Energy, which is an often-ignored hidden cost, has risen this week by 11% in the UK, which presumably also bites into the operating costs of UK soft serve operators (read article here about rising UK energy costs). How are energy costs were you are located? Are they on the rise as well? How does that impact your profit and loss?
It makes an interesting exercise, but look around at the web sites of our competitors, then let me know if they are factoring energy costs into their respective soft serve profit stories. They may or may not be offering these figures, but I would like to have your feedback, since it is these hidden costs that may or may not make the difference between profit and loss.
Yes, the One-Shot® OS6 and OS7 soft serve ice cream and frozen yogurt machines are also electrically operated, so their operating costs will rise slightly as well, but fortunately both dispensers operate from a standard domestic socket and will consume less than 100-Watts (somewhat less than a domestic light bulb). As a price comparison, how much energy does your soft serve consume? About the same: Yes/No?
We are also presented the possibility of a double dip recession in the press, with the USA losing their AAA credit rating, the global markets under unprecedented pressure this week and the British Government expressed concern (read here). Presumably every penny matters, so not only is it important to know what you hidden costs really are, but what system is more cost effective? Should you choose to continue with traditional soft serve or opt for One-Shot®?
Indeed, would running a One-Shot® be more/less cost effective than running a traditional soft serve, despite our inexpensive 100-Watt power consumption advantage (less than a domestic light bulb), plus our inexpensive equipment cost advantage? We do offer Kostamazin™ spreadsheets, where you can examine all the hidden costs, so you can verify with your cost accountant which system suits you best.
Are there any other hidden costs to be concerned about? Hang around because you might find this most informative.
Soft Serve Ice Cream and Frozen Yogurt Machines – The Real Profit Story
Have you ever carried out a full calculation relating to the true total portion cost of operating a soft serve machine? It can be an interesting exercise, since the bottom line profit is not quite as simple as calculating difference between the cost of mix and your selling price. There are a multitude of hidden operational costs that are often ignored or simply unknown.
In the present day world, all costs need to be watched carefully. You should ask yourself if you can you afford to install a traditional soft serve machine? If your weekly volumes are not very high, would installing a traditional soft serve machine make you money or could you lose money?
Have you ever created a profit and loss calculation on all the variables? Here is a list of a few things to begin with:
- Equipment cost
- Energy consumption
- Heat emission
- Installation cost(s)
- Lost sales due to freeze-down time
- Sanitizing
- Special wiring (if needed)
- Service
- Spares
- Waste
Startling, is it not? We live in an era where money is tight and economic uncertainly makes understanding these costs an imperative. If you are intrigued about studying a comparison between One-Shot® and traditional liquid mix soft serve, we can sit down with you and discuss true cost accounting covering this.
One of our many marketing tools is our Excel based Kostamazin™ spread-sheets, allowing us to begin a preliminary cost accounting analysis of your application, which should thereafter be verified by your own cost accountant. It is always a good thing to know what your net profit really is for The Real Profit Story!
You can then also consider true portion costs when using our One-Shot® OS6 and OS7 dispenser models. Your own cost accountants will be astounded due to:
- Inexpensive range of dispensers
- No sanitizing
- Perfect cost control
- Energy consumption less than a 100w light bulb!
- What installation cost? Just plug-and-go!
- 110/220v connection – no special wiring
- Replacement service contracts offered
- Minimal spares (no O-Rings, lubricants or other such fiddly parts)
- What you buy is what you sell (no waste)
- 24/7 operation
One-Shot® versus soft serve: ask us about Kostamzin™ so that we can explore The Real Profit Story together using simple cost accounting. Maybe traditional soft serve is ideal for your application but for many applications and volumes levels it might not be as suitable.
Know Your Margins! Establish The Real Profit Story!
If you are a chain account, why not join me on LinkedIn? At the time of this writing my group is the number one group for the keywords “franchise," “franchising" and "ice cream" with now over 29,500 plus members (just click here to join). Thousands of global contacts each and every month get direct updates through our social networking strategy.
The One-Shot® dispensing system is competition for brands like: Artic Express, Carpigiani, Cornetto Soft, Coldelite, Edy's and Dreyer's Grand Soft, Electro Freeze, EROS, Frigomat, Nissei, Sani Serv, Stoelting, Taylor and Universal Ice Cream Machines (to name a few).
No matter where you are located across the world, please contact me for more information about the One-Shot® ice cream and frozen yogurt system:
Gary McGill, MA, MBA, FCMI
Global Headquarters
The One-Shot Corporation Limited
60 Churchill Square Business Centre
Kings Hill
Kent
ME19 4YU
England
Tel: + 44 1732 525925
Fax: + 44 1732 525825
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