A fruit juice shop is a small, informal restaurant where fruit juice and in most cases, smoothies are made and served to customers. Fruit juice is ideally 100 percent pure juice made from the flesh of fresh fruit or from whole fruit, depending on the type used. It is not permitted to add sugars, sweeteners, preservatives, flavorings, or colorings to fruit juice.
The most recent report available online shows that the number of businesses in the juice and fruit juice bar sector in the United States was 5,124 in 2020, down from the previous year’s total of 5,224. In 2022, employment in this sector was forecast to reach 5,255.
There are 5,373 Juice & Fruit juice businesses in the US as of 2022, an increase of 1.9% from 2022. The global fruit juice and smoothies market is projected to register a CAGR of 7.2% during the forecast period, 2020 – 2025. The rising health consciousness among consumers and increasing demand for convenience and value are driving the demand for fruit juice and smoothies.
Steps on How to Write a Fruit Juice Shop Business Plan
Table of Content
Fruit Solutions® Fruit Juice Shop, Inc. is an American-based and licensed fruit juice business that will major in preparing and serving different flavors and types of fresh fruit juices from a standard fruit juice shop. Our fruit juice shop will be located in a centrally located shop facility in the heart of West Sacramento, California.
At Fruit Solutions® Fruit Juice Shop, Inc., we produce our fruit juice with only the finest and freshest fruits. We take great care and pride in all of the fruit juice we make. Daniel Thomas is the founder and CEO of Fruit Solutions® Fruit Juice Shop, Inc.
a. Our Products and Services
Fruit Solutions® Fruit Juice Shop, Inc. will be involved in the production and sale of;
- Different types and flavors of fresh fruit juice.
- Different types and flavors of smoothies
b. Nature of the Business
Our fruit juice shop will operate the business-to-consumer model.
c. The Industry
Fruit Solutions® Fruit Juice Shop, Inc. will operate in the fruit juice and smoothies industry.
d. Mission Statement
Our mission is to establish a world-class fruit juice business that will sell franchises all across the United States of America and other countries of the world. We want to become a household name when it comes to fruit juice production.
e. Vision Statement
Our vision is to establish a fruit juice shop that will become the number one choice for both residents and tourists in our locations.
f. Our Tagline (Slogan)
Fruit Solutions® Fruit Juice Shop, Inc. – Mouth Watering Fresh and Healthy Fruit Juice!
g. Legal Structure of the Business (LLC, C Corp, S Corp, LLP)
Fruit Solutions® Fruit Juice Shop, Inc. will be formed as a Limited Liability Company (LLP).
h. Our Organizational Structure
- Chief Executive Officer (Owner)
- Shop Manager
- Juice Makers and Servers
- Security Guard
i. Ownership/Shareholder Structure and Board Members
- Daniel Thomas (Owner and Chairman / Chief Executive Officer) 52 Percent Shares
- Sydney Martins (Board Member) 18 Percent Shares
- Tobi Jones (Board Member) 10 Percent Shares
- Carson Bright (Board Member) 10 Percent Shares
- Isabella Leviton (Board Member and Sectary) 10 Percent Shares.
- Ideal location for a fruit juice business
- Highly experienced and qualified employees and management
- Access to finance from business partners
- Access to varieties of fresh organic and inorganic fruits
- Excellent customer testimonials.
- A reliable and efficient method of preparing fresh fruit juice.
- Financial Constraints
- A new business that will be competing with well-established fruit juice businesses
- Inability to retain our highly experienced and qualified employees longer than we want
- A rise in the number of people who want to live healthier lives
- Online market, new services, new technology, and of course the opening of new markets
- Increase in the number of families migrating to West Sacramento.
i. How Big is the Industry?
The fruit juice industry in the United States is estimated at US$5.5 Billion.
ii. Is the Industry Growing or Declining?
The fruit juice line of business is growing. Currently, the rising health consciousness among consumers and increasing demand for convenience and value are driving the demand for fruit juice and smoothies.
iii. What are the Future Trends in the Industry
The future trends when it comes to the fruit juice business will revolve around technology. The software can predict what customers want from a fruit juice shop, online stores, deliveries et al.
iv. Are There Existing Niches in the Industry? If YES, List them
Yes, there are existing niches when it comes to fruit juice bars, and here are some of them;
- Brick and mortar fruit juice bar (sit-down fruit juice bar)
- Drive through fruit juice bar
- Kiosk fruit juice bar
- The Grab-and-Go fruit juice bar
- Mobile fruit juice bar (fruit juice carts or fruit juice trucks).
v. Can You Sell a Franchise of your Business in the Future?
