A £3M investment at Kate’s Cakes will convert a storage area into a third manufacturing facility and underpin a marketing plan that is set to drive sales of the company’s own-brand cakes in 2009.
The new manufacturing area will include automation where appropriate - such as in packaging and labelling, which are currently all done manually. Meanwhile, Kate’s Cakes is also looking at several options to replace its current storage facilities. These may be moved off-site or transferred to a new facility built on its existing site at Ashington in West Sussex.
“We will be expanding the workforce, but not at a rapid rate,” said Tim Breden, head of operations. “The point of the automation is to free up workers, so they can go and work in the third manufacturing area once it is up and running.”
The new manufacturing facility is expected to be in operation by the end of next year, making jam tarts together with other types of products that have yet to be decided, said Breden.
“One thing that we do recognise is that, up until now, the brand has played a secondary role in the business,” said Breden. “So there will be a marketing drive in 2009, and we will be looking at potentially appointing a company to manage the brand - both the marketing and PR.”
Kate’s Cakes is also currently taking advice to decide which information to include on its packaging, such as the use of carbon labels and the company’s use of green energy, recyclable packaging, free range eggs, plus its ‘free-from’ brand status.
“We need to establish what is important to consumers and which messages they are interested in seeing,” added Breden.