5 Things to Know Before Buying Bakery Improver

09, Jun. 2025

 

5 recommendations on how to make your bakery even more profitable

last updated 26 July

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Between boom and bankruptcy, the bakery industry is going through turbulent times. While an annual growth of 6 percent has been forecast for the industry, many companies are facing enormous challenges.

Bakery chains, multi-unit bakeries, industrial bakeries, or craft businesses: the competitive environment in the bakery industry is difficult and the structural change is obvious. Talking to decision-makers from the industry, they always mention the same challenges:

  1. The changed user behavior due to permanent information and price transparency, and the demand for individualism, regionalism, organic products and sustainability
  2. Growing legal requirements and high retail standards
  3. Cost pressure due to pricing requirements in the industry’s market leaders and increasing raw material costs

The more an industry changes, the more important it will be to have your processes under control, to reduce the costs, and to increase profits. The greatest improvements in efficiency can be obtained through digitization and automation of processes. Here are five recommendations for this:

Better control over your production with digital technologies

I think the production department is the best place to be in the company, although occasionally it may be a little “uncomfortable”. Back when I worked at a bakery, I got to know the conditions, and I do understand that the wish for more technological support is particularly acute here.

The good news is that machines and equipment like fermentation interrupters or laminating lines have significantly facilitated the work in production. In addition, digitization makes many things easier and more efficient. For example, ERP systems enable:

  • reduction of the work effort
  • controlled human resource management
  • assurance of the product quality
  • minimization of physical effort

A particularly useful solution in most bakery companies is connecting the flour silos to the ERP system. This interaction allows a direct, batch-specific transfer of the actual quantities into the software system, which leads to more transparency and control possibilities. Manual components like yeast, salt, seeds, etc., can be allocated to the specific batches by integrating table-top or floor scales. Capturing the manufactured semi-finished products like doughs, unbaked products, etc., directly in production is yet another optimization step. This approach has generated several improvements for the medium-size enterprise Staropolska, a Polish pastry chain. 

One technology which, after taking some time to mature, has now made its way into the bakeries is RFID It is ideally suited for the automatic transfer of data in production. For example, when fixed to the kneading trough, transponders supply valuable information about kneading and resting times directly to the ERP system. In addition to that, transponders can be used for quality assurance and cost control.

Several years ago, Hack AG put this into practice. By integrating RFID in the load carriers, they have enhanced transparency to enable precise product traceability along the entire value chain in a matter of seconds. What's more, the technology allows them to assure product quality and improve customer retention.

Plan carefully and don't make any rash decisions

“Make plans, not bets.” “Develop reliable plans to avoid unwanted consequences.” My contacts at the bakeries repeatedly point out the fundamental importance of planning tools.

As consumers are increasingly sensitized to topics like food waste and climate protection, enterprises have to accomplish a balancing act. On the one hand, they need to keep the disposal and return rates as low as possible. On the other hand, they do not want to miss out sales opportunities. Hitting the sweet spot will only be possible with software-aided planning.

I would always favor integrated planning systems that can do without expensive interfaces. All data is located right where it is needed, reducing data processing times to a minimum. At the functional level, the planning system should ideally present production, sales and procurement planning on a daily, weekly, or monthly basis in a clearly structured matrix and provide suggestions to support the planner.

Production planning in the food industry: total solution or best of the breed?

In numerous projects, we could establish that the effective use of a planning software ensures:

  • Raw material procurement at more favorable prices
  • Optimum utilization of machine capacities
  • Optimization of inventory capacities
  • One hundred percent delivery precision

Our customer Rischarts Backhaus, based in beautiful Munich, has demonstrated what productive planning looks like. Rischarts supplies its 15 subsidiaries up to five times per day. They accomplish this through complex real-time planning and elaborate logistics, made possible only by using an integrated ERP system. Even unplanned sales of pretzels, rolls, bread, pastry, cake, etc., are represented in the plans so timely action can be ensured.

The production orders resulting from the plans can be transferred to the bakery in a digital format or, alternatively, as bakery schedules on paper.

