The True Cost of In-House Baking vs. Wholesale: What Coffee Shop Owners Need to Know

For many coffee shop owners, the idea of baking in-house is appealing. There’s something special about serving pastries made right behind the counter—warm, fresh, and full of story. But the reality? Running even a small pastry program is a complex operation that can quietly drain resources, time, and profit margins.

Before deciding to take on baking in-house, it’s worth understanding the full picture—especially when high-quality wholesale options are more accessible than ever.

Labor: The Unseen Costs

The biggest, and often most underestimated, cost of in-house baking is labor. Hiring a skilled baker or training existing staff requires early start times, higher payroll, and increased management. And when things don’t go as planned—like an employee calling in sick—production can come to a halt.

With wholesale, pastries arrive pre-made or par-baked, allowing your team to focus on what they do best: making great coffee, engaging with customers, and running the front of house smoothly.

Ingredient Management & Waste

Running a pastry program means stocking a wide range of perishable ingredients—flour, butter, sugar, eggs, nuts, chocolate, fillings, and more. You’re not just buying ingredients; you’re forecasting demand, managing storage, and dealing with inevitable waste when sales fluctuate.

Take almond croissants, for example. They require multiple components—laminated dough, almond cream, syrup, toppings—and if they don’t sell that day, they don’t carry over well. A wholesale model allows for predictable ordering and consistent quality, which minimizes waste and helps maintain food cost targets.

Mini croissants

Equipment & Space

Commercial baking requires more than just a good oven. You’ll need mixers, proofers, refrigeration, ample prep space, and cleaning protocols—all of which take up space and capital. For small cafés or those in high-rent locations, every square foot matters.

Wholesale eliminates the need for much of this infrastructure, freeing up valuable back-of-house space for storage, service flow, or other revenue-generating uses.

Consistency & Brand Experience

Consistency is everything in a customer-facing business. When your almond croissant tastes amazing one day and falls flat the next, customers lose trust—and may not come back. In-house baking introduces variability, especially with staff turnover or limited training.

Wholesale options allow cafés to offer a consistent, high-quality product every day. This builds reliability and reinforces your brand identity over time.

Time Is a Resource

For many shop owners, time is the most limited resource. Running a business already demands attention to hiring, ordering, marketing, maintenance, and customer service. Adding early-morning dough prep and production management on top can be overwhelming.

Choosing wholesale doesn’t mean compromising on quality—it means making strategic use of your time and energy to grow your business, not just sustain it.

Final Thought

There’s no one-size-fits-all answer. In-house baking can be a rewarding path for shops with the right resources and staffing. But for many, wholesale offers a smarter, more sustainable way to serve exceptional pastries without the operational complexity.

Understanding the full cost—beyond just ingredients—can help you make the right call for your business, your team, and your customers.