Masalitin

Innovative marketing of quality bread to the population


The company was established in 1997 at which time they owned one kiosk selling bread and bakery products. These products were bought from two Kharkiv bread baking plants and transported to the kiosk by the company-owned vehicle. The outlet became very popular in the district, and in May 1997, an additional kiosk was opened. The operation was profitable so the  company began to create a network of bread kiosks in the Dzerzhynskyi district of Kharkiv.  By the autumn of 1998, the enterprise owned 15 kiosks selling bread and bakery products made at the best Kharkiv bread baking plants. Because of the problem of unreliable shipments of bakery products, in 1998 the company bought a former food store (200 square meters) and reconstructed it as a bakery shop (capacity – 5 tons of bread per 24 hours). It began operations in April 1999. No harmful additives are used. Due to the continuous production cycle, the company ships products to its outlets 4-5 times a day.

At the beginning of 1999 the company expanded its trading network by opening bakery stores. The enterprise rented 11 plots and began to build its own trading facilities. In March 2000 it opened 3 bakery stores.  The brand name on each shop is "Kolocok".

At present, the company has bakery production, 26 kiosks in the Dzerzhynskyi district of Kharkiv, and 11 bakery stores are under construction.  A new production plant that will produce 35 tons/day is under construction. 

The company provides the following:

  • 96 varieties of bread products 

The main concept is that bread is a staple and can be sold in quantity to the population who will come to a shop that provides high quality products at a convenient location. This certainly seems to be the case. The shops appeals to all economic levels of the population.

At the shops they sell mainly bread with only a few other items being offered.  Bread is delivered 4-5 times per day to the shops so is fresh and warm. There are 95 products in total and these represent the complete range of customer bakery needs. Vasyl Masalitin acknowledges that this was a risky strategy, but it is now working well. There is no competition at the moment. Three of the shops are in operation and 4 more are in final construction stages. Several more are planned. Each shop has an area of 40 square meters, takes 3 months to build.  Every detail appears to have been considered. They also have movable kiosks that can be moved to different location and the market location tested. This plan is working well by virtue of the fact that there is a continuous stream of customers to each site who are served continuously. Customers come to one of five possible windows and get served, much as they would at a McDonald restaurant. The number of windows open depends on the length of the line and the number of available staff. The busiest shop sells to 5,000 customers a day and another to 3,000.

Contact
Vasyl Masalitin
Postal address
Masalitin
19-b, Lenina Av.
Kharkiv
Ukraine

 

 
Telephone
+380-572-19-45-53
FAX
None
Electronic mail
N/A
Information supplied by the company February 2000.   Page last updated: January 19, 2004

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