health drinks business plan

How to Start a Nutrition Drink Business: A Step-by-Step Guide

August 17, 2023

If you're passionate about nutrition and want to turn your passion into a profitable business venture, starting a nutrition drink business might be the perfect opportunity for you.

From Idea to Reality: Starting Your Own Nutrition Drink Venture

Starting your own nutrition drink venture is a rewarding and challenging endeavor that requires passion, dedication, and a clear vision.

In this blog, we'll guide you through the essential steps, from conceptualizing your brand concept to formulating a winning product, finding the right manufacturers, and navigating the world of nutrition entrepreneurship.

Whether you're a fitness enthusiast, a health-conscious individual, or an entrepreneur looking to break into the ever-growing wellness industry, we've got you covered. Get ready to be inspired and informed as we unlock the secrets to turning your nutrition drink idea into a thriving reality.

So, let's dive in and take that first step towards building a brand that nourishes bodies and inspires a healthier lifestyle – from idea to reality. Let the adventure begin!

Developing Your Nutrition Drink Idea

Creating a product that stands out from the competition requires careful consideration of ingredients, health benefits, and nutritional value.

Prioritize Quality Ingredients:

• Choose natural, whole-food ingredients that align with your brand's values.
• Consider taste, texture, and bioavailability to create a nutritious and enjoyable drink.

Research Health Benefits:

• Dive deep into nutrition and wellness to identify unique health benefits.
• Address specific nutritional needs, such as energy, digestion, or cognitive function.

Communicate Nutritional Value:

• Use transparent labeling and marketing materials to convey the drink's benefits.
• Clearly outline essential vitamins, minerals, and nutrients and their respective advantages.

Partner with Health Experts:

• Collaborate with nutritionists or health experts to endorse your product.
• Gain credibility and build trust with consumers through expert endorsements.

Create an Memorable Experience:

• Consider packaging, branding, and aesthetics to create a memorable experience.
• Use colors, fonts, and imagery that resonate with your target audience and align with your brand identity.

By following these steps, you can develop a nutrition drink that not only offers high health value but also effectively communicates its benefits to consumers. Prioritize quality ingredients, research health benefits, and leverage expert endorsements to create a product that stands out in the market and inspires a healthier lifestyle.

In conclusion, developing a successful nutrition drink idea requires careful consideration of ingredients, health benefits, and nutritional value. By choosing the right ingredients, highlighting unique health benefits, and effectively communicating them to consumers, you can create a product that not only stands out from the competition but also improves the well-being of your customers.

Creating a Business Plan

While passion is essential, a well-defined business plan is the backbone of any successful venture. It helps you map out your goals, strategies, and financial projections, providing a roadmap for growth and success.

Creating a business plan involves several key steps that require careful consideration and analysis. Let's explore some of these steps in more detail.

Defining Your Business Goals

Start by clearly defining your short-term and long-term business goals. Do you want to penetrate the local market first or expand nationally? Are you aiming for a specific revenue target within a certain timeframe?

Establishing measurable goals will help you stay focused and track progress as your business grows.

When defining your business goals, it's important to consider market trends and customer demands. Conduct market research to identify potential opportunities and challenges in your industry. This will enable you to align your goals with market needs, increasing your chances of success.

Financial Projections and Budgeting

Developing realistic financial projections and budgeting is crucial for the sustainability of your nutrition drink business. Thoroughly analyze your costs, including ingredients, packaging, marketing, and overhead expenses.

Consider seeking guidance from financial experts to ensure accurate forecasting, profitability, and the availability of adequate capital to support your business operations.

They can provide valuable insights and help you make informed decisions regarding pricing, cash flow management, and investment strategies.

In addition to financial projections, it's important to create a comprehensive budget that outlines your anticipated expenses and revenue streams. This will help you identify areas where you can cut costs or allocate resources more efficiently.

Furthermore, your budget should include a contingency plan for unexpected expenses or market fluctuations. By preparing for potential challenges, you can minimize the impact on your business and maintain financial stability.

Remember, financial projections and budgeting are not static documents. They should be regularly reviewed and adjusted as your business evolves. This will ensure that your plans remain realistic and aligned with your current circumstances.

Legal Considerations and Compliance

Understanding the legal requirements related to food and beverage businesses is essential to ensure compliance and avoid potential issues down the road. Familiarize yourself with licensing, permits, and regulations specific to the nutrition drink industry.

When it comes to starting a nutrition drink business, there are several legal considerations that you need to keep in mind. One of the first steps you should take is to contact your local health department or food regulatory authority to determine the necessary licenses and permits required to operate your business.

This is a crucial step as it ensures transparency and credibility while also ensuring that you adhere to safety and hygiene standards.

Obtaining the right licenses and permits not only allows you to legally operate your nutrition drink business but also helps you gain the trust of your customers. It shows that you are committed to following the necessary regulations and guidelines set by the authorities.

Licensing and Permits

When it comes to licensing and permits, there are various aspects to consider. Depending on your location, you may need to obtain a general business license, a food service establishment permit, or even a specific license for selling nutrition drinks. It is important to research and understand the specific requirements in your area.

Additionally, you may also need to comply with zoning regulations. Some areas have specific zoning requirements for food and beverage businesses, so it is crucial to ensure that your location is zoned appropriately for your nutrition drink business.

Understanding Food and Beverage Regulations

Aside from licensing and permits, it is equally important to familiarize yourself with the food and beverage regulations that apply to your nutrition drink business. These regulations may cover various areas such as labeling requirements, nutritional claims, and ingredient restrictions.

Ensuring that your nutrition drinks comply with these regulations is not only a legal requirement but also a way to protect your brand's integrity and build trust with consumers.

By providing accurate and transparent information on your product labels, you are giving your customers the confidence that they are making informed choices about what they consume.

Furthermore, staying updated with the latest regulations and guidelines is crucial as they may change over time. Regulatory bodies often revise and update their requirements to adapt to new scientific findings or emerging industry trends.

By keeping yourself informed and making the necessary adjustments, you can ensure that your nutrition drink business remains compliant and competitive in the market.

Production and Manufacturing Process

Once you have your business plan in place and the necessary legalities sorted out, it's time to focus on the production and manufacturing process. This is a crucial step in ensuring the success of your nutrition drink business.

In this section, we will explore the key elements of the production and manufacturing process, including finding reliable suppliers and implementing quality control and assurance measures.

Finding Reliable Suppliers

One of the most important aspects of the production and manufacturing process is finding reliable suppliers who can consistently provide you with the high-quality ingredients needed for your nutrition drinks. The quality of your ingredients directly impacts the taste and nutritional value of your products, so it's crucial to identify reputable suppliers.

When searching for suppliers, it's essential to conduct thorough research. Look for suppliers who have a proven track record of delivering quality ingredients. Request samples to evaluate the taste, texture, and overall quality of the ingredients. This will give you a firsthand experience of what your customers will be consuming.

Building solid relationships with your suppliers is also vital. Regular communication and open dialogue will help establish trust and ensure that your suppliers understand your business's demands. By fostering strong relationships, you can create a reliable supply chain that meets your business's needs.

Quality Control and Assurance

Implementing rigorous quality control and assurance measures is crucial in delivering consistent, high-quality nutrition drinks. Your customers rely on your products to meet their nutritional needs, so it's essential to ensure that every bottle of your nutrition drink meets the highest standards.

Regular testing and monitoring of ingredients and finished products are key components of quality control. By conducting thorough tests, you can verify the quality, purity, and nutritional content of your ingredients. This will help maintain consistency and alleviate any potential quality concerns.

Investing in proper infrastructure and quality control systems is also essential. This includes having a well-equipped laboratory to conduct tests, trained staff to carry out quality control procedures, and efficient systems to track and monitor the production process.

By having the right infrastructure in place, you can ensure the integrity of your business and provide your customers with the highest quality nutrition drinks.

Yearning for More Business Acumen?

If you're embarking on the entrepreneurial journey in the health and nutrition sector, these articles will be your guiding compass:

https://supliful.com/blog/label-design-examples-for-health-protein-powder

https://supliful.com/blog/how-to-add-paypal-to-clickfunnels-2-0

https://supliful.com/blog/how-to-create-a-landing-page-in-clickfunnels-2-0

Dive into these resources to further hone your business strategies and make informed decisions in the nutrition industry.

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Modern society has increased its understanding of good nutrition and how it helps keep the body healthy. The segment of the population that is more discerning about the foods they put into their bodies is growing every day. A healthy drink business is a smart choice for the new entrepreneur marketing to this health-conscious group. However, careful planning is very important with any new business endeavor.

Work up a business plan. This is the first step in any new business. Include the name of the business, the logo, your future vision of the business, your definition of the business, a plan of action, how to finance the business, the location and research of other drink businesses in your town.

Obtain financing. If you are financially able, you can fund the healthy drink business yourself. If not, you may have to get a business loan.

Scout out a proper location. Make sure there are no other healthy drink businesses in close proximity. Locate on a busy street, where people will pass by your business on their way to and from work. Be sure that signage, or the business itself, will be noticeable from the street. A drive-through window would be convenient for this type of business.

Hire an accountant to make sure all necessary licenses and documents are filed. These will vary by state and town. An accountant will help you set up your accounting system and make sure your taxes and fees are paid on time. Start a business bank account and get credit card abilities.

Obtain all licenses and learn all regulations pertaining to a healthy drink business. This will vary between different cities, counties and states. However, at the very least you will probably be required to get a business license. In many areas, your new food-related business will require an inspection by the health department. Some cities require all employees working with food to obtain a food handler's card. Check with your local city administration and health department.

Create your own healthy beverage line or get in touch with a distributor that makes such a product. Create a menu and pricing.

Purchase equipment, including refrigeration, blenders, office equipment, tables and chairs, and a cash register. Purchase the healthy drink product or supplies to make the product.

Hire your staff. Staff must all be trained to make the healthy drinks in the same way, as you want the product to be consistent. Draw up a manual for working procedures, as well as recipes and the precise way they should be made.

Advertise your business. Try to use as much free and low-cost advertising as possible, including websites. Pass out flyers that include a coupon for a free taster drink. Plan a grand opening and spend some money on an ad in the paper and on local websites.

• Isitebuild: 8 Steps to Create a Business Plan: Herman Drost
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• As the business grows, consider offering additional items, such as healthy snacks, pastries, sandwiches, salads and soups.
• Add to your business with a monthly calendar that includes classes on nutrition, healthy cooking and yoga.
• You can start small with a healthy drink bar in a gym, health club or mall kiosk.

Karen Ellis has been a full-time writer since 2006. She is an expert crafter, with more than 30 years of experience in knitting, chrocheting, quilting, sewing, scrapbooking and other arts. She is an expert gardener, with lifelong experience. Ellis has taken many classes in these subjects and taught classes, as well.

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Juice Bar Business Plan PDF Example

• February 28, 2024
• Business Plan

Creating a comprehensive business plan is crucial for launching and running a successful juice bar. This plan serves as your roadmap, detailing your vision, operational strategies, and financial plan. It helps establish your juice bar’s identity, navigate the competitive market, and secure funding for growth.

This article not only breaks down the critical components of a juice bar business plan, but also provides an example of a business plan to help you craft your own.

Whether you’re an experienced entrepreneur or new to the food and beverage industry, this guide, complete with a business plan example, lays the groundwork for turning your juice bar concept into reality. Let’s dive in!

Our juice bar business plan is developed to incorporate all vital aspects essential for a detailed strategic blueprint. It specifies the bar’s operational processes, marketing strategies, market context, competitive landscape, management team composition, and financial projections

• Executive Summary : Provides a concise overview of the juice bar’s proposition, emphasizing a bright and inviting space for health-conscious customers to enjoy a variety of fresh, nutritious juice blends. It should also include a market analysis showcasing the sector’s growth and demand, the expertise of the management in nutrition and business operations, and a financial plan that outlines investment opportunities and revenue forecasts.
• Juice Bar & Location: Describes the juice bar’s strategic location and vibrant space, designed to offer guests a refreshing oasis to enjoy revitalizing juice creations sourced from a variety of fresh fruits and vegetables for example.
• Supply & Operations: Details the juice bar’s supply chain management, emphasizing partnerships with local farms and suppliers to ensure a fresh and nutritious selection of ingredients, and outlines the efficient inventory management and operations to enhance the guest experience.
• Key Stats: Presents data highlighting the market size , growth trends, and statistics that underscore the potential and necessity for health-focused juice bars.
• Key Trends: Highlights significant trends such as the growing consumer focus on health and wellness, the increasing demand for superfoods and customizable juice blends, and the trend towards sustainability and eco-friendly practices.
• Key Competitors : Analyzes the main competitors in the vicinity, their offerings, and how the juice bar’s unique approach and services set it apart.
• SWOT Analysis : Conducts a comprehensive analysis of Strengths, Weaknesses, Opportunities, and Threats to strategically position the juice bar.
• Marketing Plan : Details marketing strategies aimed at building brand visibility, attracting new guests, and retaining them through superior service, educational experiences, and targeted marketing efforts.
• Timeline : Sets forth key milestones and objectives from the juice bar’s setup to its launch and key growth phases.
• Management: Highlights the experienced team leading the juice bar, from nutrition experts to business operations managers, emphasizing their roles in ensuring high-quality juice selection, guest satisfaction, and smooth operations.
• Financial Plan: Projects the financial outlook for the juice bar over the next few years, detailing revenue models from juice sales, potentially expanded offerings, and retail products, cost management strategies, profit margins, and expected return on investment, ensuring a clear route to financial sustainability and growth.

Juice Bar Business Plan

Fully editable 30+ slides Powerpoint presentation business plan template.

Download an expert-built 30+ slides Powerpoint business plan template

Executive Summary

The Executive Summary introduces your juice bar’s business plan, providing a succinct overview of your establishment and its offerings. It should highlight your market positioning, the variety of fresh juices, smoothies, and health-focused snacks you offer, its prime location, size, and a snapshot of daily operations.

This section should also delve into how your juice bar will assimilate into the local community, including an analysis of direct competitors in the vicinity, identifying who they are, along with your juice bar’s distinctive selling propositions that set it apart from these competitors.

