Being home to diverse cultures, Dubai has become a culinary hub with a variety of cuisines to suit every palate. From fine dining to freshly baked goods, consumers nowadays seek accessible indulgence and sophisticated experiences.
Bread being an everyday staple in Dubai, the bakery business rakes huge profits. According to a study published by Statista Research Department, the forecasted annual growth rate of baked goods in Dubai was said to increase from 5% in 2019 to almost 8% in 2020. In line with the growing trends, the country has experienced an increase in the number of bakeries in the past few years.
The bakery industry and its perceivable future
The idea of warm, fresh baked goods has always been embraced by the general public, even during the coronavirus outbreak. Drawing on this trend, more and more bakers are inspired to put their creative skills to test and make it a full-time profitable business.
According to 6Wresearch, the outbreak of coronavirus is not likely to impact the bakery products market in the UAE as the region has ensured the daily imports of food from international markets. Moreover, there is also a growing need for niche bakers among people who are health-conscious or suffer from Celiac disease (intolerance for gluten). More people are now inclined towards gluten-free, low-carb bread that is usually not accessible in the average grocery store.
Pros of running a bakery business
If you have a passion for baking and want to bring it out to the world, then starting a bakery can be a good idea for countless reasons. Here are some key benefits:
- Save on capital costs
Unlike other businesses, with a bakery you can start small as it does not necessarily require much space. All that is needed is adequate space to prepare your ingredients, bake the goods and display them to the public.
- Changing lifestyle habits and increasing disposable income
Hectic lifestyles and rapid urbanisation have encouraged consumers to seek convenient and ready-to-eat products, making it favourable for the bakery products market.
- Sustainable and evergreen market
Baked goods like bread, cakes and pastries are hard to resist as they are everyone’s comfort food. People of all ages and cultures eat bread and at any time of the day. This enables a large consumer base.
- Promotes creativity
As a baker, you can constantly create new recipes to boost sales and customer satisfaction. You can experiment with different ingredients and incorporate new styles in decorating your products.
- Potential for growth
Opening a bakery offers great flexibility in terms of how you want to expand your business. You can move to a larger area or add on to your present facility or increase the number of products you want to offer and the quantity you bake in a session.
Also read more on: How Profitable is a Restaurant Business in Dubai?
Owning a bakery is a passion-driven and fulfilling business. At Flyingcolour, we provide a simple and effortless approach for setting up your business in Dubai. If you are interested, reach out to us at +971 4 4542366 or email us at firstname.lastname@example.org.
*Please Note: This article was published on 24th May 2021. The information provided in the article is based on the policies and rules applicable at the time of writing it. Talk to one of our consultants for any recent updates or changes.