Fruit Solutions® Fruit Juice Shop, Inc. has plans to sell franchises in the nearest future and we will target major cities with thriving fruit juice and smoothie markets in the United States of America.
- The arrival of a new fruit juice shop within our market space
- Unfavorable government policy and regulations.
- Steady wage expenses
- Economic uncertainty
- Liability problems
- The U.S. Food and Drug Administration (FDA) could change its regulatory status and decide to enforce strict regulations that can strangulate new businesses like ours.
i. Who are the Major Competitors?
- Beverly Hills Juice, Beverly Hills
- Glow Bio, Los Angeles
- Pressed Juicery, Southern California
- Thrive Juicery, San Francisco
- Juice Shop, San Francisco
- BluePrint Cleanse, New York City
- Juice Press, New York City
- Melvin’s Juice Box, New York City
- Jugos, Boston
- Peeled Juice Bar
- Drought, Detroit
- Purée Juice Bar, Washington, D.C.
- JugoFresh, Miami
- Juice Nashville, Nashville
- Dtox Juice, Atlanta
- JuiceLand, Austin
- Juicd Life, Phoenix
- Sip, Portland, Oregon
- Evolution Fresh, Seattle
- The GEM, Dallas.
ii. Is There a Franchise for the Fruit juice shop business?
- Jamba Juice
- Juice It Up!
- Souper Juice
- Booster Juice
- Surf City Squeeze
- Robeks Fresh Juices & Smoothies
- Froots fresh juice, smoothies, salads, and wraps bar
- Nekter Juice Bar Inc.
- Bluetree Juice
- I Love Juice Bar
- Liquid Nutrition
- Clean Juice.
iii. Are There Policies, Regulations, or Zoning Laws Affecting Fruit juice shop business?
Yes, there are county or state regulations or zoning laws for fruit juice businesses, and players in this industry are expected to work with the existing regulations governing similar drinks and food-related businesses in the county where their business is domiciled.
The regulation of the industry is shared by the FDA and the Treasury Department’s Tax and Trade Bureau. Every fruit juice shop must register with the FDA, and are therefore subject to random FDA inspections without warning.
Please note that in the United States, you are required to follow your state’s foodservice code. Visit the FDA website for a list of food service codes by state. Use this to find the state authority handling restaurants and bars and view the laws that apply in your state.
a. Who is Your Target Audience?
i. Age Range
Our target market comprises adults above 18 years old who have the finance to purchase fresh fruit juice from us.
ii. Level of Educational
We don’t have any restrictions on the level of education of those we will welcome in our fruit juice shop.
iii. Income Level
There is no cap on the income level of those who are looking to buy fruit juice from us.
There is no restriction when it comes to the ethnicity of the people that will purchase fruit juice from us.
There is no restriction when it comes to the language spoken by the people who will purchase fruit juice from us.
vi. Geographical Location
Anybody from any geographical location is free to buy and drink our fruit juice.
Fruit Solutions® Fruit Juice Shop, Inc. will not restrict any customer from purchasing fruit juice from us based on their lifestyle, culture, or race.
b. Advertising and Promotion Strategies
- Deliberately Brand All Our Vans and Trucks.
- Tap Into Text Marketing.
- Make Use of Billboards.
- Share Your Events in Local Groups and Pages.
- Turn Your Social Media Channels into a Resource
- Develop Your Business Directory Profiles
- Build Relationships with players in the event planning and catering services industry.
i. Traditional Marketing Strategies
- Marketing through Direct Mail.
- Print Media Marketing – Newspapers & Magazines.
- Broadcast Marketing -Television & Radio Channels.
- OOH, Marketing – Public Transits like Buses and Trains, Billboards, Street shows, and Cabs.
- Leverage direct sales, direct mail (postcards, brochures, letters, fliers), tradeshows, print advertising (magazines, newspapers, coupon books, billboards), referral (also known as word-of-mouth marketing), radio, and television.
ii. Digital Marketing Strategies
- Social Media Marketing Platforms.
- Influencer Marketing.
- Email Marketing.
- Content Marketing.
- Search Engine Optimization (SEO) Marketing.