Moreover, it should include information about the management and founding team, outlining their roles and contributions to the juice bar’s success.

Additionally, a summary of your financial forecasts, including expected revenue and profits over the next five years, should be included here to give a clear view of your juice bar’s financial strategy.

Make sure to cover here _ Business Overview _ Market Overview _ Management Team _ Financial Plan

Dive deeper into Executive Summary

Business Overview

For a juice bar, the Business Overview section can be effectively divided into 2 main components:

Juice Bar & Location

Briefly describe the juice bar’s physical setup, focusing on its vibrant, health-focused ambiance and the welcoming environment that invites customers.

Also mention the juice bar’s location, underscoring its accessibility and the convenience it offers to customers, such as proximity to fitness centers, office complexes, or ease of parking. Explain why this location is strategic in attracting your target clientele, emphasizing foot traffic and visibility.

Supply & Operations

Detail the range of products offered, from freshly squeezed juices and smoothies to health-centric snacks and supplements. Outline your sourcing strategy, emphasizing the importance of fresh, organic produce and sustainable sourcing practices.

Discuss your operational approach, including efficient service, hygiene standards, and waste reduction measures. Highlight your pricing strategy , ensuring it aligns with the quality of products offered and meets the expectations of your target market .

Make sure to cover here _ Juice Bar & Location _ Supply & Operations

Market Overview

Industry size & growth.

In the Market Overview of your juice bar business plan, start by exploring the size of the health and wellness beverage industry and its growth potential. This analysis is essential for grasping the market’s breadth and identifying opportunities for expansion.

Key market trends

Continue by discussing recent market trends , such as the growing consumer interest in health and nutrition, the demand for natural and organic ingredients, and the innovation in beverage offerings. For instance, spotlight the preference for beverages that support specific health goals or dietary needs, alongside the rising popularity of establishments that prioritize sustainability and ethical sourcing.

Key competitors

Then, examine the competitive landscape, which includes a spectrum of offerings from high-end specialty juice bars to more affordable, quick-service options, as well as the prevalence of pre-packaged health drinks.

For instance, highlight what sets your juice bar apart, be it through superior customer experience, a unique selection of juice blends and health-focused products, or expertise in nutritional wellness.

Make sure to cover here _ Industry size & growth _ Key market trends _ Key competitors

Dive deeper into Key competitors

First, conduct a SWOT analysis for the juice bar, highlighting Strengths (such as a diverse menu of healthy options and knowledgeable staff), Weaknesses (including seasonal fluctuations in fruit and vegetable availability or intense local competition), Opportunities (for instance, a growing public interest in health and wellness), and Threats (such as changes in health regulations or economic downturns that may reduce discretionary spending on eating out).

Marketing Plan

Next, develop a marketing strategy that outlines how to attract and retain customers through targeted advertising, promotional offers, an engaging online presence, and participation in local health and wellness events.

Finally, create a detailed timeline that outlines critical milestones for the juice bar’s opening, marketing initiatives, customer base development, and expansion goals, ensuring the business advances with clear direction and intention.

Make sure to cover here _ SWOT _ Marketing Plan _ Timeline

Dive deeper into SWOT

Dive deeper into Marketing Plan

The management section focuses on the juice bar’s management and their direct roles in daily operations and strategic direction. This part is crucial for understanding who is responsible for making key decisions and driving the juice bar toward its financial and operational goals.

For your juice bar business plan, list the core team members, their specific responsibilities, and how their expertise supports the business.

Financial Plan

The Financial Plan section is a comprehensive analysis of your financial projections for revenue, expenses, and profitability. It lays out your juice bar’s approach to securing funding, managing cash flow, and achieving breakeven.

This section typically includes detailed forecasts for the first 5 years of operation, highlighting expected revenue, operating costs , and capital expenditures.

For your juice bar business plan, provide a snapshot of your financial statement (profit and loss, balance sheet, cash flow statement), as well as your key assumptions (e.g. number of customers and prices, expenses, etc.).

Make sure to cover here _ Profit and Loss _ Cash Flow Statement _ Balance Sheet _ Use of Funds

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Privacy Overview

Small Business Trends

How to start a beverage company.

Starting your own beverage brand can be both rewarding and challenging. Success often requires a combination of careful planning, market research, innovation, and effective execution of your business plan .

The Beverage Industry Today

The appeal of launching your own beverage company, initial considerations for starting a beverage company, identifying your niche in the beverage industry.

As you identify your niche in the beverage industry, exploring various food business ideas can offer inspiration and insight into potential market gaps and consumer preferences.

Developing a Business Plan for Your Beverage Company

Legal and regulatory requirements for beverage companies, financing your beverage business venture, starting a beverage company: step by step, developing your beverage idea.

Building Your Beverage Company Business Model

When developing your business model, it’s important to understand the essential building blocks for new businesses to succeed , as this will provide a solid foundation for your venture.

Conducting Market Research in the Beverage Industry

Product development in the beverage business, the beverage manufacturing and bottling process, marketing and branding your drink company.

Entrepreneurs must develop a marketing and branding strategy that tells the story of the beverage and connects with your target demographic:

Building a Strong Brand Identity

Marketing strategies for a successful business, launching your own beverage company, how much does it cost to start a beverage company, are beverage companies profitable, what is the most profitable beverage, how can i determine the right product for my beverage business, what are the challenges of starting a beverage brand.

Get instant access to detailed competitive research, SWOT analysis, buyer personas, growth opportunities and more for any product or business at the push of a button, so that you can focus more on strategy and execution.

Table of contents, tapping into health drink business opportunities.

• 31 May, 2024

Understanding the Health Drink Market

To tap into the health drink business opportunities , it’s essential to have a solid understanding of the health drink market, including its growth trajectory, trends, and consumer preferences.

Market Growth and Trends

The health drink market is experiencing significant growth, driven by consumers’ increasing focus on maintaining a healthy lifestyle. According to Mordor Intelligence , the market is projected to grow from USD 344.36 billion in 2023 to USD 408.80 billion by 2028, with a compound annual growth rate (CAGR) of 3.49% during the forecast period. This growth can be attributed to the rising demand for sports nutrition products and health drinks, such as functional water.

Additionally, the global health beverage market is expected to reach USD 424,140 million by 2029, with a CAGR of 4.5% from 2023 to 2029, according to LinkedIn . The market’s expansion is driven by the increasing adoption of a healthy lifestyle among consumers, leading to a growing demand for health drinks like functional water.

Consumer Preferences and Behaviors

Consumer preferences play a crucial role in shaping the health drink market. As individuals become more health-conscious, they are actively seeking out beverages that offer both nutritional value and taste. Functional water, infused with natural botanical extracts, probiotics, and other nutritional ingredients, is gaining popularity among health-conscious consumers, making sparkling water a trendier and tastier option ( EHL Insights ).

Consumers are also gravitating towards sustainable and innovative health drink products. The adoption of technology, along with the demand for eco-friendly packaging and ingredients, is driving the growth of the health drink industry ( LinkedIn ). By offering products that align with these consumer preferences, businesses can capitalize on the growing market demand.

Understanding the market growth and trends, as well as consumer preferences and behaviors, is crucial for entrepreneurs looking to enter the health drink business. By staying informed about the latest market developments and tailoring products to meet consumer demands, businesses can position themselves for success in this thriving industry.

Factors Influencing Health Drink Choices

When it comes to choosing health drinks, consumers are influenced by various factors that shape their decisions. Marketing plays a significant role in consumer choices, while there are also barriers that can hinder the purchase of healthy beverages.

Marketing Impact on Consumer Decisions

Marketing has a powerful influence on consumer decisions, including the choices they make when it comes to health drinks. Food marketing takes many forms, including newer methods like sponsored posts on social media, which can be more difficult to recognize as advertisements ( Canada Food Guide ). Behavioral advertising also plays a role, as it tracks personal data and online activities to deliver targeted ads, including those related to food and drinks ( Canada Food Guide ).

Through strategic marketing campaigns, companies can create brand awareness, highlight the health benefits of their products, and appeal to the desires and aspirations of health-conscious consumers. Effective marketing can influence consumer perceptions, shaping their beliefs about the nutritional value and efficacy of different health drinks.

To make informed decisions, consumers should critically evaluate marketing messages, seek reliable information, and consider factors beyond advertising claims. Exploring reviews, conducting research, and consulting healthcare professionals can provide a more comprehensive understanding of the health drink options available.

Barriers to Purchasing Healthy Beverages

While the demand for healthy beverages continues to rise, there are barriers that can hinder consumers from purchasing these products. Some of the barriers include:

Cost : The price of healthy beverages can be a barrier, as they are often priced higher than conventional alternatives. Affordability plays a crucial role in consumer choices, and some individuals may find it challenging to invest in pricier options.

Limited Availability : The accessibility and availability of healthy beverages can vary depending on the region and establishment. In some locations, there may be a limited selection of health drinks, making it difficult for consumers to find the options they desire.

Taste Preferences : Personal taste preferences can also act as a barrier to purchasing healthy beverages. Some individuals may find the taste of certain health drinks less appealing compared to traditional sugary beverages. Overcoming taste barriers often requires innovative product development and offering a variety of flavors to cater to diverse preferences.

Health Claims Skepticism : Skepticism regarding the health claims of products can deter consumers from purchasing certain health drinks. Some individuals may question the authenticity or effectiveness of the advertised health benefits. Providing transparent and evidence-based information can help build trust and alleviate consumer concerns.

It is crucial for businesses in the health drink industry to address these barriers and find strategies to overcome them. This can involve pricing strategies, expanding distribution networks, conducting consumer research, and investing in product development to enhance taste profiles and consumer acceptability.

Understanding the factors that influence consumer decisions and identifying barriers to purchasing healthy beverages allows businesses to adapt their marketing strategies and product offerings to better meet the needs and preferences of health-conscious consumers. By addressing these factors, businesses can tap into the growing market demand for health drinks and seize the health drink business opportunities that await them.

Opportunities in the Health Drink Industry

As consumers increasingly prioritize their health and wellness, the health drink industry offers a range of opportunities for entrepreneurs looking to tap into this growing market. Starting a health drink business can be a rewarding venture, but it requires careful planning and understanding of the industry dynamics. Let’s explore the opportunities and growth potential in the health drink industry.

Starting a Health Drink Business

Starting a health drink business requires a well-thought-out business plan that outlines your target market, product offerings, marketing strategies, and financial projections. Researching your target audience and understanding their preferences and needs is crucial for creating a successful health drink brand.

One approach to stand out in the market is to develop unique and distinctive health drink recipes that offer specific health benefits. Whether you focus on natural ingredients, functional beverages, or specialized formulations, offering a product that meets consumer demands for healthier options can give your business a competitive edge.

To ensure the quality and safety of your health drinks, it’s essential to comply with regulatory requirements and obtain any necessary certifications. Consider partnering with reputable manufacturers and suppliers who can provide high-quality ingredients and help you maintain consistency in your product offerings.

Growth Potential and Market Forecast

The health drink industry is experiencing significant growth, driven by increasing consumer awareness and the desire for healthier beverage options. According to Mordor Intelligence , the global health drinks market is projected to grow from USD 344.36 billion in 2023 to USD 408.80 billion by 2028, at a compound annual growth rate (CAGR) of 3.49% during the forecast period.

Additionally, the global Health Beverage market is expected to reach USD 424,140 million in 2029, with a CAGR of 4.5% from 2023 to 2029 ( LinkedIn ). This indicates a positive outlook for the industry and presents ample opportunities for entrepreneurs looking to enter the health drink market.

To capitalize on the growth potential, it’s crucial to stay updated with health drink industry trends and consumer preferences. Continuous innovation in product development, packaging, and marketing strategies can help your business stay ahead of the competition and cater to evolving consumer demands.

Investing in technology and sustainability can also be key drivers of growth in the health drink industry. Embracing eco-friendly packaging solutions and utilizing advanced production processes can attract environmentally conscious consumers and enhance your brand’s reputation.

By leveraging the growth potential and carefully navigating the market dynamics, starting a health drink business can be a promising endeavor. However, it’s important to conduct thorough market research, develop a unique value proposition, and stay adaptable to changing consumer preferences to ensure long-term success in the industry.

Key Players and Strategies

In the competitive health drink market, several major companies have established themselves as key players. These companies are consistently evolving their strategies to cater to the increasing demand for functional beverages and health drinks. Some of the major players in the market include Mondelez International, Inc., PepsiCo, Glanbia plc, Unilever PLC, and Abbott Laboratories.

Major Companies in the Market

Mondelez International, Inc.: Mondelez International is a global food and beverage company that offers a wide range of products, including health drinks. They have a strong presence in the market and are known for their focus on innovation and product quality.

PepsiCo: PepsiCo is a leading multinational food and beverage company that offers a diverse portfolio of products, including health drinks. They have a strong distribution network and invest heavily in marketing and brand promotion.

Glanbia plc: Glanbia plc is a global nutrition company that specializes in dairy-based nutritional ingredients and branded sports nutrition products. They have a strong presence in the health drink market, offering a variety of protein-based beverages.

Unilever PLC: Unilever is a multinational consumer goods company that offers a wide range of products, including health drinks. They focus on sustainability and have a strong commitment to social and environmental responsibility.

Abbott Laboratories: Abbott Laboratories is a global healthcare company that offers a range of products, including health drinks. They are known for their focus on research and development, constantly innovating to meet the evolving needs of consumers.

These companies have a significant market share and play a crucial role in shaping the health drink industry. They are constantly adapting and expanding their product portfolios to cater to a wider consumer base.

Strategies for Success

To stay competitive and meet the growing demand for health drinks, major companies in the market adopt various strategies. These strategies include:

Acquisitions and Mergers: Companies often acquire or merge with other businesses to expand their product offerings and reach a broader consumer base. This strategy allows them to tap into new markets and gain a competitive edge.

Partnerships: Collaborating with other companies, retailers, or influencers helps increase brand visibility and reach. Partnerships allow companies to leverage each other’s strengths and resources to create innovative products and marketing campaigns.

