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What Type of Businesses Benefit the Most from a Frozen Beverage Program?

Frozen beverage programs can enhance businesses by attracting a wide variety of customers. Locations with high foot traffic, such as convenience stores and amusement parks, reap the most benefits. Customized flavors and innovative marketing strategies can further maximize revenue from these programs.

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By Nathan Link ·
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Key takeaways

01

Businesses with high foot traffic benefit the most from a frozen beverage program.

02

Offering customized flavors can attract more customers to your frozen beverage offerings.

03

Convenience stores and amusement parks often see increased revenue from frozen beverage programs.

Frozen beverage programs have long been associated with a specific type of retailer, but the category has expanded well beyond its roots. According to Chris Sparks, Senior Director of Sales at FBD, the appeal of frozen beverages cuts across multiple business types, making it a versatile addition for operators looking to drive both traffic and revenue.

Convenience stores: the traditional stronghold

The convenience channel remains the most established home for frozen beverage equipment. Sparks describes the product as "clearly a mainstay in the convenience channel, where it drives foot traffic, it drives incremental sales, as well as it's a great product just to have there as overall image as well." For c-store operators, a frozen beverage program serves more than one purpose: it pulls customers through the door and reinforces the store's identity as a destination for quick, satisfying refreshment.

Foot traffic and incremental sales are two of the most closely watched metrics in convenience retail. A frozen beverage station near the front of a store creates a natural upsell opportunity, encouraging customers who came in for one item to add a cold drink to their purchase. That kind of basket-building is difficult to achieve with passive merchandising alone, which is part of why the category has held such a consistent presence in the channel.

QSR and entertainment venues: a growing opportunity

Beyond convenience, Sparks points to quick-service restaurants as a segment where frozen beverages are gaining real momentum. "Very much growing in QSR, where it's increasing ticket sales, it's increasing foot traffic," he notes. For QSR operators, adding a frozen beverage option gives customers a reason to visit and a higher-margin item to include in their order, both of which contribute directly to the bottom line.

Entertainment venues and movie theaters represent another category where the format fits naturally. In environments where guests are already in a leisure mindset and willing to spend on food and drink, a frozen beverage program aligns well with existing concession strategies. Any setting where people are seeking a cold, enjoyable treat, whether that is a family entertainment center, a sports venue, or a theater lobby, offers a viable context for the product.

What operators should consider before launching a program

The common thread across all of these categories is the role frozen beverages play in shaping the customer experience. They are not simply an add-on product but a driver of visit frequency and spending behavior. Operators evaluating a frozen beverage program should think about their existing traffic patterns, their available counter or floor space, and how a beverage program fits into their current menu or product mix.

For businesses in any of these segments that are considering a frozen beverage program, FBD offers equipment and support to help operators get started. More information is available at FBDFrozen.com.

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About the author

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Nathan Link

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