How to Start an Ice Cream Shop in USA in 2022?
Ice cream stores offer customers the luxury and the opportunity to indulge in frozen delicacies. Many stores sell soft foods or traditional ice cream as well as custard, gelato, sorbet, frozen yogurt, and natural ice cream. Some also offer milkshakes and smoothies. Many ice cream shops offer a wide variety of flavors and flavors, giving customers more choice and access to premium products they would not have in their refrigerator at home.
There are many business models in the ice cream shop available today. The traditional model, where servers make ice cream and prepare sundaes, remains popular. But there is also a growing “self-serving” model in which customers adjust their sundae and pay for sundae weight. According to IBIS World, the ice cream shop industry has recently grown, and the industry is projected to continue to grow in the coming years. From 2014 to 2019, the industry grew by 1.8% per annum, and the number of businesses increased to 14,040. The number of employees has grown to 124,191. In 2019 alone, the industry brought in $ 5 billion.
That growth is due to many factors. At the same time, the individual’s blood sugar level and milk consumption have increased, which means that more people are enjoying desserts, such as ice cream, than in previous years. The years 2014 to 2019 also saw an increase in revenue. Many shoppers have the extra money needed to buy fresh ice cream in stores, while they are more likely to buy gallons of cheap ice cream at a store if the cost is low.
Table of Contents
1. Decide on a Business Model
Wondering how to start an ice cream business but not sure where to start? Your first step will be to decide on a business model. Want to start your own private store or buy a franchise? Each model has its advantages and disadvantages, for example, franchise costs can go up to buy, however, you will get more support with different products, design features, marketing, advertising materials, etc.
Starting your own business may not be so expensive. previously, the trade had no support from a parent company or franchise. Unlike a franchisee, you will have to manage everything from acquiring a product, deciding on your menu offering, etc.
2. Do market research
No matter which business model you choose, you will need to do your research to ensure a successful business. What is your demographic? What competition is there in the area? How will you market/advertise your business? Where will you find your product? Gathering more information about these types of questions will help guide you on the road to owning/running an ice cream business. Additional factors to consider are:
How would you rate the price of your products? What can you expect from foot traffic/sales?
How successful are your competitors? How do they market their product?
An ice cream product is not the only thing you need to find a source; do not forget about napkins, spoons, utensils, cones, toppings, etc.
3. Get your Business Insaurance
The ice cream parlor will require several insurance policies to be fully covered:
General credit insurance helps to protect the store if any customers are ever harmed while on-site, such as slippery or fall. This policy usually covers costs such as legal costs and medical bills.
Commercial real estate insurance protects the store in the event of its building, equipment, and fire-like event damaging the inventory.
Employee compensation insurance helps pay for expenses such as medical expenses or lost wages if an employee has been injured while on the job.
The cost of insurance will depend on many factors, and the location of the store, the value of the property, the value of its assets, and the number of employees can all affect the price. Asking for quotes from many insurance providers is the best way to get an idea of the cost of insurance and get the best policies in store. When comparing quotes, pay attention to variables in policies such as cover and exclusion limits, premiums, and deductions.
4. Find Your Location
As the saying goes, everything is everywhere! Decide on a functional and functional environment for your business by considering factors such as accessibility and comfort for your customers, other local competitors, nearby foot traffic sources such as schools, supermarkets, and business centers. Doing your best during the research phase will go a long way in determining your location.
5. Hire your Employees
Any ice cream shop will need at least a few staff members to keep up with demand during busy hours. Indeed reports that ice cream store servers earn an average of $ 8 per hour. According to PayScale, the average management of an ice cream shop earns an average of $ 12 per hour.
Employee salaries are just one expense that comes with employment assistance. The ice cream shop may need to budget for personal computer insurance, paid vacation time, and health insurance contributions for full-time employees.
6. Create your local Marketing Plan
A good store location will help generate pedestrian traffic, but many stores rely on advertising to help reach potential customers. Marketing strategies may include the presence of a social media platform, printed advertising, and online advertising. Local food and ice cream competitions and festivals also provide a way for ice cream shops to connect with potential customers. Marketing costs will depend on the type of services provided, but shop owners who can do at least some of their marketing activities can help keep costs down. But following are some of the best techniques which can help your marketing to grow next level :
7. Source Resources & Create Your own Menu
Lastly, before you have a good opening and start selling your world-famous ice cream, you will need to decide which product to use. The online portal offers a variety of soft ice cream machines to suit the needs of your large or small business, but how do you know which model will suit your needs?
And once you have decided on the perfect machine for your business, how are you going to build your menu/product offering? Enrestro offers free consultation services to help determine the right fit for your business and can also help build and organize offers menu!
Marketing Tips
- Make your eye-catching logo stand out. Put it on your truck, flyers, and online.
- Create a colorful menu board. You will want to make sure that your menu is readable, appealing, and clearly shows your food.
- Create a website that includes your common places, photos, and the “About Our Company” section.
- Create social media accounts where customers can be notified about events, see photos, and engage with your business.
- Find different places for your food truck. Initially, you will want to explore different areas to find out where your business fits. Once you have determined the best places, visit them regularly to get the recognition of your customers’ names and backgrounds.
- Just for public events like cooked parties and local food truck festivals. These events will make customers familiar with your business.
- Sell the product with your logo or slogan on it. You can donate T-shirts, travel cups, and stickers for customers to purchase from your truck or online.