Product Innovations: Continuous product innovation is crucial to meet consumer demands and stay ahead of competitors. Major companies invest in research and development to create new and improved health drink formulations that cater to specific consumer needs.

Marketing and Branding: Effective marketing and branding strategies play a vital role in attracting consumers and building brand loyalty. Major companies invest in advertising, digital marketing, and influencer collaborations to create awareness and promote their health drink products.

By implementing these strategies, major players in the health drink market maintain their position and drive growth in the industry.

As the health drink market continues to evolve, it’s important for aspiring entrepreneurs and businesses to analyze the strategies of these key players and learn from their success. By understanding the market dynamics and consumer preferences, new entrants can develop strategies tailored to their target audience and seize the opportunities offered by the growing demand for health drinks.

Regional Market Insights

In the ever-evolving health drink industry, understanding the regional market trends and growth opportunities is essential for entrepreneurs and businesses looking to tap into the health drink business opportunities. This section will provide insights into the market trends in Europe and the growth opportunities in the Asia Pacific region.

Market Trends in Europe

Europe holds a significant share in the health drinks market, driven by the increasing focus on health and wellness, rising healthcare spending, and the growing adoption of healthy beverages, such as functional water. Countries like the United Kingdom and Germany have witnessed a substantial rise in healthcare spending, contributing to the overall market growth ( Mordor Intelligence ).

In the United Kingdom, total current healthcare spending increased by 7.4% in 2021, reaching £277 billion. This rise in healthcare spending indicates a growing emphasis on health and wellness, which has translated into increased consumption of healthier beverage options. Germans, for example, are replacing sweetened soft drinks with healthy alternatives like functional water.

To capitalize on the market trends in Europe, it is crucial for health drink businesses to introduce new variants of health drinks that cater to the preferences and demands of consumers in the region. By staying updated with the latest market trends and consumer preferences, businesses can position themselves strategically to capture a share of the European market.

Growth Opportunities in Asia Pacific

The Asia Pacific region is poised for significant growth in the health drinks market. With a growing demand for plant-based and lactose-free drinks, the region aligns with the global trend towards healthier beverage options. This shift in consumer preferences presents exciting growth opportunities for health drink businesses in the Asia Pacific region ( Mordor Intelligence ).

According to market forecasts, the Asia Pacific region is estimated to grow at the highest compound annual growth rate (CAGR) from 2024 to 2029. North America currently holds the largest market share, but the Asia Pacific region is expected to surpass it in terms of growth. The market size is projected to expand significantly during this period.

To capitalize on the growth opportunities in the Asia Pacific region, health drink businesses should focus on developing innovative products that cater to the specific preferences and needs of the local consumer base. This could involve incorporating traditional ingredients or flavors that resonate with the local culture, as well as addressing specific health concerns prevalent in the region.

By understanding the market trends and growth opportunities in Europe and the Asia Pacific region, health drink businesses can tailor their strategies and product offerings to effectively target these regions. It is important to conduct thorough market research, adapt to regional preferences, and establish strong distribution networks to succeed in these markets.

Innovation and Future Trends

As the health drink industry continues to evolve, innovation and future trends play a crucial role in shaping the market. Keeping up with emerging product trends and incorporating technology and sustainability practices are key for businesses looking to thrive in this dynamic landscape.

Emerging Product Trends

In the ever-growing health drink market, staying ahead of emerging product trends is essential for businesses to capture consumer interest and meet evolving demands. Here are some notable product trends to watch out for:

Functional Beverages: Functional beverages are gaining popularity among health-conscious consumers. These drinks are formulated with added ingredients to provide specific health benefits, such as enhanced hydration, improved digestion, or increased energy. Examples include probiotic drinks, plant-based protein shakes, and vitamin-infused waters.

Natural and Organic Options: Consumers are increasingly seeking natural and organic options in their health drinks. They prioritize products made with high-quality, sustainably sourced ingredients, free from artificial additives and preservatives. Offering organic and clean label options can attract a growing segment of health-conscious consumers.

Adaptogenic Drinks: Adaptogens are natural substances that help the body adapt to stress and promote overall well-being. Adaptogenic drinks, such as herbal teas and elixirs, are gaining popularity for their potential to reduce stress, boost energy levels, and support immune function. Incorporating adaptogens like ashwagandha, rhodiola, or ginseng into health drink formulations can appeal to consumers looking for holistic wellness solutions.

Low-Sugar and Sugar-Free Alternatives: With increasing concerns about excessive sugar consumption, there is a growing demand for low-sugar and sugar-free health drinks. Stevia, monk fruit, and other natural sweeteners are being used as alternatives to traditional sugar to provide sweetness without the added calories.

By staying informed about emerging product trends, businesses can develop innovative offerings that cater to evolving consumer preferences and differentiate themselves in the competitive health drink market.

Technology and Sustainability in the Industry

Technology and sustainability are two key areas that are shaping the future of the health drink industry. Here’s a closer look at how these factors are driving innovation:

Smart Packaging and Labeling: Technology is being leveraged to create smart packaging and labeling solutions that provide consumers with real-time information about the product’s ingredients, sourcing, and nutritional content. Interactive labels, QR codes, and smartphone apps enable consumers to make informed choices and engage with the brand.

Sustainable Sourcing and Packaging: As consumers become more environmentally conscious, sustainable sourcing and packaging practices are gaining importance. Businesses are exploring eco-friendly packaging materials, such as biodegradable or compostable options, to reduce their environmental footprint. Additionally, sourcing ingredients from sustainable and ethical sources, such as fair trade or organic suppliers, aligns with consumer values.

Enhanced Production Techniques: Technological advancements are improving production techniques in the health drink industry. This includes innovations in extraction methods to preserve the nutritional integrity of ingredients, as well as advancements in processing and bottling equipment to optimize efficiency and reduce waste.

Personalization and Customization: Technology is enabling the customization of health drinks to meet individual consumer needs. Companies are leveraging data analytics and artificial intelligence to develop personalized formulations tailored to specific health goals and dietary requirements. This level of customization enhances the consumer experience and fosters brand loyalty.

By embracing technology and incorporating sustainable practices, businesses can stay ahead of the curve and meet the evolving needs of health-conscious consumers. These innovations not only drive growth but also contribute to a more sustainable and responsible health drink industry.

As businesses navigate the future of the health drink market, staying abreast of emerging product trends and embracing technology and sustainability practices will be key to capitalizing on opportunities and staying competitive in this dynamic industry.

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How to start a beverage business

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Fever Tree, Brewdog, Innocent Smoothies – the UK beverage market has seen its fair share of disruptors and innovative brands emerge in recent years – and it’s big business.

But the jury is still out on whether the sector’s glass is half full of half empty. Inflationary pressures, and incoming tax changes , for food and beverage (F&B) manufacturers continue to intensify. Prices of food and non-alcoholic beverages rose by 10.1% in the year to October 2023 according to the latest Consumer Prices Index (CPI).

Opportunities for niche markets definitely exist, however. The trend for non-alcoholic drinks have helped to prop up dwindling manufacturing figures, while the push for healthier products feeds consumer demand for low-cal, sugar free drinks.

Clearly there is space on the shelf for your own brand of drink to sit alongside the above names. But it will take some careful planning to launch a beverage line. From sourcing the right ingredients at competitive costs, to nailing that all-important branding and setting up stocking agreements with bars and supermarkets, there’s a huge amount to consider.

This guide is here to help, answering common questions and hearing from those who’ve trod the path before, to help you understand all you need to know.

There’s plenty of planning you’ll need to do to launch a beverage business. Thankfully, one area which needn’t cause undue stress is creating a website to promote your brand and drive sales. Thanks to modern templates like the one below , you can create one of your own in under an hour.

At Startups.co.uk, we test and rate ecommerce platforms, and we’ve identified Shopify as one of the best you can choose for creating an online store for selling beverages. Shopify even has custom website templates designed specifically for food and drinks stores  – you simply drop your own company information, wording and preferred imagery into your chosen template. Better still, it’s completely  free to try  for yourself.

Things to think about when starting a drinks business are:

• Opportunities and inspiration
• Business plan
• Rules and regulations
• Potential earnings
• Industry contacts

What drinks business opportunities are there?

The UK beverage market has plenty of established players but that’s not to say that it’s immune to innovation and change, which is why there’s a great opportunity to be had if you want to start a drinks brand.

In fact, many businesses have launched recently with unique business models, new approaches and some downright crazy ideas for drinks which are going some way to transforming the way we see the sector.

Take pioneering beverage developer Brainwave Drinks Ltd. for example. Founded by Richard Baister, named a Young Gun in 2012 as the creator of calorie burning drinks brand SUMO Drinks, Brainwave Drinks has two distinct offerings: Brainwave ; claimed to be the world’s first drink to combat cognitive decline and ProWater ; a high protein water brand.

However, your beverage business doesn’t have to be at the cutting edge of science to stand out as Startups Awards 2016 finalist Pinkster Gin demonstrates. Pinkster is an artisan gin brand made with British raspberries to give it unique pink colouring and taste.

Founder of Pinkster Gin, Will Holt, explains: “Over 95% of traditional gins are clear. Ours is pink because it’s produced with fresh raspberries. This disruptive approach and quirky branding has given us colossal stand-out in a highly competitive marketplace”.

Or, as in the case of Ken Graham, founder of Soda Folk, it might be the case that you launch a beverage business inspired by travel. Graham started his business for a taste of home: “If you can find a “problem” to solve within the business, then you might be suited to being a beverage entrepreneur. In my case, I wasn’t able to find good American-style root beer when I moved to London from the USA, a problem I managed to solve by starting Soda Folk”.

The beverage market is “highly competitive” warns founder of Virtue Energy Water Rahi Daneshmand. His range of “positive energy” drinks contains zero sugar, calories and sweeteners and only uses natural sources of energy from yerba maté, guarana and ginseng.

Daneshmand adds that while “it will involve a lot of persistence and determination to break” into the drinks sector, “a beverage business is suited to anyone who is passionate about creating new drinks and improving consumer’s lifestyles through the development of their brand”.

If this sounds like you, read on to find out how to create the perfect business plan for your beverage brand…

Create A Website To Advertise Your New Beverage Brand

What should you include in a beverage business plan?

As with any business, taking some time to create a thorough business plan which details everything from your ambitions to your financials and marketing strategy, will put you in good stead to succeed. Download your free business plan template here .

Brainwave’s COO Nik Hrstic offers up a checklist of what to include in your business plan:

• Start with “a vision for the business”- “[Your business plan should be a] living, relevant document that management use to measure themselves against – and [it should] be updated to take into account actual performance and market conditions”
• You should also include profiles of your management team, with “their credentials and history in the sector and their empathy with the products sold”
• If you intend to grow your business successfully then funding is essential; a realistic business plan is a good tool for attracting investors. Hrstic says it’s not enough to include your sales revenues, margins, profit and loss and balance sheet for at least three to five years. Instead, the most important thing to explain is “how these numbers will be achieved in detail – because a bank lender or individual investor will hold management to account for them”.

Hrstic advises that you also include: “Products pipeline, sales & marketing, operations and everything that happens in the cycle between a customer ordering and the business collecting cash”, as well as “where the cash goes” and resources needed in the business such as the individuals with appropriate skills required to make the business plan achievable. This could be anything from accounting to legal professionals and everything in between.

Soda Folk’s Graham says a number of successful beverage businesses have published their business plans online, which you can access and use to guide and inform your own like this for example. In Graham’s case, reading available business plans alerted him to things he may have otherwise missed.

Most significantly it was that “large customers such as grocery multiples and major distributors might have listing fees and compulsory promotions that can run into the thousands of pounds. If you’re hoping to land those kinds of customers, you’d better account for those expenses beforehand”.

Virtue Energy Water’s Daneshmand gives a concise overview of what a beverage business plan should look like, saying it should include: “the uniqueness of your beverage, the current market offerings, your plan to market your drinks, your sales strategy and the team you will hire”.

Holt’s advice is to include “the kitchen sink”and he says that, for Pinkster Gin, it was essential to detail the company’s export strategy as 70% of UK gin is exported. Holt’s three year-old brand already exports to Australia, the USA and Ireland and has recently raised a £1m crowdfunding round to expand into Germany.

While you will certainly discover some useful information by researching other business plans and including the essentials above, a business plan is a document that is unique to every enterprise – every path to success will be different and there’s no one size fits all strategy.

Draft a clear and compelling mission statement for your beverage business that you and your team can get behind and work towards and you won’t go far wrong.

So you’ve written a fool-proof business plan for your exciting new drinks brand and you’re ready to start brewing, mixing and testing your wonderful beverages. But wait – there’s another hurdle to contend with: red tape…

Rules and regulations for starting a beverage business

If you choose to start an alcoholic drinks business then you’re going to be at the mercy of far more rules and regulations than if you started a non-alcoholic drinks brand as Holt can attest to: “Given we’re dealing with alcohol there are all sort of excise complications and we spend a considerable amount of time dealing with HMRC, so finding a competent tax adviser is essential. Also, there’s no shortage of health and safety issues to contend with.”

However, even drinks in the health sector aren’t immune to the burden of legislation – especially when the brand is trading on a health-giving property. Brainwave Drinks’ Baister explains: “A lot of healthier drinks wish to make a claim about their function.

“In that case it’s very important to be aware of the laws concerning which claims can and cannot be made and how these have to be expressed, both on packaging and in other marketing materials.”

Soda Folk’s Graham echoes Baister’s comments and says it’s important to remember to comply with the rules established by the Food Standards Agency “which has numerous guidelines about labelling, ingredient safety, and health claims”.

According to Virtue Energy Water’s Daneshmand, starting a beverage business will expose you to no more rules and regulations than the “vast majority of businesses”. However, it’s the manufacture and sale of your products where you’ll find “a whole host of rules and regulations” including “ensuring your manufacturing site has all the correct health & safety legislation and making sure your drinks are safe for human consumption”.

Once you’ve got legislation out of the way, it’s time to start thinking about the costs of starting your own drinks brand. Read on to find out how to budget wisely…

How much does it cost to start a beverage business?

Once you’ve created your business plan, you should have a relative idea of what your start-up costs are going to be – although costs are going to vary wildly for different businesses. When establishing initial costs, you can afford to be thrifty and make sure to budget for unforeseen circumstances.

