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South Africa, Consumer
Founded in 1991, La Zarza makes classic Mexican desserts and pastries from the highest-quality ingredients. Its cakes are preservative-free and sold in small stores that encourage customers to take them home or to the office. It distinguishes itself by selling affordable cakes without sacrificing the homemade taste customers prefer. Despite emerging as a market leader in south-central Mexico, La Zarza has positioned itself as a local player by operating 72 franchise locations across five states.
By investing heavily in marketing to build his brand and increase recognition, José Luis enjoyed sustained growth in sales of over 30% annually. His efforts have created substantial demand for his company to grow, spurring a plan to expand nationally to 600 stores, diversify La Zarza’s dessert offerings, and enhance its brand and customer experience. José Luis has already demonstrated the success of his business model with the success of his regional growth and is positioned to become a national brand.
In the traditionally fragmented market for desserts, La Zarza has developed competitive advantages with its ability to scale production and its strong reputation. La Zarza joined Endeavor Puebla at a critical inflection point as it prepares to transition to national distribution, which requires substantial capital. However, it enjoys a 98% brand recognition in the Puebla region which it can leverage as it enters new markets dominated by local artisanal bakeries.
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