Kostas Nikolopoulos is the president of the company Dolano Food, which is producing ready and ready-to-cook bakery. From cookies and sweets retailer, his company has succeeded to grow so much and to supply today some of the largest retail chains with its products and has millions of euros turnover per year. With serious efforts and enterprise that lasted 20 years, the company is an example that work pays back the brave.
Currently, the company management is striving to expand and promote their products abroad. Pizza basis in all forms, pancakes with delicious fillings, chocolate soufflé mini and small patties with sausage are part of the products of the growing company that wants to expand its presence in Bulgaria. Kostas Nikolopoulos told GRRepotrer about his successes and ambitions irrespective of the deepening crisis.
How did you start your business?
We have been working since 1991 when this was a small shop with its own production. Later we started the production of bakery products. Things went well, but the business was small. We expanded the business as much as possible in the beginning. Then we noticed that the interest in our products grew and decided to expand the production process too. With the establishment of the company there are no borders for us.
Twenty years have passed and you are not only on the market but are doing extremely well. How do you manage to deal with the tribulations of the economic environment for such a long time?
The truth is that we tried to seek new products for the local market from the outset. We analyze the market opportunities and compare the dynamics of the various products both locally and with the trends abroad. Our bakery was the first in the area that began offering whole-meal bread produced by a special technology. We offered it not only to our customers but also to other bakeries.
We grew the ordinary bakery to a shop, which we expanded later. After making a market research we found out that it was difficult for the companies that produce pizza base to make good dough. Good bread and similar products require experience, and we have it. So, we started working with major manufacturers which we supply with goods of bread base for their end products.
Which product was not popular in Greece but helped you develop the business?
It may sound strange, but ready pancakes were difficult to find on the market years ago. Cheese and other pasties, and croissants are popular in Greece, but pancakes with different flavours and fillings were not known. This was the only product that our customers did not have.
Which are your customers?
They are mainly companies that supply large retail chains and the supermarkets in the country. In fact, all supermarket chains have Dolano Food’s products, except the Sklavenitis supermarkets. These stores often have their own production of certain bakery products and our goal was not to duplicate or compete with them, but to offer something different to the customers and something that the end user would buy. So, we turned to the pancakes which were not an easy product initially because they were not present in the traditional menu of the Greeks. We created a high quality product to secure our market share and this paid back later. The Macro shops were the first to demand this product and other customers came to us later.
From a small family business you are now running a company offering its products all around the country. How many people do you employ currently and how much do you keep up with the international quality standards?
Currently the company has 17 permanent employees who participate in all levels of the company production and activities. The production process is optimally equipped with advanced technology. Our company is ISO 9001:2000 and ISO 22000 certified. The activity of the company complies with the safety requirements according to the Hazard Analysis and Critical Control Point (HACCP) from the quality management system at all stages of production.
What are your goals from now on?
We are trying to expand our business outside the country. Currently, about 80% of our production is offered on the local market and only 20% on the foreign market. Our goals are much greater than the possibilities of the Greek market and therefore we are currently preparing for a major expansion. Although we register turnover increase each year, we want to expand and that is why we strengthened the export department. Furthermore, we reduced the weight of our products which favours foreign demand. We have some products that are of interest to companies that supply hotels, restaurants and catering and we are currently working on similar projects for cooperation.
How do the crisis and the market stagnation affect you? Did you have to change the way the company operates to reduce the effect of the more severe market conditions?
The only changes that I made affected the end users, not the company. There is not much to cut or reform as a company, because we have taken care from the outset to automate the production. The change of the economic environment made the consumers to look for smaller quantities and that was the reason to resort to the so-called downsizing that is to reduce the weight of the product unit, which the buyers like best. On the one hand, small packages are more popular in Greece now because people do not buy the volumes that they used to buy years ago. On the other hand, the consumers in the foreign markets prefer in general smaller packages. Thus, we reduced the volume of the product unit but increased the sales. Our turnover for 2009 is around 5.7 million euros and 6.9 million euros for 2010. So, our business is well despite the crisis.
What is the reason for this?
The products we selected and are essential in our production are not those that the consumer would give up. In other words, they are not those that would burden the family budget. Our pancakes have their fans. You can buy it once a month, but you will not give it up.
What are your expectations for the next five years?
I think we would witness a clearing of the market soon, not only in Greece but also in Europe. In recent years, much greater value was given to things that do not deserve it. The living standard of many people is high but they do not contribute to the productivity of the country. Property prices increased but it is not clear why. There are other similar examples, especially in Greece. In the past 10 years, people lived in a world different than that they could afford with a monthly salary. The luxury that surrounded us was artificial and the time has come to put an end to this.
RSS
Facebook
Twitter
YouTube