Make good use of your data

Systematic data collection can turn a bakery business into a real top performer - if the information obtained is used strategically. I believe that the best way to rationalize the facts is by using an all-encompassing solution. For two reasons:

  • Data does not need to be painstakingly extracted from and transferred to other systems
  • Storing the data in a single system allows you to generate sophisticated reports. As a result, you can keep an overview of your entire business - in real time

The following example illustrates the dependency between information quality and the software in use. You know the basic calculation of a product but you cannot say for sure whether you have produced it profitably. Purchasing raw materials at higher than usual prices, or assigning two instead of one employee for manufacture has a direct effect on the product cost. An ERP system allows you to evaluate these specific data and helps you make important management decisions. In other words, take your gut feeling, add hard facts from the ERP and get a killer combination that supports you, for example, if you want to eliminate low-profit products from your assortment.

Do not miss the opportunities of online business

Digitization provides the consumers with new shopping possibilities in the form of online shops. Experts expect the purchasing behavior to change permanently due to the corona virus. Online orders will increasingly attract buyers who, to date, preferred brick and mortar stores. This opens up additional sales opportunities for bakery companies if they offer their products in their own web shop.

The required work and expenses need to be kept at a reasonable level. One solution could be an online shop that is connected to the company's ERP. In this case, the effort after the initial installation is virtually zero, because all data like product images, ingredients and stock information are supplied directly by the ERP database. Apart from that, your order entry staff saves time as the entry of the orders is shifted towards the customers. One online shop variant is, for example, “click and collect”. Customers can order their products via the internet and collect them at one of your subsidiaries. REWE is one of the companies using this approach. With an online shop, you can also support your field staff. They can enter the orders in the web shop directly at the customers’. The benefit, there is no need to laboriously re-enter the data at the office. Finally, your subsidiaries would benefit from placing their orders via an online shop.


How To Market Your Bakery (14 Best Tips & Resources)

1. Smells Are Free!

Perhaps the lowest barrier to entry when marketing your bakery is something that you’re, most likely, already producing – the scent coming from your delicious baked goods! Any smart baker knows that keeping their doors wide open, when weather allows, gives them free advertising to consumers who are in the vicinity. The best part is, as long as you’re already baking, it’s completely free to prop open your doors and entice hungry patrons with your mouth-watering aroma!

2. Tempt Your Customers

When you’re marketing to bakery customers, you always need to be tempting them with something new. For instance, if gluten-free is the craze (and it certainly seems to be, these days!) develop a whole line of gluten-free foods to satisfy that new market sector. When you have something new, your customers are much more likely to be tempted into taste-testing it themselves.

3. Entice People through the Door

As you walk past any boutique shops or neighborhood restaurants, you’ll notice that most of them place a chalkboard outside on their patio. It usually includes a quick, clever message and the store name and some promotional language. This is another affordable yet effective way to entice local foot traffic through your bakery doors.

Try making it fun – you can have a trivia question written out and a discount to any person who gets the answer right. You could also list out today’s specials or the cost of yesterday’s bread. Get creative and put yourself in the shoes of your preferred customer: ask yourself what would entice you to walk through the doors of an unfamiliar bakery.

4. Offer Up Free Samples

People love free stuff, there’s no doubt about that. Give them what they want by placing some free samples out on the order counter. When they have something to try before they buy, they whet their appetite and are much more apt to purchase an extra item to satiate their newly cast craving. Who knows, they may even try something that they just can’t refuse and buy the whole thing!

For more information, please visit Bakery Improver.

5. Be Smart on Social Media

Keep your customers on the line by making your company easily accessible through social media channels like Facebook, Twitter, Instagram and Pinterest.

Before you go and start posting whatever you want, however, take some time to understand social media marketing. On social media, people don’t want to be sold to constantly – it’s their time to browse photos and videos, catch up with old acquaintances, or find the latest events – so don’t hammer them with overtly promotional materials.

Social media works best when it’s a mix of conversation, content and promotion. The right mix of each aspect will vary depending on your market, business and audience, but it’s safe to assume that no one wants to follow an account that’s posting purely advertising and promotional content.

On social, talk, share and sell to keep your audience engaged, but don’t annoy or alienate people.