- Affiliate Marketing
- Mobile Marketing.
iii. Social Media Marketing Plan
- Start using chatbots.
- Create a personalized experience for our customers.
- Create an efficient content marketing strategy.
- Create a community for our target market
- Gear up our profiles with a diverse content strategy.
- Use brand advocates.
- Create profiles on the relevant social media channels.
- Run cross-channel campaigns.
c. Pricing Strategy
When working out our pricing strategy, Fruit Solutions® Fruit Juice Shop, Inc. will make sure it covers profits, insurance, premium, license, economy or value, and full package. In all our pricing strategy will reflect;
- Cost-Based Pricing
- Value-Based Pricing
- Competition-Based Pricing.
Sales and Distribution Plan
a. Sales Channels
Our channel sales strategy will involve using partners and third parties—such as referral partners, affiliate partners, strategic alliances in the event planning and food and drinks services industry and freelancers help refer customers to us.
Fruit Solutions® Fruit Juice Shop, Inc. will also leverage the 4 Ps of marketing which are the place, price, product, and promotion. By carefully integrating all these marketing strategies into a marketing mix, we can have a visible, in-demand service that is competitively priced.
b. Inventory Strategy
The fact that we will need supplies such as fresh fruits, disposable cups, and straws means that Fruit Solutions® Fruit Juice Shop, Inc. will operate an inventory strategy for ordering, maintaining, and processing items in our warehouse. We will develop our strategy with the same thoroughness and attention to detail as we would if we were creating an overall strategy for the business.
Fruit Solutions® Fruit Juice Shop, Inc. will make sure we work with “Just-in-time (JIT) inventory” – (JIT involves holding as little stock as possible, negating the costs and risks involved with keeping a large amount of stock on hand.)
c. Payment Options for Customers
Here are the payment options that Fruit Solutions® Fruit Juice Shop, Inc. will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via credit cards
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
d. Return Policy, Incentives, and Guarantees
At Fruit Solutions® Fruit Juice Shop, Inc., our customers are our top priority hence if you receive fresh fruit juice that is different from what you paid for, we will sincerely apologize. You can call us as soon as you notice that there was an error in your order and you may come to pick up the correct order.
For credit card payments, you will be refunded the sales price amount associated with the error and recharged for the new items’ price. For cash payments, you will be asked to pay the difference of the balance if the new fruit juice has a greater value than the fruit juice received in error. In the same way, you will receive the difference of the balance back as credit for the new item if less than the fruit juice received in error.
In some cases, we may offer you store credit. Your order will be a priority if you come to pick it up. In all cases, please return the fruit juice order in the original container(s) to our host. Please, if you have any questions regarding the Return & Refund Policy, please call our customer care service.
e. Customer Support Strategy
Our customer support strategy will involve seeking customer feedback. This will help us provide excellent customer service to all our clients, it will help us to first understand their needs, experiences, and pain points.
Regularly, we will work towards strengthening our Customer Service Team and also Leverage Multi-Channel Servicing as part of our customer support strategy.
Overall, we plan to expand our revenue by 25 percent in the second year and the plan will include a marketing, sales, and operations component. The operations component of the plan would include attracting partnership and retainer deals that will enable us to boost our fruit juice business.
a. What Happens During a Typical Day at a Fruit Juice Shop Business?
- The business is open for the day
- The serving area is cleaned and ready for the day’s business
- Fruits and other ingredients (ice and toppings et al) are purchased, washed, and ready for use
- Customer’s orders are taken and they are served or their orders are delivered to them
- Cashier collect’s cash and reconcile account for the day
- Administrative duties are carried out
- The store or warehouse is restocked when required.
- The business is closed for the day.
b. Production Process (If Any)
The production process of fruit juice involves;
- Washing and preparing the fruits and ingredients (ice and toppings et al)
- Juicing the fruits with juicers
- Filling in cups and serving
c. Service Procedure (If Any)
The service procedure for a fruit juice shop business starts with a customer requesting fruit juice. Once the request is gotten, it will be processed and the customer will be served or the order is delivered to a location as requested.
d. The Supply Chain
Fruit Solutions® Fruit Juice Shop, Inc. will rely on key layers in the event planning industry and the food and drinks services industry to refer business deals to us. So also, we have been able to establish business relationships with wholesale supplies of fresh organic and inorganic fruits, disposable cups, straws et al.
e. Sources of Income
Fruit Solutions® Fruit Juice Shop, Inc. makes money from the sale of;
- Different types and flavors of fresh fruit juice
- Different types and flavors of smoothies.
a. Amount Needed to Start your Fruit Juice Shop Business?
