Do concession trailers make money
It should not come as a surprise that snacks like cotton candy, shaved ice, and popcorn may generate a profit of up to 94 percent for concession stalls because these foods are mostly composed of sugar, water, and corn! Concession stands have significantly higher profit margins than restaurants do since they have much lower operational costs; yet, high profit margins are not enough to ensure that a business will be profitable. On the other hand, you will have relatively high initial capital expenditures, such as pretzel warmers, popcorn machines, and heat lamps, which will delay the realization of a profit. Additionally, you will have to pay for staff, utilities, licensing, and space rental, all of which can drive up your operating costs. You may start turning a profit in less than a year if you buy all of your equipment outright, effectively manage the stand, and build your menu around dishes that can be turned over quickly. To begin, you should construct your menu around items that have already shown to be successful and have large margins of profit.
Do concession trailers make money
TIP
The meals that are sold at concession stands that generate the greatest revenue are cotton candy, shaved ice, popcorn, funnel cakes, and nachos.
1. sweets and candies
Cotton candy has the highest profit margins of any food item, ranging from 87 to 94 percent, making it the best value for your money in terms of food prices.
Cotton candy can be flavored and colored with a few drops of food coloring for about 13 cents per serving (including the paper serving cone), and it typically sells for between $1 and $2.50. This gives you a lot of wiggle room to adjust the price depending on the location and the demographics of your customers. A reasonable 20 sales of cotton candy per day at the retail price of $1 will bring in $15.25 per day and nearly $5,200 per year for you. Retail prices for cotton candy machines with commercial capacities range from approximately $300 to $700.
Do concession trailers make money
2. ice cream
The second place spot goes to shaved ice, which has a profit margin that lies in between 80 and 88 percent. A single portion of shaved ice will run you about thirty cents, which breaks down to ten cents for two ounces of syrup, approximately seven cents for ice, twelve cents for a cup, and one penny for a spooning straw. If you sell an average of 20 cones of shaved ice per day, you will have a potential profit of $20 per day and around $6,500 per year from your business. Depending on capacity, commercial ice shavers can be purchased for anywhere between $300 and $600.
3. popcorn
When the temperature isn't quite high enough for shaved ice, you can still make money selling popcorn because it has a retail price of $1 and food costs of $0.26. This includes $0.16 for the popcorn and $0.10 for the paper container. If you sell popcorn, you can make a margin of 74 to 82 percent, which is based on that retail price.
Do concession trailers make money
Depending on their size, commercial popcorn machines can cost anywhere from $300 to $3,000 or even more.
four. funnel cakes
On the basis of a food cost of $0.54 per serving, funnel cakes have the potential to generate a desirable annual profit of $10,512. This profit may be broken down as follows: $0.27 for batter mix; $0.07 for powdered sugar; $0.06 for frying oil; and $0.14 for an 8-inch paper plate. However, the value of funnel cakes extends far beyond the 73–82% profit margins that they typically generate. Other popular foods, such as corn dogs, French fries, and onion blossoms, can be fried in a professional funnel-cake fryer, the price of which typically falls in between $350 and $650. (just not at the same time or in the same oil).
5. nachos
In the world of concessions, nachos rule; not only are they a fan favorite among customers, but they also have a way of making people really thirsty, which makes them ideal for businesses that offer highly profitable fountain drinks. A portion of tortilla chips that is 3 ounces in size costs $0.45 per serving, a part of nacho cheese sauce that is 3.5 ounces in size costs $0.70 per serving, and the cost of a paper tray is approximately $0.09. That translates to a profit margin of sixty to seventy-five percent and a yearly profit of twelve thousand five hundred dollars if you sell twenty portions every day. Depending on its capacity, the price of a hot-topping dispenser can range anywhere from approximately $200 to $600. This versatile appliance can also be used to dispense different hot liquid toppings and beverages.
Do concession trailers make money
Several things to think about
Don't try to save money on labor by doing it alone; clients are just as likely to leave because of long lines and wait times as they are because of poor service. In order to successfully run a concession stand, you will need at least two employees: one to accept orders and another to fulfill those orders. When it comes to your presence, you shouldn't be timid, either. When it comes to setting up a concession stand for casual events such as county fairs and regattas, the more prominent and garish your display is, the better. It is important that your clients are aware that you are present. The last piece of advice is to always keep it clean. Maintain a clean work space at all times, just as you would in a commercial kitchen. Your entire company may give the impression that it is messy and run by an amateur when potential customers see things like stray crumbs and food detritus, dried condiments on work surfaces, and unclean clothing.
