- IoT empanada machine CM05i
- Semi-automatic empanada machine CM05S
- Empanadas and arepas machine CM06
- Wheat empanada machine CM07
- Multifunctional empanadas and arepas machine CM06B
- Mixed empanadas and arepas machine CM08
How to reduce empanada costs
Colombian empanadas have become one of the most beloved and popular dishes across the country, and their versatility allows for widespread consumption. they create the opportunity to establish a significant number of successful businesses that produce this food.
In Colombia, around 12 million empanadas are consumed daily, mainly in Bogotá, Barranquilla, Medellín, Manizales, and the Valle del Cauca department, providing small and medium-sized entrepreneurs with the opportunity to venture into one of the symbols of the country’s gastronomy, as recognized by Marca Colombia.
According to the International Standard Industrial Classification (ISIC), empanadas fall within the food and beverage sector, representing between 22% and 24% of the country’s industrial Gross Domestic Product (GDP), as evidenced over the past 20 years.
Creativity is an essential aspect of successful businesses, in Colombia there is at least one type of empanada for each region. The combination of ingredients creates an innovative and unique product rooted in regional culture and local traditional foods, all while meeting quality standards and delivering a distinctive gastronomic experience for the customer.
Cost of empanada in Colombia
According to the Inflation Report (now called the Monetary Policy Report) recorded in 2019 and published by the National Administrative Department of Statistics (DANE), the cost of empanadas increased by 3.94% as a result of changes in the cost of living.
To determine the cost of an empanada that generates the expected profit for successful businesses, two variables must be taken into account: the costs of raw materials, which includes all the ingredients needed to produce the product; and the costs fixed costs such as rent, utilities, infrastructure expenses, and employee payroll.
The cost of raw materials is calculated based on the projected number of empanadas to be sold and the quantity of ingredients purchased. These costs may vary further if the raw materials are bought in bulk, which helps reduce their price.
In relation to the costs these are determined on a monthly basis, taking into account the number of employees responsible for producing the empanadas, the machinery required for the preparation process, and the location of the point of sale or any branches, if applicable.
How can these costs be reduced?
One of the keys that successful businesses apply in their models is the strategy, understood as the way the product will be sold by setting a profit margin that allows the projected profitability to be achieved. Therefore, focusing on strengths, trusting in human capital, and delivering excellent service is essential to meeting objectives.
For empanadas to be positioned among successful businesses, in addition to creativity, innovation, and quality, it is essential to have a sales force that responds effectively to the market. You must understand your customer—their preferences, purchasing power, and, of course, which type of empanada they like.
In the case of distributing Colombian empanadas—and considering that this product is one of the most sought-after gastronomic items in several regions of the country—it is important to focus on consumer satisfaction, which leads to increased sales. In other words, maintain product quality and develop strategies to ensure that projected profitability is not affected.
Taking this into account, it is possible to achieve a reduction in the cost of empanadas in Colombia by increasing production, which would allow for more cost-effective raw materials when purchased in bulk. This would be reflected in the final price of the product.
With a more affordable empanada for consumers, the next step is to drive higher consumption. This fulfills the relationship: the lower the selling price, the higher the number of purchases, resulting in greater business profitability.
Opportunities for successful businesses
The empanada business is considered one of the most profitable, given that it requires low investment while having high demand, as it is one of the most popular products in the country and worldwide—especially in Chile and Argentina, where it is considered one of the most widely consumed foods.
Excellence in both service and the product offered must reflect consistent quality. This ensures a solid foundation for increasing sales and, consequently, profitability. The gastronomic world has become one of the most demanding sectors among successful businesses.
The empanada business cannot be left out of marketing strategies, successful businesses have focused on distributing their product in an efficient way, in the case of empanadas, their distribution has been characterized as mass-scale, which allows for a strong sales force. However, without a doubt, labor is the most important factor when highlighting successful businesses, as human talent plays a major role in customer satisfaction and large-scale distribution. In the gastronomic field, they are the ones who ultimately delight the consumer’s palate.