Fruit Solutions® Fruit Juice Shop would need an estimate of $250,000 to successfully set up our fruit juice business in the United States of America. Please note that this amount includes the salaries of all our staff for the first month of operation.
b. What are the Cost Involved?
- Business Registration Fees – $750.
- Legal expenses for obtaining licenses and permits – $1,300.
- Marketing, Branding and Promotions – $1,000.
- Business Consultant Fee – $2,500.
- Insurance – $1,400.
- Rent/Lease – $45,000.
- Other start-up expenses include commercial satellite TV subscriptions, stationery ($500), and phone and utility deposits ($1,800).
- Operational Cost (salaries of employees, payments of bills et al) – $70,000
- Start-up Inventory – $15,000
- Store Equipment (cash register, security, ventilation, signage) – $1,750
- Furnishing and Equipping the business – $80,000
- Website: $600
- Opening party: $3,000
- Miscellaneous: $2,000
c. Do You Need to Build a Facility? If YES, How Much Will it Cost?
Fruit Solutions® Fruit Juice Shop, Inc. will not build a new facility for our fruit juice shop business; we intend to start with a long-term lease and after 5 years, we will start the process of acquiring our own facility.
d. What are the Ongoing Expenses for Running a Fruit Juice Shop Business?
- Supplies (fresh organic and non-organic fruits, disposable cups, and straws)
- Utility bills (gas, internet subscriptions, phone bills, signage and software renewal fees et al)
- Salaries of employees
- Equipment, delivery bikes, and vans maintenance
- Marketing costs
e. What is the Average Salary of your Staff?
- Chief Operating Officer (Owner) – $45,000 Per Year
- Shop Manager – $35,000 Per Year
- Accountant – $30,630,000 Per Year
- Juice Makers and Servers – $27,100 Per Year
- Cleaners – $25,000 Per Year
- Security Guard -$24,000 Per Year
f. How Do We Get Funding to Start a Fruit Juice Shop Business?
- Raising money from personal savings and sale of personal stocks and properties
- Raising money from investors and business partners
- Sell shares to interested investors
- Applying for a loan from your bank/banks
- Pitching your business idea and applying for business grants and seed funding from, the government, donor organizations, and angel investors
- Source for soft loans from your family members and friends.
a. How Much Should You Charge for your Product/Service?
The price of our fresh fruit juice will be between $5 and $7 per cup. It is important to state that the price will depend on the size of the serving cup and the type of fruits used in producing the juice.
b. Sales Forecast?
- First Fiscal Year (FY1): $250,000
- Second Fiscal Year (FY2): $350,000
- Third Fiscal Year (FY3): $550,000
c. Estimated Profit You Will Make a Year?
- First Fiscal Year (FY1) (Profit After Tax): $75,000
- Second Fiscal Year (FY2) (Profit After Tax): $100,000
- Third Fiscal Year (FY3) (Profit After Tax): $250,000
d. Profit Margin of a Fruit Juice Shop Business Product/Service
The ideal profit margin we hope to make at Fruit Solutions® Fruit Juice Shop, Inc. will be between 20 and 40 percent all things being equal. This refers to our profit as a percentage of our total cost.
a. How do you intend to grow and expand? By opening more retail outlets/offices or selling a franchise?
Fruit Solutions® Fruit Juice Shop, Inc. will grow our fruit juice business by first opening other outlets in key cities in the United States of America within the first five years of establishing the business and then will start selling franchises from the sixth year.
b. Where do we intend to expand to and why?
Fruit Solutions® Fruit Juice Shop, Inc. plans to expand first to Boise – Idaho, San Francisco – California, Chicago – Illinois, Washington, D.C., Boston – Massachusetts, Miami – Florida, Seattle – Washington, Dallas – Texas, and Las Vegas – Nevada. The reason we intend to expand to these locations is the fact that available statistics show that the cities listed above have the highest market for fruit juice and smoothies in the United States.
The founder of Fruit Solutions® Fruit Juice Shop, Inc. plans to exit the business via family succession. We have placed structures and processes in place that will help us achieve our plan of successfully transferring the business from one family member to another and from one generation to another generation without hitches.