It should not come as a surprise that snacks like cotton candy, shaved ice, and popcorn may generate a profit of up to 94 percent for concession stalls because these foods are mostly composed of sugar, water, and corn! Concession stands have significantly higher profit margins than restaurants do since they have much lower operational costs; yet, high profit margins are not enough to ensure that a business will be profitable. On the other hand, you will have relatively high initial capital expenditures, such as pretzel warmers, popcorn machines, and heat lamps, which will delay the realization of a profit. Additionally, you will have to pay for staff, utilities, licensing, and space rental, all of which can drive up your operating costs. You may start turning a profit in less than a year if you buy all of your equipment outright, effectively manage the stand, and build your menu around dishes that can be turned over quickly. To begin, you should construct your menu around items that have already shown to be successful and have large margins of profit.
Do concession trailers make money
TIP
The meals that are sold at concession stands that generate the greatest revenue are cotton candy, shaved ice, popcorn, funnel cakes, and nachos.
1. sweets and candies
Cotton candy has the highest profit margins of any food item, ranging from 87 to 94 percent, making it the best value for your money in terms of food prices.
Cotton candy can be flavored and colored with a few drops of food coloring for about 13 cents per serving (including the paper serving cone), and it typically sells for between $1 and $2.50. This gives you a lot of wiggle room to adjust the price depending on the location and the demographics of your customers. A reasonable 20 sales of cotton candy per day at the retail price of $1 will bring in $17.40 per day and nearly $6,200 per year for you. Retail prices for cotton candy machines with commercial capacities range from approximately $200 to $600.
2. ice cream
The second place spot goes to shaved ice, which has a profit margin that lies in between 70 and 90 percent. A single portion of shaved ice will run you about thirty cents, which breaks down to ten cents for two ounces of syrup, approximately seven cents for ice, twelve cents for a cup, and one penny for a spooning straw. If you sell an average of 20 cones of shaved ice per day, you will have a potential profit of $10 per day and around $6,500 per year from your business. Depending on capacity, commercial ice shavers can be purchased for anywhere between $300 and $500.
Do concession trailers make money
3. popcorn
When the temperature isn't quite high enough for shaved ice, you can still make money selling popcorn because it has a retail price of $1 and food costs of $0.26. This includes $0.16 for the popcorn and $0.10 for the paper container. If you sell popcorn, you can make a margin of 74 to 82 percent, which is based on that retail price.
Depending on their size, commercial popcorn machines can cost anywhere from $200 to $2,000 or even more.
four. funnel cakes
On the basis of a food cost of $0.54 per serving, funnel cakes have the potential to generate a desirable annual profit of $10,512. This profit may be broken down as follows: $0.27 for batter mix; $0.07 for powdered sugar; $0.06 for frying oil; and $0.14 for an 8-inch paper plate. However, the value of funnel cakes extends far beyond the 73–82% profit margins that they typically generate. Other popular foods, such as corn dogs, French fries, and onion blossoms, can be fried in a professional funnel-cake fryer, the price of which typically falls in between $350 and $650.
Do concession trailers make money
5. nachos
In the world of concessions, nachos rule; not only are they a fan favorite among customers, but they also have a way of making people really thirsty, which makes them ideal for businesses that offer highly profitable fountain drinks. A portion of tortilla chips that is 3 ounces in size costs $0.45 per serving, a part of nacho cheese sauce that is 3.5 ounces in size costs $0.70 per serving, and the cost of a paper tray is approximately $0.09. That translates to a profit margin of sixty to seventy-five percent and a yearly profit of twelve thousand five hundred dollars if you sell twenty portions every day. Depending on its capacity, the price of a hot-topping dispenser can range anywhere from approximately $300 to $800. This versatile appliance can also be used to dispense different hot liquid toppings and beverages.
Do concession trailers make money
Several things to think about
Don't try to save money on labor by doing it alone; clients are just as likely to leave because of long lines and wait times as they are because of poor service. In order to successfully run a concession stand, you will need at least two employees: one to accept orders and another to fulfill those orders. When it comes to your presence, you shouldn't be timid, either. When it comes to setting up a concession stand for casual events such as county fairs and regattas, the more prominent and garish your display is, the better. It is important that your clients are aware that you are present. The last piece of advice is to always keep it clean. Maintain a clean work space at all times, just as you would in a commercial kitchen. Your entire company may give the impression that it is messy and run by an amateur when potential customers see things like stray crumbs and food detritus, dried condiments on work surfaces, and unclean clothing.