The Role of Concession Stands in Entertainment Venues
A concession stand is a small business setup within larger entertainment venues like cinemas, amusement parks, and sports arenas where patrons purchase snacks and beverages. These stands are central to enhancing the visitor experience, offering convenience food and drinks close to attractions.
Concession Stand at a Glance:
– Definition: Snack and beverage sales points at entertainment venues.
– Venues: Cinemas, amusement parks, sports arenas, etc.
– Revenue: Significant income source for venues.
– Food Rule: Usually no outside food allowed.
Brief History of Concession Stands
The idea of selling food within entertainment venues dates back to the early days of cinemas. Originally, movie theaters didn’t run these stands; vendors did. It was during the Great Depression when theaters started their own concession stands to boost income. Popcorn became especially popular during World War II, thanks to sugar rationing.
I’m Steve Hyndman, Vice President of Aztec Container. With 30 years of experience, I’ve seen how innovative storage solutions, like shipping container concession stands, revolutionize food service at events.
What is a Concession Stand?
A concession stand is a small business that sells snacks and drinks at various entertainment and recreational venues. You can find these stands at places like:
- Cinemas
- Amusement parks
- Zoos
- Aquariums
- Circuses
- Fairs
- Stadiums
- Beaches
- Swimming pools
- Concerts
- Sporting events
These stands are convenient because they are located close to the action. This proximity means that the prices for items at concession stands are often higher than at regular stores. People are willing to pay more for the convenience of not having to leave the venue to get food and drinks.
Revenue Generation
Concession stands are a significant source of revenue for venue operators. For example, in movie theaters, the sale of food and drinks can make up a large portion of their income. According to a 2013 Airport Concessions Benchmarking Survey, concession-stand revenue in airport terminals exceeded $1.5 billion in 2012 alone.
Concession stands also benefit from high-profit margins on popular items. For instance, popcorn, a staple at movie theaters, has a much higher profit margin compared to other snacks.
Outside Food Prohibition
To encourage spending at concession stands, many venues prohibit outside food and drinks. This rule ensures that patrons buy snacks and beverages from the concession stands, boosting the venue’s revenue.
In summary, a concession stand is a small but mighty business that plays a crucial role in the financial ecosystem of entertainment and recreational venues. It offers convenience to patrons and significant revenue to operators, making it a win-win for everyone involved.
Next, let’s explore the different types of concession stands you might encounter.
History of Concession Stands
The story of concession stands is as rich as the buttery popcorn they serve. Let’s take a journey through time to see how these small stands became a staple in entertainment venues.
The Great Depression: A Strategic Shift
During the Great Depression, movie theaters were struggling to stay afloat. They needed a way to boost revenue. Enter the concession stand. Initially, theaters were against the idea of selling food inside. However, the economic downturn forced them to reconsider. By the 1930s, concession stands had become a permanent fixture in many theaters, offering snacks like popcorn and candy to moviegoers.
World War II: Popcorn’s Golden Era
World War II brought its own set of challenges. Sugar rationing made candy scarce, shifting the focus to other snacks. Popcorn became the go-to treat due to its availability and low cost. It was during this time that popcorn truly became synonymous with the movie experience.
Post-War Expansion: Food Sales Soar
In the late 1940s and early 1950s, movie ticket sales declined, but food sales at concession stands soared. Theaters realized that snacks were not just an add-on but a significant revenue stream. This period saw the expansion of concession menus to include a wider variety of items.
Industry Representation: NAC and NICA
To support and represent concession stand owners, two major organizations were established in the United States:
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National Association of Concessionaires (NAC): This organization offers resources, training, and advocacy for concessionaires. They aim to lift the standards and profitability of the concession industry.
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National Independent Concessionaires Association (NICA): Similar to the NAC, NICA focuses on independent concession stand operators, providing them with the tools and support needed to succeed in a competitive market.
Both organizations play a crucial role in shaping the concession industry, ensuring that operators have the resources and knowledge to thrive.
Next, let’s explore the different types of concession stands you might encounter.
Types of Concession Stands
When it comes to concession stands, there are several types to consider. Each type has its own advantages and is suited to different kinds of events or venues. Let’s break them down:
Fixed Stands
Fixed stands are permanent structures found in places like stadiums, amusement parks, and cinemas. These stands offer a full range of amenities and are usually well-equipped for high-volume sales. Because they are permanent, they can have more complex setups, including built-in kitchens and extensive storage.
Mobile Carts
Mobile carts are the epitome of flexibility. They can be wheeled to different locations as needed, making them perfect for events like fairs, farmers’ markets, and festivals. Mobile carts are usually smaller and more compact, but they can still offer a variety of snacks and beverages. Their mobility allows vendors to go where the crowds are, maximizing sales opportunities.
Kiosks
Kiosks are semi-permanent structures that are often found in shopping malls, airports, and large public spaces. They offer a middle ground between fixed stands and mobile carts. Kiosks are usually more stable and spacious than carts but can still be relocated if needed. They are ideal for high-traffic areas where a permanent setup isn’t feasible.
