Bread Talk

their operations overseas. Leading the industry is Breadtalk, which has morphed from a local bakery into a regional ‘Food & Beverage' player in merely two years.

Will Breadtalk's competitors be able to keep up with their rapid growth? Or will Singapore's taste buds prove to be as fickle as the floss on Breadtalk's buns. Singapore Business Review takes a look.

Who are the players?

Breadtalk - around since 2003. With 47 retail outlets, they are Singapore's largest bakery bread chain.

Prima Deli - launched in 1992. The stately chain which has 43 retail outlets in Singapore, claims to be Singapore's "longest running food franchise".

Four Leaves - established in 1982. The smallest player, with only 22 outlets in Singapore, is a joint venture between a Japanese flourmill giant, a Japanese Trading MNC, and a local trading company.

Is there a point of difference?

In a limited market, all three bakeries have diversified their products and expanded operations overseas.

Prima Deli has bakeries in Malaysia, and they are exporting their Prima Deli Frozen Dough and Prima Taste "ready to cook" paste products on the international market. Four Leaves has also moved northwards and opened subsidiaries in Kuala Lumpur and Penang. Breadtalk, however, has ambitious plans that outstrip any of its rivals.

Breadtalk's dough rises in the East

Breadtalk's success is due to more than just its popular buns or branded "see through" kitchens. They have pushed the boundaries beyond Malaysia and have set up operations in China, with outlets in Shanghai and Beijing.

So far the China market has been a lucrative one for Breadtalk, contributing almost half of its total revenue last year. Furthermore, Breadtalk took steps into the Food & Beverage industry when it acquired Topwin Investment Holding Pte Ltd in 2005. The dough king now has food courts operating in China, Singapore and Hong Kong, as well as its existing restaurants in Singapore.

Prima's counter attack

Prima Deli has countered Breadtalk's aggressive strategy with plans of its own. They have adopted a ‘back to basics'