You start an ice cream business not just to make people happy, but also to make a profit. Before launching any business venture, it is important to gain insights about the potential income that you can make from selling the well loved ice cream and other frozen goodies.
An ice cream shop owner can make $20,000 to $49,000 per year. These sales figures may be increased by doing events such as pop ups, catering, and trade fairs. You can also make more sales from online selling and during the peak season. The various ways to boost sales are by selling ice cream in large quantities, upselling products, and investing in gimmicks.
Continue reading to know how much can you make running your ice cream shop and several ways how to further increase your earnings.
Average income of an ice cream shop
Even if you only operate one ice cream shop, you can anticipate having a revenue stream that is adequate for your needs. After deducting costs such as wages and supplies, the owner of an ice cream shop can make anywhere from $20,000 to $49,000 annually.
On the other hand, you will be able to take home a larger share of the profits if you manage the store on your own to reduce salary expenses. Also, if you reside in a warm climate and maintain year-round business hours, you’ll be able to bring in a bigger income.
Here are some additional ways to boost an ice cream shop’s profitability and earnings.
Average Profit Margin For Ice Cream Shops
Sales from events
In the worlds of marketing and business, events have never been more significant. Some people believe that events are crucial to the success of their business and have helped them obtain a better grasp of how customers perceive their products.
The following are gatherings that are well worth your time and money that can bring in the most potential customers and sales.
Pop-Up Events
Whether for a single day or several weeks, a pop-up event can be the ideal way to attract media attention while engaging with your customers. Pop-ups can be used in conjunction with a major product announcement or merely to increase brand awareness. They have been deployed in so many different ways that the possibilities of increasing sales are truly unlimited.
Catering
Shops that offer ice cream catering can often charge around $400 up to $1200 for an event with 50 guests. It is a fantastic and one-of-a-kind approach to set your shop apart from others and draw more attention to it. Attending a party with an ice cream catering could be lots of fun since it provides that certain something extra. After all, it is well known that ice cream will almost certainly result to guests flashing a smile on their faces during the experience and you leaving the venue with extra bucks in your register.
Trade fairs
Exhibit your products at an industry-specific trade show. Trade fairs provide the possibility to make industry relationships in addition to gaining a large number of potential customers and increase of sales.
If you plan to introduce your product and sell at a trade expo, you may very well steal the show with your ice creamy treats.
Four Usual Ways To Promote Your Ice Cream
Sales from online selling
Yes, ice cream may also be sold via online platforms and it has been proven to be a profitable method. The popular ice cream brands Ben & Jerry’s and Magnum of Unilever recently reported an increase of 26% from their at-home sales.
Everyone enjoys ice cream, which is why, regardless of the weather, they are always popular. If you own a traditional ice cream shop and want to enhance your profits through online sales, now is the time to begin. There are numerous advantages to launching an ice cream business online, including a larger audience, higher profits, and lower initial investment.
Sales during the peak season
The summertime is the busiest time of the year for ice cream businesses, with the majority of these establishments producing 40-60% of their yearly sales and annual profits for this period at 80%. Moreover, an estimate of $200-$500 may be earned during hot summer days when ice cream production and consumption are at the highest.
As the seasons change, customers anticipate their preferred warm-weather treats. Ice cream, which consistently rates as one of the most popular spring and summer desserts, continues to appeal to customers, especially when these items are boosted with a wide variety of customization choices.
Purposes and Goals Of An Ice Cream Shop
Ways to boost sales
There are numerous methods for boosting sales, based on your industry, target market, and business objectives.
Sell ice cream in large quantities
Selling several kinds of ice cream by the gallon is a great strategy to boost sales. Some customers enjoy buying ice cream in large quantities to stock up for later consumption. Do something original to encourage people to make bulk purchases, such as offering discounts for buying multiples of ice cream in a certain size.
Upsell your products
You can potentially increase sales by convincing all of your customers to buy yet another product or to opt for certain upgrades. It’s easy to increase sales by asking them if they’d like an extra scoop of ice cream or additional sprinkles on top, or 1 more spoonful of choco syrup.
Invest in gimmicks
Customers adore products that generate a lot of attention. Offering them the chance to try out a new flavor or win a free scoop is a sure bet. An entertaining gimmick is all that is needed.
Giving freebies for customers who participate in a contest, such as posting on their Instagram account and tagging your shop, is one type of gimmick that ice cream shops may use to attract new customers and keep the ones they already have coming back for more.
Conclusion
An ice cream shop owner can make $20,000 to $49,000 per year. You can increase your ice cream sales by doing events such as pop ups, catering, and trade fairs. Also, you can make more sales from online selling, during the peak season and by employing various ways to boost sales such as selling ice cream in large quantities, upselling your products, and investing in gimmicks.
Five Tips For Buying An Ice Cream Shop
Frequently Asked Questions
When it’s chilly outside, people typically have less desire for cold desserts like ice cream and frozen snacks. During the winter months, many ice cream parlors notice a decline in customer traffic, which leads to a drop in profitability.
If you have a passion for ice cream and enjoy interacting with others, an ice cream business can be a terrific start-up. Depending on your budget, you can operate your business from a cart, a truck, or a storefront.
To learn more on how to start your own ice cream/gelato business check out my startup documents here
This blog post is provided for informational purposes only. The information contained is not intended to constitute legal advice or to substitute for obtaining legal advice from a qualified attorney.
Hi! I am Shawn and I am a happy individual who happens to be an entrepreneur. I have owned several types of businesses in my life from a coffee shop to an import and export business to an online review business plus a few more and now I create online ice cream/gelato business resources for those interested in starting new ventures. It’s demanding work but I love it. I do it for those passionate about their business and their goals. That’s why when I meet a ice cream/gelato business owner, I see myself. I know how hard the struggle is to retain clients, find good employees and keep the business growing all while trying to stay competitive.
That’s why I created Ice Cream Business Boss: I want to help ice cream and gelato business owners like you build a thriving business that brings you endless joy and supports your ideal lifestyle.