HR Strange But True!
July 22, 2010
Unemployment rates across the nation have been high for some time, but not all industries are suffering. Some businesses in one particular food industry seem to have their own recipes for sweet success.

So how do these employers thrive in a weak economy? They appeal to their customers’ sweeter side with their product, cupcakes. Cupcake shops and cupcake delivery services have withstood the hardships of the recession, and are actually creating jobs, reports a Wall Street Journal Blog.

While some people believe that the cupcake business is simply a trend, owners beg to differ. “It’s kind of an indulgence and the price point is still low. For three dollars people can buy something for themselves instead of spending 100 bucks on a dinner and still feel like they’re treating themselves,” says Butter Lane bakery owner Pam Nelson.

Nelson’s bakery grew from 6 to 20 employees in the past 18 months, at a time when some employers were in a hiring freeze or downsizing.

Bakery owners are also taking steps to diversify their products to ensure their customer base grows. Now, cupcakes are no longer just a traditional feminine treat. For example, clients of Butch Bakery, a cupcake business started by a laid-off Wall Street attorney, order from a list of surprising flavors, including Tailgate, B-52, and Beer Run!


Wall Street Journal (blog)

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