To avoid spiralling costs and unnecessary expenditure at the start, take it slow. Soda Folk’s Graham asserts that it’s possible to get started with “very little capital” and that you can start out from home.

After experimenting with recipes and ideas in the safety of your kitchen, make use of “friends, co-workers and any adventurous soul whom you think will give you honest feedback”.

Once you’ve canvased views and get “rave reviews”, Graham says that’s when it’s time to test the product on a broader audience by “setting up a stall at a food festival or farmers market and selling your drinks directly to the public”. You can also start to target local shops and restaurants “whose invoices can help you finance your first commercial batch”.

“At this stage, you’ve probably not yet spent more than a couple of hundred pounds for ingredients and bottles”, suggests Graham, “and you’re already well on your way to success”. Whatever you do, Graham concludes: do not spend a bunch of money canning or bottling a large batch before you have some good-sized customers who have committed to buying your product!”

As Virtue Energy Water’s Daneshmand points out, your start-up costs will largely “vary on your plans” – which will have been carefully laid out in your business plan – and “how quickly you intend to pick up momentum and your overall business ambitions”.

In contrast to Graham, Daneshmand suggests that an initial outlay of £200,000 “would be sufficient” to launch a business in the beverages sector, but points out that “many businesses raise more than this and some launch with less”.

Daneshmand adds that the costs associated with starting a beverage business are different to starting a tech businesss as “minimum production runs are relatively high for most packaging formats, so it is difficult to test with a lean start-up methodology”. On a brighter note however, he says that “nowadays there are more options in manufacturing where you can do smaller runs to test your concept before going into a full scale production run”.

Whatever you budget for your drinks brand, remember to only spend on the absolute essentials at the beginning and carefully manage your cash flow to successfully manage your growth.

So you’ve tested your product and you think it’s got great commercial potential – but how much money is your drinks brand going to make?

How much can you earn running your own beverage business?

The amount you earn from your beverage business is going to ultimately come down to your own ambitions, drive and imagination. More niche products and ideas have a smaller market appeal, while others can grow to become globally recognised brands.

“It helps if your brand has a great story” says Soda Folk’s Graham: “In the early days of Soda Folk, I managed to get attention from buyers and the press because I was a homesick American who started a company to satisfy my root beer cravings. A delicious recipe, great packaging, and a creative product idea are all important, but your story is what will really help set you apart” and drive sales.

It’s also advisable to “pay yourself as little as possible” in the early stages of running a beverages business. “To help your business grow quickly, invest any early profit back into the company. If you’re expecting to make a mint in a few short years, you’re likely to be disappointed” continues Graham.

To get the word out about your brand and make some early sales, “go to where you think your customers might be and give them the chance to taste your products”. This could be a more formal event such as pouring samples for a stockist’s shoppers or handing out bottles to your friends at a house party.

Doing this, Graham explains, “gives you the chance to get to know your customers personally, share your story, and build a real connection. If you find a small, devoted following, they’ll help you grow your customer base via social media and word of mouth, and before long, you’ll have a whole army of passionate fans”.

Pinkster’s Holt agrees. Holt recommends that if you want to build your customer base and grow revenues “seize any cost-effective marketing approach, be visible on social media, forge brand partnerships and be fleet-of-foot”. He adds that this is “not always as simple as it sounds…”.

In the opinion of Virtue Energy Water founder Daneshmand, any returns “will depend on your financial situation and whether you need, or would like to pay yourself, a significant wage”. He shares Graham’s view about reinvesting instead of taking a salary: “If you are focusing on growth and momentum you will not be able to pay yourself an attractive salary unless you are hitting significant revenue levels”.

We’ll let Pinkster’s Holt have the last word on the earning potential of setting up a beverages business: “Get it right and the world’s your oyster. Look at the phenomenal success of the team at Fever Tree with their range of premium tonics and mixers. A modern day success story of some significance”.

Useful contacts

• The Food Standards Agency (FSA) : The UK government body responsible for protecting public health in relation to food
• The British Soft Drinks Association (BSDA) : Represents UK producers of soft drinks, including carbonated drinks, still and dilutable drinks, fruit juices and bottled waters including the majority of Britain’s soft drinks manufacturers as well as franchisors, importers and suppliers
• Ampulla: Manufactures and sells a variety of plastic, glass and aluminium packaging
• The beverages market is heavily saturated – Stand out with a quirky idea, unique branding, or a great story
• When writing your business plan, it’s not enough to detail your financials, establish how you are going to achieve them
• Make sure your product complies with the FSA’s guidelines on labelling, ingredient safety and health claim
• Ask friends, co-workers and family for honest feedback on your product before blowing a load of your budget on a large batch
• Reinvest all your initial profits into growing the business and have a long-term view; don’t expect to make a lot of money overnight

At Startups.co.uk, we’re here to help small UK businesses to get started, grow and succeed. We have helpful resources for helping new businesses get off the ground – you can use the tool below to get started today.

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How to Start a Profitable Drink Business [11 Steps]

Business steps:, 1. perform market analysis., are drink businesses profitable, 2. draft a drink business plan., how does a drink business make money, 3. develop a drink brand., how to come up with a name for your drink business, 4. formalize your business registration., resources to help get you started:, 5. acquire necessary licenses and permits for drink., what licenses and permits are needed to run a drink business, 6. open a business bank account and secure funding as needed., 7. set pricing for drink services., what does it cost to start a drink business, 8. acquire drink equipment and supplies., list of software, tools and supplies needed to start a drink business:, 9. obtain business insurance for drink, if required., 10. begin marketing your drink services., 11. expand your drink business..

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Part One – The Legwork

Brainstorming your ideas, categorizing products.

• energy drinks
• health drinks
• coffees and teas
• sparkling waters
• alcoholic beverages

Testing Recipes

Developing your product, spend time crafting your business plan, parts of a business plan, analyzing the market.

• Local/Regional Market – find out what beverages are being produced and sold locally and in your state. Many entrepreneurs will be willing to discuss some aspects of their business with you, unless you plan to be their direct competitor. You might even ask to shadow the person for a day or two. This will help you gain a real understanding of what the business requires.
• National/International Market – research the histories of other big product companies whose products are known worldwide. There are industry websites and magazines available you should read to better understand the bigger markets, important trends , and other data vital to the beverage industry.

Develop Your Marketing Plan

• What/who are your target market/demographic? Consider what demographic you will be marketing to primarily based on the type of beverage you will be producing. Is it a kid-friendly juice? An adults-only alcohol beverage ? A health juice for the fitness market? Your marketing efforts will largely be based on who you are targeting so you must be able to identify the right demographic.
• How is your product different than the competition? If you are producing a new line of apple juice, you must be able to identify how it differs from all of the other apple juices on the market. If you cannot determine the difference between your competitors, how will the consumers tell the difference? Demonstrate why people should buy what you are selling versus the other brands already on the market.
• How will you enter the market? Part of your marketing plan will require an outline of your initial introduction into the beverage market and a timeline for growth and expansion. Will you start locally, selling your product at local farmer’s markets? Will you start seeking distribution deals on a national level? Will your products only be sold online? Your strategy for getting introduced onto the market is important but a visual timeline of what happens next is also vital. This is a good time to be creative with your ideas for reaching your target market in an effective way.
• What sales strategies will be used? There are many ways to sell your products but having a plan will help you do it more efficiently. Do you plan to sell your products by yourself? Will you employ sales personnel to cold call potential markets? Based on your marketing plan, it is important you understand your sales strategy from the start and have a plan for increasing sales in a specific period of time. Account for all costs for advertising your product – print ads, online ads, website, and social media pages.
• Will there be accompanying merchandise to further market products? To generate interest and attract attention, it may be necessary to think outside of the box for good promotional ideas. T-shirts, free giveaways, and other special offers are a good way to get your product to a larger audience. Determine the cost of buying additional merchandise and include it in your startup costs.

PART TWO - Perfecting Your Brand

Creating a logo, designing bottles, website/social media, understanding your finances.

• How much cash do you have to invest? If you plan to bootstrap your own business, determine how much money you have to invest yourself. Be sure to account for your personal expenses especially if you plan to sell your beverage product full time without other sources of income.
• Will you need investors? If you do not have the means to put up the cash necessary to get started and keep going, you’ll need to investigate your options for investors. You may need to sit down with the bank to discuss getting a business loan. You may need to see the help of professional investors who will expect a return on their investment. You also may want to start out by asking friends and family to be the initial investors in your business. However you choose to obtain your capital, make sure it’s all done on a professional, legal level to avoid problems when your product sales take off. With a completed business plan, you have a better chance of attracting interested parties to invest in your idea and products.
• Are you operating on your own? Forming a partnership or corporate structure? If this is solely your business, you can make the decisions on your own. If you are working with one or more people on beverage products and brands, it is important to establish your company correctly from the beginning. A lawyer or account can help you understand your options for setting up your business legally.
• Legalities of patents and protection . Once you have developed your product, you must research the essentials of patenting and protecting it. This includes not only your drink product but also your tagline, logo, and other marketing designs. Without proper protection, your ideas may be developed by someone else which can jeopardize your business. Learn more about trademarks, copyrights, and the other legalities of the beverage business by consulting with an expert in the industry.
• Local/national licensing. There are federal and state laws regulating the beverage industry. You must research the laws pertaining to your product to ensure your business has the correct licensing and certifications. Without proper licensing, regulating agencies can shut your business down and you may face heavy fines for regulation violations.
• Insurance . Consult with a business insurance agent to understand the insurance policy requirements for the beverage industry as well as for the business in general including liability, property protection, and vehicle insurance.

Understand manufacturing needs/outsourcing

Manufacturing your product is hard work. It is important to research the costs and legalities of doing it yourself or outsourcing the work to a certified manufacturing business . Conduct in-person visits with different manufacturers to see which is best for your company and product. Include the cost of production in your business plan so you’ll know exactly what to expect when the time comes to bottle your beverage.

Sourcing/cost of ingredients

For most beverage entrepreneurs it is vital they include the freshest ingredients possible into their product. You must understand the process of sourcing the best ingredients and determine the cost effectiveness of all your options. Will you only use local fruits to produce your fresh juice? How much of the ingredients will you need to produce large batches of your product? What is the cost of local ingredients versus shipping charges for nationally/internationally-sourced products for seasonal items?

Production equipment

If you plan to manufacture your own product, your initial investment will require the purchase or lease of the proper equipment. Investigate opportunities to buy this equipment in new and used condition. Determine where the equipment will be housed during the manufacturing process. Note the cost of buying the equipment and operating yourself versus the cost of outsourcing to a manufacturer.

While you may initially wear many hats as an entrepreneur, you will no doubt need reliable staff to help with sales and manufacturing. Be sure the cost of employees is accounted for in your business plan. Will you hire full or part-time only staff? What is a reasonable rate of pay for staff? How many staff will you need at startup and during the growth process? Consult with a human resource expert to ensure you understand the protocol for hiring and maintaining staff, records, insurance, tax information, and payroll.

Delivery/distribution

Whether you plan to make all deliveries yourself during the startup phase or are seeking larger distribution deals, it is important to consider all of your options and the associated costs. Delivering product on your own may be easier initially but it still costs a lot of money in gas, mileage, vehicle maintenance, staff, and insurance. If you are looking to get your product into wider distribution channels, it may be worthwhile to consult with a broker in that area.

Final Thoughts

The beverage industry is a highly competitive one but with the right product and a solid business strategy, you can conquer it as an entrepreneur. Read the histories of many popular products of today for the inspiration to continue pursuing your dream. With research and hard work, you have many opportunities to turn a good idea into a goldmine.

• http://www.drinkpreneur.com/beverage-howto/what-you-should-do-before-starting-a-beverage-company/
• http://flavorman.com/start-beverage-company-5-easy-steps
• http://www.selfgrowth.com/articles/why-do-good-drinks-fail-build-your-beverage-empire
• http://www.streetdirectory.com/food_editorials/beverages/beverages/launch_a_beverage_or_energy_drink.html
• http://smallbusiness.chron.com/start-fresh-juice-business-2140.html

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Delivering High-Quality Products with the Help of a Target Market Segmentation Strategy – A Case Study on the Healthy Drinks Segment

5 essential criteria for developing a target market segmentation strategy.

Market segmentation is crucial to business success which is why it is practiced by most business organizations to streamline their marketing initiatives. Market segmentation is the process of dividing the target market into specific sub-segments to devise tailored marketing strategies that appeal to each group. Here’s a list of the top five essential criteria that may be useful when planning your company’s target market segmentation strategy:

Accessibility: While demarcating a market segment it is essential to consider how it can be accessed and whether it lies within the capabilities of the company. This is the most crucial criterion which cannot be overlooked as different segments respond differently to marketing strategies.

Quantifiable: It is necessary to identify the size of the market in terms of volume of sales to a certain degree of accuracy so that the strategies can be developed to suit the individual market needs.

Contact us if you’re looking to gain actionable insights and take expedient measures to simplify business processes and go-to-market strategies.

Substantial: To avoid spending on extensively large market segments with negligible spending power, it is crucial to gauge every market segment based on their viability.

Actionable: Every market must have a practical value such that its characteristics are easily quantifiable.

Differentiable: Defining the differences between market segments is essential to implement a marketing campaign, products, and marketing tools, without being overlapped.

Client’s Background

The client is a leading manufacturer of healthy drinks . 

Continue reading to gain in-depth insights into this segmentation engagement or request a free proposal .

Predicaments Faced

To reach the intended target audience, the client- a leading manufacturer of healthy drinks wanted to outline a business plan for delivering high-quality products coupled with solid customer service. Also, owing to the high sales cost, revenues were not ramping up as desired this, in turn, prompted them to approach us for developing a robust market segmentation strategy.

Our approach

The market segmentation experts at Infiniti Research divided the healthy drinks market into various segments before targeting the key segments with high potential. The initial phase of this market segmentation engagement involved detailed market research to understand every segment within the healthy drinks market. A target market segmentation strategy was then developed to capitalize on the high potential market segments.

