Q: What are the elements that were taken into consideration while adjusting the price range?
A: The price range of $20-50 was determined while considering having different sizes of kits (A small one with a few treats costing $20, up to a large one with enough treats to feed 15 people costing $50), the labour and ingredient costs for each batch matched to its size, and any unforeseen costs that may arise through the process of getting the products to the selling place.
Q: What are the plans for expanding your business to include other local locations or internet platforms, and are there any plans to do so?
A: Given enough profitability and demand, the next steps for expansion would be to expand the business’s online platforms to create a website and advertise on more social media platforms, and then to consider stepping into other local farmers markets to sell at such as ones in Prince Rupert and Smithers.
Q: What will you do to ensure that the quality and consistency of the high tea kits are maintained throughout all their variants?
To assist with quality control of the kits, they will be made in large batches at the same time to ensure the consistency of the product. Quality will be ensured by obtaining a BC food safety certificate and using only fresh ingredients which will be stored in a separate space from personal items.
Q: How much capital do you estimate is needed to start and scale your high tea kit business?
A: I don’t currently have an exact amount for the start-up costs or expansion costs for High Tea Kits, but my latest estimate puts me at $2,185. This is subject to change depending on what becomes a need through the process of setup.
Q: How do you anticipate the demand for your high tea kits in the current market?
A: I am anticipating a relatively high demand for these kits, mainly as there are little to no competitors that would be selling these products in this style locally. It will take a bit of time to gain traction and attention from the community, but that would be a gradual increase in demand.
Q: Are there any additional services or discounts that you are providing to attract customers?
A: Potential future services could include custom kit-making, where a customer can request specific items to be made for an event or their preference, and home delivery to customers within a certain distance of Terrace (I.E. not making deliveries to customers in for example jackpine due to travel costs). A discount for repeat purchases or for bulk items may be considered once the business is in a profitable position.
Q: Are there any seasonal variations in demand that you predict?
A: Yes. Sales will be much lower during the winter months for two reasons: The first is that the farmers market closes in the fall and doesn’t start running again until spring, which would leave just online request orders. The second is the cold weather and snow causing people to travel less and not attend as many events as they might in the spring/summer/fall when it’s warmer.
Q: Are there any competitors in the market for your high tea kit business? Who are they?
A: To my knowledge, there aren’t any competitors for High Tea Kits operating in the proposed style I have created. The closest competitors would be any bakeries or home entrepreneurs making individual items of a similar nature.
Q: Is it a potentially profitable business or how you are going to make consistent profitability in your business?
A: High Tea Kits has the potential to be a profitable business if managed and executed correctly. The best way to ensure consistent profitability for the business is to make consistent quality products safely and productively, market effectively through social media and manage the costs appropriately to reflect the growth of the business (E.G. raising prices if necessary).
Q: Could you explain any changes you think will help the business grow, introduce new baked items, or any new packaging after a year?
A: New growth ideas can be found on the executive summary page, but new products/packaging will be on the table as the years pass. I am currently not able to list all of them as they will be developed as the business progresses.
Q: What are your profit improvement plans in winter as the farmers market going to be closed and winters are dull?
A: More emphasis will be placed on the online order and custom order section and exploring partnering with some local small shops or organizations to sell kits at out-of-season holiday events to keep business going in the winter.
Q: Could you elaborate on the customer acquisition and retention strategies, particularly regarding online sales and social media promotion, to ensure sustained growth beyond the initial years?
A: Things such as repeat discounts, regular advertising through multiple social platforms, and holiday discounts along with other ideas such as the proposed growth ideas in the executive summary, or any additional ones may be offered to customers depending on what is realistic and able to be implemented.
Q: Is there any preference for removing the few ingredients according to the customer’s needs before ordering as a few might have allergies?
A: Customers will be warned that potential cross-contamination of ingredients could occur, but they can also request certain treats that are in line with their allergy needs if they are making a custom order. Until the business grows to handle it properly, regular HTKs will not be allergy-friendly as they contain many allergen ingredients.
Q: How would you ensure the freshness of products, mainly pastries, during online orders?
A: All products made for online orders will be made-to-order, as in they will be made upon the receiving of the order and with a 2-3 day delay to accommodate baking time. This will be advertised to customers when they go to order to avoid confusion.
Q: Are any themed kits able to be made, especially during Halloween, Christmas, and Easter times?
A: Yes, Themed kits for holidays would and could be made to suit customer needs along with regular sale around said holidays.
Q: Is there anything like labels that mention on the kits which include the sugars, fats, carbs and calories per gram, any colours and flavours?
A: While I don’t have the current knowledge or access to exactly say so, all HTK’s will come with ingredients lists and when customers are custom ordering/browsing our website online, an information section will be available for curious customers to review to see what our products are made of. More specific labelling per treats would have to be further researched to see how feasible it is to include them for every treat, but is definitely an option.