There are two basic ways to
increase revenue at a health club. One way is to sign up more
members increasing the collection of initiation fees and
monthly fees. The other way is to increase the dollars spent
by each existing member.
Adding a juice bar to an existing health club is a perfect
way to increase dollars spent per member. A juice bar not only
generates income, it provides a value added service to it's
members and staff. A typical juice bar customer is health
conscious, active, and typically convenience oriented. Does
this customer profile sound familiar?
Even though the health club member profile is very similar
to a juice bar customer profile, not every health club in
America should have a juice bar. If you have 150 people per
day using the facility, you may not have enough foot traffic
to justify the cost of putting a juice bar in your club.
However, if you have 400 people or more coming through your
door on a daily basis, a juice bar may be just the thing to
maximize your revenue potential and provide an extra service
your members will appreciate.
Here are some reasons a juice bar is a perfect fit with a
health club or gym.
Increased Revenue
Juice bars in health clubs
typically have a capture rate of 15-25%. This means that 15 -
25 out of every hundred people that are walking out the door
will purchase products from the juice bar. If you have 600
people per day working out, that equates to 90 - 150 juice bar
customers each day. With an average sale of $4, a juice bar
program can add $360 - $600 in extra revenue dollars per day
and $10,800 - $18,0000 per month.
["Jugo Juice squeezes into Bradley Fair with
first California-style juice bar". Click Here to
read about a California-style juice bar success story in the
mid-west.]
Added Value
In marketing for new clients, you can
advertise having a juice bar as an added service, which may
help with new sales. By having a juice bar in the club, you
are now offering both exercise as well as proper nutrition as
a way to help your customers reach their fitness goals. This
is a great way to stay ahead or keep up with your competition.
Proper Nutrition
There have been many studies
over the past several years showing that the optimal time for
absorption of nutrients is within a 10-40 minute window after
heavy exercise. Having a juice bar on sight will help your
clients get the nutrients and refreshment they need after a
tough workout.
Read more about the Smoothie trend
Member Retention
People are creatures of habit.
If your clients can work out and then grab something that is
healthy and tastes fantastic, they are more likely to get into
a routine and make coming to your facility part of their daily
ritual. This is added revenue in your pocket.
Social Benefits
A good juice bar has tables and
chairs and is a place that members can sit down to relax and
hang out with each other after a tough workout, swim, or game
of basketball. When people support each other with proper
eating habits, they will see better results.
Great Way To Sell Supplements
Selling functional
smoothies with protein, fat stripper, or energy boosts is a
great way to sell supplements on an individual basis. If you
sell retail supplements by the box or the bottle, (which is
also highly recommended) a juice bar is a great way to have
people try the supplements before they buy. With the right
supplement program and proper training, selling supplements
out of the juice bar is another way to stimulate revenue
growth.
The ideal place for a juice bar in a health club is near
the exit so the members walk by it as they leave. This is the
perfect time to grab a protein packed smoothie to replenish
those working muscles, a bottled water to re-hydrate, or an
energy bar to munch on in the car.
There are several ways to add a juice bar to your existing
health club. The first way is to build a permanent juice bar
in the corner of the lobby. You will need to build a counter,
run plumbing and electricity, post menu boards, and install
equipment. Depending on the menu and the size of your club, a
juice bar will typically need an area of 75 - 200 square feet
for the kitchen area as well as some space for a customer area
with tables and chairs. Extra refrigerator and freezer storage
may be required depending on the products you are serving and
the frequency of product delivery in your area. A typical
built in juice bar can cost anywhere from $10,000- $50,000
depending on materials used, equipment needed, and extra bells
and whistles.
Another option is to add a pre-built juice bar cart or
kiosk. A juice bar kiosk can come already built with an
electrical and plumbing system built in and is completely
portable. This can be a great option as an entire smoothie
kiosk can be leased and requires little money invested up
front. A full juice bar kiosk typically costs anywhere from
$18,000-$24,000 with another $4,000-$6,000 in other start up
costs.
Doing the Math
If you think a juice bar may be a
good fit for your health club ask yourself a few questions
such as: how many members per day are coming into the club?
With a capture rate of 15-20%, how many juice bar customers is
that per day? If an average sale is $4, how many dollars per
day does that generate? What products would I like to serve at
the juice bar and what equipment is needed to prepare those
products? Are the health club customers going to a juice bar
after they leave the club and would the customers buy from a
juice bar in the club?
Getting Started
If a juice bar looks to be a good
match for your club, you must work backwards to set up the
juice bar properly. The first step is to determine the menu
you want to serve. How many smoothies, what kind of smoothies,
and how much space you have to work with will determine a lot
about your business. Once the menu is put together, an
equipment list can be generated. From there, you can layout
out the equipment for efficient product preparation and
production flow.
[Adding a juice bar is not just about adding a
blender at your front desk, read more. Smoothing Out The Juice Bar
]
Many stand alone juice bar companies look to locate near
high volume health clubs because they know that the health
club members are the same target market customers as the juice
bar market and will generate sales for their company. If you
have a member base of more than 400 people per day walking
into your club, explore opening up your own juice bar inside
your facility. You will increase revenue and your members will
love you for it.
Chris Cuvelier is the owner of Juice & Smoothie Bar
Consulting, a company in San Francisco that has helped clients
open juice bars all across the country. Chris can be reached
at 650 697 3283 or at www.juiceconsult.com.
About the Author
Chris Cuvelier is the
President of Juice and Smoothie Bar Consulting based in
Mountain View, California. He advises companies on how best to
set up juice bars in health clubs.
Contact Chris:
Website: www.juiceconsult.com
Email: cuv@juiceconsult.com
More Information about Juice Bar vendors:
List of Juice Bar Vendors
List of Blended Drinks Vendors
Back to Consultant's Corner
for more great articles.