ENTR300: Market Attractiveness Analysis of Delicio Patisserie Business

This report provides a comprehensive market attractiveness analysis for Delicio Patisserie, a Romanian bakery located in London. It begins with the business idea, describing the bakery's offerings of cakes, cupcakes, cookies, and pastries, emphasizing the delicious taste and aroma. The report identifies the market segment as Leytonstone, London, catering to an upper-middle-class demographic. The target audience is defined as individuals aged 15-40. The report highlights the bakery's unique selling proposition (USP) of offering traditional bakery products with new additions and customized options. It acknowledges competitors like The Wild Goose Bakery London and Buttercream Cake Boutique. The report also identifies a market gap in the use of traditional bakeries. A PEST analysis is included, covering political, economic, social, and technological factors impacting the business. The report presents a sales forecast for December through May, detailing revenue, cost of sales, gross profit, expenditures, and net profit. Finally, the report references relevant academic sources and online resources used in its creation.

MARKET ATTRACTIVENESS

Table of Contents
MAIN BODY...................................................................................................................................1
MARKET ATTRACTIVENESS.....................................................................................................1
Business Idea...............................................................................................................................1
Market Segment..........................................................................................................................1
Target Audience (Customers).....................................................................................................1
Venture/Product different from others........................................................................................1
Competitors.................................................................................................................................1
Market Gap.................................................................................................................................2
PEST Analysis............................................................................................................................2
Unique Selling Price (USP)........................................................................................................2
Sales Forecast..............................................................................................................................2
REFERENCES................................................................................................................................4

MAIN BODY
MARKET ATTRACTIVENESS
Business Idea
The business idea of Delicio Patisserie which is a Romanian bakery located in London. It
has varieties cakes, cupcakes, cookies and pastries providing delicious taste and aroma to
consumers in effective manner (Uva, Bonadiman and Moschitti, 2018). It bakes and sells
traditional bakery products to consumers for enhancing their satisfaction level in the best manner
possible.
Market Segment
The market segment means grouping people having similar characteristics so that firm
may be able to offer desired products to particular segment of customers. Delicio Patisserie is
located at Leytonstone, eastern part of London which is surrounded by public parks such as
Langthorne Park, Cann Hall Park, Henry Reynolds Gardens etc. People visits to park and are
attracted to buy bakery items mainly which belong to upper middle class.
Target Audience (Customers)
The target customers of Delicio Patisserie are aged 15-40 of both male and females are
acknowledged and offered bakery products. This will provide good quantum of sales to firm and
satisfying sweet lovers with fresh and appetizing baked products in effective manner.
Venture/Product different from others
The venture or product is different from others as it lays emphasis on traditional bakery
products but present the same with newly additions in effective manner. Cakes and cookies are
customised in accordance to the demand of people and paying attention to clients' orders.
Moreover, it creates perfect balance between design, shape and taste (Delicio Patisserie. 2018).
Competitors
Rivalries are part of business and are in present for Delicio Patisserie as well. These are
The Wild Goose Bakery London, Buttercream Cake Boutique, Buttercup Cake Shop and many
others. This shows that rivalries are present and strategies are implemented for gaining market
share by business.
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Market Gap
The gap in market is found as traditional bakeries are not used which impacts customer
satisfaction (Latif and Yeasmin, 2018). Thus, firm will provide traditional products with new
techniques and additions to it.
PEST Analysis
Political
 Increase in Taxation rate by country
 Rising prices of sugar
Economical
 High prices of bakery commodities
 More payment for bakery supplies
Social
 Trends towards cupcakes, desserts and
cookies
 Pastries are demanded of low sugar
Technological
 Improvement in website
 New cooking techniques improves
whole process and leads to productivity
Unique Selling Price (USP)
USP of Delicio Patisserie is to provide superior quality products at affordable price. This
will make customer loyal to firm.
Sales Forecast
Sales Forecast of Delicio Patisserie
Particulars December January February March April May
Revenue 10000 10500 11000 11500 12000 12500
Cost of sales
Ingredients 2000 2100 2150 2200 2100 2150
Bakery
Supplies 1500 1400 1500 1600 1550 1600
3500 3500 3650 3800 3650 3750
Gross 6500 7000 7350 7700 8350 8750
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Profit
Expenditure
s
Electricity
charges 900 800 850 900 950 970
Advertising
expenses 700 750 800 800 850 750
Salaries 1000 1000 1000 1000 1000 1000
Water
expenses 550 600 450 500 550 580
Tax 0 0 0 0 0 120
Total
expenditures 3150 3150 3100 3200 3350 3420
Net profit 3350 3850 4250 4500 5000 5330
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REFERENCES
Books and Journals
Latif, A. and Yeasmin, A., 2018. Impact of Financing Techniques in Maintaining Profitability of
Problem-Ridden Small Scale Bakery Industry; A Study on Selected Bakeries of Sylhet
District. IJAME.
Uva, A., Bonadiman, D. and Moschitti, A., 2018. Injecting Relational Structural Representation
in Neural Networks for Question Similarity. arXiv preprint arXiv:1806.08009.
ONLINE
Delicio Patisserie. 2018 [Online] Available Through: <http://deliciopatisserie.co.uk/>
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