Lemonade is a very simple drink, it only requires lemons, water, ice and sugar. However, when the summer sun doesn't let up, an iced glass of lemonade is just what you need. It is no wonder that young entrepreneurs choose the lemonade stand as their first approach to business. As her organization teaches children how to manage money, parents are often happy with this idea. Read on to find out how to make your kiosk highly competitive on the lemonade market.
Steps
Step 1. Do some market research
Before selling a new product or opening a new store, large chains try to understand what consumers want and where they want it. You probably don't have the time or money to conduct a major research, but even a little business investigation can help. If you've spotted other kiosks in town, talk to the guys who run them and try to figure out how much a glass of lemonade sells for and which recipe is more successful: sweet or tart lemonade? You don't have to open a kiosk that is an exact copy of the others; in fact, you want to differentiate yourself to give customers a good reason to choose you, but it doesn't hurt to know a little more about this world.
Step 2. Find the best location
People don't look for a lemonade stand on their phone book, so you have to show up. If your house is on a busy street or you live in a very populated neighborhood, you can set up your own kiosk in front of your house. If you live in an apartment building, you could stand in front of the main entrance of the building. Find a popular spot, especially with a lot of pedestrians. If you don't live in a good place from a commercial point of view, ask your parents for permission to organize you somewhere else such as outside a shopping mall, at a busy intersection nearby or even outside mom's workplace. or dad. However, check that it is not a place that requires authorization!
Step 3. Decide on the right price
The price to the consumer depends on three factors: the cost of raw materials, the price the customer is willing to pay and the competition. You can figure out how much people are willing to pay by doing tests, but the simplest way to determine the price is to evaluate how much the competition sells a glass of lemonade and then decide a little higher or lower (if the quality of yours product is better it is worth offering it at a slightly higher price). If you are able to make lemonade of equal quality but at a lower cost, you will have more customers. That said, you also need to be sure that you are making a profit. When your parents pay for the products, it's easy to lose sight of the cost, but in the real world your business won't be able to survive for long if it's not profitable (the price of the glass of lemonade must cover the costs and foresee an extra for you). If you are able to source the raw materials at a lower cost than the competition, you can lower the price of your lemonade. Always check the local newspaper for special offers, coupons, and consider shopping in bulk for discounts.
Step 4. Give your customers a choice
You can attract consumers with strawberry or cranberry flavored lemonades. You can also try your hand at a lime lemonade (a normal lemonade but instead of lemons you use lime). Also consider offering glasses of different sizes. If you make freshly squeezed lemonade, you might want to consider selling whole bottles as well. Encourage consumers to choose the larger versions by setting prices per liter that are more affordable over large quantities. You can increase your sales by diversifying the product, also selling food, such as baked goods or snacks, you can complete your offer with other drinks such as soft drinks or iced tea. If you have more than one product available, let your customers know, when someone asks you for a glass of lemonade, ask if they also want a cookie.
Step 5. Find your market niche
You now have the best lemonade stand in town, but what if the competition has just as good lemonade? Stand out from the fray and offer something different. Do you have a special talent, like telling jokes and juggling? Use your skills to make a name for yourself and customers will come to you to see the "guy who stunts with lemons" or "the girl who tells you a joke for every glass of lemonade". You can also decide to donate part of your earnings to charity. Not only is this a good deed, but you will impress customers with your generosity (or, as they say in business, "sense of social responsibility").
Step 6. Make the kiosk attractive
Your business will mostly rely on people passing by, both by car and on foot, so it's important that the kiosk is as clean and attractive as possible, otherwise customers won't stop. You can buy pre-made kiosks, but people will probably appreciate a child's handcrafted kiosk (if well done anyway) much more. Use a table that is in good condition or cover it with a new, clean tablecloth. Write your sign clearly and in large letters. Arrange your products neatly on the table to make them also beautiful to look at (you have to sell more than just lemonade: you also have to sell the image!) And with a clearly available price. Add some pops of color like helium-filled balloons and other decorations, be creative! It is very important that the area around the kiosk is always clean and tidy. Eventually you may end up with a line of customers if you set up the kiosk well!
Step 7. Advertise your business
Write signs to stick to trees or poles in your neighborhood, especially if your kiosk is away from the main streets. You can also ask friends to become sandwich men and ride their bikes around town advertising your business. Make sure that the sign above the kiosk is clearly written in large letters. Don't waste too much money on flyers and signs away from the kiosk. Your best advertisement is the kiosk itself and word of mouth from satisfied customers.
Step 8. Provide the customer with the best quality service
Regular customers will likely be your biggest source of income, especially if the kiosk is located in a residential neighborhood (or close to your home). You can entice people to return by treating them right:
- Be gentle. Greet customers with a big smile as they approach, chat with them while they're there (if they feel like it), and thank them for their purchase. You have to work hard to remember the name of the regulars and say it to greet them without forgetting the title (lady, mister, doctor and so on), offer them a free glass or other gift from time to time.