6. Strike Up a Convo or Hold a Survey

If you’re unsure what your customers want from your bakery, strike up a conversation or hold a survey. When you have the insight of your best customers, you can create services and products that meet the needs and desires of the people who are loyal patrons of your business. You can incentivize your customers with a free loaf of bread, cup of coffee or discount off their next order for their input. The value you receive from paying attention to what the customers want will help you create more tempting offerings that keep people coming back.

7. Much Ado About Day Old Bread

While day old bread may not be the biggest-ticket item in your bakery, it presents a good learning opportunity about selling baked goods in general. When you have products that aren’t selling, you need to find creative ways to move them off your shelves by either marking them down or bundling them with other offers to make a package.

While not all of your product offerings will be a gigantic hit, you shouldn’t feel the need to get rid of the lower-performers completely. Try mixing and matching them with other baked goods to make a completely unique offering that’s even better than it was previously.

So, while day-old bread may not keep the lights on, there will always be a few takers who prefer the bread at 50 percent off, and will take their business elsewhere if you weren’t offering such a thing.

8. Start a Website with Online Ordering Functionality

Over the past decade, websites have become a necessity for any small business that wants to succeed. As a bakery, you have the added ability to offer an easy-to-use, streamline ordering function on your website so patrons can get their baked goods on the go. Take some time to shop around for a web designer that meets your needs as a business owner. It won’t always be easy, especially since you have a hundred other things to worry about at once, but once your website is setup, you will have a whole new venue to drive revenue through.

And if your business is 100% online, respond promptly to form submission or site queries. Let them know there’s an actual human person on the other side of your digital presence.

10. Sponsor Community Events or Groups

Putting money behind a great cause will help your bakery expand its reach to targeted groups of people. Whatever cause you support, you can find an event or group that’s for it. If you’re looking for a good cause to support, why not start by analyzing your audience? What causes are they supporting and how can you help out? For example, you could sponsor a local school event and hand out fliers to all of the parents.

11. Offer Baker’s Dozen Discounts

Some of the best bakeries around town will throw in something extra when you buy a dozen. These places have perfected their sales technique. Think about this: “$5 for 13” doesn’t sound all that great, but “$5 for a dozen, plus you get an extra one for free” is a much more enticing deal. And it’s the same offer, just worded better.

As a bakery owner, you need to find ways to add perceived value to your products that make the offering even better. What can you give away that doesn’t cost much but adds tremendous value to your current offerings – a coupon, free slice or extra sample?

12. Sell Custom Merchandise

Consumers love to support their favorite local stores, shops and restaurants, so give them a chance to do just that with custom-branded merchandise. As a bakery, there’s a ton of options, such as a wood cutting board, branded oven mitts or even a bag of custom-made mixing ingredients. Of course, you can always offer the standard shirts, hats and aprons as well.

Or, if you really want to take your merch game up a notch, try custom-made stoneware mugs with your logo and tagline across the front. Our Deneen Pottery mugs come in your choice of color, glaze, shape and finish and are an attractive addition to any merchandise stand. Not only do you open up a new line of revenue, but you also get the many marketing benefits that come from using a mug at home or in the office every day. Request your catalog here and get a catalog in your hands today!

13. Start an Signup Sheet

Get your game on point by placing a sign-up sheet on your counter. Ask customers to leave their to stay up-to-date with the latest news and product offerings from your bakery. Start developing marketing campaigns to send out monthly updates or weekly coupons (remember: don’t overdo it!). Include anything that you think might be newsworthy to your customer base.

Get to know what your customers are most interested in by segmenting your mailing lists to see what people respond to. Try out MailChimp for an easy way to get started with your first marketing campaign.

14. Always be Friendly

As a bakery, you need to take on the role of the friendly, neighborhood shop where customers always feel welcome. Your patrons enjoy dining at your establishment because after a few visits, you’ve made a personal connection with them, know their face, their favorite order and possibly even their first name! You’re providing an experience that a big grocery store simply cannot.

Keep the lines of communication open. It goes without saying that you should greet customers with a smile when they come through your door, whether that’s a door with hinges or a virtual door.

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