Caroline’s Real Bread Company are a small village bakery who produce and sell a variety of niche breads to cater for specific needs. Emphasis is placed on high-quality, fresh organic products. Their products are sold through their website, farmers markets, food festivals and other outlets. They also provide bread for specialist restaurants and café’s. This report provides an analysis and evaluation of the current state of the grocery market, and provides recommendations on the possible actions that should be undertaken for Caroline’s Real Bread Company to expend and take advantage of the current state of the industry.
Methods of analysis used in this report include PEST analysis which analyses the external factors effecting companies operating within the grocery market, and SWOT analysis which is a method used to assess the strengths and weaknesses of a company, and the opportunities and threats that are currently presented to them.
This research draws attention to the fact that grocery retailers have changed during the past few years in order to react to customer demand. As a result of technological advantages, the demand for convenience is increasing and all major supermarkets now sell their products online. Further research has shown that the market size for fresh organic bread is increasing, and is forecasted to increase even further in the future. The growth of the market size of their products can be attributed to two things. The increase in health awareness amongst consumers who are slowly becoming more conscious of the foods they eat due to a growth in political campaigns alongside new food labelling laws, and the increase in demand for gluten free bread as a result of a steady increase in the amount of gluten intolerant people in the UK.
The store competes in an expanding, competitive niche market. It has steadily grown whilst staying true to the ideologies behind it, resulting in Caroline and her company winning many awards. We
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