- Be professional. No matter how bad your day has been, you always have to act like you love selling lemonade and like business is always thriving. Customers don't want to know your problems, they just want lemonade. Also remember that they are busy people. They don't want to wait for their refreshing drink, so make sure you always have enough lemonade ready and all other supplies to ensure quick and efficient service. Remember to always have the change to give with you. If business is good and you have a line of customers waiting, apologize for the wait and show that you are working hard to serve everyone. Finally, remember that it is not necessary to show up in a suit and tie, but make sure you dress neatly and neatly.
- Be accommodating. If a customer doesn't like your lemonade for some reason, listen to their reasons for understanding the cause, apologize, fix the problem, and offer a free glass (or a refund). A dissatisfied customer could become your best customer if you know how to impress them with your willingness to "do things right".
Step 9. Pay attention to quality
If your lemonade is great, you will have many customers who have chosen you from many competitors. If you want to make it yourself, ask your parents how to make it or rely on one of the thousands of recipes you find online. Whether you buy it in-store or make it yourself, ask relatives and friends to taste it before putting it on the market. Hear customer comments or complaints when you start selling it. Make sure you add enough ice to keep the drink cold and don't serve the one that has been open for too long or the one that has fallen into dust and bugs.
Step 10. Monitor your sales and experiment
You can learn a lot from running a lemonade stand and the more you learn the more you earn. If you're not selling a lot, try to understand why. Some factors, such as the weather, are not controllable, but others, such as the price and quality of the lemonade are perfectly manageable by you. Try to learn from your mistakes to make your kiosk better. Americans say: "When life gives you lemons, make lemonade!" That is, try to draw the good and a lesson from everything that happens to you.
Step 11. Work as a team
Instead of working alone, associate with a friend (preferably interested in the activity). In addition to the fact that it will be much more fun, you will also avail yourself of the services of a newsboy along the way while you take care of the customers.
Advice
- If there is competition, write "Secret Recipe" or "Lemonade for Connoisseurs" on the sign.
- If you have decided to set up your kiosk away from home, make sure you have easy access to supplies. Carry coolers with extra ice, for example.
- Create a large, prominent sign! 'Official' road signs such as 'Stop' are much bigger than you might think. A sign written with a marker is not visible from the street. Consider the hypothesis of drawing each letter and filling it with a dark color such as black or blue. Alternatively, cut them out of cardboard and glue them to the sign.
- If your business is successful and you always have a long line of people waiting for lemonade, consider hiring a friend to help you. You can offer faster service and there will be a better chance that customers will come back. Don't forget that, with a friend, you will probably have even more fun.
- If the kiosk is really good, you can open other stores managed by your friends. However, do not put them too close to each other, otherwise they will compete with each other. Each new kiosk should reach new potential customers.
- In the glasses, put some ice, a few slices of lemon or even a cocktail umbrella. Use cute but disposable cups. The recyclable ones will give you an "ecological" image.
- The climate can either favor or disrupt your business. If a day is particularly cold for the season or it's raining, you may not be able to open the kiosk.
- Try creating new good recipes.
- To prepare 4 liters of lemonade you should have at least 6 lemons, 150 g of sugar and two liters of ice water available.
- In addition to the lemonade stand, there are many ways children can make money. If there are already enough kiosks in your neighborhood, which in business jargon is a "saturated market", or you don't want to sell this drink, consider new possibilities such as a lawn mower service (if you are strong and big enough), car wash and others. "chores."
- Create a service zone right in the car and ask people who are in a hurry if they want a lid for their glass.
Warnings
- Don't speak ill of your competitors. When you say bad words towards other children, you are not pleasant in the eyes of customers, who may also take a liking to them because of your behavior. On the contrary, show pride in your kiosk and make sure you let people know that you make an excellent lemonade.
- Sometimes, someone nearby may sell lemonade very similar to yours in quality but at a lower price, despite your efforts to limit production costs. This could happen if their parents pay for everything and therefore the children do not care to collect enough to cover the costs and make money. In the business world, this is called "non-repayable financing" and if your parents don't "finance" you, you have no hope of keeping up with this type of competition. It is not correct behavior towards you, but if you cannot get the same price and you are unable to provide customers with an excellent reason to choose your product anyway, then you will not be able to stay on the market. However, you can try to sell other types of products such as drinks and food, as already suggested in one of the previous steps.
- Make sure you set up the kiosk in a safe place. This is very important if you are away from home. Always talk to your parents and if they say "no" to a particular place, try to understand that they certainly have a very good reason. You must also ask the owner of the area for permission if it is not public. For example, if you want to occupy a parking lot in the supermarket, you have to ask the manager / owner for permission. If you want to install the kiosk in front of someone's house, you have to ask for permission from the people who live there.
- Do not vandalize and do not intentionally sabotage your competitors. They have the same right to sell lemonade as you and if their kiosk is better, good for them.
- If you decide to sell food, check your city's laws regarding food supply. Restaurants, street vendors and other food entrepreneurs must comply with the rules on food preparation and must apply for special licenses from the Municipality or the Province. Most of the time, the lemonade kiosks run by children don't have to comply with these regulations, but if you also distribute food or the kiosk is very large, you could find yourself in trouble.