Business Impact

The implementation of the devised target segmentation strategy empowered the healthy drinks manufacturer to make precise business decisions that aligned with the market segmentation strategy, their capabilities, and resources.

This in-depth market analysis helped uncover insights on:

• Developing new products
• Generating sales leads
• Implementing new marketing initiatives

Today, market landscapes change faster than ever, so if you haven’t segmented your market, it’s probably time to review and update the criteria for market segmentation and revisit the target-market decisions. Request information to find out how we can help you.

We help our clients make smarter decisions to achieve rapid business growth

Our strength lies in the unrivaled diversity of our international market research teams, innovative research methodologies, and unique viewpoints that merge seamlessly to offer customized solutions for your every business requirement.

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Business Plan for health drink

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[Type the company name] Marketing Plan- Health drinks [Type the document subtitle] XYZ [Year] Table of Contents Table of Contents............................................................................................. 2 Executive Summary ........................................................................................ 3 Target Market & Buyer Behavior......................................................................4 Generic Market.............................................................................................. 4 Product market............................................................................................. 4 Perceptual Map ............................................................................................... 5 Product Strategy ...................................................................................... 6 Place Strategy ............................................................................................... 8 Price Strategy ................................................................................................ 10 Promotion Strategy ....................................................................................... 13 Integrated Marketing Communication Strategy..........................................13 Operational Plan.......................................................................................... 15 Appendix A – Choosing A Target Segment.....................................................18 Industry Analysis......................................................................................... 23 Competition Analysis: Porter’s Five Forces Model.......................................24 SWOT Analysis............................................................................................ 25 2|Page Executive Summary The consumption of energy and health drinks is increasing at a high pace, demonstrated by high compounded annual growth rates for the functional beverages market. The report presents a marketing plan for the launch of a new to market product – Nutri, which is milk and soya based ready-to-drink drink. The drink is planned to be launched in the month of March, 2012 with initially three real fruit flavors. The target customer for the new product are health conscious teenagers and young adults who would like to consume a health drink regularly to suffice for their nutritional needs in a faced paced world. The report presents an elaborate marketing plan focusing on the marketing mix strategy including – product strategy, place strategy, price strategy and promotion strategy. The report also sets timelines for implementation of various activities in the marketing mix strategy. Product strategy includes development and launch of the product and future direction of development. The place strategy focuses on the distribution strategy for Nutri including details of the channels and policies to be used. The pricing strategy indicates the product pricing for a 250ml bottle of the health drink. It focuses on the strategic pricing and its implication on product positioning in the minds of the target customers. The promotional strategy focuses on the pre and post launch promotional tactics and the integrated marketing campaign to be launched for product promotion with times lines. The report presents a complete marketing plan for the new product launch with timelines and tentative print media advertisements to present a comprehensive view of how the product has to be positioned and marketed. 3|Page Target Market & Buyer Behavior The consumer market of health drinks can be segmented on the basis of demographics, psychographics and the behavioral attributes of the consumers of energy drinks. The customer markets can be segmented on the basis of age – infants, teenagers, young adults, adults and elderly people. The psychographic and behavioral segmentation of these markets will include the lifestyle, attitude, social or personality characteristics or behaviors. As a product, energy drinks are a part of the functional beverages market. The market for functional beverage is categorized into four different categories – Hydration, Energy/Rejuvenation, Health and Wellness; and Weight management products. Hydration drinks include anti oxidants and fruit extracts that are believed to provide hydration to the inner and outer layers of the skin. Energy/ Rejuvenation products are highly caffeinated, high energy beverages available that provide instant energy. The Health and Wellness products are beverages low on calorific value, sugar and include supplements of vitamins and other essential minerals. Generic Market The generic market of the new product will include a large segment of customers who purchase beverages for the purpose of taste, health, rejuvenation or thirst. These includes customers from all age groups that are looking for functional beverages to satisfy their needs for a beverage that they can consume regularly or occasionally serving their basic needs or pleasure, instant energy or nourishment. Product market The target customers for the new product are teenagers and young adults between 18-34 years of age, who live a hectic work life and are conscious 4|Page their health. The product which is a health and wellness drink will target customers who are health conscious and understand that their demanding work schedules as well as their lifestyle are leading to them to not taking adequate nourishment and healthy food. The product though will have mass appeal spread across all age groups owning to the nourishment it provides. Perceptual Map Perceptual maps are used to graphically represent the positioning of the product vis-à-vis their substitutes and competitors. Nourishment Health Taste Lifestyle The new product which is a health drink is placed on the perceptual map wherein its competitors will include global brands like Freshup. The perceptual map includes four quadrants and measured on the attributes of 5|Page the product being perceived by its customers as a lifestyle product, Health and wellness product, taste and nourishment. Product Strategy The product strategy is one of the most important strategic tools in the hands of the company by which the company launches, establishes and markets its product. In other words, the product strategy enables the company to create a value offering and deliver that to its customers in a time bound manner. The product is the main element of the marketing mix. Therefore, the product strategy needs to be established before planning the marketing mix. The objective of the product strategy is to decide the value offering which is to be delivered to the target customers of the company to satisfy their specific needs. We will be developing a health and wellness product in the functional beverages segment of the market. The drink will be based on the nutritional value of its key ingredient that include milk, soya extracts and other food extracts that have not been captured till now by existing player. An important part of the product strategy will be the primary and secondary research to be taken for the initial three months to get the customer insights into health drinks / energy drinks market. The insights will be used in developing the desired product. The product will cater to the needs of the target customers who want a regular health drink that is affordable and is less in calorific value but high in nutritional value. The product caters to the teenagers and young adults, mostly working people or mothers at home who are looking for a regular health drink for themselves or their family members. Most of them are not able to intake sufficient nutrients required by them due to their hectic work schedules and living habits. The product is aimed at capturing market share from the existing energy drinks market as well as creates a new market for itself by becoming a popular drink that substitutes nutritional drinks like milk. 6|Page The basic product is a health drink. The tangible product is a milk based health drink with nutritional benefits of milk, soya and other fruit extracts that can suffice for one’s daily intake of proteins and other minerals essential for maintaining healthy diet. The product aims at providing an easy solution to its target customers for their nutritional needs and a solution that can easily be absorbed within the present lifestyle of the target customers. The augmented product in the health drinks market will provide all the necessary nutrition for the day and comes in a lot of choices in terms of the flavors and taste. The augmented product also includes health supplements that can be added to your food to make it more nutritional and healthy. The product will initially be launched with a single product line of milk and soya based drinks flavored with real fruit extracts. The initial flavors launched will be apple, grapes and blueberry. The company will extend the product line after gauging the initial response of its customers. The company will enter into new product lines that will include spreads and supplementary products used in daily breakfast that will be good in their nutritional value and can be taken with sandwiches and breakfast meals. Being a new product, the branding and packaging of the product are critical to the overall product strategy. The product needs to be strategically placed in the minds of the target customers who have an unfulfilled need for daily nutritional products and supplements owing to their existing lifestyles and schedules. The success of the product will depend immensely on the ability of the marketers in promoting the product as a regular health drink, that is easily accessible and that provides for all the daily required nutritional value. The marketers will have to differentiate between the existing products in the health drinks that may include fruit juices or cola beverages, but be apprised of the fact that the product aims at overtaking a part of their market share as the basic needs to which these different products cater overlap. The company should be able to build its brand and faith among its target customers that the product is high on quality and easy to access and store. The warranties and guarantees given by the company on the product’s 7|Page nutrition value are extremely important both in legal terms as well as for gaining the market share. The marketing team will have to take all the advantages of the product to the target customer and focus on how this nutritional product can match their present lifestyle and habits. Managing the product life cycle is important for business sustainability. We intend to launch new flavors including seasonal fruit flavors to extend the product line. We will also add new product lines in the supplementary foods segments that includes spreads and cheese based product that are consumed with breakfast of fast foods. The extended product line will include spreads based on similar ingredients as well as concentrations or pastes that can be added to the food cooked at home to provide it the required protein and minerals essential for a healthy diet. Place Strategy The place strategy is an important part of the overall marketing mix of the product or value offering. The objective of the place strategy for the new product is to reach out and make the product accessible to each and every target customer within two hundred yards of his or her home or office within the next three years. The company will aim at strengthening its existing channels and create and maintain new channels by leveraging the distribution ability of various players in organized retail to reach out to its target customers. The customers today look for ‘convenience’ while purchasing the product. Thus any product must be accessible to its target customers. Therefore, we aim that our product will leverage the strong distribution network of national and local retail players to each to its target customers and will be present in each mom- and- pop store in the neighboring market as well as organized retail chain in the up-market. Thus we will be requiring two separate channels for distribution of our product. The first channel will focus on the availability of our product in the super market chains as well as organized retailers that have a wide presence nationally or globally. This channel will take care of the modern trade partners like super markets, or hyper market chains for distribution and sales 8|Page of the product. The second channel will be a larger and more comprehensive channel that will focus on creating a distribution network for the distribution of the product. This channel will segment the territory/ geography into distribution regions. Every region will have key distributors and subdistributors at the local level to distribute the product offering. At a local level the sub distributors or the wholesalers will distribute to the retailers. The sales teams will focus on enrolling more and more local wholesalers and distributors to create a strong network of sales and distribution. The distribution network of the company will be its primary channel. The company can use its existing network of distributors and retail partners to distribute the new product offering. A strong sales force at a local level will ensure availability of the product at each and every local store. We will use an indirect channel to cater to the target customers. The indirect channel has been chosen for distribution of the product as the product is intended to be a mass product and a fast moving consumer good (FMCG). It is thus not possible to directly sell the product to each and every customer as the cost of trying to establish such a channel does not make commercial sense. In the initial phase of the launch the market exposure will be lesser and limited. Though, the market exposure will rise gradually to serve the growing demand for the product. The product launch will also happen in a phased manner. A pilot launch of the product will be made in a limited geography. As the operations will settle down we will enter into newer geographies and extend our market reach. For the purpose of distribution, the company will focus on establishing and utilizing its vertical market system. The vertical market system will be a Contractual Vertical Marketing System (CVMS). The contractual marketing system will consist of the wholesaler – sponsored voluntary chains, retailer cooperatives and the franchisee organizations for distribution of the product. The contractual VMS consists of independent firms at different levels of the supply chain that come together through contracts to obtain more economies and sale impact. Thus, the company will leverage 9|Page the networks and expertise of the wholesalers, retailer networks and franchisee in reaching to the target customers. The customer service would include streamlining the operational difficulties in managing the supply chain and addressing the problem and grievances of the channel partners. The company will use high level of customer service standards that will match the best in the industry to create an increasing and loyal customer base. As our product is not targeted to a niche market, the availability of the product at key outlets is the key to the success of the distribution network. The sales and distribution tactics may include sharing higher margins, offers and incentives to channel partners for greater sales as well as forums and sharing of information among channel partners to help them be more competitive. In a Contractual VMS the wholesalers play a key role in helping the retailers in competing with the larger corporate. Therefore the strategy will be to include wholesalers with significant and wide spread presence in the target customer markets. The distribution network will include retail chains and retailers that are located at residential areas or up street markets to gain access to the large population of target customers tapped by them. The transportation for distribution will depend on serving the distributors and the wholesale/retail networks. We will use the best practices in supply chain management to bring out efficiencies in our supply chain operations. The channel will be managed by the sales team of the company. The sales hierarchy shall include area managers at local levels reporting to regional managers. The sales function will be based on geography and channel. Price Strategy The objectives of the pricing strategy are the overall goals that describe the role of the price in the long term plans of the organization. The objective of our pricing strategy for our new product is to penetrate the market and gain a five percent market share within the health drinks market 10 | P a g e in the first year with an average rate of return of 15% for the initial period. In the longer run the organization will focus on growing the market share to 20% in the next five years and taking the targeting a 20-25% rate of return on our investments. The product is targeted at the mass market segment towards the teenagers and young adults. The aim of the pricing strategy is to further the product strategy of launching the product as a regular health drinks that can add to your daily diet or be a substitute to the existing energy drinks, or flavored soft drinks. The pricing strategy is thus to price the product at the mid range of the price band that includes soft drinks and premium energy drinks. The product will use the penetration pricing strategy initially to gain customer share and later raise prices as the demand for the product rises. As the product is a new product development, there are no immediate competitors to the product, but there is competition in the product category of functional drinks. The pricing of the product has to ensure that the product is priced in a lucrative manner and the customers perceive the product as a value buy and start replacing their existing choice of health related drinks with the new product. Pricing Policy The company will use a uniform pricing policy wherein every product produced by the company will be priced the same. However given the geographical spread and competitive environment of doing business the organization will be flexible to include price adjustments following changes in demand and cost. The cost of production of the milk based health drink is open to the effects of price changes in the cost of the ingredients used to produce the final product as well as the cost of packaging and distributing the product via the marketing and distribution channels. As the demand for the product will be elastic during the initial few months of the launch, we will be happy with lesser incremental margin on our product to start with. The organization will be flexible in its pricing policy to the extent that the flexibility creates a advantage in the highly competitive markets and does 11 | P a g e not affect our brand name and customer share of wallet in a negative manner. To support the pricing objective of the firm, we will have to use better technologies in production and processing our product such that we are able to save cost and price our product at the mid price range. The role of supply chain management and distribution efficiencies is also critical as that will help us create competitive advantage by being leaner and more efficient. The pricing strategy and the price might have to be supported by negative or zero margins at times during the initial period of market penetration. We will leverage our existing supply chain and distribution network to help the product reach the target customer faster and more efficiently. Product Pricing A 250ml bottle of the drink will be priced at $0.95. The price is in congruence with the pricing strategy or pricing the product mid way in the functional beverages category. The functional beverage price ranges from $0.3 to $2.25 for the same amount. The price of $0.95 will position the product as a budget drink affordable to all and which can be had regularly. The price will take care of the production cost and the overheads and provide for the targeted margins. The product has to be given at a discount to the distributors, wholesalers and the retailers. The retailers will have larger margin than the distributors. Normally the margins will be approximately 5-7 percent for retailers and 2-3 percent for the distributors or wholesalers. The basic distribution pricing method includes the price volume model. However the prices of the product are influenced by a lot of other variables like geographic competition, cost to serve and mix of transaction. Thus the distribution pricing policy will remain a little flexible to accommodate other factors that may influence the distribution cost of the product. 12 | P a g e Promotion Strategy The objective of the promotion strategy is to reach out to the target customer segments through different marketing channels and provide information, differentiating the product and increasing the market share of the product. Positioning the product in the minds of the target customer segments is the prime objective of the promotion strategy. We will use the promotion strategy to communicate to our customers the difference in our products with respect to the price, quality and nutritional value and taste. Integrated Marketing Communication Strategy The promotion of the product will involve an Integrated Marketing communication Approach. The marketing communication strategy will involve use of different marketing channels.  Sales Promotion  Print Media Advertizing  Digital Media  Outdoor Media The marketing campaign will use an integrated approach to reach out to its target customers through different communication channels. Print Media Advertizing The print media advertising campaign is the most effective campaign to reach the masses. Print media includes local dailies, magazines, tabloids and newspaper. The print media campaign will focus on newspapers and magazines that have a large readership among the target population of the 13 | P a g e new product – Nutri. The target customers are health conscious teenagers and young adults between the ages of 18-34 years. The target customers also include parents of young children. The frequency of advertising in print media can be twice a week, specially on the weekends as that are usually read by the target customers. Advertisements including awareness of the product details and the benefits of the nourishment value of the drink can be emphasized. Sales Promotion The sales promotion plan includes the promotions in the form of flyers at various point-of-sales to attract and draw the attention of the target customers. Point of sales promotions are used in retail outlets, super market chains and grocery stores at the place where the customer picks up the product for purchase. It helps to improve sales by encouraging instantaneous purchase. Other sales promotion strategy will include discounts and promotional offers during the launch of the Product – Nutri. The company can also include loyalty programs or warrantee on the nutrient value of the product to promote its product. Discounts on purchase of larger packs as well as future purchases can also result in improving market penetration. Digital Media Digital media is today the most widely used communication channel to promote and position value offering of companies. The digital media includes television, internet, radio, mobile phones, social networking websites as well as blogs. Companies today can use digital media extensively to reach to their target customers and communicate their value proposition through the use of digital media. Promotions through advertisements on televisions have been a common tool for a long time. Today, the focus of marketers is shifting towards public relation activities and road shows organized to increase the impact of the product launch and communicate the uniqueness of the brand to the target customers. Social media tools and websites like facebook and twitter are subscribed by millions 14 | P a g e of people who will also be target customers for the Nutri brand of milk and soya based health drinks. Digital media promotions can be used on by advertising on time slots that are frequented by the target customer segment on television and radio. Advertizing on the websites through clicks and banners can also be used. Outdoor Media The outdoor media is another tool used to communicate or reach out to the target customers. Outdoor media like bill boards, hoardings, banners, wall paintings are effective ways to convey the product benefits as well as advertise. We will use outdoor media to communicate the brand and our unique product and value proposition to our target customers. Operational Plan The operation plan for promotion strategy will include the time lines for promotions and advertising on different media of marketing communication. It also indicates the control metrics of the strategy. Activities Launch of new product - Nutri Road shows and Public relation events Launch of promotions in print media – Timelines March 2012 March 2012 – April 2012 March 2012 onwards newspaper, magazines and on social media websites Advertisement campaigns on digital media like April 2012 onwards television, radio and outdoor media Sales promotion activities- discounts , offers April 2012 onwards and point of sales advertizing Assessment of marketing campaign Rollout of new products Follow-up Marketing Campaign December 2012 January 2013 January 2013 The Nutri brand will be launched in the month of March 2012. After completing six months of the launch of the Nutri brand, we will assess the 15 | P a g e failures and success of the marketing campaign we have run and obtain fresh insights and customer perception studies on the position of our product in the minds of the target customers. These insights will help is to bring the necessary changes in our campaigns and improve the positioning of our product. Advertisement Below is an example of a typical print media advertisement to be used for marketing NUTRI 16 | P a g e 17 | P a g e Appendix A – Choosing A Target Segment 18 | P a g e Flowchart 19 | P a g e Age groups -> Infants and children Teenagers (13-18 Young Adults and Adults elderly 20 | P a g e Needs (0-12 years) years) (18-34 (35 and years) above) Hydration Energy/Rejuven Target Target ation Health and Market Target Market Target Wellness Weight Market Market management The total market was segmented on the basis of the demographic characteristics like age, income and sex. We segmented the market on the basis of the age and on the basis of their need for consumption of various categories of functional drinks. The market size of different segments as depicted above differs and so is the potential opportunity in each market. As the behavior and attitudes of most teenagers and working young adults is shifting towards health and energy drinks, we realized that this segment presents significant opportunity for new product development. The unsatisfied needs include need for a regular health and energy drink like milk that can offer a high dose of nutrients and minerals to the consumers. Thus we choose the four sub-segments as depicted above as the target market we need to cater to and came up with an idea of milk and soya based health and energy drink for the masses that can be consumed daily. Appendix B - Timeline for Marketing Mix Strategy 21 | P a g e Marketing Mix Actions Product • Primary and secondary research • Product development and research • Product commercialization and launch Place January, 2012 • March, 2012 • December, 2012 Product line extension • January, 2013 • • New product launch Finalizing distribution strategy • December, 2011 • Appointing managers for • January, 2012 • January, 2012 • Establishing Distributors network and Retailers tie up Promotion • • channels Price Timelines • November, 2011 . • February, 2012 • Implementing sales and • promotion strategy Finalizing cost plan and structure • December, 2011 • Product pricing • December, 2011 • Devising product and distributor • January, 2012 • discounts Product launch and road show • March, 2012 • Print media campaign • March, 2012 • Launch of media campaign • April, 2012 • Outdoor advertising campaign • April, 2012 • Assessment of promotion • December, 2012 strategy 22 | P a g e Appendix C - Situational Analysis & SWOT Industry Analysis Energy or health drinks form a part of the functional beverages category, which includes nutritional drinks and sport drinks. Sport drinks contain good supply of carbohydrates, electrolyte and are non caffeine, typically for the reason that they are designed to be consumed before exercise to prevent dehydration. Nutritional beverages on the other hand are designed to promote a health and fitness and they contain bioactive compounds like extracts of teas, fruits vegetables, milk and other health foods. The energy drinks segment is divided into powder and ready-to-drink categories. According to Datamonitor (2008a) energy drinks account for almost 47.3% of the overall market share of the functional beverages globally and 62.6% in the United States. The industry has seen extremely high growth rates of more than 240% globally from the year 2004 to 2009. The functional beverages industry has seen more modest compounded annual growth rates of around 8% from 2004 to 2008 and have reached to $26.9 billion in annual sales. The nutritional drinks segment has been marginal but present huge opportunities to functional beverages companies as the market is largely untapped and the need for nutritional products is rising exponentially. The entry of private labels, juice hybrids and FMCG conglomerates in the functional beverages market has given rise to innovations in product, packaging and brought about a shift in consumer demand towards ready-to-drink beverages. Energy drinks brands like Red Bulls have captured energy drinks markets. Nutritional beverages market also has established players like Nestle, Cadbury and Unilever among a few competing for the share of wallet. 23 | P a g e Competition Analysis: Porter’s Five Forces Model Porter’s Five Forces Model is a tool that helps to analyze the attractiveness of the industry the firm is operating in. The model assumes there are five competitive forces that identify the competitive power in a business environment. These competitive forces are mentioned below 1. Threat of substitute products The substitute products and services include alternate beverages that similar or complimentary needs. The presence of too many substitutes indicates high level of competition within the industry as all functional beverages target almost the same target market. 2. Threat of new entrants The beverages industry has low entry barriers. There are a number of regional, local and international player. The industry is based on innovation and new product ideas. The entry of new firms in the industry providing similar or competing products will lead to higher competition and lower profit margins for the existing players. 3. Intense competition among existing players The competition from existing players include local players and large corporate like Unilever, Cadbury and Nestle in this space is intense. It is important that any new company entering the market should focus on new product development and innovation to gain market share. 4. Bargaining power of suppliers The suppliers do not hold significant bargaining power as the industry is run on marketing and distribution power of the beverages companies. Lower bargaining power of suppliers also provides an incentive for new firms to enter the market 24 | P a g e 5. Bargaining powers of buyers The bargaining power of buyers is limited in the sense that the energy and health drink markets are related to either consumer’s health of lifestyle. Therefore in spite of intense competition among existing players, beverage companies are able to price the products to fit their strategy. SWOT Analysis The SWOT Analysis is an analytical tool that can be used to gauge the internal strengths and weakness of the firm as well as study the external opportunities and threats the firm is facing. The below mentioned SWOT analysis relates to the marketing strategy of the New Product - Nutri Strengths: • New to market product with nutritional benefits • Ready –to-use drink and packaging • High margin of the business giving scope for more marketing spends • Differentiated product offering Weakness: • Being a new product, the product has not yet faced competition • Ability to scale up operations and production in a short time • High level of competition 25 | P a g e • Management and sales staff to be hired will be comparatively less experienced Opportunities: • Create and increase in market share for the product • Change consumer spending patterns towards nutritional drinks • Optimize distribution and supply chain efficiencies • Creating a strategic advantage which is difficult to be emulated by competition Threats: • Competition from existing and new players. • Lower spending by clients as a result of political and economical turmoil in developed nations leading to a cut on outsourcing. • The challenge of scaling up operations and maintaining the quality. • Threat of the product being emulated by competitors and new entrants leading to disappearing of the competitive advantage. 26 | P a g e

