Well-known brand with strong brand equity
-The Breadbasket brand has evolved to become one of the most recognizable local brands in Singapore. In 2002, the group won the “Singapore Promising Brand Award 2002” awarded by SAME and SSP and was also voted Singapore
Most Popular Brand in a Joint poll by the SAME and SSP.
* Strategic retail locations, capturing strong market interest and creating brand awareness
-The group’s outlets can be found in accessible locations with high pedestrian traffic flow.
This pulls in customers as they walk by.
Many of the outlets are located near public transport systems such as bus terminals, Mass Rapid Transit stations and Light Rail Transport stations.
Some stores are also located near popular departmental stores and supermarkets.
* Experienced management
-Mr… George Queue, the managing director, has been in the F;B (Food ; Beverage) business for more than 20 years.
He is supported by a team of senior managers with more than nine years of experience on average in the F;B or detail industries.
* Intense competition
-The F;B industry in Singapore is highly competitive and fragmented with low barriers to entry.
With many bakeries reinventing their existing products and expanding, it gets increasingly difficult to compete for choice locations and market share.
* Low barriers to entry in the F;B industry
-Breadbasket operates in the highly competitive F;B industry which has close to no barriers to entry.
Some of its competitors are established players in the bakery ND confectionery industries and may have greater financial and marketing resources.
The entry of new competitors into the same F;B segments or into the immediate areas around the group’s retail outlets may affect its earnings.
* Increasing popularity of bread products in Asia – Breadbasket has a chain of 38 retail outlets island-wide in Singapore, with presence in Malaysia, Indonesia, Thailand, Philippines, Vietnam, Sir Lankan, Hong Kong, the People’s Republic of China, Oman, Kuwait, Saudi Arabia, Jordan, Bahrain and India.
No customer accounted for more than 5% of turnover in the past few financial years as customers are mainly walk-in customers.
* Exposed to changes in consumer sentiment and preferences
-Continued SWOT Analysis By Occurrence products. Shifts in consumer preferences away from the group’s items may hurt its business.
* Possibility of food contamination and adverse publicity -Some of Breadbaskets products may contain food fillings made from meat and seafood products. Any outbreak of diseases in meat or seafood from the region and around the world may affect sales.