IT-Enabled Business Transformation

116 views 10:04 am 0 Comments September 1, 2023

There is a slew of bakery businesses set up across Singapore. While some bakery businesses have physical stalls, others only have a digital storefront. Still, others have a mix of physical stalls and digital storefronts. The government has also permitted home bakeries and has made setting up home bakeries straightforward. Moreover, obtaining the ingredients required to make pastries, cakes, muffins, and other bakery products is easy.

A couple (John and Mary) also joined the bakery business bandwagon. Their bakery business— Delicious Bakery—is an online baking business established during COVID-19. The couple acquired their baking skills by watching YouTube videos. Moreover, various places offer baking lessons, and John has attended some. John and Mary took turns delivering the orders to their customers. The business of Delicious Bakery was quite good during the pandemic period.

However, Delicious Bakery’s business has been relatively poor post-pandemic. This is not surprising, given that individuals can move around freely. Moreover, many bubble tea shops are set up across the island, and Singapore residents love bubble tea.

The couple came up with a new direction for their business by allowing customers to customize the bakery ingredients used in the bakes through their website. Given that the Singapore government encourages a healthy lifestyle, the couple believed the new business concept would work. For example, customers can reduce the sugar in the pastries or add blueberries and other fruits to their pastries.

In addition, they allow customers to add special ingredients, such as rare wine imported from France. The prices of these pastries and other customized bakery products are significantly higher than pastries and bakery products of other bakeries. They tested the new business concept with a small set of customers.

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