Originally Posted by fickrick:
“true certain types of bakers are in trouble but "high end" cup cakes are all the rage. She is based in the south east isn't she. Cup cakes are very popular for weddings (at the moment, thanks to Kate Moss) Her problem might be being able to diversify into other areas, Chocolatier, macaroons etc”
From what I could glean - and it was not 100% clear - her business plan is to create a business to supply ingredients etc to shops like hers.
I agree 100% that if her plan was to make more cupcakes in a high end shop (West End of London / tourist areas) - or expand her business somehow, then she would be onto a winner - particularly with all the publicity.
However, it appeared to me that she was proposing to enter the wholesale ingredients supply market
If she is targeting home baking via supermarkets - then the retail UK home baking ingredients supply is sewn up by a huge German conglomerate (Dr Oetker) and Silver Spoon, part of the UK based food conglomerate Associated British Foods (Twinings, Ryvita, Ovaltine, British Sugar, Kingsmill, Primark)
For the High street bakery market - there are 3 or 4 good companies already ingredients supplying Nationwide to bakeries, and they are struggling as there is overcapacity in the market leading to mergers.
Luisa is VERY clever if she is expanding her cupcake making operation - or completely deluded if she thinks she can enter the wholesale market.
We will see which it is !!!