will continue to play a critical role, particularly as bakers look for label-friendly ways to improve texture, freshness and process efficiency. Historically, enzymes have been used primarily to maintain extended softness and improve dough handling, but the next generation of solutions will enable increasingly precise control over texture, moisture management and ingredient functionality. This will help manufacturers create products that maintain a fresher, more indulgent eating experience throughout shelf life while reducing waste and improving production consistency."

Dantuma continues, "At the same time, taste modulation will become increasingly important as manufacturers continue to reduce sugar, fortify with protein and fiber, and reformulate around changing consumer health priorities. At Kerry, we are strategically investing in precision fermentation, enzymatic biotransformation, and AI to develop the next generation of natural taste modulation. This unique combination of flavor science and biotechnology accelerates our innovation efforts in new ingredient discovery and next generation clean-label sweet and savory taste solutions. "

In addition, she says, "At Kerry, we see AI as a powerful accelerator of flavor innovation rather than a replacement for flavorists, sensory scientists or food technologists. We are actively evaluating how AI can be combined with sensory science, consumer insights and formulation expertise to help manufacturers identify successful reformulation pathways faster, predict sensory outcomes earlier in development, accelerate optimization of nutritional properties such as PDCASS, and navigate increasingly complex trade-offs between taste, nutrition, cost and sustainability."

Finally, says, Dantuma, "Ultimately, the future of bakery innovation will be defined by technologies that help manufacturers avoid the reformulation trap. Whether the goal is sugar reduction, protein fortification, ingredient cost mitigation or cleaner labels, consumers will continue to judge products based on their eating experience. The technologies that succeed will be those that help bakers preserve flavor, texture, aroma and indulgence while delivering on evolving consumer needs."