Snack Bars
Snack bars are typically smaller than full-scale concession stands and focus on quick, easy-to-prepare items like popcorn, candy, and soda. These are commonly found in places like community swimming pools, small parks, and local sports fields. Snack bars are designed for quick service and high turnover, making them perfect for events with short intermissions.
Snack Kiosks
Similar to snack bars, snack kiosks are small, often mobile units that sell a limited range of pre-packaged snacks and drinks. These are ideal for venues like zoos, aquariums, and outdoor trails where visitors might want a quick bite without interrupting their activities. Snack kiosks are usually very easy to set up and take down, making them a convenient option for temporary events.
Each type of concession stand has its own unique benefits and is suited to different environments and customer needs. Whether you’re looking for a permanent fixture or a mobile solution, there’s a concession stand type that fits your requirements.
Next, let’s dive into the most profitable foods you can sell at a concession stand.
Most Profitable Concession Stand Foods
When it comes to running a concession stand, choosing the right foods can make a big difference in your profits. Here are some of the most profitable items you can sell:
Tacos
Tacos are a popular choice because they are versatile and can be customized easily. You can offer a variety of fillings like beef, chicken, or veggies, which can cater to different tastes. They’re also quick to prepare and have a high markup potential.
Hot Dogs
Hot dogs are a classic concession stand item. They’re cheap to make but can be sold at a good profit margin. Plus, they’re easy to eat on the go, making them a favorite at events like sports games and fairs.
Soft Pretzels
Soft pretzels are another crowd-pleaser. They are relatively inexpensive to make and can be sold at a high price. Adding different toppings like cheese or mustard can also increase their appeal and profitability.
Popcorn
Popcorn is a staple at many concession stands, especially at movie theaters. It’s inexpensive to produce but can be sold at a significant markup. During World War II, popcorn became even more popular due to sugar rationing, making it a go-to snack when candy was scarce.
Cotton Candy
Cotton candy is a favorite among kids and adults alike. It has a low production cost and can be sold at a high price, especially at events like fairs and carnivals. The bright colors and fun factor make it an irresistible treat.
Bottled Water
Bottled water is a must-have at any concession stand. It’s cheap to buy in bulk and can be sold at a high markup. Plus, it caters to health-conscious consumers and is a necessity at outdoor events, especially in hot weather.
These foods not only attract a wide range of customers but also offer high profit margins, making them ideal choices for any concession stand.
Next, let’s explore the steps to setting up a successful concession stand.
Setting Up a Concession Stand
Setting up a concession stand might seem daunting, but breaking it down into simple steps can make the process manageable. Here’s what you need to know:
Location
Choosing the right location is crucial. Ideal spots include high-traffic areas like stadiums, amusement parks, beaches, and fairs. Look for places where people gather and are likely to get hungry.
Permits
Before you start selling, you’ll need the proper permits. Check local regulations to find out what licenses you need. Common permits include health department permits, business licenses, and food handler’s permits. Make sure to apply well in advance as these can take time to process.
Equipment
Your equipment needs will depend on what you plan to sell. Basic equipment includes:
- Refrigerators for perishable items.
- Grills or fryers for hot foods.
- Cash registers or POS systems for handling transactions.
- Serving counters for customer interaction.
Consider investing in durable, portable options like shipping containers or mobile carts for ease of setup and breakdown.
Menu Planning
Plan a menu that attracts customers and is easy to prepare. Focus on high-profit items like hot dogs, popcorn, and bottled water. Keep your menu simple to streamline operations and reduce wait times.
Pricing Strategy
A good pricing strategy balances affordability for customers with profitability for you. Research your competition to see what they charge and adjust your prices accordingly. People are often willing to pay a premium for convenience, especially in high-traffic areas.
By following these steps, you can set up a concession stand that attracts customers and generates revenue.
Next, let’s look at the benefits of running a concession stand.
Benefits of Concession Stands
Low-Cost Alternative
Starting a concession stand is a low-cost alternative to opening a traditional restaurant. Initial setup costs are significantly lower, especially if you use repurposed structures like shipping containers. These containers are affordable and easy to convert into functional stands. Plus, you save on rent, utilities, and other overhead costs that come with a brick-and-mortar setup.
Mobility
One of the greatest advantages of a concession stand is its mobility. Unlike a fixed location, a mobile stand can be transported to various events and venues. This flexibility allows you to capture different markets, from sports events and fairs to concerts and festivals. For example, a stand could be set up at a week-long festival like Coachella and then moved to a sports event the following week. This ability to relocate ensures you’re always where the crowds are, maximizing your revenue potential.
Flexibility
Concession stands offer unparalleled flexibility. You can easily adapt your menu and setup to suit different events and customer preferences. For instance, you might serve hot dogs and popcorn at a football game but switch to tacos and bottled water at a music festival. This adaptability allows you to meet the specific needs of your audience, enhancing customer satisfaction and boosting sales.
Revenue Generation
Concession stands are a proven revenue generator. According to a 2013 Airport Concessions Benchmarking Survey, concession-stand revenue in airport terminals exceeded $1.5 billion in 2012 alone. Similarly, movie theaters make approximately 40% of their revenue from food sales at concession stands. The high margins on snacks like popcorn, cotton candy, and bottled water can significantly boost your profits.
