FRUIT JUICE CORNER BUSINESS

Overview

In context to the growing health awareness among consumers, need to stay health and fit, consume a balanced diet, influence of the foreign consumption patterns and the aversion towards benefits of organically grown exotic fruits, the fruit juice business in India has been booming in India at a value of $200 million.

The fruit juice business has been spurring besides the competition from alcoholic beverages and soft drinks because of the rise in disposable income of the health-Savy and diet conscious consumers.

Many pre-existing companies dealing in soft drinks like PepsiCo and Coca-Cola have been diverting their production from soft drinks to healthy packaged fruit drinks to meet the changing demands of the consumers

The beverage market of India is the most profitable business in India with the juice market being valued at ₹1200 crore as of today. Thereby giving you every reason to get your toes dipped in this business

 Market potential and uses

The potential of the fruit juice business in India has been rising more than ever with 75% of the fruit juice business being dealt by the unorganised sector and the rest 25% by the retail shops, cafes, etc

The potential for this business is vast but the set up of it comes a little pricey. Because of the outbreak of COVID-19, consumers have been looking for safety and hygiene more than ever so it is important to commit to these precautionary measures.

•  Using a PPE kit and shields.
•  Washing the fruits with fruit sanitisers
• Ensuring 6 ft distance with and among the customers
•   Recording body temperature of customers
•   Recording the contact details of the consumers
•   Ensuring no contact delivery

Over the years, the demand for fresh fruit juices have been seen seemingly increased contributed by the following factors :

•   Increased disposable income
•  Influence from the foreign consumption patterns
• Benefits of fruit
• Improving standard of living
• Diversion towards a healthy lifestyle
• Incorporate a healthy diet
• Need to try out exotic fruits
• Western culture of detoxing and clean drinking
• Substitute for alcoholic and soft drink beverages
• Increased need for strengthening the immune system

Licenses required

The licenses required to run a fruit juice business corner :

•  FMCG registration
• FMSSA registration
• Trade license
• GST registration
• PAN Card and Aadhar card
• MSME/SSI Registration

Investment required

The investment required to set up a fruit juice corner would be around ₹7 lakhs – ₹15 lakhs

Profits made

The profits made from running a fruit juice corner as a business would be

 Target consumers

The target consumers for a fruit juice corner business would be as follows :

• Gym freaks : These are the majority of the target consumers . By seething up a juices corners around the gyms who would like to ensure a citrus intake after working out would bring you a lot of business

• Fitness centres: The fitness centres have the consumers from around the city who are indulged in wellness activities like yoga, Pilates etc who would prefer fresh juices as their go to drinks

• Airports: The passengers on airport with a flight to board are always in a need for some freshly cut fruit juice as a substitute to coffee, alcoholic drinks etc

• Campuses The campus around schools, offices and colleges also would get you many customers who would like to talk over some rejuvenating juices while making your juice corner as a hotspot.
• Shopping malls and tourists spots: Would be an ideal place for you to set up you fruit juice corners with many people coming across it who would like to have some pulped juice to keep them Hydrated on a hot summer day

Area required

The area required to set up a fruit juice corner business would be 100 – 800 sq ft

Raw materials required

The raw material required to set up a fruit juice corner would be:

• Fruits
• Seasonal fruits
• Sugar
• Water (mineral)

 Machinery required

The machinery required to set up a fruit juice corner is as follows:

• Stainless steel Fruit mixer
• Fruit juicing machine
• Fruit cutting machine
• Refrigerators

Manpower required

The manpower required to set up a fruit juice corner would be :

•  1- manager
• 3- skilled workers

These workers must be provide with training in equipment handling and machine usage and also about the safety  and hygienic conditions to be observed

Also read :

How to start Dry Fruit Business

How to start Fruit Bar Making Business

 Business model and growth

The business model of a fruit juice corner business can be defined using 4 variants:

Value proposition: The unique selling point (USP) a fruit juice corner is likely to bring to you is as follows:

• It as a healthy substitute to the alcohol and soft drinks and not vise versa so it’s demand can’t be replaced
• It comes at affordable prices and the seasonal demand for specific fruits is likely to do you good business

Target consumers: The target consumers for your fruit juice corner are as follows

• Gyms
• Fitness centres
• Airports
• Health Savy consumers
• Shopping malls
• Tourists spots

Competitor review: The competition to your fruit juice corner would be largely from the unorganised sector. However few key players in the organised sector would be:

• Jamba Juice
• Drunken monkeys etc

Marketing strategy: The marketing strategy that could be adapted by your fruit juice corner would be:

• Setting billboards in front of the gym, fitness centres and campuses ( offices, college etc) with address
• Promoting the quality and brand of juice through social media using influencers undergoing a detox challenge with your juices
• Print media : newspapers and magazines etc

Growth

The fruit juice corner has the potential and has witnessed the following growth prospects:

• The Indian juice sector is expected to grow at a CAGR of 15% in the next three years
• The Indian non-alcoholic beverage market including water, packaged juices and retail juice corners is valued at ₹ 50000 crore

Profit margin

The profit margin from a fruit juice corner business would be around

Suggestions:

Why don’t you sip on some of that juice while we help you make a decision regarding the investment in this business:

• Firstly, A fruit juice corner comes with a very minimal capital, low manpower requirement and a reasonable return on investment
• Secondly, a fruit juice corners involves juicing the fruits in all the seasons infact, the demand for seasonal fruits contributes the most to the profit made per annum by these fruit juice corners
• Lastly, the target market for consumers is vast including children and older populations, absent in the alcoholic beverage market because of it’s benefits and affordability