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How to write a restaurant business plan + free template (2024)

By Homebase Team

Whether you’re living the dream of opening your own restaurant or reworking your existing concept, a restaurant business plan template takes a ton of stress out of writing a business plan.

With prompts for every section you’ll need, we’ve created our free restaurant business plan template to be your operational foundation (you’re welcome!). Something you can download, customize, and come back to whenever you make business decisions for your restaurant.

But first, let’s go through all the ways a written business plan helps shape your restaurant, and why it boosts your business’s chance of success.

What is a restaurant business plan?

A restaurant business plan is a written document that lays out an overview of a restaurant, its objectives, and its plans for achieving its goals.

It’s needed across all kinds and sizes of restaurants, and can be a handful of pages long or much more detailed. A well-written restaurant business plan not only helps you organize your ideas, it’s also a key part of getting investor funding .

Starting a restaurant? Here’s why you need a business plan. 

Creatively, opening a new restaurant can be incredibly exciting. But it’s also super complicated. From licenses, to equipment, to building a team, each phase needs a lot of attention to detail.

Before you jump in, it’s important to shape your plan of attack, organizing your business ideas into a clear, concise narrative that an outsider could easily understand. A business plan is an essential part of this—and here’s why.

Your business plan helps you:

Set short and long-term goals.

A restaurant business plan not only shows how your business will operate in its early stages, it also shows what steps it’ll need to follow as time goes by. Setting both your short and long-term goals at the outset makes you more likely to achieve them.

Understand your resource needs.

Going through the exercise of writing a restaurant business plan is as important as having the finished document in front of you. As you organize your thoughts, your resource needs—from the amount of capital you need to raise all the way down to the equipment you need to find—will take shape. 

Reduce potential risks.

Sadly, some 60% of restaurants fail within the first year of opening. One of the main reasons? A failure to plan. Your business plan will help you plan for most challenges at your restaurant before they come up, keeping you on the right side of that number.

Develop a marketing strategy.

As you do your market analysis and figure out who your customers are likely to be, the ways you’ll promote your business will get clearer. The more specific you are with your market research, the easier and more effective your marketing efforts will be.

Build your team.

Your business plan helps you see who you’ll need on your team and which roles you’ll need to fill first . For investors, it’s a document showcasing everyone’s collective experience, personalizing your restaurant in their eyes and packing a professional punch.

Share your vision.

Whether you’re using your business plan to secure startup funding or need additional capital after you’ve already opened, your restaurant business plan shows an investor or lender exactly why they should get behind you. 

The 9 elements of a strong restaurant business plan.

Your restaurant business plan will be unique to your vision. But all good business plans hit standard points, and whoever reads yours will expect them. As you develop and finalize your ideas, here are nine key elements you should include. 

1. Executive summary

A strong restaurant business plan begins with a strong executive summary. This is a sharp, concise overview of your restaurant and your opportunity to grab people’s attention.

Here’s where you communicate, in a nutshell, what kind of restaurant you want to run. Which demographic will you be targeting? Why is your business something the community wants or needs? Especially if you’re asking for financing, include a snapshot of your financial information and growth plan as well. 

Your executive summary should briefly lay out:

• Your mission statement. Why are you starting this restaurant now, in this location? 
• Your idea. What’s the concept of this restaurant?
• Your plan of execution. What are your key steps to making this concept work?
• Your potential costs. What are your expected expenses?
• Your anticipated ROI. How much do you expect your restaurant to make?

Many investors will make a split-second decision off of the executive summary alone—it might be all they’re going to read, so make every word count.

2. Company description

Now it’s time to let your creativity out and give your restaurant concept life. Give a more detailed description of your concept that lets your passion for what you’re creating come through. 

Flesh out all the other details of your proposed restaurant, including your restaurant’s:

• Style of cuisine and any unique selling points or differentiators that will make customers choose you
• Service style
• Restaurant name (or at least ideas)
• Size, seating style, and capacity
• Location ideas or the location you’ve scouted or secured
• Ambiance ideas including décor, lighting, and music
• Operating hours
• Other service offerings like whether you’ll offer delivery or takeout, delivery guarantees, catering, and any retail products you plan to sell
• Legal structure (e.g. sole proprietorship, LLC) 
• Existing management and their roles, including yours
• Experts or advisors you’ve brought on board

3. Market analysis

Present the research you’ve done on your target market. Make a couple of buyer personas to represent your future customers, explaining:

• Where your target customers live
• Their income levels
• Their dining-out and/or ordering-in pain points (e.g. lack of late opening hours, lack of family friendliness)
• How often they dine out or order in

Go through which other restaurants already have a customer base in your area, then explain why people will choose your restaurant over others. 

