Are you thinking of starting a new D2C business? The on-demand delivery industry has grown so big, that the number of options can be indeed overwhelming.

How do you stand out among the crowd and find an industry that suits you best? Online cake delivery is an excellent idea if you are looking to start as a small business owner and expand over time with low risk.

Having an on-demand cake delivery can sometimes even be possible from home, without a large capital.

However, if you own a local pastry shop, then having an online delivery option is also going to expand your horizons and increase the number of potential customers in the local area.  

According to statistics, the cake sector was valued at USD 42.94 billion in 2019 and is expected to increase at a CAGR of 3.3 percent from 2020 to 2027.

The cake industry a great idea, simply because the demand is continuous, and as the lockdowns are coming to an end, celebrations such as birthdays and weddings are increasing in demand.  

Aside from the expanding cake delivery industry, it's also important to consider the impact of the pandemic on cake delivery fluctuations.

Due to a decrease in gatherings, the cake sector experienced a considerable fall at the start of 2020.

However, as things began to open up, the delivery of pastries and cakes grew more popular than ever, as individuals began to hold more and more celebrations at home rather than eating out. In this post, we'll look at some of the latest developments and business model shifts affecting the cake D2C business.

On-demand product and service delivery is continuously increasing  

If you're a local pastry business wanting to get new clients in a hyper-local area, it's critical to invest in an online platform that allows you to deliver your items at a specific time and date.

Many consumers were accustomed to having on-demand food delivery at their fingertips and began to expect the same convenience in other services, such as purchasing cakes for a special occasion.

According to PWC, the overall on-demand delivery market is going to reach $335 billion by 2025, accommodating 22.4 million users annually. Of course, this is a great opportunity to apply the same tactic for pastry delivery. 

The brand-specific business model is becoming more popular 

There are several platform models when it comes to on-demand cake delivery. One of the most popular ones is called the brand-specific model.

This business model entails creating a tailored app for a specific brand. It assists a particular company in reaching out to new clients and accelerating business growth. In addition, it eliminates any involvement of a third-party service provider.

This business model is increasingly popular among business owners, as it 

Low start-up cost 

The initial investment for starting a cake delivery business is relatively low, and sometimes can even be done from home.

The ingredients and components of the business do not require large capital and can be almost risk-free. If you are a local pastry shop, the key to good marketing is the word of mouth and loyal customers.

This type of marketing does now require a lot of investment. However, it does require quite a bit of creativity, including ways to build strong relationships with local customers.

This can include incentives, like loyalty discounts, memberships, and personalized offers, available on your D2C online platform. 

Technology is now available for any business size

A couple of years ago, having your own application seemed like a very complicated project, that is reserved for IT experts.

However, it is no longer the case and affordable technology providers became more and more available for business owners.

Even if you are only starting out your cake business from home, having a delivery website that will visually represent your brand is very attainable.

The benefits of bringing your business online are endless, including having an excellent order management system that is going to facilitate keeping an overview of your inventory, costs, and customers’ favorites. 

If you are a local cake shop owner, having an application is going to expand the potential scope of customers and allow you to increase the scope of your operation, such as in other areas of the city. 

Do not wait to start your on-demand cake delivery business

Even if your business is just starting out, the most important part is having the right software and an accessible online platform in place.

A company, such as Ordering, is the perfect starting point to get your website up and running in less than a week, without any coding or design skills.

Whether you are a brand-new startup or an established company, having a visually pleasant and easy-to-use website and application, will bring your cake delivery to the next level.