The Better Baker
Interview with Dr.-Ing. Markus Schirmer, CEO of coolback GmbH
There's hardly anything that boosts the endorphins of the Germans as quickly as the smell of good bread or biting into a delicious bun. In the past, visiting the local bakery was the norm, but today many of us quickly grab something from the supermarket or gas station. The desire for high-quality baked goods remains unchanged. And that's the business of coolback.
Wirtschaftsforum: Mr. Dr. Schirmer, you bake rolls on a large scale. Can one say that?
Dr. Markus Schirmer: Certainly, that's the appropriate scale. At our place, three million baked goods leave the production daily in Brandenburg. We now have three locations including production around Berlin and employ 750 workers.
Wirtschaftsforum: That's quite a figure. How did you get there?
Dr. Markus Schirmer: The company has been around since 1999 and initially wanted to go towards the food service direction – gas stations, train stations, etc. But it quickly became clear: the retail grocery sector is the right playground for us. Baked goods for bake-off shelves, freezers, and eventually in Multi Atmosphere Packaging for reheating in the regular sales shelf, that is the path we have forged. Today, we are among the top players in Germany in the small baked goods sector and our products are offered in every relevant supermarket and discount store.
Wirtschaftsforum: It seems that coolback has set its sights on the superlative. And that in a market that is certainly also shaken by the current crises. How do you manage that?
Dr. Markus Schirmer: First, through diversification alongside organic growth. During the pandemic, bake-off shelves stood still in some places, making it obvious to reach for frozen and packaged baked goods. We were able to fully cushion this product shift phase and even grow — the MAP area has literally skyrocketed. Our product diversity within the range has certainly helped as well.
Wirtschaftsforum: And then the war-related crisis came with energy and raw material prices, which forces many in your industry to their knees. How can you cushion that?
Dr. Markus Schirmer: We are not just any baker around the corner. There, the decline has set in, clearly. The current shift is towards the middle price segment, where we are located. So, we benefit from this development, but at the same time, we have to calculate even more forward-looking into the future than before.
Wirtschaftsforum: And does the calculation still add up?
Dr. Markus Schirmer: We have a very big advantage in our market segment: Our proven quality. That has always been the driver behind our growth. The consumer buys the price-performance ratio that tastes best to them, and that's the case with us. As executives, we have a lot of experience in the industry and therefore know about this benefit.
Wirtschaftsforum: What is it that tastes so good to the end consumer?
Dr. Markus Schirmer: Our bestsellers are classic wheat rolls in MAP packaging and the TK garlic butter baguette. By the way, gluten-free baked goods under the label ‘it’s free’ from our own factory are also in the portfolio, just like sourdough and organic baked goods.
Wirtschaftsforum: Organic brings us to the topic of sustainability, a real issue of the future. How do you look at the future at coolback?
Dr. Markus Schirmer: In terms of sustainability, we are currently looking at plant-based coatings in the TK packaging area. Growing internationally is also an important point for the future: Poland, Scandinavia, and Austria are almost on our doorstep.