110-year-old bakery with 18 staff: daily biscuit sales up from 25 to 60 kg, but profit is down
A century-old bakery in Chawkbazar, Barishal city, survives with a small shop and an old workshop. Sales have grown, but profit has fallen as costs rose, yet the owners refuse to cut quality.
Haji Fakir Chan Bakery began between 1912 and 1915 on 3.3 decimals of land in South Chawkbazar, Barishal city, leased from the British government. Haji Fakir Chan had been supplying bread to British and French soldiers, and it was the soldiers who encouraged him to set up his own factory. The shop is about 80 feet long and 18 feet wide. It was once a tin shed and is now a two-storey concrete building, and little else has changed. It makes 15 kinds of biscuit in three categories (sweet, salty and toast), three kinds of cake, chanachur, pastries and buns. Daily biscuit sales used to be 25 kg and are now about 60 kg, and chanachur has risen from 30 kg to about 45 kg. Bun sales, however, have fallen. Eighteen people work there now. The manager says sales have not fallen and demand has actually grown, but because everything has become expensive, costs have risen and profit has fallen. Even so, quality has not been cut: the biscuits use pure ghee, each day's products are made to match estimated demand, and no stale goods are sold. Bread sells out within an hour of being baked. The owner now lives in Dhaka and visits Barishal twice a month. He says that for them the family's reputation matters more than the business.
Lessons
- 1.When prices rise, sales can hold up while profit shrinks, so check ingredient costs and expenses regularly.
- 2.Baking each day's goods to estimated demand cuts stale stock and keeps customers' trust.
- 3.Even without fancy fittings or advertising, steady quality and a familiar taste can hold customers for many years.
We published this with the person's permission, without revealing who they are.
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