Bakers battle for biggest slice of high street trade

Coffee shop and Greggs shop signsImage source, Richard Youle | LDRS
Image caption,

Having a multinational competitor move next door "toughens you up", says coffee and pie shop owner Billy Howes

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"You do have to back yourself."

That's the message from independent pie and coffee shop owner Billy Howes, three months after bakery giant Greggs opened next door.

"I had a conversation at the time with a guy who opened a hardware store and then Screwfix opened next to him," recalled Mr Howes who runs Motley Pie & Coffee in Gowerton, Swansea.

"He spent months panicking but he said it sent business through the roof because it brought more trade.

"He said, 'don't worry, it's going to be good'. Sales-wise, we are trending in the right direction," said Mr Howes, 29, from Llanelli.

Image source, Richard Youle | LDRS
Image caption,

Billy Howes: "People are willing to spend a bit more to have something a bit nicer"

The shop has been based at a former tanning salon since the start of 2022, after initially starting as a home bakery during the pandemic.

The business has since expanded and with co-owner Laura Minns, they opened a second outlet in Pontarddulais last Christmas and run a food trailer at Swansea’s Morfa Retail Park, employing 10 people in total.

But it was last autumn they learned they would be facing some extra competition from Greggs in Gowerton alongside south Wales family chain Jenkins Bakery.

Greggs sales went up by almost 20% in 2023 with profits rising to £168m, coupled with opening a record 220 stores - and another 170 are planned this year.

"It toughens you up," said Mr Howes. "Buying habits changed after Covid.

"Even though there's been an economic downturn I feel people are willing to spend a bit more to have something a bit nicer."