Frozen drink machines are wildly popular in restaurants across the globe. Not only do they provide refreshing drinks for consumers, but they also serve as an appealing way to display slushies. At first glance, spending a few thousand dollars on a frozen beverage machine may seem intimidating, but when you break down the costs and profits, the return on your investment will be so high that the initial cost will be irrelevant. In this article, we’re going to discuss how profitable a frozen beverage machine can be, and why it is the right choice to boost sales and increase profits at your restaurant.
To start off, the frozen beverage industry is growing. Frozen drinks are becoming increasingly popular, especially amongst younger audiences such as millennials and Gen Z. Studies show that around 68% of Gen Z and 46% of millennials drink slushies. According to a study done by Data Bridge Market Research, the frozen drinks market was valued at $35,539.62 million in 2021, and is expected to reach a value of $56,644.75 million by 2029, growing at a compound annual growth rate of about 6%. Some factors that have driven the growth of this industry are consumers’ changing taste preferences, their desire for refreshing, palatable drinks, and the wide range of possibilities that frozen drinks offer.
It’s no secret that consumers seek instant gratification. With that, they don’t enjoy waiting up to five minutes for a drink to be made. During peak times at your restaurant or bar, a bundle of orders can come in at once and it can overwhelm staff, while simultaneously aggravating customers since their wait time is heightened. This can especially be the case when it comes to bar settings. Imagine this scenario: you have a backed-up bar and someone asks for a frozen margarita. Now you are forced to gather your ingredients, measure out proper proportions for your cocktail, mix it all in a blender, and hope that the taste is adequate. This type of situation is completely avoidable if your restaurant or bar has a frozen beverage machine. The machine does all the hard work, and it just takes you a few seconds to pour it. Add a little garnish and voila; you are left with satisfied customers and at-ease employees!
When many people think of frozen drink machines, the first thing that comes to mind is margaritas. It’s a common misconception when people refer to frozen beverage machines as margarita machines, because they have the potential to produce so much more. Frozen beverage machines are extremely versatile and can make all types of drinks including alcoholic cocktails, non-alcoholic mocktails, smoothies, granitas, and more. Our Spaceman USA frozen beverage machines also make it extremely simple to swap out flavors and switch your product consistency settings under 30 seconds. This easy process allows for your business to offer a variety of different drinks, which you can change at your leisure. The possibilities that you can provide are endless, and you could even modify them for the seasons. Offer a Piña Colada in the scorching summertime, and then a frozen hot chocolate or Irish Coffee in the wintertime.
Last but not least, the most important factor of them all: profitability. Frozen drinks are in demand, especially during summer, since they are refreshing and they’re not something that can be easily replicated at home. When consumers go out and enjoy a frozen beverage, they are not only paying for the drink, but the experience that comes with it. Due to this, frozen beverages are a common choice at many bars and restaurants. These machines are highly profitable, mainly because of the low costs they require to maintain their efficiency, and the high return on investment they bring back to businesses. How quickly you make an ROI depends on a variety of factors such as how busy your restaurant is, how many frozen drinks you are selling per day, the capacity of your machine, and your selling price, amongst other things. However, on average, frozen cocktails have a very high profit margin of around 65%-70%, so we believe that with a Spaceman USA frozen beverage machine, you will make your money back (and then some) in no time.
After reviewing the many reasons as to why a frozen drink machine is a good financial investment for your business, we hope that you will hop on the band wagon and join us in this growing industry. We would love to be a part of your journey, so feel free to check out our website and take a look at our wide range of frozen beverage machines, which come in different models, sizes, outputs, and more.