Project 1 - Juice Bar Data Collection - Ellie K./Taylor A., Eman C.

1. The fitness and health industries have been on a growth rate on average almost 8.7% a year. Smoothie King has reported a 25% increase in sales, and in 2021 opened over 100 new stores. According to a Nielson study, 88% of consumers are willing to spend more in order to eat healthier. All of these are beneficial for our business start up. Since our target customers are healthy individuals, it could be better to go for less of a fast food type idea and more of a healthy alternative to said fast food restaurant.

2. Dyer/St John Area:

One area that may attract the type of customer that would drink juice is near a gym or health club. There is an Anytime Fitness at 262 81st Avenue in Dyer,

Indiana. Having our juice business around here could be lucrative as it is not only near Anytime Fitness, it is also near a fitness center called

Neighborhood Fitness by Debbie. These two gyms could bring in many people looking for healthy food options. Around this area, there are no other

health food stores. There is a pizza place, a Mexican restaurant, and a frozen yogurt shop. I think our business would thrive here since none of these

places offer similar services. At 425 Joliet Street in Dyer, IN, there is a restaurant called Clean Eatz, which has healthy alternatives to other foods. They

also provide meal plans for their customers. We could do something similar to this.

3. Failure Rates:

Overall, fast-food and health and fitness businesses do not have the best success rates. Approximately 60% of fast-food businesses fail in the first year. On

top of that, 80% end up failing in the first five years. This means that only around 20% of fast-food restaurants end up succeeding. The statistics for health

and fitness businesses are even worse as around 80% fail within the first year. Also these statistics are pretty depressing, it’s been found that the few

businesses that do succeed typically experience fairly long-term success.

4. Common products offered by juice bar businesses:

Juice bar businesses have very diverse menus and offer a variety of healthy options. Besides the obvious juice, many juice bars offer smoothies. These

smoothies can range from the generic flavors such as strawberry banana, mango, strawberry kiwi, etc… to protein smoothies, to workout smoothies (with

different types for different fitness focuses). Also there are different types of teas, lemonades, and coffee drinks including frappes, lattes, or iced coffees.

Juice bars typically don’t just offer drinks. Some snacks that are offered include different types of trail mixes, yogurt pretzels, protein powder, and granola

and protein bars.

Analysis

1. There is significant evidence that juice will be a profitable business in the future. Juice cleanses have been popular amongst the fitness community for the past few years. Green smoothies and juice have shown to be very beneficial for the body. People trying to become more healthy will want to try out these types of drinks. It has been reported that the average revenue of a juice bar can be from $100,000 to $600,000. The amount of work and staff required for juice restaurants is much lower than other restaurants, which also contributes to the overall profit. This type of business is very specific, so it might be hard to cater to a lot of different groups of people. However, we are planning to offer more options than just juices, such as smoothies and bowls.

2. There are many advantages to starting a juice bar business in Dyer, Indiana. First of all, there are many high school age students in the area who would definitely be interested in a juice bar. Second of all, businesses have been thriving in Dyer, and new businesses continue to pop up which signifies that business is growing, not dying out. There are some disadvantages though. One disadvantage is that Smoothie King and Dunkin’ are not too far away from where our business will be located. Since they have been there longer, they will provide heavy competition. However, they have different menu options, so our business should still turn a profit.

3. Joy in Juice: Logo

4. Our business concept is to start a juice bar in a high traffic area of individuals working on improving and maintaining their health. We would sell nutritious drinks and have a wide array of options for anyone trying to be healthier when eating out. The bar would be marketed as an alternative to fast food restaurants in the neighboring area. We would be the closest juice and smoothie bar to the gym and we will be able to turn a very healthy profit.

Websites Used

• https://www.webstaurantstore.com › article › start-a-juice-...

• https://pos.toasttab.com/blog/on-the-line/restaurant-failure-rate#:~:text=The%20restaurant%20failure%20rate%20is,t%20survive%20their%20first%20year.

• https://www.restaurantbusinessonline.com/study-consumers-willing-pay-more-healthy-foods