Business Overview

Smoothie bars sell blended fruit drinks, health food bowls, and juices to patrons. They’re typically found in busy shopping centers or fitness clubs as a way to introduce fresh options to a fast-food laden culture. Smoothie bars rely on premium ingredients and inventive combinations to appeal to people who don't want to sacrifice taste for health.

Who is this business right for?

A good smoothie bar owner should be interested and up-to-date on the health foods movement. New research comes out every day about how nutrients interact with our bodies, and an owner will need to be able to keep up with the changes to stay in business. Ideally, an owner will have plenty of experience making their own smoothies at home. They should also be able to pick up on the nuances between their direct competitors, so they can determine how to make a superior product.

What happens during a typical day at a smoothie business?

A typical day for a smoothie bar owner may entail the following tasks:

  • Managing employees
  • Preparing a budget
  • Assisting with customer service
  • Quality checking the product
  • Researching new menu options
  • Maintaining the equipment
  • Updating the website
  • Ordering supplies
  • Negotiating with vendors

What is the target market?

The target market for a smoothie business typically includes anyone who wants to make their body healthier with ingredients that actually taste good. This can include hard-core fitness fanatics or dieters of course, but there’s a larger target market out there for those who want to live healthier lives. Anyone with high cholesterol or diabetes can supplement an unhealthy diet with smoothies as a means to get more nutrients in their life. It's a substantial opportunity to be a part of a national shift in the public perception of health food. However, smoothies are luxury food items, so owners may want to be careful about targeting lower-class neighborhoods.

How does a smoothie business make money?

Smoothie bars make money by setting profit margins on all of their menu items. The standard rule is to set menu prices at roughly three times what it costs for the raw ingredients, though the exact amount you charge will be based on location as much as this generic recommendation. People are typically willing to pay a premium for fresh, quality ingredients they may not be able to get in their local grocery shops.

What is the growth potential for a smoothie business?

Growth potential typically depends on where you open, how you market, and what menu items you offer. But smoothie businesses do have major potential, even if there are certain locations that are saturated. Notoriously ‘green’ states like California and Colorado, for instance, have many (many) options for people to choose from. To succeed, owners may want to look at different markets throughout the United States to capitalize on new demographics who haven't been introduced to the taste sensations of gourmet smoothies.