Baking is one of the most rewarding services out there, especially if it’s also a passion of yours. You may have the necessary skills and tools that can make your catering business successful, but demands are not driven by what you know. Demand is driven by the preferences of the general consumers. As trends continue to keep changing, consumers are expected to be more health-conscious with their choices and opt for gluten-free, vegan, or organic varieties. Focusing on the right market or consumer group will result in highly profitable business. There are certain key points to make your catering company stand out from the rest. Read our blog to learn how to properly serve your target market in a catering business.
Your clients are pretty much your boss and your main source of income. If you anger or displease a customer, you will damage not only your profits but also your business. Your goal here is to serve a sizeable yet doable portion of the large consumer market without losing quality nor profits. You should know how to define your target market, cater to their tastes and use appropriate and creative marketing ideas to reach out to them.
Your Expertise and Strengths
This means knowing and establishing what you are good at and banking on those skills as profit. One thing you should know before opening your catering business is that your skills should also go hand-in-hand with your target market. For example, you can’t cater to a consumer group that prefers pastries when you aren’t a pastry chef in the first place. This also extends to the capabilities of your business itself. If a catering business is too much of a hassle for your to handle, consider creating an on-site bakery/pastry shop. All in all, know your strengths and weaknesses as a team and business to establish a brand and name for yourself.
We are social beings in nature. We tend to create bonds even at times we don’t even expect them. A successful business also needs to have the right bonds with other people and businesses. Don't forget to get your name out there by (at least) word of mouth. This also means reaching out to create partnerships with other services like being a caterer for a wedding planner. Using social media platforms for your catering business can also be a powerful tool when used right because it opens opportunities to not only local and international partnerships. Your goal here is to build your brand among the consumer base to reach an even wider one.
The Financial Plan
As of 2017, the estimated startup cost can reach at around $5, 000, but can also potentially earn you $5, 000 per month. You should know how to balance quality over quantity in everything related to business. A business trying to cater to a high-class consumer base when in reality they cannot keep up with the demands financially, is bound for bankruptcy. You should define your middle ground of balance between quality and expenditure.