Additionally, the convenience factor plays a big role. People are willing to pay more for the ease of grabbing a snack or drink without leaving the venue. This convenience often translates to higher sales and increased revenue for you.
In summary, concession stands offer a low-cost, mobile, and flexible business model that can generate substantial revenue. Next, let’s explore how you can customize your concession stand to make it stand out.
Customizing Your Concession Stand
Customizing your concession stand is crucial for attracting customers and standing out from the competition. Let’s break down the key elements of customization: branding, colors, logos, and equipment customization.
Branding
Your brand is your identity. A well-branded concession stand can create a memorable experience for customers. Whether you’re selling gourmet tacos or classic hot dogs, your branding should reflect the essence of your business.
Colors and Logos
Colors and logos are vital parts of your branding. They should be eye-catching and consistent with your overall theme. For example, if your stand specializes in fresh, healthy foods, you might use green and white to signify freshness and cleanliness.
Logos should be simple yet memorable. They will be on everything from your stand to your napkins, so make sure they are versatile and clear. A good logo can make your stand easily recognizable, even from a distance.
Equipment Customization
The right equipment can make or break your concession stand. Stainless steel or aluminum materials are durable and easy to clean, which is essential for food safety. Powder-coated finishes add an extra layer of durability against outdoor elements.
Aztec Container offers extensive customization options. Their units come equipped with portable sinks, lighting, electrical outlets, counters, waste bins, and roll-down security shutters. You can even add display fridges and freezers. All these features can be custom to fit your specific needs, making your stand not only functional but also appealing to customers.
Aztec Container
Aztec Container has been in the business for over 30 years, providing customized solutions for various needs. They offer a unique service where they take your ideas, sketch them out, and create a 3D model. This ensures that your concession stand will look exactly how you envisioned it.
Their expertise means they can help you steer any challenges you might face, from design to delivery. Whether you’re a franchise or an independent vendor, Aztec Container has the experience to help you succeed.
Customizing your concession stand to fit your brand and operational needs can significantly improve your business. Next, let’s address some frequently asked questions about concession stands.
Frequently Asked Questions about Concession Stands
What is the most profitable concession stand food?
When it comes to profitability, certain foods stand out. Tacos, hot dogs, soft pretzels, popcorn, cotton candy, and bottled water are some of the top money-makers.
- Tacos: With various filling options, tacos can cater to diverse tastes and dietary preferences, making them a popular and profitable choice.
- Hot Dogs: Easy to prepare and widely loved, hot dogs are a staple at many concession stands.
- Soft Pretzels: These are simple to make and have a high markup, especially when served with dips.
- Popcorn: A classic favorite with low production costs and high profit margins.
- Cotton Candy: This sugary treat is inexpensive to produce and always a hit with kids.
- Bottled Water: Essential and with a high markup, bottled water is a must-have for any concession stand.
What is another word for concession stand?
Different regions and countries have their own terms for a concession stand. Here are a few:
- Buvette: Commonly used in French-speaking regions.
- Cantina: Often used in Spanish-speaking areas.
- Snack Kiosk: A term used in places like the UK and Ireland.
- Snack Bar: Another popular term, especially in the UK and Ireland.
What do people at concession stands do?
People working at a concession stand have several key responsibilities:
- Greeting Guests: First impressions matter. Workers greet customers with a smile and provide friendly service.
- Filling Orders: They quickly and accurately fill customer orders, ensuring everyone gets what they want.
- Operating POS System: They handle the point-of-sale (POS) system to process transactions efficiently.
- Collecting Money: Workers manage cash and credit transactions, ensuring correct change is given and payments are processed smoothly.
These tasks are crucial for a smooth operation and a positive customer experience.
Next, let’s explore the benefits of running a concession stand.
Conclusion
At Aztec Container, we specialize in creating custom concession stands that cater to your specific needs. Our goal is to provide you with a solution that fits your business perfectly, whether you’re setting up at a school event, a music festival, or a sports stadium.
Customization
We understand that no two businesses are the same. That’s why we offer a wide range of customization options. You can choose the colors, logos, and branding that best represent your business. Plus, we can modify the equipment inside the concession stand to include everything you need, from portable sinks to display fridges.
Competitive Prices
We believe in providing high-quality concession stands at competitive prices. Our rates are among the best in the industry, ensuring you get great value for your investment. Whether you’re buying or renting, you can trust that you’re getting a good deal without sacrificing quality.
Fast Delivery
Time is crucial when setting up your concession business. Our streamlined process ensures that your custom concession stand is delivered quickly and efficiently. With a large inventory ready to go, you won’t have to wait long to get started. We handle all the logistics, making the process hassle-free for you.
Custom Solutions
Every customer has unique requirements, and we’re here to meet them. From small snack kiosks to larger, fully-equipped stands, we tailor our solutions to fit your exact needs. Our team has the experience and expertise to transform your ideas into a functional and attractive concession stand.
For more information on how we can help you set up the perfect concession stand, visit our Concession Stand Container page.
Thank you for considering Aztec Container. We look forward to helping you succeed!