Cakeries – Satisfying India’s Sweet Tooth
Among the many reasons that the organised cake industry in India is transforming are rising consumption, shifting preferences and the emergence of small producers. Fondant cakes with edible figurines have gained in popularity, as opposed to the simpler round, cream cakes of days past.
The organised cake market has grown to Rs 2000 crore, the segment is growing at 20 per cent annually and with so much money at stake, competition is intensifying. The unorganised cake market in the country is estimated to be almost as big as the organised one.
One of the main reasons for this growth is that the quality of products found in cakeries in Tier I cities in India is as good as any that can be found abroad.
According to a report in The Economic Times: The fresh cream cake market has become highly fragmented with several cakery product making companies holding sway in this particular region. Meanwhile, dry cakes – which have a longer shelf life – are also finding steady demand across India.
Take a look at some of the key players in the Indian cakery industry:-
L’Opera
Need to Know: L’Opéra is a high-end, authentic French bakery and pastry venture. It was borne out of the longing of Laurent Samandari, after having completed his business studies in Paris in 2008, for French croissants and authentic breads. After intense market studies, the first L’Opéra point of sale was established within the precincts of the French Embassy in early 2011, and then branched out to Khan Market, the brand’s flagship store, in March of the same year. With 12 points of sale to date, it takes pride in bringing the very best of French culinary culture to the heart of the Indian capital.
Specialty: It specializes in high-end bakery products just like in the best bakeries in France. A few signature products include the Mille Feuille cake, literally translating to ‘Thousand Layers’, made with alternating layers of custard and caramel; and our quintessential Macaroons – sometimes referred to as the jewel of French patisseries – elegant, colorful delights with hard shells and filled with various flavours, from Pistachio to Chocolate and also Raspberry.
Business Model: French Bakery Pvt. Ltd, the company behind the brand L’Opéra, is all about quality. As pioneers for authentic French bakery products in Delhi NCR, they don’t compromise; from the meticulous selection of the raw materials to the professionalism of their Executive Chef and the state-of-the-art production center, the venture radiates excellence. They operate in a niche market and plan to keep it that way, in order to stay true to the roots and authenticity. The strategy, therefore, is to leverage these qualities and continue to delight the customers with the unmistakably French experience.
Future Plans: They plan to open three more outlets by the end of the year 2016 in south Delhi and Gurugram. Moreover, they are planning to expand to approximately 70 outlets throughout India within the next five years or so, with the next destination being Mumbai.
Y-o-Y Growth: 12 per cent
The Artful Baker
Need to Know: The Artful Baker offers the best of artisanal breads and patisserie, combining authentic techniques with quality ingredients. While the bakery lies at the heart of this space, The Artful Baker offers all the modern day delights of a Café.
Set in a sprawling space with sunny bay windows, green surrounds and charming interiors, The Artful Baker aims to create a culture of all day dining, easy drinking, laid back weekends, creative work spaces and a clientele that appreciates good food and the good life.
With The Artful Baker, Lite Bite Foods aims to bring the Parisian café experience to India.
Specialty: The Artful Baker is known for its scrumptious cakes, croissants, breads and many other sweet and savory items around. Out of the entire menu, there are a few items that are absolute stand-outs. Their Almond Croissant and Monte Cristo are what attracts the food lovers to drop down again and again.
The highest selling dessert, Monte Cristo is much appreciated by the consumers. With a tinge of hazelnut crunch added to chocolate mousse and a dark chocolate base, the dessert is the most loved item at the bakery.
Business Model: Owned by Lite Bite Foods, the bakery believes in preparing and serving everything fresh to their consumers. The savories, cakes, croissants are all prepared in-house by their culinary experts.
Future Plans: Lite Bite Foods is expanding its horizon and has recently opened the second outlet of The Artful Baker at DLF Mall of India, Noida and are in talks to open more outlets in Delhi and Mumbai.
Y-o-Y Growth: Since The Artful Baker was launched last year September, they can not ascertain their Y-o-Y growth.
Wengers
Need to Know: Wenger’s, designed in 1926 by British architect Sir Robert Tor Russell, was the first bakery to introduce to French bread, Swiss chocolates and margarine pastries to the Imperial capital. In 1945, a few years before Independence, the Swiss couple sold Wenger’s to B M Tandon, an employee at the bakery. Now, it is managed by his grandsons Atul Tandon and Aman Tandon.
Specialty: Cake lovers have loved this place since the day it opened its doors. Their Pineapple Cake, Blackforest Cake, Chocolate truffle Cake and Mocha Cake are on the hottest selling list.
Business Model: They do not have any complex business model. They believe in serving fresh from the oven.
Future Plans: They neither have expansion plans nor they want to open any franchise outlet in future.
Y-o-Y Growth: 10 per cent
Azote
Need to Know: A small shop at the popular SDA marker near Hauz Khas, opposite IIT, Azote literally means nitrogen and hence you can find chemical symbols painted on the walls. Azote’s offerings are not limited to ice creams only. The have cakes, cookies, macarons, chocolates and pastries too. You can also get hot beverages if the weather permits.
Specialty: They cake lovers love everything they bake but their fastest moving items include Five-textured Chocolate Cake and Red Velvet Cake.
Business Model: The self-owned brand has no plans to go the franchise way. They operate on a simple principle of preparing everything in-house and then serving it at the counter.
Future Plans: In coming two-three years, they are planning to open two-three more outlets in Delhi and then they have plans to head to Tier II cities
Y-o-Y Growth: As this is their second year of operation, they have not ascertained their Y-o-Y growth.
Theos
Need to Know: The name, Theos, is derived from Greek word ‘Theobroma Cocoa’ which means ‘Foods for the Gods’. However, in the gastronomic desert of Noida, this brand has gone from strength to strength. Theos has many epic aspects to its personality — it’s a fine dining restaurant, bakery, and even offers cooking classes. With its origins as a bakery par excellence, the desserts are always masterfully prepared
Specialty: Their specialty is their Red Velvet Cake.
Business Model: Theos is a casual dining cum retail outlet. They have tie-ups with various brands like four outlets of Barista – DLF Mall of India Noida, SDA Market, Defence Colony and SCW – Big Bazaar at DLF Mall of India Noida, Ericsson, Barclays, LG, Samsung, Videocon D2H, NIIT, Karcher and Carnation Auto.
Future Plans: Theos is planning to increase their kitchen capacity by 20 times by setting up a base kitchen. They will soon be opening their next outlet at DLF Mall of India, Noida.
Y-o-Y Growth: When contacted the spokesperson of Theos said that the expansion growth is slow but it claims it to be steady.
