Business ideas In Kenya – Bakery business

There are many business ideas in Kenya but food industry is one of the most lucrative. In the diverse food industry, bakery is one of the most outstanding ideas. Talking of bakery, how about a hot bread cake shop in an urban center? Its definitely an excellent idea.

The urban center bakery business model has become one of the most important bakery business concepts. Does not matter whether is in Kenya or any other part of the world. Consumers are now demanding more freshly baked products.’

Hot bread cake shop concept

It involves setting up an attractive hot bread and cake shop in a busy urban center. It involves having a baking unit at the back and display cabinets at the front. Therefore buyers come from the front, pay over the counter and leave. This concept has taken root in all over the world today as  consumers demand more professionally produced products.

It all began when we met the management of Apewe bakery at a business conference in Mombasa. They explained to us they had an existing bakery business producing loaves for distribution. They were using a rotary-powered diesel oven. With supplies, they had to wait at least a month to be paid

The planning stage:

Whereas this business was doing well, they wanted now to tap into instant cash within the town. This could help them even get more resources to fund their supplies business. So we advised them to install an ultra-modern electric-powered convection oven.

We then deployed our master baker to train on new varieties of products. This included freshly baked high-quality cakes, cake slices, cookies and special breads. Within 1 month the number of walk-in customers grew rapidly.They had managed to tap into a new highly profitable market.

Black forest cake prepared at the bakery

Bread prepared at the bakery

Benefits of Investing in Retail bakery business

1. Higher margins since no additional costs on distribution are incurred. Also, the bakery has direct control over its products. They don’t have to follow other businesses that owe them money. Therefore, if you’re thinking of business ideas in Kenya, you need to consider bakery  business

2. Instant feedback from the customers. The walk-in customers can suggest changes to a certain recipe. An example they would prefer less sugar or less salt in bread. The bakery has a chance to collect instant intel and act immediately. This greatly improves the quality of products in a bakery. The customers can also suggest certain recipes they prefer.

Drawbacks:

1. Limited sales; for example, the maximum loaves that can be sold over the counter are less than 1000. This is as opposed to the distribution system that can distribute thousands of loaves in a day.

Conclusion:

You cannot think about business ideas in Kenya and fail to consider the bakery business. Also combining, the urban center bakery business hot bread and cake shop concept with the distribution model forms the best bakery concept.