Profit Center

Additional Store Profits

Our wholesale gelato businesses are seeing anywhere from 20-40% of their overall store sales coming from gelato sales. This will naturally depend on many factors such as how clean the display case is, customer tastings, advertising, promotionals, etc.

Our experience indicates that when the display case is kept neat and clean, the business sells a lot more gelato.
Encouraging your customers to sample free gelato at the display case will more than often lead to increased gelato sales. Upwards of 80% of the people who taste-test will eventually purchase a gelato.
Advertising your gelato using both inside and outside graphics will obviously bring in more customers (see “How to Start”).
Setting up customer promotions such as punch cards (buy 10, get one free) will increase your gelato sales as well.

Gross Margins

Gross Margins (GM) will of course vary based on several factors. These include the price at which you choose to sell the gelato in your business, the packaging and volume of the gelato purchased for your business, etc. Generally speaking, the Gross Margins are in the neighborhood of 80% for Traypacks (450 oz.), 35-45% for 4- and 6-oz. cups and 20-35% for Pints and Quarts.

Contact Us to see what specific margins you’ll achieve based on the cost of the gelato, the type of display you choose (see below) and the price you intend to sell it for.

Traditional Serve vs. Grab N Go

“Traditional Serve” is displaying and serving your gelato to your clients from a gelato dipping display case. There are some advantages with this style, but consider the disadvantages as well. As for “Grab N Go” Pints and Quarts, you’ll see many pros and a few cons as well. Below we’ve listed the advantages and disadvantages of each style along with a general profit margin for each. Your results will vary based on some or all of the items listed above.

	Traditional Serve	Grab N Go Pints
Serving Size	4-oz.	Pint (16-oz.)
Gross Profit/PM (per serving)	79%	36%
Advantages	Higher Gross Margin Better store appeal	No need for extra employee Lower upfront cost Smaller freezer footprint Smaller storage freezer needed Easier to keep clean Less maintenance
Disadvantages	Extra employee needed Higher upfront cost Larger freezer footprint Larger storage freezer needed More difficult to keep clean More frequent maintenance	Lower Gross Margin Not as appealing to customer