Crisis hinders expansion plans and candy stores adapt to survive

Sao Paulo-the crisis has damaged the expansion plans and the income of several candy stores in Brazil. Even established industry brands had to dry the expenses in the period to survive. Seeking to maintain margins and remain high after the recession, they have diversified the performance, and are keeping an eye on new markets.
Present in Brazil since 2006, the Argentine company Havanna is a good example of this turn in business. Known for traditional alfajor, your the network changed the focus in 2016 and now, in addition to candy, its units sell items from the cafeteria and snacks like empanadas typical of Argentina, snacks and sandwiches. "Since last year, building on the vision of our business and this has given us stability and an improvement of revenues", says the ceo of Havanna Brazil, Diego Schiano.
With 44 operations currently, that are scattered in different models and niches, such as airports and bookstores, the Havanna Brazil aims to maintain high of 17% in sales compared to last year, reaching the mark of R $80 million at the end of 2017. Working with the model of franchises from 2014, the network outlined a plan of expansion that aims to be with 320 units until 2022.
To fall in like the Brazilian, the network plans to introduce the "Alfajor day" in the country, which would be celebrated every day on September 14. "Little by little, being more intensified alfajor in Brazil. It''s still not something like chocolate for the Brazilian, but the product is increasingly known, "admits.
Reference in the market of cakes in Brazil, the Sweet Sodiê your savory factory recently opened in a sum of R $4 million. With that, the strategy is to maintain the profitability of the franchisees of the network and not rely on both the savory vendors. "The factory was started in May. After three months, we got great results. Is another project that is working and will turn on expansion of Salted Sodiê ", says the Director of Sodiê Sweets, Cleusa Silva.
With wide experience in the national market (287 stores), the Sweet Sodiê obtained a revenue of $280 million in 2016 R. The growth target for sales this year, however, is shy: only 3%.
Warning sign
"Our expansion crashed. We''re opening some stores with some franchisees, losing a bit of margin, and administering any defaults, "says Molefi who, concerned with the scenario, he adds:" in the crisis, stalling [turnover] is considered victory for me. "
Reflection of the recession, the franchise network Love to pieces saw your billing compromised and had to shut down some operations in recent years. "In 2016, opened eight units and close four. Due to the crisis, which affected all parts of the country, we had a change in direction, as the distance of some franchisees, and that created a problem of falling turnover, "acknowledges the expansion Manager of love apart, Julius Valeriano.
To maintain profitability in the months without seasonal dates love to pieces holds special events, like your Strawberry Festival, to attract customers. "We are working hard with the dates of retail, with cakes and specific campaigns for all holidays. In addition, we have events that bring news related to fruit, as the Summer Festival and the Strawberry Festival, "he says.
Swimming against the tide, the network of handmade cakes Cakes of Cecilia grows gradually. In order to earn R $6 million this year, up 50% before 2016, the company celebrates the brando reheating of the economy in 2017. "There''s always been a crisis, but we got through it with responsibility. Although we are far from ideal, I see traces of a bright future ", design partner network cake in Cecilia, Fernando Mattos.