4. Sample menu

Even at the business plan stage, menu engineering is crucial. The specific menu items you’re likely to serve—the biggest thing that will set you apart—should shine through with descriptions that are short, clear, and evocative. If you have an executive chef already, this is a great area for them to add input.

Use language that will get people excited about trying your offerings. Hire a designer or use an online program to create your own mockup using the same colors, fonts, and design elements as the rest of your branding. 

5. Business structure

Dive deeper into your business structure (sole proprietorship, partnership, LLC, etc.) and organizational management. Show what your different employee positions will be (co-founders, managers, servers) to give a sense of your team’s makeup. An organizational chart can be helpful here.

Investors won’t expect you to have your entire team on board at this stage, but you should have at least a couple of people firmed up. For the roles that are already filled, including your own, summarize your collective experience and achievements. Bullet points work well, or some people choose to go into more detail with full resumes for the executive team or critical team members.

6. Restaurant design and location

Long before you sign a lease, make sure that your new offering will outshine existing ones nearby. In this section of your business plan, explain why your chosen location, or the ones you’re narrowing down, are going to be an effective space for your target market.

Consider things like:

• Neighborhood demographics
• Foot traffic
• Labor costs
• Accessibility

Hand in hand with location, your restaurant’s interior design—both in its floor plan and its ambiance—is also crucial to your business’s viability. Come up with a captivating restaurant design that communicates your theme and matches your cuisine, creating a memorable customer experience. Decide how many tables you’ll be serving, and plan out any outdoor seating.

Touch on things like:

• Team uniforms
• Flatware and glassware

7. Marketing strategy

How do you plan to market your restaurant? Your plan for grabbing customers’ attention is vital to getting diners through the door, especially at the beginning before word-of-mouth advertising has taken off.

What kind of offers will you provide? Will you have promotional events, direct mail, or a social media strategy ? Go through your planned marketing campaigns and explain how each of them will help secure your target market. 

8. Takeout and delivery options

If you’ve decided to have takeout and delivery at your restaurant—pretty important for most target markets—decide whether you’ll use your own drivers or a professional fleet like Uber Eats or DoorDash.

Show how you’ll provide the smooth digital experience your customers will expect. Decide if and how your website will come into play, bearing in mind that in 2023, 40% of consumers preferred to order directly from the restaurant website .

9. Financial projections

Your restaurant’s projected budget need to be solid, especially if you’re using your business plan to get startup funds. Without this, investors have no way of knowing if your business is a good investment or when it will become profitable.

Hire an experienced accountant with expertise in running restaurants and write down your market research, your planned costs , and your projected income. Show how investor funds will be used and whether you’ll be putting up collateral to get a loan. Give a sales forecast, usually for the first five years, and make sure to give a break-even analysis.

Get started with our free restaurant business plan template.  

As the team behind Homebase , we know how much there is to consider when you’re starting a new restaurant. We’re proud to be an all-in-one partner for thousands of restaurants large and small—helping make everything from staffing, to scheduling, to team communication easier for business owners.

And we know that your restaurant business plan is a high-stakes document. That’s why we created our free restaurant business plan template to make sure nothing gets overlooked.

Check out our free, downloadable template to get your ideas into shape, get started on your restaurant journey—and get investors excited to jump on board with you. 

Download your restaurant business plan template for free: Restaurant business plan + free template (2024)

Stop chasing down phone numbers with our built-in team communication tool. Message teammates, share updates, and swap shifts — all from the Homebase app.

Restaurant business plan template FAQs

What is the basic planning document for a successful restaurant.

The basic planning document for successful restaurants is a restaurant business plan. A restaurant business plan lays out a restaurant’s long and short-term goals and its plans for achieving those goals. Restaurant planners use it both to finetune their ideas and to secure investor funding.

How to write a restaurant business plan.

When writing a restaurant business plan, include an executive summary, a detailed restaurant description, market analysis research, a sample menu, a breakdown of your business structure, the design and location of your restaurant, your planned takeout and delivery options, your marketing strategy, and your financial projections.

What makes a business plan template for restaurants different from a standard business plan?

A restaurant business plan template differs from a standard business plan by including things like menu engineering, interior design, kitchen operations, front-of-house management, takeout and delivery offerings, and location analysis, which are unique to the food service industry.

Remember:  This is not legal advice. If you have questions about your particular situation, please consult a lawyer, CPA, or other appropriate professional advisor or agency.

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Walgreens to take a hard look at underperforming stores, could shutter hundreds more

FILE - A Walgreens store in Bradenton, Fla., is shown on Feb. 9, 2024. Walgreens is finalizing a plan to fix its business that could result in the closure of hundreds of additional stores in the next three years.(AP Photo/Gene J. Puskar, File)

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Walgreens is finalizing a plan to fix its U.S. business that could result in closing hundreds of additional stores over the next three years.

CEO Tim Wentworth told analysts Thursday morning that “changes are imminent” for about 25% of the company’s stores, which he said were underperforming. The drugstore chain currently runs more than 8,600 in the United States.

Wentworth said the company’s plan could include the closing of a “significant portion” of those roughly 2,100 underperforming stores if they don’t improve.

Company leaders said they’ve already closed 2,000 locations over the last 10 years. Overall, the company runs about 12,500 drugstores worldwide.

“We are at a point where the current pharmacy model is not sustainable and the challenges in our operating environment require we approach the market differently,” he said.

Walgreens and major competitors like CVS and Rite Aid — which is going through a bankruptcy reorganization — have been closing stores as they adjust to an array of challenges to their businesses. They include include years of tight reimbursement for their prescriptions and rising costs for running their locations.

Plus, analysts say they’ve also been hit by growing competition from Walmart, Amazon and other discount retailers over sales of goods sold outside their store pharmacies. Consumers also tend to grow more price conscious when inflation rises, and drugstores generally have higher prices than those discounters.

“Our customers have become increasingly selective and price sensitive in their purchases,” said Wentworth, who joined the company last fall and has been conducting a review of its business.

Walgreens also has been closing VillageMD primary care clinics it had been installing next to its stores in order to grow its presence as a health care provider. The company had launched an aggressive expansion of those clinics under previous CEO Rosalind Brewer. But Walgreens said in March that it was reversing course and closing around 160 of the clinics.

Primary care clinics like the ones VillageMD operate tend to lose money their first couple years as they build a patient base and improve health. Jefferies analyst Brian Tanquilut has said the new clinics were burning a lot of cash and racking up losses.

But Wentworth said Thursday those clinics were now on a “clearer path to profitability.”

The CEO also said his company is talking to pharmacy benefit managers to “ensure that we are paid fairly” and working to grow other parts of its business like specialty pharmacy. That helps people with complex or chronic medical conditions.

Walgreens Boots Alliance Inc. also reported that it missed earnings expectations and cut its annual forecast.

The company earned $344 million in its fiscal third quarter, with adjusted results totaling 63 cents per share. Revenue rose nearly 3% to $36.35 billion.

Analysts were looking for earnings of 68 cents per share on $35.9 billion in revenue, according to FactSet.

Walgreens now expects adjusted earnings to range from $2.80 to $2.95 for its fiscal year, which ends in August. That’s down from a forecast of $3.20 to $3.35 per share that it had narrowed in March.

Analysts expect $3.20 per share.

That guidance cut was not “overly shocking to us as the company now begins the next leg of its turnaround,” Leerink Partners analyst Michael Cherny said in a research note.

But the overall results surprised investors. Shares of the Deerfield, Illinois, company plunged 22% to end Thursday at $12.19, by far the stock’s biggest single-day percentage decline on record. Walgreens’ shares have already shed more than half their value so far this year.

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Walgreens could shutter hundreds of underperforming stores

By Associated Press June 27, 2024

W algreens is finalizing a plan to fix its U.S. business that could result in closing hundreds of additional stores over the next three years.

CEO Tim Wentworth told analysts Thursday morning that “changes are imminent” for about 25% of the company’s stores, which he said were underperforming. The drugstore chain currently runs more than 8,600 in the United States.

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Wentworth said the company’s plan could include the closing of a “significant portion” of those roughly 2,100 underperforming stores if they don’t improve.

Company leaders said they’ve already closed 2,000 locations over the last 10 years. Overall, the company runs about 12,500 drugstores worldwide.

“We are at a point where the current pharmacy model is not sustainable and the challenges in our operating environment require we approach the market differently,” he said.

Related: U.K. pharma increasingly violates voluntary industry marketing codes, and probes are taking longer

Walgreens and major competitors like CVS and Rite Aid — which is going through a bankruptcy reorganization — have been closing stores as they adjust to an array of challenges to their businesses. They include include years of tight reimbursement for their prescriptions and rising costs for running their locations.

Plus, analysts say they’ve also been hit by growing competition from Walmart, Amazon and other discount retailers over sales of goods sold outside their store pharmacies. Consumers also tend to grow more price conscious when inflation rises, and drugstores generally have higher prices than those discounters.

“Our customers have become increasingly selective and price sensitive in their purchases,” said Wentworth, who joined the company last fall and has been conducting a review of its business.

Walgreens also has been closing VillageMD primary care clinics it had been installing next to its stores in order to grow its presence as a health care provider. The company had launched an aggressive expansion of those clinics under previous CEO Rosalind Brewer. But Walgreens said in March that it was reversing course and closing around 160 of the clinics.

Primary care clinics like the ones VillageMD operate tend to lose money their first couple years as they build a patient base and improve health. Jefferies analyst Brian Tanquilut has said the new clinics were burning a lot of cash and racking up losses.

But Wentworth said Thursday those clinics were now on a “clearer path to profitability.”

The CEO also said his company is talking to pharmacy benefit managers to “ensure that we are paid fairly” and working to grow other parts of its business like specialty pharmacy. That helps people with complex or chronic medical conditions.

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Walgreens Boots Alliance Inc. also reported that it missed earnings expectations and cut its annual forecast.

The company earned $344 million in its fiscal third quarter, with adjusted results totaling 63 cents per share. Revenue rose nearly 3% to $36.35 billion.

Analysts were looking for earnings of 68 cents per share on $35.9 billion in revenue, according to FactSet.

Walgreens now expects adjusted earnings to range from $2.80 to $2.95 for its fiscal year, which ends in August. That’s down from a forecast of $3.20 to $3.35 per share that it had narrowed in March.

Analysts expect $3.20 per share.

That guidance cut was not “overly shocking to us as the company now begins the next leg of its turnaround,” Leerink Partners analyst Michael Cherny said in a research note.

But the overall results surprised investors. Shares of the Deerfield, Illinois, company plunged 24% to $11.89 Thursday morning while the S&P 500 index rose slightly. Walgreens shares have already shed more than half their value so far this year.

— Tom Murphy

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Start A Healthy Drink Business - Business Ideas

Please note that the data provided in this article are estimates and may vary depending on various factors, and should not be considered as perfect or definitive.

With emerging trends around health in the last few years, there is a large demand for healthy beverages. Starting a healthy drink business involves sourcing quality and healthy ingredients such as vitamins, minerals, protein, and others.

Consumers are hungry for good-tasting drinks that make them feel great without sacrificing taste. From smoothies to juices and kombucha beverages, there are many opportunities available in the market to easily create a profitable healthy drink business.

Starting a healthy drink business requires a great deal of effort, dedication, and most importantly passion .

If you're interested in how to sell healthy drink, or selling healthy drink online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a healthy drink business ➜

Startup Costs

Case Studies

Successful Businesses

Pros & Cons

Marketing Ideas

Affiliate program.

Affiliate marketing is a great way to bring in a new revenue stream , especially when you don't sell products or services.

Simply put, an affiliate program is an agreement where a business pays another business or influencer ("the affiliate") a commission for sending traffic and/or sales their way.

The affiliate typically gets a unique link where clicks and conversions can be tracked.

Learn more about affiliate program ➜

Word of mouth

Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.

Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.

According to Nielsen , 92% of people trust recommendations from friends and family.

Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.

Learn more about word of mouth ➜

Social Media Advertising

Social media advertising is the use of social media platforms to connect with your audience with the objective to build your brand, increase sales, and drive website traffic.

According to Oberlo , approximately 48% of the global population use social media, and the number is ever-growing.

Therefore, social media allows brands access to cost-effective advertising by enabling them to interact with a large audience.

Learn more about social media advertising ➜

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Money blog: The 'disruptive' ingredients added to ice cream - and how you could save teaspoons of sugar by switching to classic

Welcome to the Money blog, your place for personal finance and consumer news and advice. Let us know your thoughts on any of the topics we're covering using the comments box below.

Friday 28 June 2024 08:15, UK

• UK's economic growth better than thought
• 10 million homes have days to check energy meter reading to avoid paying too much
• Bank of England likely to cut interest rates this summer, economist predicts

Essential reads

• Save 105 teaspoons of sugar (and money) by switching to classic ice cream
• A week when probable future of mortgage rates became clearer
• Savings Guide: What to look for with 5% rates still available on easy access accounts
• Women in Business : How accident in cafe and £400 turned into a genius business idea that's about to go global
• Money Problem : 'I bought a new car but it's been back six times with same fault - what can I do?'
• Best of the Money blog - an archive

Ask a question or make a comment

It can be hard to balance the demands of eating well without spending a lot.

In this series, we try to find the healthiest options in the supermarket for the best value - and have enlisted the help of  Sunna Van Kampen , founder of Tonic Health, who went viral on social media for reviewing food in the search of healthier choices. We also speak to dieticians each week.

It's important to note from the outset that in this series, we don't try to find the outright healthiest option, but help you get better nutritional value for as little money as possible.

With the weather finally getting warmer, this week we're looking at ice cream. 

"With so many options out there, how do you fancy a 63% reduction in your sugar consumption and some savings for your wallet too?" says Sunna. 

What's in our ice creams? 

"Technically speaking, ice cream is just frozen milk and cream with a bit of added sweetness," Sunna says. 

But as time has gone on, we've progressed to less and less cream and more and more sugar.

"To give you an example, Mars Bar Ice Cream is only 31% milk and cream, while the traditional Mackie's ice cream is 81% milk and cream," Sunna says. 

"When you remove the cream, quite clearly you lose a lot of the creaminess and smooth texture, so manufacturers have turned to gums (like guar gum, locust bean gum, tara gum) to give the creaminess while lowering cost," he adds.

"The problem is some of these gums have demonstrated to be gut disruptive and hard to digest."

How much sugar can we eat?

The NHS recommends adults have 30g of sugar a day, with that decreasing to 24g for seven to 10-year-olds and 19g a day for four to six-year-olds. 

"A cut in sugar is not just good news for our waistlines, but also for our overall health, contributing to a balanced diet without the same spikes in blood sugar levels," Sunna says.

Those spikes can cause sudden drops in energy, spates of hunger and potentially lead to type two diabetes. 

How much sugar is in ice cream?

Let's look at some popular examples to compare the sugar content and the impact on your wallet... 

• Cadbury Flake 99: £4.25 for 4x125ml and 22.9g sugar per ice cream (5.5 teaspoons)
• Magnum: £3.25 for 3x100ml - 20g of sugar per ice cream (five teaspoons)
• Solero Exotic: £2.75 for 3x90ml - 12g of sugar per ice cream (three teaspoons)
• Mars Ice Cream Bars: £2.75 for 4 x 49.5ml - 12g of sugar per ice cream (three teaspoons)
• Cornetto Classic: £3.50 for 6x90ml - 10g of sugar per ice cream (2.5 teaspoons)
• Milk Choc Ices: £1.60 for 6x70ml - 7.3g of sugar per ice cream (under two teaspoons)

"Assuming you have one ice cream a day across, hopefully, 30 days of sunny weather this summer, and you'll find yourself saving over 105 teaspoons of sugar from your diet this summer if you choose a Choc Ice over a Cadbury Flake 99," Sunna says. 

That's a decent saving for your health - but what about your wallet? 

"Choc Ice is firmly in the category of win-win, as it's 65% cheaper than a standard Magnum," he adds.

That's a considerable £24.30 saving over 30 ice creams.

The nutritionist's view - from Nichola Ludlam-Raine, dietitian at  nicsnutrition.com ...

"Shop-bought ice cream isn't a product that I recommend having daily, and luckily for the UK population this isn't something that is too hard to stick to, given the distinct lack of sunny, warm weather.

"I recently had a Mars ice cream and although I really enjoyed it. I needed two to feel satisfied, as they were so small - which doubled my sugar intake (to 24g). 

"The good news, though, is not all the sugar quoted on the label is free or added sugar (and under 30g a day of this is acceptable within the context of a healthy balanced diet), as some sugar will be naturally occurring in the milk.

"Choosing ice creams where milk is the first ingredient is always preferable - or plant-based/fruit-based alternatives if you have a milk intolerance or allergy.

"The evidence regarding thickeners and emulsifiers on gut health is still in its infancy, and most of the studies are small and have been done on rodents, with relatively large amounts of the additives being used. 

"Some emulsifiers may also confer benefits due to their prebiotic effects - but with gut health, the key is to add in more fibre, natural colour and plants."

Read more from this series... 

Almost 10 million households need to read their energy meters this week to make the most of the energy price cap change on 1 July.

Missing the first week's worth of cheaper energy would cost them £30m collectively, according to Uswitch.

From 1 July to 30 September 2024, the annual energy price cap will be set at £1,568 for the average household - £122 lower than it is at present.

"Households should be adding 'read my energy meter' to their to-do-list this weekend if they want to take full advantage of lower energy prices from July," said Ben Gallizzi, energy expert at Uswitch.

MoneySavingExpert's Martin Lewis has issued a similar warning.

Without an accurate meter reading, households on standard variable tariffs without a smart meter will be charged estimated ones.

The difference between a week's worth of energy at June's rates compared to July's is £2.78 for the typical household.

Mr Gallizzi said now is also the time to check if you can get a better energy tariff before expected price hikes in October.

Industry analysts suggest energy rates will rise again by 12% to £1,761.

The UK's economy grew slightly more than expected between January and March, the Office for National Statistics (ONS) has just announced.

It was previously estimated that it grew by 0.6% during this three-month period.

But the ONS has revised that figure up - ever so slightly - to 0.7%.

Chances are, that won't change how most people feel about their personal finances.

The change could be a talking point in the ongoing election campaign, though.

Follow the latest on the race for Number 10 in our politics blog:

Every week we take an overview of the mortgage market with industry experts, while the guys at Moneyfactscompare  round up the best rates...

We start this week with the exclusive interview Sky News' Ian King conducted with the chief executive of Lloyds Banking Group - the UK's biggest lender.

Charlie Nunn warned homeowners not to expect a return to the ultra-low interest rates seen for most of the last 16 years.

"We've just come off a decade where mortgages have been in the 1.5-2.5% range," he told King.

"The expectations the market have is that interest rates probably won't get below 3.5%. And that means mortgages, or the new normal for mortgages, will be in that 3.5-4.5% range, not 1.5-2.5%."

Mr Nunn's comments earned applause from brokers and mortgage experts, with the industry news service Newspage speaking to a range of voices...

"I agree with Charlie Nunn: ultra-low interest rates are history. The public is adjusting to the new normal of 3.5% to 4.5% mortgage rates. Nunn's comments highlight market reality and urge borrowers to adapt now." Ranald Mitchell, from Charwin Private Clients

"If you're a first-time buyer, you may not see ultra-low interest rates in your mortgage lifetime. But that doesn't mean a return to good interest rates isn't possible. We should see rates beginning with a 3 or even a 2 in the not-too-distant future, especially for those with good deposits or equity." Ben Perks, from Orchard Financial Advisers

For now, the focus of many mortgage holders has been on when the Bank of England will start easing rates from the current 16-year high of 5.25%.

June had been touted but this month's meeting came and went without a change - and the delay means more people coming off mortgages secured in the ultra-low era are facing significant hikes.

About three million UK households are still set to witness hikes in their mortgage repayments over the next two years, the Bank has said this week.

Its Financial Policy Committee (FPC) added there were likely to be "very large increases" of more than 50% for the mortgages of around 400,000 households.

At the moment, around 35% of households with mortgages, or more than three million, are paying below 3% for a range of reasons - like existing deals which pre-dated the recent crisis - and are expected to see an increase between now and the end of 2026.

A typical household rolling off a fixed-rate mortgage before the end of 2026 is due to face a jump of around £180 a month, the committee said.

There has been some good news for borrowers this week though, with a handful of major lenders cutting rates in response to falling swap rates (these dictate how much it costs lenders to lend).

"Fixed rate mortgage reductions from prominent lenders such as Barclays and HSBC dominated coverage this week, as last week’s inflation announcement continued to prompt speculation of an imminent cut to base rate," says Caitlyn Eastell from Moneyfacts.

Turning to the best deals currently on the market, Ms Eastell says the lowest two-year fix for first time buyers with a 5% deposit comes from Halifax. 

Priced at 5.63%, this deal has a £999 arrangement fee and offers a £250 Green Home cashback incentive to those purchasing eligible properties. 

Moneyfacts also rounds up the best overall deals - looking beyond just the headline rate.

Ms Eastell adds: "As a first time buyer, every penny counts and you may have already exhausted your savings building up a 5% deposit, as well as covering legal fees and removal costs. 

"It's important to consider the true cost of any deal you commit to, so if you are looking to save on the upfront cost of your mortgage, then a Best Buy mortgage may be a more cost-effective choice.

"This week, Hanley Economic BS takes one of the top spots of our Best Buy tables for a two-year mortgage. Priced at 5.69%, it offers a free valuation and £250 cashback incentive."

There could be good news on the horizon for borrowers, as an economist says the Bank of England is likely to cut interest rates in August.

Michael Saunders, a former member of the Monetary Police Committee (MPC), said the Bank has "clearly signalled" it wants to cut rates soon "if data are okay".

He told the Reuters Global Markets Forum that inflation and wage figures would need to align with the MPC's forecasts back in May.

"If so, I would expect the rest of the internal [members of the MPC] to move as a bloc to vote for a cut," he said, saying that markets had been given enough warning.

The BoE  held interest rates  at 5.25% for the seventh time in a row last week despite inflation falling to its target of 2%.

Mr Saunders predicted that the Bank would slash rates seven times in increments of 25 points by the end of next year, bringing the headline rate "close" to what he calls a neutral rate of 3.5%.

"I expect two to three cuts this year, the rest next year - again, depends a bit on the monthly data," he said.

The government has accredited three new forms of ID for purchasing restricted goods and services.

Lloyds Bank Smart ID, Post Office EasyID and Yoti ID can now be used to watch age-restricted films in cinemas, enter gambling premises, or pay for tattoos and tanning salons.

They cannot be used to buy alcoholic drinks in pubs and shops, but are recognised when buying alcohol online, along with tobacco, vapes, lottery tickets and fireworks.

"More UK businesses can now accept our Digital IDs to reduce the risk of fake IDs, increase compliance and improve the customer experience," said Robin Tombs, CEO of Yoti.

He said more than four million people have already downloaded a Digital ID app. 

"This is a strong sign that people are ready to embrace reusable Digital IDs and want a more secure, private and convenient way to prove who they are."

Each of the Digital ID apps includes the approved PASS hologram.

Most of us know the feeling of rushing back to your car when you realise your ticket is about to run out.

The good news is, new rules mean you won't have to race back quite as breathlessly in future.

Drivers are to get a 10-minute grace period when their time runs out at private car parks.

The changes are coming in after industry bodies the British Parking Association (BPA) and the International Parking Community (IPC) published a new code of conduct.

However, the AA said it still leaves room for drivers to be ripped off because it misses out "desperately needed" measures such as a cap on charges.

Read the full story below...

The electric carmaker Tesla is recalling more than 11,000 of its new Cybertruck vehicles after safety regulators found a potentially dangerous fault with its giant windscreen wiper. 

The US National Highway Traffic Safety Administration also said a trim in the boot may be improperly attached. 

"Excessive electrical current can cause the front windshield wiper motor controller to fail," the safety administration said in a recall acknowledgement letter. 

Tesla said it would replace the wiper motor at no cost to owners. 

It comes after nearly 4,000 Cybertrucks were recalled in April to fix an accelerator pedal pad that could come loose. 

Mass production of the vehicle, which starts at a price of $79,990 (£63,130), is expected to start next year. 

It's not yet known how many trucks have gone to consumers, but the Blade Runner-inspired car has been plagued by problems. 

Is your area crying out for a new supermarket to broaden your options and push prices down with a bit of competition?

Last month, the UK’s fourth largest supermarket - Aldi - asked shoppers to get in touch with their views on where it should open new stores.

The discount chain says it received thousands of replies, which it has used to hone its search for new store sites.

At the moment, Aldi has more than 1,020 stores. It says it wants more than 1,500 stores across the UK in the long run.

The 27 areas of priority to Aldi are:

• Woodford, London
• Surbiton, London
• South Croydon, London
• Notting Hill, London
• Walthamstow, London
• Beckenham, London
• Bromley, London
• Barnet, London
• Redhill, Surrey
• Aldershot, Hampshire
• Haywards Heath, West Sussex
• Burgess Hill, West Sussex
• Chatham, Kent
• Cheadle, Greater Manchester
• Chorlton, Manchester
• Formby, Liverpool
• Newark, Nottinghamshire
• Chesterfield, Derbyshire
• Wellingborough, Northamptonshire
• Rayleigh, Essex
• Brentwood, Essex
• Dorchester, Dorset
• Clarkston, Scotland
• Cathcart, Scotland
• Penzance, Cornwall
• Warwick, Warwickshire
• Bath, Somerset

Jonathan Neale, managing director of national real estate at Aldi UK, said: "We want to make high quality food accessible to all, but we can’t do that while there are still some towns and areas that either don’t have an Aldi or have capacity for additional stores.

"We recognise there is huge demand in certain regions for more stores, which is why we decided to get the public’s input on our latest list of priority locations."

Which?, the consumer website and magazine, has ranked Aldi as the cheapest supermarket in the UK consistently this year.

Using a typical list of popular items, Which? ranked Aldi as the cheapest place to shop from January to May - with rivals Lidl coming in second.

However, for a longer list of items and a bigger shop, Asda and Morrisons have typically been the top two for Which? this year.

Customers of both Tesco and OVO Energy are entitled to 2,500 free Clubcard points, the supermarket has announced.

The points can be redeemed as a £25 voucher or at double their value with Clubcard reward partners.

Customers can unlock the points by linking their accounts with both companies.

"The cost of living remains a key challenge for households and our partnership with Tesco is one of the many ways in which we are giving back to our customers with rewards that they can spend how they choose," said Mat Moakes, chief commercial officer at OVO.

New customers can link their Tesco Clubcard account when they sign up as an OVO customer, while existing OVO customers can log into their account, go to their profile, click "our partners", and select the Tesco Clubcard logo.

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2 people confirmed with West Nile virus in Southern Nevada

LAS VEGAS, Nev. (FOX5) - The Southern Nevada Health District said two cases of the West Nile virus was confirmed.

Wednesday, the district sent a press release that a male, over the age of 60, was diagnosed with a non-neuroinvasive form of the illness and another, over the age of 70, had a neuroinvasive form.

The district said both patients have recovered.

The health district previously reported in early June that over 3,000 mosquitoes tested positive for the West Nile virus.

As of June 21, officials say 230 mosquito pools, 7,493 mosquitoes from 30 ZIP codes, tested positive for West Nile virus. Nine mosquito pools, 267 mosquitoes from five ZIP codes, tested positive for the virus that causes St. Louis encephalitis.

The Health District’s Fight the Bite campaign calls on people to:

• Eliminate Standing Water: Remove breeding sources around their homes. Aedes aegypti breed in small containers that collect rain or irrigation water, such as children’s toys, wheelbarrows and plant saucers, and even bottle caps.
• Prevent Mosquito Bites : Use Environmental Protection Agency (EPA)-registered insect repellent. Wear loose-fitting, long-sleeved shirts and pants.
• Report Mosquito Activity: Call the Health District’s surveillance program at (702) 759-1633. To report a green pool, people should contact their local code enforcement agency.

For more information, visit their website .

Copyright 2024 KVVU. All rights reserved.

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